GRI GRI 2-22 Statement on sustainable development strategy

GRI 2-22 Statement on sustainable development strategy

Sustainability Vision

Our commitment to sustainable development is grounded in circular bioeconomy principles. We aim to revolutionize the forest-based pulp industry and remain at its forefront, while providing diversified products from responsibly managed, renewable plantations. We believe in creating shared value as well as building impactful and long-lasting partnerships that enable us to continuously do good for our Communities, Country, Climate and Nature, Customers and Company.

Long-Term Strategy

Bracell 2030 is our long-term sustainability roadmap. Launched in 2023 as a public commitment, it outlines 14 goals and commitments across four strategic pillars, with an overarching objective to create positive impact and deliver value for our Community, Country, Climate, Customers, and Company—in line with our 5Cs Philosophy.

The Bracell 2030 roadmap includes 14 targets and commitments focused on four strategic priorities:

Climate Action

Climate-positive operations supporting a low-carbon economy

Sustainable Landscapes and Biodiversity

Build regenerative systems that benefit nature, biodiversity and ecosystem services

Promoting Sustainable Growth

Expand our business through increased efficiency, circularity and responsible production

Empowering Lives

Provide capacity building to our people and communities through transformational initiativesYear 2025 was the second consecutive full year of sharing results from the Bracell 2030 journey, reflecting our commitment to a more efficient and responsible production model aligned with the expectations of stakeholders.

Our prioritization of issues such as climate change, biodiversity, water management, waste, and social impact was validated through a double materiality assessment conducted in 2024 and 2025 (learn more under GRI 3-1 Process to determine material topics).

CLIMATE ACTION
No 2030 Target 2020 Baseline 2030 Target 2025 Target 2025 Performance 2024 Performance SDGs Addressed
1 Reduce carbon emissions per metric ton of product by 75%, targeting 0.122 tCO₂e/adt 0.482 tCO2e/adt 0.122 tCO2e/adt 0.141 tCO2e/adt 0.255 tCO2e 0.208 tCO2 e 13, 14, 15
2 25 MtCO₂e removed from the atmosphere between 2020 and 2030 8,3 MtCO2e 25 MtCO2e 13.9 MtCO2e 6MtCO2 4.30 MtCO2 13, 14, 15

 

SUSTAINABLE LANDSCAPES AND BIODIVERSITY
No 2030 Target 2020 Baseline 2030 Target 2025 Target 2025 Performance 2024 Performance SDGs Addressed
3 230,000 hectares of native forests preserved This goal has 2022 as its base year, marked by the launch of the One-For-One Commitment, when we reached 67 thousand hectares. 230,000 hectares 230,000 hectares 301,000 hectares 186,000 hectares 14, 15
4 Protection of endemic and threatened species NA Natural habitats and endemic threatened species monitored in priority areas for biodiversity conservation Address:
1. Conduct a fauna survey and estimate the biomass of native vegetation.
2. Identify fauna species serving as indicators of forest ecosystem quality.
3. Develop a diagnostic assessment and a management plan aimed at enhancing the ecological quality and conservation of the priority areas.
Met Completed Stages

1. Conducting a workshop with subject‑matter specialists to establish the foundational assumptions of the project.
2. Identification and delineation of Bracell’s priority areas for conservation.
3. Definition of reference areas within the broader landscape context.

14, 15
5 Support for the reintroduction of animals into the wild This target has 2023 as its base year, marked by the launch of Bracell 2030, when we had three certified areas.

Double the number areas certified by environmental regulators for releasing wild animals in native forests from 3 to 6 or more 6 areas certified 5 areas certified 4 areas certified 14, 15
6 Research on biodiversity conservation This target has 2023 as its base year, marked by the launch of Bracell 2030, a period during which we maintained seven active projects. Support 10 research projects on biodiversity conservation 8 projects 8 projects 8 projects 14, 15

 

PROMOTING SUSTAINABLE GROWTH
No 2030 Target 2020 Baseline 2030 Target 2025 Target 2025 Performance 2024 Performance SDGs Addressed
7 47% reduction in water withdrawal in industrial operations 31.1 m3/adt 16.6 m3/adt 18.5 m³/adt 19.9 m3/adt 19.2 m3/adt 6
8 90% reduction in Class II industrial waste sent to landfills 51.7 kg/t 5 kg/adt 22,5 kg/adt 33.1 kg/adt 27.1 kg/adt 3, 11, 12
9 97% chemical recovery in our operations (lime and caustic soda in pulp production) NA 97% 96.4% 95.80% 96.20% 3, 11, 12

 

EMPOWERING LIVES
No 2030 Target 2020 Baseline 2030

Target

2025 Target 2025 Performance 2024 Performance SDGs Addressed
10 Promote equal opportunity for women (increase the proportion of women in leadership positions to 30%) 40 (18.2%) 30% 29% 27.7% 29.40% 5, 8, 10
11 Promote an inclusive work environment for affinity groups and achieve a 90% positive evaluation from employees in these groups regarding respect and equity in the workplace 27% (based on the Diversity and Inclusion Census conducted in 2024) 90% 1. Monitoring of key indicators for assessing respect and equity variables.
2. Continuation of the management and monitoring processes related to the implementation of the diversity and inclusion action plan.
3. Continuation of the activities conducted by the Diversity and Inclusion Committee and affinity groups, with a focus on gender, race, persons with disabilities, LGBTQIAPN+ communities, and generational diversity.
Met Completed Actions:

1. Consolidation of the baseline
2. Definition of key indicators for measuring the variables of respect and equity.
3. Structuring of the management and monitoring processes for the implementation of the action plan.

5, 8
12 Promote women’s entrepreneurship in communities (at least 60% of Bracell-supported “impact business” projects to be led by women) 56% (2023 baseline) 60% 56% 73% 1. São Paulo: conducting a socioeconomic assessment to support the development of the strategy for promoting education and combating poverty.
2. Bahia: development of an Impact Study for the Continuing Education project and update of the socioeconomic assessment.
3. Mato Grosso do Sul: execution of a socioeconomic assessment focused on territorial development.
4. Development of the methodology for managing and monitoring social targets.
5. Development of the baseline,  creation of the impact framework, design of the calculation rationale, and development of the five‑year roadmap.
1, 5, 8, 10
13 Promote income generation for families and communities (raise the incomes of families participating in Bracell’s income creation programs in priority areas by 20%) The target baseline considers the increase in the average monthly income of all projects in 2023, namely BRL 1,240.00. 20% 4% 10% 1. Design of the methodology for managing and monitoring social targets.
2. Establishment of the baseline.
3. Design of the impact framework and the calculation rationale for targets monitoring, and creation of the five‑year roadmap.
1, 8, 10
14 Advance high-quality public education (improve Portuguese and Mathematics proficiency by 30% in Bracell-supported public schools in areas with low school achievement rates)
The proficiency improvement baseline is the 2023 weighted average proficiency (202.8), with 2023 defined as the baseline year following the launch of Bracell 2030 in October.
30% 11.38% The calculation of 2025 education target is based on the scores from the Basic Education Assessment System (Saeb, in Portuguese), which considers a proficiency scale to measure learning outcomes in Portuguese Language and Mathematics. This assessment is conducted every two years by the Anísio Teixeira National Institute for Educational Studies and Research (Inep, in Portuguese). Due to the timing of Saeb scores releasing (after the publication of the 2025 Sustainability Report), Bracell 2030 performance for 2025 will be disclosed in the 2026 Sustainability Report. 4

Note 1: Bracell 2030 target for women in leadership considers the number of leaders working directly in the pulp business units. The scope of the women‑in‑leadership target is based on Bracell’s operations in the year of 2020, which serves as the baseline for the 2030 target. Bracell Paper operations began in 2023.
Note 2: the positive evaluation target for underrepresented groups is measured on a biennial basis. Therefore, the 2025 target remains the same as defined in the 2024 roadmap. These actions are structural, and their results will be assessed in the Diversity and Inclusion Census to be addressed in 2026. The action plan for this target will be updated based on those results.
Nota 3: the calculation of the 2025 education target is linked to the scores from the Basic Education Assessment System (SAEB, in Portuguese), which provides a proficiency scale that measures learning in Portuguese Language and Mathematics. This assessment is conducted every two years by the Anísio Teixeira National Institute for Educational Studies and Research (Inep, in Portuguese). The scores referring to the 2025 performance were released after the publication of this report and will be disclosed in the 2026 Sustainability Report.

Bracell 2030 Highlights

In 2025, Bracell 2030 completed its second year of tracking and reporting indicators. During this cycle, the long-term initiative saw a significant improvement in governance maturity, with increasingly active involvement and engagement from leadership and operations in achieving set targets.

Climate Action

The Climate Action pillar reflects Bracell’s commitment to mitigating climate change effects and to strengthening the resilience of our operations. The process to build our climate strategy has involved managing GHG emissions, setting 2030 targets for emission reductions and CO2 removals, and implementing initiatives around climate adaptation (see Climate Action).

Sustainable Landscapes and Biodiversity

This pillar relates to our efforts to preserve natural ecosystems and protect biodiversity in Bracell’s operating regions, strengthening natural resource protection and more resilient landscapes. Each target has a specific focus, supported by structured actions designed to drive tangible progress through 2030 (see Sustainable Landscapes and Biodiversity).

Empowering Lives

The Empowering Lives pillar focuses on promoting diversity and inclusion, strengthening public education, and supporting livelihoods in Bracell’s areas of operation. Our 2030 targets reflect our commitment to human and social development, aligned with creating a fairer and more inclusive environment (read more in Empowering Lives).

Promoting Sustainable Growth

The Promoting Sustainable Growth pillar comprises a set of targets and initiatives focused on resource efficiency, waste management, and continuous improvement of production processes, with a goal to reduce environmental impacts and drive operational innovation (read more in Promoting Sustainable Growth).

Integrated Sustainability Management

The initiatives under this pillar connect with key strategic topics such as climate change, biodiversity and ecosystems, water and effluent management, waste management, occupational health and safety, employee development, and community relations. These areas are all addressed by sustainability performance indicators that inform the continuous improvement of our management approach.

Bracell 2030 Seminar

On October 21, we held the Bracell 2030 Seminar – “Brazil at the forefront of climate action: from the bioindustry to the regenerative economy,” hosted in São Paulo (SP). The event was organized in partnership with business newspaper Valor Econômico, which broadcast the lectures and panel discussions. The event was held in the lead-up to COP30, which took place in November in Belém (PA), Brazil—the first time the conference was hosted in the country.

Bracell’s goal with the event was to foster discussion on how Brazil, with a nature-based focus, can lead the global climate agenda, driven by innovation in bioindustry and a new economic model.

The program also featured a public presentation on progress to date against the Bracell 2030 roadmap, highlighting achievements exceeding our One-For-One Commitment target (see GRI 3-3, Management of the material topic Biodiversity and ecosystems), as well as initiatives focused on biodiversity, carbon removal, and renewable energy use.

The seminar brought together leading experts and authorities in the global and national climate arena. The event was moderated by journalist Leila Sterenberg. Speakers included:

Praveen Singhavi (President of Bracell) and Márcio Nappo (Vice President of Sustainability at Bracell), who discussed Bracell’s sustainability initiatives and commitments

Marco Lambertini (Global Coordinator of the Nature Positive Initiative and former Director General of WWF International), who presented the NPI and discussed putting nature at the center of economic decision-making

– Panel themed “Green economy: can Brazil turn assets into a global advantage and how?”: Ana Toni (CEO of COP30), Joaquim Levy (Director of Economic Strategy and Market Relations at Safra), Paulo Hartung (President of Ibá), and Antônio Joaquim (Board member of Bracell and other companies);

– Panel “How the public and private sectors can drive the green transition”: Natália Resende (São Paulo State Secretary for the Environment), Jaime Verruck (Secretary for the Environment of Mato Grosso do Sul), and Ambassador José Carlos Fonseca (President of Empapel).