Tony's Open Chain Impact Report 2024/25

4.3

Total # of cases of active deforestation: a. Flagged (within the reporting season and cumulatively) b. Ground-truthed (within the reporting season and cumulatively) c. Confirmed (within the reporting season and cumulatively)

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Active cases of deforestation: Deforestation events that occurred after the EUDR cut-off date of 31 December 2020 are classified as “active cases of deforestation”. Such cases are identified by Tony’s Open Chain’s deforestation risk analysis partners via remote sensing technology and then ground-truthed by the relevant Tony’s Open Chain teams in Cote d’Ivoire and Ghana to provide on-the-ground confirmation (or rejection) of the risk analysis partner’s finding. Flagged: A case of active deforestation is flagged when it is identified as a potential case of deforestation via the deforestation risk analysis partners’ remote sensing technology platform. Ground-truthing : Remote sensing technologies, including satellite imagery and aerial photography, offer important information about land use. However, this data can occasionally be inaccurate due to issues such as cloud cover, seasonal variations or misclassifications. Ground-truthing enables Tony’s Open Chain and its partners to gather firsthand observations that can confirm and enhance the accuracy of remote sensing data. At Tony’s Open Chain, ground-truthing refers to the process of validating and verifying remote sensing data through direct field observations, as well as collecting data, including photos and questionnaires, from partner cooperatives and farmers. In the context of deforestation monitoring, this involves visiting specific locations to confirm the presence or absence of cocoa plantations in at-risk protected areas, assessing land-use changes, and surveying partner cooperative leaders and members to understand the potential factors that may influence the deforestation risk status of specific farms. Confirmed: A confirmed case is defined as a case of deforestation that has been flagged within the deforestation risk analysis partner’s remote sensing technology platform and subsequently confirmed by Tony’s Open Chain’s ground- truthing mission, with relevant evidence confirming the deforestation event available. a. For which remediation actions have been taken This KPI refers to the number of cases of active deforestation that were confirmed (KPI 4.3c), for which Tony’s Open Chain has carried out land restoration activities and the number of cases of active deforestation that were falsely flagged in the system (potentially contained within KPI 4.3a) for whom remediation activities were carried out to address potential consequences of misclassification. Remediation refers to the actions taken to restore or rehabilitate a degraded environment, particularly following deforestation. Tony’s Open Chain seeks to carry out remediation activities within 6 months of identifying the case of deforestation. Remediation might include: reforestation (planting trees in deforested areas to restore forest cover), tree regeneration efforts (encouraging the natural regrowth of trees through practices like assisted natural regeneration, where existing native flora is nurtured to recover and thrive), mobilizing community action for conservation initiatives, or the implementation of sustainable agricultural practices (i.e. agroforestry). Remediation within the framework of due diligence at Tony’s Open Chain may also encompass actions aimed at correcting the erroneous classification of a farm that is mistakenly identified as having a deforestation risk under KPI 4.3a. This situation can arise when land-use change analyses misinterpret farm management practices as indicators of deforestation events. For example, practices such as crop pruning or replanting of shade or cocoa trees might be misinterpreted as indicators of deforestation by satellite monitoring algorithms. Correcting these misclassifications (false positives) is crucial to prevent unfair penalties for farmers engaging in Good Agriculture Practices (GAPs).

4.4

# and % of cases of active deforestation: a. For which remediation actions have been taken

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Ending exploitation in cocoa together

Living income

Climate, environment & productivity

Human rights

Governance & finances

Interesting appendices

Scaling for change

Introduction

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