Deforestation protocols

years) the farm will be remapped and reintegrated into the Tony’s Open Chain supply chain, provided that the newly mapped farm is confirmed as deforestation-free by our external Deforestation Risk Analysis providers. ▪ If the farmer-dependent remediation key performance indicators are not reached in the expected timeframe, the farmer remains excluded. However, there is a possibility for reintegration if progress towards the KPIs are observable the following year. If not, the case will be closed permanently. If, following the ground-truthing process a farm is believed to overlap with protected areas without legal permission: ▪ The farm remains excluded from the Tony’s Open Chain supply chain. ▪ Tony’s Open Chain proposes remediation support to the concerned forest authorities, with the objective of restoring the encroached protected area. ▪ If no agreement is reached with forest authorities by July 1 st , the case is closed. If the forest authorities agree with the support, Tony’s Open Chain enacts the remediation activity in the protected area, in collaboration with forest authorities. If, following the ground-truthing process, a farm is deemed to be compliant with EUDR and does not overlap with protected areas without legal permission: ▪ The findings will be submitted to Enveritas and Tony’s Open Chain’s supply chain partners (as per the reintegration protocol in section IV). These partners will be requested to consider the ground-truthing evidence provided by Tony’s Open Chain and confirm whether it is sufficient to warrant a revision of a farmer’s compliance status following the initial deforestation alert. The EUDR mandates that some of Tony’s Open Chain’s supply chain partners must (i) maintain traceability data for the plots where the materials are produced, (ii) provide evidence that these plots have been deforestation-free since December 31, 2020, and (iii) ensure that cocoa production on each plot adheres to the relevant legal frameworks regarding forest protection, labour rights, and human rights. Their agreement to the findings of the ground-truthing process is therefore key to modifying the compliance status of a farmer.

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