66 Fostering Sustainable Ecosystems Message from CEO Corporate Overview Corporate Governance and Business Ethics About the Report Gabon Special Economic Zone: Wood (Timber) Value Chain Gabon’s forests cover 88% of the country— about 22.4 million hectares (Global Forest Watch, 2023). Roughly 13.4 million hectares fall under forest permits, and 17 million hectares are designated as production forests. By 2025, around 4.17 million hectares—25% of Gabon’s Forests—will be certified under international standards. To support this, we joined a national workshop in 2024 to help shape a roadmap for wider adoption of certification. Gabon’s forests host more than 1,500 tree species, yet industrial production focuses on fewer than 50, with Okoumé alone representing about 90% of processed volumes at Nkok and around 50% nationwide. Since 2010, the export of roundwood has been banned, prompting companies to further narrow the range of exploited species. Timber harvesting averages 20 to 30 cubic meters per hectare over a 20-year rotation, equivalent to about 1 to 3 trees per hectare, reflecting both limited market demand and high-quality standards. Logistical constraints also limit access to forest resources, while the main environmental impacts are associated with road openings, log yards, and falling gaps. Today, we manage over one million hectares of certified forests, with 40% certified for sustainable management (FSC FM and PAFC FM) and 60% under internationally recognized legality standards (EUDR, FSC CW). In the current challenging economic climate, our focus is not on expanding certification but rather on maintaining and strengthening our existing certified areas. Sustaining certification requires continuous improvement and strict compliance, making it more demanding than initial certification. The total certified area amounts to 4,166,089 hectares, of which 1,035,037 hectares are managed by companies partnered with Arise IIP. In the reporting period, we processed 456,053 cubic meters of timber. Agricultural Value Chains: Benin and Togo Special Economic Zones At the Benin and Togo SEZs, we operate large value chains for agricultural crops such as cashew, soybean, and cotton. With a current processing capacity of 120,000 metric tons—5,000 of which are Rainforest Alliance certified—our SEZ in Benin is on track to reach 150,000 metric tons by 2026. At GDIZ, we continue our journey in creating a virtuous ecosystem to promote the establishment of local businesses as well as direct investments from abroad to Benin, thus supporting the uninterrupted supply of raw materials and facilitating the export and local distribution of high valueadded products. In CY2024, we processed 17,445 metric tons of raw cashew nuts. At the farm level, we support farmers by providing 24x7 technical support and improved Packages of Practice (PoP), to ensure soybean originating from Benin aligns with stringent organic standards and international food safety norms. We are striving for higher profitability for farmers in soybean cultivation value chains, by setting up physical collection centers where the harvest is brought directly by farmers. We’ve more than doubled our collection centers from 12 last year to 25
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