Burapha Agro-Forestry Co. Ltd. is committed to managing and developing their business as a sustainable investment creating real values, enhancing the environment and alleviating poverty. We believe balancing the economic, environmental, and social responsibilities is necessary for sustainable business and beneficial to all stakeholders.
Burapha works in conformity with our Corporate Social and Environmental Responsibility (CSER) framework. We operates within the confines of our Environmental and Social Management System (ESMS), with a hierarchy of documentation including Policies, Operations Manuals, Standard Operating Procedures, Work Instructions, and Databases/Forms/Reports and Plans. Within the ESMS documentation are a series of commitments to environmental and social sustainability for our agroforestry operations, sawmill and wood manufacturing facility, and tree nursery.
Burapha is committed to have a positive impact on the environment. The plantations are established in degraded land where the primary forest has been cut down long ago and the land has been used for shifting cultivation. we work closely with local farmers and develop their agroforestry models, which contribute to food security and reduced slash and burn cultivation.
In Burapha’s industry only wood from sustainably managed plantations is used. The company is not utilizing wood from any of the following sources:
- Illegally harvested wood,
- Wood harvested in violation of traditional or civil rights,
- Wood harvested from forests in which high conservation values are threatened by management activities,
- Wood harvested from areas being converted from forests and other wooded ecosystems to plantations or non-forest uses, or
- Wood from forests in which genetically modified (GM) trees are planted.
Burapha contributes to eradication of poverty in Laos. In the villages where Burapha has its plantations the local people get an opportunity to get a monetary income and develop their community. The Agriculture model enables the local families to maintain their rice production and increase their total income with wages paid for work at the plantations.
Burapha has taken its own initiative to donate money to Development Funds in villages where they operate. This means that Burapha donates money for each hectare in concession and the money is used by the villages to build schools, soccer fields, water wells and for other community activities such as village festivals.
Burapha follows globally accepted human and labour rights and strictly follow the Lao Labor Law. The company strives to create a healthy and safe workplace for all employees.
Regional and Community Benefits
The expansion of Burapha plantations has created and will continue to create a significant number of direct employment opportunities. Local communities are given first opportunity for employment in plantation operations.
As part of its current operations, Burapha undertakes development initiatives in partnership with local communities, which may support improvement of existing livelihoods. Burapha contributes to Village Development Funds, Khum Development Funds and District Development Funds.
Burapha will also create spin-off opportunities for suppliers and businesses through local procurement. The injection of cash into the local economy through salaries and procurement will have flow-on benefits for local business development and general increased consumption.
The Burapha agroforestry model allows additional agricultural development opportunities for local communities through provision of space between tree rows for intercropping.
Training and Capacity Building
Burapha invests in training and capacity building initiatives with company staff, local communities and the government.
In accordance with Burapha’s Outgrower Scheme Policy, Burapha will provide opportunities for communities and individuals to establish their own plantations in collaboration with Burapha
Burapha works to be a profitable business and an attractive and trustworthy investment, employer, supplier, and business partner. The company strives to contribute to the economic wellbeing of the Lao society through increasing export, paid taxes, social insurances, and other socio-economic contributions.
Lao National Economic Benefits
Burapha is providing a range of benefits to Lao PDR. Direct benefits include government revenue through fees and taxes, increased direct foreign investment in the country and new employment opportunities. Indirect benefits include flow on effects, training/skill development and infrastructure development.
Significant capital is braught to Laos from foreign investors to establish and expand the plantation areas.
Burapha pays land rents to relevant government authorities per ha land
Other Government Fees
There are a range of other fees and taxes which are paid to the Government including value added tax, payroll tax, log harvest, transport and inspection fees, and export tariffs.
Export of Manufactured Goods
When the pulpmill is built, annual export value is expected to be approximately 330 million USD / annum at full production. Establishment of a large-scale industrial tree plantation operation may also attract investment in other high-end manufacturing industries that require scale-up for viability.
Flow on benefits include local business development and general increased consumption in the local communities resulting from the injection of cash into the local economy. In addition to general development and wealth creation in the planation areas, these flow-on benefits will generate additional revenue to GOL through taxes paid by businesses and on goods purchased in the new cash economy.