Investor Presentaiton
56 VALUE CHAIN
ELDORADO BRASIL 2016 SUSTAINABILITY REPORT 57
SOCIAL IMPACT MATRIX
COMMUNITIES
(G4-26, G4-27, G4-EC8, G4-S01 and G4-S02)
At the beginning of 2017, Eldorado updated its social impact matrix
for the second time. This assesses the positive and negative social,
economic and operational impacts the cultivation of eucalyptus
has on the region. For this review, meetings and interviews were
conducted with communities located up to 3 km away from com-
pany areas or timber transportation routes (11 settlements and 4
districts), in addition to representatives of public authorities
and unions.
In general terms, the study indicated a significant improvement
in positive perceptions on the part of the community and a sharp
decrease in negative manifestations. Among the positive impacts
generated by the company, worthy of note is the generation of
employment and improved road networks. The most mentioned
negative impacts were noise, dust and a reduction in employment.
To address these first two impacts, Eldorado invests in publicizing
its community communication channels. Also periodically, it em-
ploys water tankers to sprinkle roads in order to mitigate problems
caused by dust. In the latter case, the response came after a strate-
gic Eldorado decision to dismiss a number of employees at the end
of 2016, including some members of these communities.
Strengthened relations
To make the commitment to local development
come true, the first step is to build close, trans-
parent relations with these communities. Based
on the guidelines established in its Social Moni-
toring Plan, Eldorado has an annual schedule of
visits and meetings with stakeholders.
From March 2016 to March 2017 a total of
117 meetings were held including:
20 encounters with representatives of public au-
thorities (municipal education, environment and
agriculture departments, and the public prosecu-
tion service, among others);
97 meetings focused on community en-
gagement, such as the monitoring of the
execution of projects and works, as well as
environmental education initiatives.
There is also the Demands Center, an elec-
tronic database in which all community
requests are recorded.
During this same period, there were 810
entries in the Demand Center, of which:
641 were requests for information, duly
answered; and 124 were requests for action,
21 of which were fulfilled and 101 stored in
the Demand Center for future analysis and/
or action.
After just a few years in opera-
tion, the dimensions of Eldorado's
activities have been generating
growth and wealth for the mu-
nicipality of Três Lagoas and the
other cities in Mato Grosso do Sul
where the company operates. This
includes a series of benefits that
directly affect the public, such as
the development of companies in
the regions, a stimulus to consume
locally produced goods, the gen-
eration of employment and income,
investments in infrastructure
and the modernization of labor
relations. On the other hand, the
company's activities also generate
some negative impacts, such as
noise from the forestry operations,
dust raised and damage caused
to roads serving the eucalyptus
plantations.
Aware of these challenges, but
also of the progress that Eldorado
promotes in its surroundings, the
company remains committed to
local development, prioritizing
actions that enhance economic,
health and educational indica-
tors in the region. There are even
community engagement initiatives
in the areas in which Eldorado
makes its presence felt through its
forestry partners. Considering all
company work fronts, monitoring
impact and development actions
now cover 50% of the operations.
The objective is to grow in an inte-
grated manner, ensuring business
sustainability and value generation
for local communities, who endorse
the company's license to operate
on a daily basis.View entire presentation