Six research priorities to support corporate due-diligence policies

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Laws to stamp out deforestation, pollution and child labour in global supply chains might have unintended consequences. Researchers need to investigate these effects.

). All of these materials end up in many sectors, for example in vehicles and construction.

Detailed data to inform these models are also scant. Regular household surveys, such as the World Bank’s Living Standards and Measurement Surveys, are not available for all countries. Enterprise surveys that gather business information on a representative group of one economy’s private companies are even rarer. Both could help to predict the impacts of policies on different socio-economic groups or businesses. Targeted investments are needed to fill these data gaps.

Attempts to address tropical deforestation include this mangrove conservation project near Palu City, Sulawesi, Indonesia.Researchers need to assess monitoring and examine the trade-offs between data validity, reliability and costs. If companies cannot prove that due-diligence requirements are being met along their supply chains, consumers have no reason to believe that the products were produced sustainably, and will not pay a higher price for them.

 

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