To this end, our operations follow procedures and control mechanisms that are part of our management system, with a focus on mitigating the risks and impacts of our forestry, mill, and logistics operations. We also carry out long-term structured projects through Bracell Social, with clear goals and targets focused on promoting entrepreneurship, education, and well-being in local communities—as part of our Bracell 2030 commitments.

Our approach to stakeholder engagement includes informing communities and neighbors near our forestry and mill operations about the actual and potential impacts of our operations. Initiatives are structured around open communication with stakeholders and the following goals:

• Inform neighboring communities about upcoming forestry operations in their vicinity, including potential risks and both positive and negative impacts from these operations
• Strengthen our relations with communities and neighbors
• Enhance communication with our communities and neighbors
• Contribute to strengthen initiatives and increase responsiveness to requests from local communities
• Identify, prevent and minimize potential impacts caused by operations on these communities and neighbors
• Mitigate the risk of potential community issues that could affect our operations
• Address inquiries and concerns regarding operational aspects and the company as a whole.

Bracell’s Integrated Management System (IMS) includes a standard, available to all employees, on relations with traditional peoples and communities.

The standard outlines criteria and requirements for establishing an integrated management process for engaging with communities neighboring Bracell’s forestry and mill operations. It also contains guidance on relations with traditional peoples and communities, in compliance with applicable laws and regulations.

The objectives of the standard is to establish continuous two-way communication, provide up-to-date and transparent information, identify and evaluate social aspects, establish measures to control and mitigate potential negative impacts, and identify positive impacts.

In managing this material topic, identified potential positive impacts include increased job creation and opportunities for partnerships; improved quality of life and/or living conditions in the areas where we operate, due to increased private social investment—through initiatives across education, inclusion, entrepreneurship, and community development; and improved local infrastructure as a result of company-driven investments and collaborations.

In terms of negative impacts, our management approach includes addressing the risk of conflicts with neighboring communities over impacts from operations. This risk is managed through our impact mitigation practices and close engagement with local communities.

Promoting Women’s Entrepreneurship, Education, and Income Generation

As part of the social targets in our Bracell 2030 roadmap, we have committed to promoting women’s entrepreneurship, expanding income opportunities and strengthening public education in the regions where we operate.

Our goal is for at least 60% of “impact business” projects to be led by women—reinforcing our commitment to gender equity and female leadership (see more about Bracell Social, our social investment platform, on page GRI 203-1 Infrastructure investments and services supported).

We also aim to raise the income of families involved in income-generation initiatives in priority areas by 20% by 2030.

In education, Bracell is helping to improve learning outcomes in communities with historically low academic performance. We have set a target to increase Portuguese and math proficiency by 30% in the public schools participating in our programs.

In 2024, we carried out the following initiatives as part of our Bracell 2030 roadmap focused on strengthening local communities

As part of efforts to advance our Bracell 2030 social targets, we launched the following local community initiatives in 2024:

1. Social and Economic Assessment in São Paulo – We conducted an assessment to identify opportunities for improving public education and reducing poverty in municipalities located within the area of influence of our operations.
2. Assessment of Continuing Education Program in Bahia – We conducted an assessment of impact from our program supporting the professional development of public school teachers and principals, helping to strengthen local continuing education programs. The program is running in municipalities in the state of Bahia, where we also began updating the regional social and economic assessment.
3. Territorial development assessment in Mato Grosso do Sul – We conducted a study to analyze the potential, challenges, and opportunities for strengthening sustainable territorial development in municipalities located within the area of influence of our operations in the state of Mato Grosso do Sul.
4. Framework for Tracking Bracell 2030 Social Targets – We developed a comprehensive framework for tracking Bracell 2030 social targets, including baseline definitions, an impact framework, and rationale for calculating metrics—ensuring greater precision in measuring results and social impact over the coming years.

O post GRI 3-3 Management of material topics: Community engagement and local development apareceu primeiro em Bracell - Central de Indicadores.

Bracell Papéis currently has two senior management executives, both of whom are internal hires from Bracell Papéis Sudeste. Their leadership responsibilities include oversight of our Northeast paper operations. No local hires were made for senior-level positions within Bracell Papéis during the reporting period (for more details, see GRI 405-1).

O post GRI 202-2 Proportion of senior management hired from the local community apareceu primeiro em Bracell - Central de Indicadores.

Bracell Social is built around three main pillars:

• Education: Bracell believes in education as the cornerstone for societal development. Through projects and initiatives that engage both children and adults in our areas of operation, our efforts have helped improve educational practices in public schools. These programs also foster environmental civics, develop leadership skills, and support the professional development of adolescents and young adults. This further underscores our belief in the transformational role of education.
• Empowerment: Bracell works to strengthen production collectives and social enterprises through training initiatives focused on leadership, empowerment, and creating employment and income opportunities. We work to develop and strengthen productive activities, invest in training and technical assistance, develop community leaders, promote cooperativism, and facilitate social participation mechanisms including public calls for projects and public-private partnerships.
• Well-being: we provide community residents with free leisure, culture, health promotion, and civics activities that foster well-being and civic engagement in the communities around our facilities.

Bracell Social Center

On November 13, 2024, we opened the Bracell Social Center—a dedicated space for hosting community initiatives and welcoming Bracell stakeholders. The Bracell Social Center is located in Lençóis Paulista (SP).

The space will host a range of community training and empowerment initiatives. Starting in 2025, in addition to ongoing social programs, the Bracell Social Center will host our Mãos Dadas volunteer program and a full calendar of workshops, training, and discussions on topics such as Bracell’s social impact pillars and the United Nations 2030 Agenda.

Stand-out projects in 2024

Leitura Viva

Leitura Viva is a project sponsored by Bracell, carried out by A Taba, and supported by the municipal governments of Lençóis Paulista (SP) and Macatuba (SP). The goal of the project is to support training and awareness raising among elementary school teachers (grades 1–5) and Portuguese language teachers from middle school in public schools, encouraging reading practices.

The project comprises a series of initiatives such as content curation, delivery of textbooks and supporting materials for teachers and students, and online activities for the continuous development of participating educators. The project achieved significant results: 9,064 kits were distributed, benefiting 8,753 students and 311 teachers. The program also included a kickoff lecture and training workshops, as well as reading circles and training sessions. In total, the training activities provided 16 hours of certified instruction for educators, delivering positive impact on the school community.

Mãos Dadas program

Our Mãos Dadas volunteering program aims to engage employees and their families in activities that benefit the community, encouraging them to donate their time and skills to social causes—fostering civics, self-esteem, a sense of belonging, and the development of new skills and competencies.

In 2024, 17 social organizations were benefited, impacting more than 6,700 people. The program also collected and distributed over 3 metric tons of food and involved more than 3,000 volunteers, illustrating the power of social engagement.

Dona Della

Our Dona Della program helps women become financially independent by supporting the growth and development of women-led businesses and helping them gain a foothold in the market.

In 2024, the project delivered 48 hours of online and in-person training and mentoring sessions for 20 female business owners. It included a Pitch Day and granted seed capital of R$ 10,000 to each of the 10 selected businesses. The project was implemented in collaboration with Rede Mulher Empreendedora.

Also in 2024, the project received support from SEBRAE, which helped organize a visit to a Small Business Fair in São Paulo and offered two workshops on pitching at business rounds hosted by Bracell. At these events, participating businesses generated over R$ 3,000 in sales and projected short-term deals exceeding R$ 20,000.

Bracell Social Collective Fair

To boost supported business, we hosted the Bracell Social Collective Fair. This initiative invites employees to learn about these businesses, engage with community members, and purchase their products, generating income for supported groups.

In 2024, businesses participating in the Dona Della program exhibited at the fair and reported total sales of over R$ 7,000, further strengthening their market presence.

Social Impact Business Development

The Impact Business Development Program (FNI) provides technical and operational support to productive associations and/or groups in the Northern Coast and Agreste regions of Bahia, helping to build the institutional and entrepreneurial capabilities of organizations and their leaders. The FNI supports initiatives aimed at improving processes, products, market access, and public policies geared toward business growth.

In total, the program reaches 6,976 people directly and indirectly. FNI is active in the municipalities of Alagoinhas, Araçás, Aramari, Catu, Entre Rios, Esplanada, Inhambupe, and Olindina, all in the state of Bahia. In 2024, FNI initiatives generated R$ 492,481.30 in income for participants, along with more than R$ 800,000 in funding secured by four associations through calls for proposals from Companhia de Ação e Desenvolvimento Regional (CAR) and Fundação Banco do Brasil.

O post GRI 203-1 Infrastructure investments and services supported apareceu primeiro em Bracell - Central de Indicadores.

Through Bracell Social, we develop enabling projects in the areas of education, entrepreneurship, and civic engagement:

Education: we help to improve educational practices in public schools. These programs foster environmental civics, develop leadership skills, and support the professional development of adolescents and young adults, underscoring our belief in the transformational role of education.

Empowerment: Bracell works to strengthen production collectives and social enterprises by creating learning environments focused on creating employment and income opportunities. We invest in training and technical assistance, develop community leaders, promote cooperativism, and facilitate social participation mechanisms including public calls for projects and public-private partnerships.

Estar Bem: we provide free access to leisure, cultural activities, health services, and civics initiatives for local residents.

Discover more about our Bracell 2030 goals for women’s entrepreneurship, income generation, and education on page GRI 3-3: Management of material topics: Community engagement and local development.

Below are some of the outcomes from Bracell Social’s key projects in São Paulo in 2024.

Bracell Social Center

On November 13, 2024, we opened the Bracell Social Center—a dedicated space for hosting community initiatives and welcoming Bracell stakeholders. The Bracell Social Center is located in Lençóis Paulista (SP).

The space will host a range of community training and empowerment initiatives. Starting in 2025, in addition to ongoing social programs, the Bracell Social Center will host our Mãos Dadas volunteer program and a full calendar of workshops, training, and discussions on topics such as Bracell’s social impact pillars and the United Nations 2030 Agenda.

O post GRI 203-2 Significant indirect economic impacts apareceu primeiro em Bracell - Central de Indicadores.

We sourced 91% of our supplier spend locally in São Paulo—for both Bracell and Bracell Papéis operations—and 61% in Bahia, for Bracell operations. At Bracell Papéis Nordeste, 53.15% of supplier spend with local—for operations in Feira de Santana (BA), São Gonçalo dos Campos (BA), and Pombos (PE).

Local suppliers are defined as those based in the states where our operational sites are located. The percentage of spending on local suppliers is calculated across all sites. For confidentiality reasons, Bracell does not report financial data.

O post GRI 204-1 Proportion of spending on locally-based suppliers apareceu primeiro em Bracell - Central de Indicadores.

In 2024, Bracell did not develop any formal consultation protocols for indigenous peoples. Seven meetings were held during the year between Bracell representatives, FUNAI, and indigenous leaders. These meetings presented our operational activities around the Araribá Indigenous Territory, the activity schedule, operational details, our complaint channel, and measures to prevent and mitigate potential impacts. The meetings also included sessions to gather feedback from indigenous communities to improve Bracell’s mitigation strategies.

Topics also included hiring a consultancy to conduct a study in the indigenous territory, as suggested by FUNAI, Bracell’s forest management practices, conservation of springs within the Indigenous area, and donation requests. All meetings were documented via attendance lists, photographs, and minutes, with consent for data collection from participants—a total of 33 individuals and 79 total participations: 10 in March, 8 in May, 28 in June, 21 in August, and 12 in September.

In the Tekoa Nhanderu Porã village, Bracell held a meeting with the community leadership to present a nearby forest management area and explain our forestry management processes in the region. We also gathered feedback from indigenous leaders on perceived social impacts of operations on the village. In addition, we created a community database with summary social and environmental information.

This engagement is conducted before the start of operations. During these meetings, we provide relevant information about the company’s activities, providing an opportunity for indigenous representatives to express their concerns, which are then reviewed and addressed by Bracell.

The stakeholder engagement process is inclusive of the entire community, including women and elders, and allows sufficient time for the community to be informed about issues and for Bracell to address the needs, aspirations and concerns shared by indigenous peoples during interactions with the company.

Meetings with indigenous communities are documented in minutes that record the agreements reached with community leaders. All villages are consulted through their leaders, and 100% have chiefs or vice-chiefs as representatives.

In 2024, the meetings with villages were scheduled by the Brazilian indigenous authority, FUNAI, which attempted to schedule meetings during hours that accommodated indigenous communities’ routine activities, and informed them in advance of the start and end times of meetings, as well as the topics to be discussed. Bracell did not invite city residents to participate in these meetings.

During the year, we identified and mapped actual and potential impacts from our operations on indigenous communities, and no cases of indigenous rights violations were identified. Bracell also engaged a qualified and specialized consulting firm to conduct a study in the Araribá Indigenous Territory and to develop an action plan with recommendations to safeguard the human rights, customary rights, and safety of indigenous peoples, particularly in relation to their access to fisheries adjacent to Bracell’s forestry operations. To carry out this study, Bracell obtained formal permission from indigenous leadership to conduct fieldwork, as agreed during community engagement.

O post GRI 411-1 Incidents of violations involving rights of indigenous peoples apareceu primeiro em Bracell - Central de Indicadores.

The results of our environmental and social impact assessments are shared with our stakeholders, as part of our commitment to transparency and corporate responsibility.

Local development plans are built around the needs and priorities expressed by local communities, ensuring that initiatives reflect their interests.

Likewise, external stakeholder engagement plans are based on stakeholder mapping to ensure effective communication and alignment with stakeholder expectations.

To encourage active community participation in managing the impacts of our forestry operations, we have established committees and broad consultation processes involving members of local communities, including vulnerable groups. For communities located in the areas of influence of our forestry and mill operations, our Community Relations department engages regularly with local residents, keeping them informed about impacts and the mitigation measures in place.

We have formal procedures in place for documenting and addressing community concerns and complaints. Through ongoing engagement, the Community Relations team broadly disseminates information about our Contact Us hotline (0800 709 1490 in São Paulo, 0800 284 4747 in Bahia and Sergipe) to residents living near our forestry operations. Additional initiatives include awareness campaigns on forest fire prevention and the display of our contact channel on company vehicles operating in the field to receive feedback and complaints specifically related to our fleet operations.

O post GRI 413-1 Operations with local community engagement, impact assessments, and development programs apareceu primeiro em Bracell - Central de Indicadores.

In the Midwest, Southeast, and South, operational impacts identified included noise pollution around our industrial sites and, in forestry operations, excessive dust, road damage or blockages, speeding, chemical drift, and property damage—all of which were mitigated. In the Northeast, the main issues involved damage to neighboring properties in areas where we operate in Bahia.

Our preventive efforts helped reduce the number of incidents of operational impacts, which dropped from 71 in 2023 to 60 in 2024.

However, the number of complaints filed in São Paulo increased from 117 in 2023 to 363 in 2024. This increase was due to the expansion of forestry operations, which led to more complaints related to third-party property damage, dust from truck traffic, road maintenance issues, service road damage, and speeding. Complaints related to fence maintenance decreased. The rise in reported cases was also influenced by our efforts to advertise reporting channels and by the stronger relationships we have built with local communities.

O post GRI 413-2 Operations with significant actual and potential negative impacts on local communities apareceu primeiro em Bracell - Central de Indicadores.