Forced labor in Ecuador

Mapping the global abaca supply chain from the dirt to the consumer

All it takes is one bad actor to expose thousands of global companies without their knowledge.


Modern slavery is prevalent across the Americas. Intrepid journalists and civil society actors have documented human and sex trafficking and forced labor in most countries in South America. The Furukawa Plantaciones case stands alone because it is the first time a company has been brought to court to answer for clear and persistent forced labor practices. 

Ecuador, however, is a country where personal relationships and influence peddling are strong enough forces to sway democratic institutions. Rather than being forced out of business for empirically clear violations, the subject of our modern slavery case study, Furukawa Plantaciones, has paid a mere penance in fines. As this report goes to press, many questions surrounding this potentially landmark modern slavery case remain unanswered. 

In this report, our first publicly available case study on supply chain transparency, the Evidencity research team has mapped an opaque global supply chain for abaca – a raw material used in paper products and tea bags – as it originates from Ecuador, passing through the Philippines and Japan, to finally land with consumer-facing companies in the European Union, the United Kingdom, and the United States. We have discovered where and how companies deep in the supply chain try to hide their commercial connections, as well as how commercial trade data is organized across multiple jurisdictions. Not surprisingly, black
holes remain. 

Though we encountered challenges inherent in global commercial trade data, Evidencity was able to confidently connect forced labor practices in Ecuador, either directly or indirectly, with end users in the marketplace, effectively mapping a supply chain from the dirt to the consumer. This report stands as a case study for Evidencity to selectively share with its client and investment community, with companies listed herein, and with the Ecuadorian government. This work stands as a focused beam of light, shining into a place that has been dark for generations.


We want brands that rely on abaca from Ecuador to terminate commercial relationships with Furukawa Plantaciones, and its parent and associated companies. Evidencity is ready and willing to assist with any endeavor that gives serious treatment to supply chain transparency. It is not just about ticking a box because we view transparency through the lens of combating modern slavery. Identifying exploitation in all its forms is only part of the job. Let’s also work together to stop it. 

Samuel Logan

Quito, Ecuador, February 2024

Case study index

  • What is abaca?

    Abaca fiber, or manila hemp, is a fiber extracted from the abaca plant, or Musa textilis, a banana species native to the Philippines. Abaca is valued for its strength, durability, and resistance to saltwater damage and is used in various industrial applications. It has been traditionally used for making ropes, twines, and cordage as well as specialty papers, textiles, tea bags, and handicrafts.

  • Harvesting abaca

    Extracting abaca is a labor-intensive process. Planting abaca involves manual labor to plant shoots and nurture the plants until they reach maturity. During harvesting, particular skill and precision are required to ensure the quality of the fibers and to allow the plant to regrow for future harvests. After harvesting, the abaca stalks need to be stripped to extract the fibers. This is often done manually, and the fibers are then processed to remove impurities. The manual stripping process requires trained workers to efficiently extract the valuable fibers. 


    The drying and sorting of abaca fibers are also labor-intensive tasks. Workers are typically involved in laying out the fibers for drying and sorting them based on quality and size. In the production of abaca-based products such as ropes, twines, and textiles, twisting and spinning of fibers into the desired form often involve manual labor, although some mechanized processes may also be employed.

  • Exporting abaca

    Manila hemp production takes place in the global South as it requires a tropical climate. The leading producer and exporter of abaca is the Philippines. Ecuador is the second largest

    producer and exporter in the world. Smaller-scale cultivation and export activities can be found in Costa Rica and Indonesia. Significant importers of abaca fiber are Japan, the United States, the EU, China, and South Korea.

  • Furukawa Plantaciones

    Furukawa Plantaciones has been the main producer of abaca in Ecuador since its establishment in 1963. The company is owned by Mavenz Incorporated through a subsidiary registered in Ecuador - FPC Marketing Co. Ltd. As a result, the Ecuadorian company which manages the abaca plantation is indirectly connected to the Japanese and Philippine markets.

  • Forced labor

    The necessity for manual work as well as 

    the particular working conditions and the seasonality of abaca planting and harvesting make the abaca industry particularly vulnerable to forced labor practices.


    In addition, abaca plantations often provide informal and unregulated labor arrangements, making it challenging to monitor and address instances of exploitation of workers. Our research points to plantation employees lacking in formal contracts that state their terms of employment. This arrangement facilitates exploitation, as workers may be paid below minimum wage or be subject to unfair wage deductions. 

Ecuador abaca exports by destination country
2013 - 2018

Furukawa has consistently positioned itself among the top exporters of abaca in Ecuador. From 2013 to 2018, it exported 31% of the country’s total abaca exports.

Source: Banco Central del Ecuador

Furukawa abaca exports by destination country
2013 - 2018

Importers in the UK are or have been key buyers of abaca from Ecuador, second only to the Philippines. Although the Philippines is the leader in abaca production and exporting globally, it sources additional abaca from Ecuador for unidentified reasons.

Source: Banco Central del Ecuador

A comparative glance at Furukawa’s exports before and after the revelation of the modern slavery allegations in 2019 suggests that purchases from certain buyers reduced as a consequence. This is good news. 

After 2019, no European companies appear among the top Furukawa buyers. However, it is possible that they diverted their import activities to the sister companies of Furukawa based in the Philippines.

Furukawa buyers
2011 - 2018


Furukawa buyers
2019 - 2023

Abaca fiber produced under demeaning conditions on plantations in Ecuador can reach US companies through Asia and find its way into American households in the form of a cup of warm tea.

Consumers and businesses thereby find themselves indirectly complicit to practices they do not support. 

Read the Full Report

Companies directly and indirectly impacted by the abaca industry supply chain

Mapping the global abaca supply chain has been a cumbersome task with seemingly endless threads to follow. Evidencity’s research team explored the main producing, exporting, and importing countries and identified key players in the abaca industry ecosystem and examined their links to Furukawa’s forced labor case. The extent of business entanglement within the global abaca supply chain was a challenging reality to surmount. Abaca products from Furukawa reached numerous unsuspecting customers around the world.

Companies directly and indirectly impacted by the abaca industry supply chain.

Mapping the global abaca supply chain has been a cumbersome task with seemingly endless threads to follow. Evidencity’s research team explored the main producing, exporting, and importing countries and identified key players in the abaca industry ecosystem and examined their links to Furukawa’s forced labor case. The extent of business entanglement within the global abaca supply chain was a challenging reality to surmount. Abaca products from Furukawa reached numerous unsuspecting customers around the world.

This report underscores the need for companies to take ownership of their entire supply chain, not just direct suppliers. They should also examine indirect suppliers to ensure transparency and actively combat modern slavery within their global network as it may exist undetected.

Read the Full Report