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Traceability is the ability to track sources of wood in finished products through the supply chain to – as close as is practical – their origins.
Forest products are difficult to trace because, a finished product might include different types of trees, and many products can come from the same tree (Figure 4).
It is easier to establish traceability for solid wood products than for paper-based products.
Several technological approaches are emerging to help trace and verify the origin of the raw materials in products (Table 1: Technologies to trace and verify the origin of wood in the supply chain). Understanding the position of a company in the supply chain can help identify priorities and key areas of influence. Requesting documentation from suppliers is a common method of tracing the origin of raw materials. All of these documents should carry appropriate stamps and seals from the relevant governmental or certification agencies. Working with those directly involved in the supply chain will help develop a better understanding of the challenges, costs and other impacts associated with implementing additional tracking systems.
Tracing wood through the supply chain back to the regions of origin is becoming common in many parts of the world, and new technologies are emerging to aid this practice. Forest certification schemes are often able to track certified and recycled content as well as uncertified content in the product line.
Different levels of detail may be needed depending on the risk of encountering unacceptable practices.
Risk should be assessed for every purchase as conditions in the country of origin might change at any time.
Chain-of-custody systems have been established by different stakeholders to document the wood flow between various steps of the supply chain. 1 In some cases competition laws may limit the amount of information that customer and supplier may exchange. 2 A Chain-of-custody certificate documents and systematically verifies the flow of the materials from their origin in the forest to their end-use. There is no single standard supply chain for wood and paper-based products and all supply chains are different. Solid wood, engineered wood, and paper-based products are manufactured using different technologies, but they may all come from the same forest or even the same tree. There is great variability in supply chains depending on the country, region, or local circumstances. Wood samples are taken from standing trees before harvest as part of the forest inventory process and stored for later use. Unique barcodes are attached to trees in the forest and, using software installed onto PDAs, data is collected (e.g. Samples of paper are broken down into slurry and examined under a microscope by trained analysts.
Areas with higher risk of encountering unacceptable practices require more due diligence and more detailed information than areas with lower risk. Sites where there are no ownership disputes or clear processes to resolve them fairly, and where illegal activity in the forestry sector does not typically occur.
Knowing the context and conditions surrounding the harvesting of the raw materials and the manufacturing processes of the products is important. When information to support the claims of the product is not complete, accurate, or enough for the buyer to properly assess these claims, monitoring and verification are used to add credibility to the process. Self verification - a producer monitors and reports about its own harvesting and manufacturing processes. Production in the forest -the classical monitoring system- forest authorities enforcing relevant laws - can be a reliable system where governance is strong, but it may not be adequate where governance is weak. There are two major international systems for forest certification: the Forest Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification Systems (PEFC). Table 3: General characteristics of the two major systems for forest certification, provides an overview of the general characteristics of these two systems.
Manufacturing processes - once raw materials leave the forests and reach mills and factories, they may no longer differ significantly from those of other industries if processing facilities are located in developed areas.
Environmental Management Systems (EMS) and Social Management Systems (SMS) can be useful in the manufacturing process.
Assessment and planning - identification of environmental and social aspects of interest, establishment of goals, targets, strategy and infrastructure for implementation. Implementation - execution of the plan, which may include investment in training and improved technology. Review - monitoring and evaluation of the implementation process, identification of issues.
Adaptive management and verification - review of progress and adjustments for continual improvement.
The presence or absence of viable EMS and SMS programs can be useful in assessing a supplier's efforts to improve environmental and social performance and enhance compliance with pre-determined standards (EPE, 2007). Many have compared certification standards, although comparisons are a complex task because of the many factors and elements that need to be considered. Different stakeholders have different perspectives; certification standards are backed by different constituencies, reflecting their different interests, concerns, and values.
The choice of systems varies by geography, and many forest companies are certified to both systems depending on the location of their operations. 1In general, and at a global scale, large industrial forests and forests plantations are mostly certified to FSC, while public forests and small land holder forests are mostly certified to PEFC. The two major systems for forest certification are the Forest Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification (PEFC). Founded in 1999 in Europe, as an endorsement mechanism for independent, national certification systems. There is variation in regional standards and in interim standards adopted by auditing bodies. Endorsed certification systems are assessed to be consistent with international agreements such as ILO core conventions, as well as conventions relevant to forest management and ratified by the countries, such as the Convention on Biological Diversity (CBD), CITES and others.
All national PEFC standards are independently assessed to ensure that they meet PEFC International’s Sustainability Benchmarks. PEFC endorses certification systems once they have successfully gone through the external assessment process using independent evaluators. Multi-stakeholder participation is required in the governance of national schemes as well as in the standard-setting process Standards and normative documents are reviewed periodically at intervals that do not exceed five years.
The CoC standard is evaluated by a third-party body that is accredited by FSC and compliant with international standards.
CoC standard includes specifications for the physical separation of certified and non-certified wood, and for the percentage of mixed content (certified and non-certified) of products.
CoC certificates state the geographical location of the producer and the standards against which the process was evaluated. CoC requirements include specifications for physical separation of wood and percentage-based methods for products with mixed content. The CoC standard includes specifications for tracking and collecting and maintaining documentation about the origin of the materials. The CoC standard includes specifications for the physical separation of certified and non-certified wood. The CoC standard includes specifications about procedures for dealing with complains related to participant’s chain of custody.
CoC certificates state the geographical location of the certificate holder; the standard against which the certificate was issued, and identify the scope, product(s) or product(s) group(s) covered (PEFC, 2010B).
Illegally harvested wood, including wood that is harvested without legal authorization, from protected areas, without payment of appropriate taxes and fees, using fraudulent papers and mechanisms, in violation of CITES requirements, and others. A company may want to inform consumers about the environmental claims of a specific product or service through the use of ecolabels. Type I: a voluntary, multiple-criteria-based third-party program that authorizes the use of environmental labels on products indicating overall preference of a product within a particular category based on life cycle considerations. Type II: a program involving self-declared environmental claims by parties likely to benefit from such claims. Type III: a program involving a declaration that provides quantified environmental life cycle product information provided by the supplier, based on independent verification, and systematic data presented as a set of categories of a parameter.
Blue Angel - the oldest environmental ecolabel; initiated by the German Ministry of the Interior, it is now administered by the Federal Environmental Agency. Bra Miljoval (Good Environmental Choice) - the ecolabel from the Swedish Society for Nature Conservation started in 1988. Environmental Choice Program - Wood and paper-based materials covered include building raw materials, flooring, office furniture and paper.
Eco Mark - administered by the Japan Environment Association, it covers various types of paper, board wood, and furniture and packaging materials.
Environmental Choice - a voluntary, multiple specifications labeling program endorsed by the New Zealand government and managed by the New Zealand Ecolabelling Trust. Greenguard - products certified meet requirements of the US Environmental Protection Agency, the US Green Building Council, and Germany's Blue Angel ecolabel. There may be products bearing ecolabels that do not actually meet the label's environmental standards.
International Organization for Standardization - Standards 14020 through 14025 provide guidelines for ecolabels for first and third party verification.
US Federal Trade Commission - provides guidance on the use of ecolabels and the use of environmental marketing claims.
Consumer Reports Eco-labels - provides guidance, scorecards and comparisons of ecolabels in the US. The Global Ecolabeling Network - provides background information, links to national members, and so on.


Ecolabel Index – An online database that allows the user to research and compare selected ecolabels. The UK Government's Green Claims Code - provides guidance on statements, symbols, descriptions and verification. European Timber Regulation (2010) - Timber logged illegally under the laws of the country of origin. Illegal logging of wood and paper-based products results from a complex set of legal, historical, political, social, and economic issues. Local (and also national) government officials, often with very modest official salaries, may receive additional income in bribes to allow illegal logging. Local people may derive direct income from illegal forest activities (Tacconi et al., 2004).
Illegal logging and organized crime – organized crime syndicates are largely responsible for illegal logging in many countries. Unfair competition – market distortion and reduction of profitability for legal goods; the World Bank puts this cost at more than US$ 10 billion per year (World Bank, 2002A). Conflict – when the proceeds of illegal logging are used to support and fund conflict (Thomson, J., and R.
Forest destruction – areas important for biological conservation, ecosystem services, and local livelihoods. Between 8-10% of global wood production is estimated to be illegally produced, although it is acknowledged that there is uncertainty in these estimates (Seneca Creek and Wood Resources International, 2004). Most of the illegally produced wood is used domestically, although a significant portion enters the international trade, either as finished products or raw materials (Seneca Creek and Wood Resources International, 2004). During the last five to ten years, addressing illegal logging and illegal trade has risen to the top of the international forestry agenda. In Switzerland, the Ordinance on Declaring Wood and Wood Products (Ordonnance sur la Declaration Concernant le Bois et les Produits en Bois) from 2010, requires any party selling timber or timber products to consumers to disclose information about the species used in the product, including whether or not the species is listed in CITES, and the place of harvest.
In response to the emergence of legality requirements in the marketplace, a number of voluntary systems and schemes have emerged to help assess and verify the legality of wood and paper-based products (Table 8: Voluntary legality verification systems). Bilateral cooperation between consumer and producer markets and free trade agreements are other efforts to address illegal logging. Governments, civil society organizations and the private sector may be having a significant impact on illegal logging. Lack of compliance with minor administrative regulations may not have a significant impact on the overall sustainability of the product.
Consider actively supporting government and civil society actions to address illegal logging and international trade in illegally-produced wood-based products. In the context of international climate change negotiations, improving legality in the forest sector at national and sub-national levels is being considered more and more as an important step to ensure the effectiveness of financial investments that are designed to prevent deforestation and forest degradation under REDD systems (see section on climate change). 1Prominent international initiatives include the G8 Forestry Action Programme, agreed by G8 foreign ministers in 1998, and the Gleneagles Declaration in 2005.
The Criteria and Indicators (C&I) are intended to serve as a regional reference framework for the verification of timber legality in member states.
Member states: Brunei, Cambodia, Lao, Indonesia, Malaysia, Myanmar, Philippines, Thailand, Singapore and Viet Nam. FSC, PEFC Belgium and some PEFC certificates have been determined to meet sustainability requirements. Origine et Legalite des Bois (Timber Origin and Legality, or OLB in French) (Updated 2005, originally developed in 2004).
Third-party system to guarantee the geographic origin of the forest products and the legal compliance of the forest company.
Companies holding SFM or legality verification certificates from voluntary schemes may receive a "legality certificate" valid for one year without further verification. Legality Assessment for Verified Legal Timber (Updated 2010, originally developed in 2007). The legality verification system is currently available only in Indonesia, with plans to expand into other locations. Verification involves certifying overall concession legality and chain of custody compliance at least once a year in addition to auditing legality for every batch of timber processed under the CertiSource system. Guidelines are voluntary, and aim to help public buyers in actively seeking to buy legal and sustainable timber. SGS’s Timber Legality and Traceability Verification; SmartWood’s Verification of Legal Compliance. Wood in the rough, finished and semi-finished products, products in which wood is the most significant component. Certificates comparable to FSC or PEFC, if demonstrated that FSC or PEFC criteria are met in the country or origin. Board material (chipboard and particle board), solid wood, veneer, plywood and layer glued wood. The policy requires suppliers to have processes and systems in place to ensure that the wood meets the requirements.
Wood from high risk areas for illegal logging undergoes audits all the way back to the forest. Developed by Keurhout based on experience, existing references, and expert and stakeholder consultation. Verification of individual certificates or entire certification systems is carried out by an independent Board of Experts (BoE) that includes experts with different disciplinary backgrounds and representing different stakeholder groups. Command straight off and buy woodworking tools astatine With over 100 years of industriousness experience Hermance motorcar company is your superlative choice for used carpentry machinery.
J & yard Machinery has been axerophthol trusted generator Used woodwork machines ireland for both new and used carpentry machinery since 1966. Supply chains can sometimes link many wood producers and dealers across several countries, and procurement portfolios can be complex, with multiple supply chains (Figures 2 and 3). There are also new technological applications that seek to increase the overall transparency of the supply chains regarding the origin of the raw materials (Table 2: Tools for increasing transparency in supply chains). However, false documentation can be common in certain countries and additional systems to trace the raw materials back to their origins, within the limits of feasibility, may be needed in some cases.
Forest managers, forest owners, government agencies and certification bodies active in the area can provide useful information. However, in some countries such as in the United States, companies are becoming less integrated, selling off their forest lands and thereby externalizing traceability. They can also be used as safeguards to require that raw materials be harvested and products be manufactured in compliance with the law, where laws are properly enforced. For instance, in areas where illegal activity may be occurring, detailed information on the specific location of harvesting may be needed while for other areas knowing the general origin of the wood may suffice. Most forest certification schemes include a chain-of-custody standard that reaches from the forests up to certain processes in manufacturing. In the US, for instance, a pulp mill owned by a company may buy chips from sawmills owned by one or more companies. There are, however, common elements that can be useful to clarify the connections among various manufacturing points, the product flows, and the environmental and social issues associated (figure below). Some forest-based industries often use all parts of the tree for different products in a system of integrated processing facilities.
In the most complicated cases, a sawmill, pulp mill and engineered wood plant are fed by a network of product flows and business relationships.
Samples are taken from the same trees and logs during harvesting and processing, according to harvest and log transportation records. DNA extracted from wood samples can be compared to these maps to determine origin and verify claims.
While fiber analysis is not a traceability tool, it can identify certain characteristics about the fibers that compose paper products, including whether the species are hardwood or softwood varieties and, in some cases, the genus of the trees. Not all certification labels are perceived by all stakeholders to offer the same level of protection against the risk of sourcing from controversial and unwanted sources.
Typical outputs include sustainability reports, emissions reports, reports on social indicators, resource usage reports, recycling reports, etc. Concerned business, environmental groups and labor and trade organizations, generally agree that independent, third-party verification of forestry operations is desirable, particularly in areas of high risk (Box 2: Areas of high and low risk of encountering unacceptable practices). These systems allow interested producers to be independently assessed against a locally appropriate standard and to be recognized in the marketplace through a label that certifies compliance.
However, when mills and factories are in less developed areas there may not be enough government enforcement of environmental and social standards.
An EMS is generally defined as a series of processes and practices seeking to assess and reduce the environmental impact of an organization, while an SMS encompasses the management of interactions between an organization and its social environment. Environmental organizations tend to prefer the FSC while industry and tenure holders tend to prefer PEFC. The area under certification is growing rapidly and so is the supply of certified products; however, there may be cases when it can be difficult to meet the demand of certified products. A buyer with many supply chains might want to prioritize focusing on monitoring and verification efforts based on the perceived risks associated with sourcing from areas where information may be incomplete or misleading. The principles apply to all tropical, temperate and boreal forests and are to be considered as a whole. PEFC’s environmental, social and economic requirements for SFM build on international guidelines, criteria and indicators for SFM derived from intergovernmental processes such as the Ministerial Conference on the Protection of Forests in Europe (MCPFE), and the African Timber Organization (ATO) and International Tropical Timber Organization’s (ITTO) processes for tropical forests among others. National initiatives for forest management certification exist in Argentina, Austria, Australia, Belarus, Belize, Belgium, Bosnia and Herzegovina, Bolivia, Brazil, Bulgaria, Burkina Faso, Cameroon, Canada, Chile, China, Colombia, Costa Rica, Croatia, Czech Republic, Cote d’Ivoire, Denmark, Ethiopia, Ecuador, Estonia, Finland, France, Gabon, Germany, Ghana, Honduras, Hungary, India, Indonesia, Ireland, Italy, Japan, Kenya, Laos, Latvia, Lithuania, Luxembourg, Madagascar, Malaysia, Mexico, Mozambique, Namibia, Nepal, Netherlands, New Zealand, Nicaragua, Norway, Panama, Paraguay, Papua New Guinea, Peru, Poland, Portugal, Republic of Congo, Republic of Korea, Romania, Russia, Slovakia, Slovenia, Solomon Islands, South Africa, Spain, Sri Lanka, Suriname, Sweden, Swaziland, Switzerland, Tanzania, Thailand, Turkey, Uganda, Ukraine, United Kingdom, Uruguay, United States, Venezuela, Vietnam, and Zambia . Wood and paper-based products covered include building materials, different types of paper and cardboard, packaging materials, and furniture. Wood-based products covered include various types of paper, furniture and flooring products. The EU Flower is active throughout the European Union and also in Norway, Liechtenstein and Iceland. Wood-based products covered include various types of paper, furniture, particleboard and fiberboard, and food packaging materials.
Wood and paper-based products covered include various types of paper, flooring products, packaging materials, furniture and recycled and reclaimed timber.


Strictly speaking, illegality is anything that occurs in violation of the legal framework of a country.
Lacey Act (amended, 2008) - It is unlawful to trade, receive, or acquire plants taken, harvested, possessed, transported, sold or exported in violation of underlying laws in a foreign country or in the U.S. It can also be easier for local officials to “turn a blind eye” to powerful actors engaged in illegal acts than to enforce the law. These groups employ a wide range of unlawful and sophisticated schemes to evade detection of illegal timber entering the market. Governments deprived of revenue by illegal logging have fewer resources to invest in social and public policies.
Estimates of illegal logging in specific countries and regions vary, depending on the nature of the activity, and the variability of laws and regulations (Figure 5). Timber and timber products covered include firewood, roundwood and wood in the rough, pickets and stakes of wood, railway sleepers, sawmill products, sheets for veneering, carpentry, joinery, furniture made entirely of solid wood, and other solid wood items (Federal Department of Economic Affairs, 2010; Schweizerische Eidgenossenschaft, 2010).
The European Union, through Voluntary Partnership Agreements, works with a select number of countries to build their capacity and support reforms in the governance of their forest sectors, to reduce the production of illegally harvested timber (Box 8: The European Union Forest Law Enforcement, Governance and Trade (FLEGT) Process and the Voluntary Partnership Agreements). The agreement established a working group to guide implementation of the memorandum with respect to information exchange, law enforcement cooperation, regional and international cooperation, and partnerships with nongovernmental actors (U.S.
A 2010 study of producer, processing and consumer countries suggests that illegal logging might have decreased significantly in Cameroon, the Brazilian Amazon and Indonesia over the last decade (Lawson and MacFaul, 2010). More information, verification and due care are needed for areas with higher risk of illegal activity in order to manage and eliminate the risk of having illegally logged wood in the supply chain. Just because a forest product is produced legally does not necessarily mean it has been produced in an environmentally sustainable or socially responsible manner. It might be more strategic to focus on blatant, significant infractions such as trafficking and systematically harvesting valuable timber species without proper authorization.
A pragmatic way to address this is to establish whether violations are single oversights, or form a pattern of major violations.
Transfer of ownership of wood is commonly documented through purchase orders, invoices and other negotiable instruments.
The European Union in 2003 adopted an Action Plan on Forest Law Enforcement, Governance and Trade (EU FLEGT).
Eurocertifor was acquired in 2005 by Bureau Veritas; since then, the standard has been reviewed and updated to be applied internationally. Private certification schemes will undergo an evaluation by the Cameroonian government to ensure their standards and verification mechanisms satisfy the requirements of the LAS. Within two years after an entity joins the CertiSource system, CertiSource policy requires concessions and sawmills to demonstrate a concrete commitment to reaching FSC certification. The LEI standards were developed in the context of a FLEGT process through extensive stakeholder consultation, and were formally approved by the Indonesian Government in July 2009. Prior to entering a verification process, a supply-chain audit is conducted to eliminate products that are clearly linked to illegal sources.
The system also ensures each pallet of timber can be traced from distributor back to source, and that the CertiSource required commitment from participating concessions and sawmills to achieving FSC certification is adhered to. Procurement mangers are required to refer to tools such as forest certification, ecolabels, or supplying countries to define which legislation is relevant.
A review will be conducted in 2013 to determine if and how wood from FLEGT-licensed timber is incorporated in the procurement policy. Suppliers are required to report the origin, volume and species of the wood used in the products three times a year (detailed reporting annually), and they must accept auditing at various steps in the supply chain.
The standard is part of the Keurhout Protocol and is used in conjunction with other four standards, which concern requirements for SFM, CoC, Certification Bodies and Certification Systems. In addition, Keurhout also facilitates a CoC system for timber trading and processing companies.
In the most complex cases, a network of dealers buying wood from many different loggers, landowners and sawmills may supply a pulp mill (Box 1: The wood supply chain).
Not all chain-of-custody systems cover 100% of the certified product, and all systems allow mixing of certified and non-certified materials. All these companies may compete against each other to buy logs from landowners, and the information about their respective suppliers may be highly proprietary business information; sharing this information directly or through a common customer may be improper and perceived as anti-competitive.
The second set of samples is physically matched to the first set and the DNA of the paired samples is compared.
Upon harvest, the barcode remains on the stump and corresponding barcodes are attached to felled logs thereby linking them to the source tree. Forest certification systems are intended to provide an alternative in this part of the supply chain.
The appropriateness of the standard includes having the right content for the right place, but also entails the process by which the standard was defined and implemented. Environmental organizations tend to prefer the FSC, while landowners and tenure holders tend to prefer PEFC. A proper comparison should include more detail of aspects such as compliance with international standards, system governance, accreditation, certification, criteria used as basis for the systems, performance on the ground, and others (Nussbaum and Simula, 2005).
Endorsed standards include the following: Australia, Austria, Belarus, Belgium, Brazil (Cerflor), Canda (CSA, SFI), Chile (Certfor), Czech Republic, Denmar, Estonia, Finland, France, Germany, Italy, Latvia, Luxembourg, Malaysia (MTCS), Norway, Poland, Portugal, Russia, Slovak Republic, Spain, Sweden, Switzerland, United Kingdom, and the United States (SFI, American Tree Farm System). Economic, social, and environmental interests have equal weight in the standard settint process. It also certifies that durable wood products do not incorporate heavy metals or biocides and are produced from sustainably managed forests. Poverty, limited education, financial issues, economic instability and population growth are enabling factors for illegal activity as well. Schemes include mixing illegal timber with legal timber from plantations or with logging permits, bribing officials to obtain permits or pass inspections, and even hacking into government computer systems to obtain or manipulate information on permits (Nellemann, INTERPOL, 2012; World Bank 2012). However, given the varying estimates of the amount of illegal activity previously, it is very hard to judge how much of an improvement there may have been. Voluntary DNA analysis (through Double Helix Tracking Technologies) to scientifically verify the chain-of-custody can also be added. Operations with FSC CoC certification covering the scope of production for IKEA qualify as compliant.
Assessments are conducted based on documentation and evidence and, where relevant, may include verification in the field. The CoC system is verified annually by accredited independent Certification Bodies, which are entitled to issue a Keurhout CoC certificate.
In a sawmill, logs usually lose their link to individual landowners in a sorting yard in the same way an agricultural business would combine grain from individual farmers in a common silo.
In some cases it may be pragmatic for the end user to ensure that its suppliers maintain proper records and make them available upon request, subject to appropriate confidentiality agreements. For instance, a pulp mill in the Eastern United States that produces 860,000 tons (Mt) of paperboard per year uses 2,720,000 tons of wood chips. If the DNA is an exact match, this proves the two samples come from the same tree, validating the documentation.
By conducting random sampling and testing of product shipments, costs are limited to less than 1% of product value. Databases of stable isotopes can be used to map the distribution of timber species and identify and verify origin of the wood even in finished products.
The principles are expected to be used in conjunction with national and international laws and regulations, and in compatibility with international principles and criteria relevant at the national and sub-national level (FSC Policy and Standards; principles and criteria of forest stewardship) (FSC, 1996, amended in 2002). There are also PEFC chain of custody certifications and PEFC stakeholder members in a number of additional countries.
FSC follows the ISEAL Code of Good Practice for Setting Social and Environmental Standards.
At a minimum, documents should carry all appropriate stamps and seals from the relevant governmental agencies. Regional intergovernmental processes on Forest Law Enforcement and Governance (FLEG) have been established in Southeast Asia, Central Africa, Europe and Northern Asia, each on the basis of a Ministerial Declaration. The certification is granted for five years with surveillance audits of at least once a year. IKEA promotes the use of FSC certified sources with full Chain of Custody certification to the direct suppliers to the company (referred to as preferred sources).
Used carpentry Machinery large inventory of machines away Weeke large big green egg table sale Brandt Homag Holzma SCMI Altendorf Biesse Holz Herincl. The wood collected from sawmills – often chips that are by-products of solid-wood products manufacturing – further lose their individual identity during the paper making process. The mill procures these chips directly from 60-70 landowners, some 600 suppliers, 120 sawmills and 10 shipping operations (MeadWestvaco estimates for 2006). Timber can then be tracked and traced, using barcode technology, in real time, along the chain of custody, with the software system reconciling data at every control point and alerting users to irregular or possible illegal activities for resolution. Some of these comparisons represent the interests of specific stakeholder groups that claim there are significant differences between the certification systems.
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