• SCA is Europe’s largest forest owner and a major timber, pulp and paper manufacturer.
• A long-standing member of FSC, it announced its intention to temporarily pause its FSC Forest Management certification in Sweden starting June 1, 2025, due to a series of systemic challenges it sees within the current FSC framework.
  • Still supports FSC: Although SCA is leaving the Swedish FSC system on June 1st, they will remain a member, keep its Controlled Wood and Chain of Custody certifications, and maintain Forest Management certification in Estonia, Latvia, and Lithuania.
  • Hopefully temporary: The pause is intended to protect SCA’s ability to meet climate and sustainability goals, not to leave FSC entirely.
  • To prompt dialogue: SCA is calling for a meeting with FSC and stakeholders in Frankfurt to work on solutions collaboratively.

The Forest Stewardship Council (FSC) certification has been a vital component of sustainable forest management in Poland for over 25 years. Until recently, approximately two-thirds of the total forest area of 9.2 million hectares in the country were FSC-certified. The certified forests are managed by the Regional Directorates of State Forests (RDSF) and two Forest Experimental Stations under the University of Poznań.

Despite initiating dialogue in November 2022 between FSC International and Polish State Forests, six Regional Directorates of State Forests (RDSFs), representing an area of roughly 2 million hectares, have opted to discontinue FSC certification in their respective regions. The affected regions include:

• Gdansk (FSC-certified area: 303,938 ha) - expired
• Torun (FSC-certified area: 456,447 ha) - expired
• Poznan (FSC-certified area: 419,535 ha) - certificate expired on 4 April, 2023
• Warsaw (FSC-certified area: 194,960 ha) - certificate expired on 9 April, 2023
• Radom (FSC-certified area: 325,074 ha) - certificate expired on 1 May, 2023
• Pila (FSC-certified area: 362,770 ha) - recertification granted on 10 March, 2023; license agreement was valid until May 31, 2023

The collaboration between Polish foresters and FSC has enabled many Polish companies to grow their market reach through exporting their FSC certified products to regional and international companies. Today, Polish companies are among global leaders when it comes to the production of furniture, doors, windows, panels, and other wood-based products. There are currently 2,500 FSC Chain of Custody (CoC) certificates in Poland, making it one of the top countries for FSC CoC globally.

Kim Carstensen, Director General of FSC International, says: “We will reinforce our engagement and presence in Poland to ensure that we have a solid foundation for responsible forest management now and in the long term. We will continue to promote sustainable practices throughout the country in line with our values, while safeguarding its global credibility”.

FSC acknowledges the significant implications for certified supply in the country coupled with the existing shortages as a consequence of the Ukraine war. To address this issue, FSC is actively working alongside partners and members to develop strategic solutions to fill the supply gap.

Hungary waived environmental regulations protecting native forests from logging, showing the increasingly extreme steps the government is willing to take to prepare for next winter’s energy shortages.

Prime Minister Viktor Orban's cabinet, citing the effects of the war in neighbouring Ukraine, loosened regulations on logging to meet increased demand for firewood as a result of surging gas and electricity prices.

WWF-Russia recommends companies to not source nor use wood obtained from salvage logging, and to take additional measures to verify the legality of sanitary wood felling, such as increasing company field audits, until the risk of illegal wood from salvage logging entering supply chains has been minimised drastically.

According to an investigation by the environmental charity Earthsight, in the area of forest - Velykyi Bychkiv within Ukraine, loggers appear to be taking advantage of loopholes that allow for “sanitary felling” during the silent periods in the spring and early summer from 2018 to 2020. Some of the wood in question is found in the supply chain of Swedish furniture maker Ikea, who denied wrongdoing and immediately began their own investigations into all parties mentioned in Earthsight’s report.

The UK government has proposed to introduce a new law to prohibit large business operating in the UK from using products that are from illegally deforested land as per local laws. Businesses that fail to carry out due diligence on their supply chains and make that information public would face fines. This proposed legislation will be on consultation for six weeks. Critics say that the proposal is flawed partly because the local laws on forest protections might be absent or have loopholes.

This report by independent environmental charity Earthsight finds illegal logging in FSC-certified supply chains in Ukraine. Focussed on the Carpathian forests, it found around 100 sites are being felled illegally each spring, when silence periods should protect several endangered animal species including brown bears, wolves and Eurasian lynx. While regulations require Environmental Impact Assessments (EIAs) before sanitary felling is conducted, no EIAs were found to have been carried out. Evidence sited by Earthsight includes the Ukrainian State Environmental Inspectorate (SEI), local environmental organisations, and research commissioned by WWF Germany.

Earthsight claims this illegal logging has not been picked up in FSC audits because of systematic issues with FSC that go beyond Ukraine: conflicts of interest as auditing bodies are paid by the logging companies they certify; inadequate oversight by Assurance Services International (ASI) which should be holding the auditing bodies to account but is argued to have failed to do so. The report documents a wide array of cases where FSC-certified firms have been accused of illegal logging, clearance of High Conservation Value (HCV) forests, and human rights abuses from all over the world – including in places such as Brazil, China, Congo, Indonesia, Peru, Romania, Russia, Ukraine. Earthsight highlights that FSC has only investigated 13 companies in its 27-year history – 0.02% of the more than 44,000 it has certified.

In response, FSC states it is fully aware of the issues in Ukraine, and insists that whenever illicit acts are identified or reported they are investigated. IKEA says it has started its own investigations, commissioned audits from a 3rd-party independent audit company, asked questions to ASI, and pledges that if any illegal wood is indicated in its product it will take immediate action.

Earthsight’s report focuses on IKEA because, as the biggest buyer of wood in the world, it has the most influence to drive positive change. However, the issues found by Earthsight apply to the publishing industry as much as they do to IKEA. Therefore, the Book Chain Project will further look into Earthsight’s findings and update you as soon as we decide what further action to take.

China, the world’s largest timber importer, issued a new draft of its first Forest Law update in 20 years that adds a prohibition on buying illegally sourced timber. It will be effective on 01 July 2020. Issues around enforcement, such as the burden of proof being on government departments, traders being out of scope, and low penalties, remain.
Please find more details about the law here. (EH&CH)
P.S. Recently, we attended an APEC region workshop hosted by APEC Expert Group on Illegal Logging and Associated Trade (EGILAT) in Malaysia on forest law governance. This table captures the major and emerging forest law regulations in the region.

This speech by Brian Schatz, Senator from Hawaii (D) was part of the World Economic Forum Annual Meeting held in Davos-Klosters, Switzerland, 21—24 January 2020. Seeing that half of tropical deforestation is illegal, illegal and unsustainable timber and goods are flooding global markets. Voluntary commitments cannot achieve zero-deforestation without regulation. Regulation is one of the key drivers of sustainable forestry. This year, Schatz will introduce legislation that will make it illegal for companies to import the products of illegal deforestation.