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PEFC CHAIN OF CUSTODY

CERTIFICATION SYSTEMOF CHOICE

WHY PEFC IS THE

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PEFC is an umbrella organization.

It works by endorsing national orestcertifcation systems developedcollaboratively by all interestedstakeholders and tailored to localpriorities and conditions. Eachnational orest certifcation systemundergoes rigorous third-partyassessment against PEFCs unique

Sustainability Benchmarks.

These Benchmarks are basedon broad consensus by society,expressed in globally respectedinternational and intergovernmentalprocesses and guidelines or thepromotion o SFM. The Benchmarkcriteria are regularly revised through

multi-stakeholder processes to

take account o new scientifcknowledge, societal change, evolvingexpectations and to incorporate themost up-to-date best practices.

Today, PEFC has recognized certi-fcation systems in about 30 countries.Together these account or over 230

million hectares o certifed orests,making PEFC the worlds largestorest certifcation system. It is thecertifcation system o choice orsmall orest owners including amilyand community-owned orests.PEFC-certifed materials are acceptedby numerous public and privateprocurement policies worldwide.

ABOUT PEFC

Founded in 1999, the Programme or the Endorsement o Forest

Certifcation (PEFC) is an international non-proft, non-governmentalorganization dedicated to promoting Sustainable Forest Management

(SFM) through independent third-party certifcation. It works throughout

the entire orest supply chain to promote good practice in the orest

and to ensure that timber and non-timber orest products are sourced

with respect or the highest ecological, social and ethical standards.

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INTRODUCTION

give ood, heat, energy,

medicines, and wood; promote biodiversity by

giving habitats and shelteror all kinds o lie;

are an integral part o the Waterand Carbon cycles; and

prevent desertifcation andhave a undamental role in

climate regulation.Without orests, many o theseservices would be lost, while manyo the species which rely on orestswould also suer or disappear.An estimated 1 in 5 people worldwideare believed to depend on orestsand the services they provideor their livelihoods. Importantly,orestry and related industrysectors account or a signifcantshare o the global economy.Yet, orests are among the mostvulnerable ecosystems. Threatsto orests and orest landscapesinclude land conversion or agricultureand mining, development and urbanexpansion, unsustainable orestrypractices and illegal logging.

I orests are to continue to deliver

the ull range o benefts thatpeople and nature are dependentupon, they need to be conservedand managed sustainably.

One assurance o sustainabilityrests in orest certifcation. However,at present, only 9% o the worldsorests are certifed. PEFCs ocus

is on increasing the certifed area,especially in the southern hemisphere.Today, the sustainability imperativeand increased environmentalawareness mean that there is adesire by successul companiesin the orest and orest-productssector to demonstrate that they are

operating sustainably. Customersand consumers expect producers,suppliers and manuacturers tomeet the highest environmental,economic and social standards.

PEFC Sustainable ForestManagement and Chain o Custodycertifcation meet these standards,

and independent, third-partyauditors veriy that the standardsare being applied in practice.

Forests contain some

o the most valuableand biodiverseecosystems onthe planet. They:

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CHAIN OF CUSTODY

(CoC) CERTIFICATION

Sustainable Forest Management,while crucial to maintaining the valuableservices orests provide, does in itselnot establish the link rom the orest tothe market. In order to give assurancesthat wood and wood-based productscan be traced back to sustainably

managed orests, PEFC promotesChain o Custody certifcation. CoCcertifcation outlines requirementsor tracking certifed material romthe orest to the fnal product.

PEFC CoC certifcation

is essential or companies to implement and

demonstrate sustainable businessbehaviour; and

consumers to make responsiblepurchasing decisions.

For a product to qualiy or certifcation,all entities along the supply chain must

possess PEFC CoC certifcation. Onlythen are companies eligible to use thePEFC label on products and in productmarketing to highlight their responsiblesourcing o the raw material.

PEFC STANDARDS

SUSTAINABlE FORESTMANAgEMENT (SFM)

PEFC has adopted the

defnition or Sustainable

Forest Management also used

by the Food and Agricultural

Organization (FAO):

The stewardship and use oorests and orest lands in away, and at a rate, that maintainstheir biodiversity, productivity,regeneration capacity, vitality andtheir potential to ulfl, now andin the uture, relevant ecological,economic and social unctions,

at local, national, and globallevels, and that does not causedamage to other ecosystems.

PEFCs Sustainability Benchmarksbuild on globally recognizedprinciples, guidelines and criteriadeveloped by international andinter-governmental bodies such asMCPFE, ITTO/IUCN and ITTO/ATO*.These ongoing processes enjoybroad stakeholder consensus andare supported by 149 governments

in the world, covering 85% othe worlds orest area.

Additional requirements elaboratedin comprehensive revision processes,urther clariy, defne, and strengthenthe criteria included in these rameworkdocuments. Although many orestsare sustainably managed, the best

proo o this is through independent,impartial and credible third-partycertifcation such as PEFC.

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BENEFITS OF CHAIN OF CUSTODY CERTIFICATION

With increasing demand or products

rom sustainably managed orests,business interest in CoC certifcation

along the timber value chain is

soaring. PEFCs CoC certifcation

oers several important benefts.

A clear and transparent messagethe simple action o being able to

include the PEFC logo on a productor product-line communicates tothe customer in a clear, conciseand transparent manner that woodand non-timber orest products havebeen sourced rom sustainablymanaged orests.

Business leadership on sustainability

by opting or PEFC CoC certifcation,businesses in the wood andorestry sector can enhance theircompetitive advantage over othersuppliers in the value chain.

Traceability CoC certifcationoers assurances that the wood inthe fnal product can be traced back

to a sustainable source managedwith due respect or environmental,economic and social standards.

Access to markets CoC certifcationprovides companies with access to

markets demanding environmentallyresponsible products and witha market advantage in relationto companies with uncertifedproducts - it enhances brand value.

Risk management CoC certifcationincludes social requirements to protect

the undamental rights o workersalong the supply chain. PEFC is thefrst international system to do this.

Availability and choicetwo-thirds o the worlds certifedorest area is certifed to PEFC.That is currently more than 220million hectares, oering the widest

supply o certifed fbre and timber.

Alignment with Legality LegislationPEFCs due diligence systemexcludes wood rom conversions,illegal and controversial sources,and genetically modifed trees.

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As the largest orest

certifcation system globally,

PEFC remains the certifcation

system o choice or small,

non-industrial private orests,

with hundreds o thousands

o amily-owned orests

certifed to comply with our

Sustainability Benchmark.

To date, some 8,000 companieshave obtained PEFC CoCcertifcation, oering tenso thousands o PEFC-certifed products globally.

With alternative orest andChain o Custody certifcationsystems available, there aregood reasons why so manypeople are opting or PEFC.

WHAT MAkESPEFC UNIqUE?

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Upholds Highest Standards

without Exception Requires compliance with all undamental

ILO Conventions in orest managementsince 2001, setting new benchmarks orsocial issues

Is tailored to the specifc needs o amily and community-owned orests, withlasting contributions to livelihoods andrural development

Oers well-established processes orgroup certifcation, providing access tocertifcation and the marketplace orcertifed products rom locally controlledorestry

Sets the highest standards or orestcertifcation aligned with the majorityo the worlds governments, including

- Maintaining or enhancing biodiversity - Protecting ecologically important

orest area

- Prohibition o orest conversions;exclusion o certifcation o plantationsestablished by conversions

- Prohibition o the most hazardouschemicals and GMOs

- Protecting workers rights and welare,and encouraging local employment

- Recognizing the principle o ree, priorand inormed consent (FPIC), the UNDeclaration on Indigenous PeoplesRights, and ILO Convention 169 onIndigenous and Tribal Peoples

- Respect or property and land tenurerights as well as customary and

traditional rights - Provisions or consultation with local

people and stakeholders

- Abiding by applicable laws

- Saeguarding the basic rightso workers

Includes social, health and saetyrequirements in Chain o Custodycertifcation.

Level o Stakeholder EngagementEqually High or All Standards

Strictly separates standard-setting,certifcation and accreditation to ensurecomplete independence and impartiality

Requires all national standards to beindependently developed with the openparticipation o all interested parties

Recognizes the importance o the ninemajor groups as defned by Agenda 21(CSD Major Groups)

Requires that all standards undergopublic consultation at national andinternational level and third-partyassessment

Demands and implements regularrevisions o national certifcation systems.

Builds on Intergovernmental

Agreements & GloballyRecognized Processes

Builds its understanding o sustainableorest management on broad societalconsensus expressed in internationaland intergovernmental processes

Supports the implementation ogovernmental agreements through avoluntary, market-based mechanism

Follows globally accepted ISOGuidelines or certifcation andaccreditation.

PEFC IS THE ONlY glOBAl CERTIFICATION SYSTEM THAT:

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Companies in more than50 countries have already

achieved PEFC CoC certifcation.It is the preerred standard orpublic procurement policiesworldwide. Its distinctiveand easily-recognized logotranscends language barriersmaking it a truly global brand.

For urther inormation about PEFCChain o Custody certifcation, please

contact the PEFC representative inyour country. For a complete list, see

www.pec.org/national

I your country is not listed, pleasecontact PEFC International.

PEFC Council

World Trade Center

10, route de lAroport

CH-1215 Geneva

Switzerland

t +41 22 799 45 40

+41 22 799 45 50

e ino@pec.org

www.pec.org

* (MCPFE) Ministerial Conerence or the Protection o Forests in Europe

(ITTO/IUCN) International Tropical Timber Organisation/International Union or the Conservation o Nature

(ITTO/ATO) International Tropical Timber Organisation/Arican Timber Organisation

Photo credits: Volokhatiuk/Dreamstime (cover main),Antonio Brunori/PEFC Italy (cover top), L. Gordts/PEFC Belgium (cover bottom),

PEFC Belgium, PEFC France, PEFC Germany, L. Gordts/PEFC Belgium.

Printer: Atar Roto Presse SA, Switzerland, PEFC/15-31-1139

2011 PEFC

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