A number of systems and projects have emerged in response to market demands for legally-sourced products. These resources often involve an independent third-party that verifies the legality of the product against a pre-determined standard or set of criteria and indicators. The legality of the products can be verified at two levels: legality of the origin of the timber (e.g. the place where the timber was cut is legally designated for such use), and the compliance of the harvesting operation with laws and regulations. Legality-verification systems and projects often include chain-of-custody criteria to trace the flow of products through the supply chain and to ensure that verified products are handled separately from non-legally verified products. Below is a general compilation of existing legality standards and voluntary programs put in place by different organizations. Legality is covered in forest management certification standards (e.g. FSC or PEFC); however, because legality is not the main focus of these standards, they are not included in this table. More detailed comparisons of legality verification systems have been done by the Central Point of Expertise on Timber Procurement (CPET) and others.

Commercial legality verification systems

Bureau Veritas

Origine et Légalité 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. The OLB system includes the Bureau Verita’s Standard for Forest Companies and the Chain of Custody Standard.

Originally developed to demonstrate legality in tropical regions. Can be applied at the global level.

Origin of timber; CoC

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Other criteria (6)

Standard was developed initially by Eurocertifor. Eurocertifor was acquired in 2005 by Bureau Veritas; since then, the standard has been reviewed and updated to be applied internationally.

Assessment is carried out by an audit team acting on behalf of Bureau Veritas. If needed, additional expert consultants are used. Observers can also participate in audits. The certification is granted for five years with surveillance audits of at least once a year.

Bureau Veritas Tel: +33-1-14-97-006

CertiSource

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. 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.

Indonesia

Origin of timber; CoC

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Other criteria (6)

Standard was developed using GFTN's guidelines of timber legality as the generic base., supplemented with Indonesian standards of legality developed by the Indonesian Eco-labeling Institute' (LEI). 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.

Verification is audited by an independent, ISO accredited, Certification Body. Prior to entering a verification process, a supply-chain audit is conducted to eliminate products that are clearly linked to illegal sources. 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. 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. Voluntary DNA analysis (through Double Helix Tracking Technologies) to scientifically verify the chain-of-custody can also be added.

Certisource e-mail: http://www.certisource.co.uk/contact-us/ Tel: +62 881 463 860

Keurhout

Keurhout Legal System (Validation of the Legal Origin of Timber; 2004, updated 2009).

Standard to validate the legality of the origin of timber. 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. The standard is considered a first step towards SFM certification.

Applicable globally

Origin of timber

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Other criteria (6)

Developed by Keurhout based on experience, existing references, and expert and stakeholder consultation. The standard was developed in coordination with the Netherlands Timber Trade Association.

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. Experts are appointed by the Keurhout Management Authority. Assessments are conducted based on documentation and evidence and, where relevant, may include verification in the field. Validation decisions are made by the BoE. Once validated, a certificate or system is admitted to the Keurhout Legal System. Validity of the admission can be up to 5 years, but it depends on the validity of the individual certificates themselves. Validity includes periodic monitoring. In addition to the Legal System, Keurhout maintains a Sustainable System. In addition, Keurhout also facilitates a CoC system for timber trading and processing companies. The CoC system is verified annually by accredited independent Certification Bodies, which are entitled to issue a Keurhout CoC certificate.

Kerhout Tel: +31 24-6454796 E-mail: info@keurhout.nl

Rainforest Alliance (VLO)

SmartWood Verified Legal Origin (VLO) (Updated 2010, first developed in 2007).

Standard to verify that timber originates from forest sources that have documented legal rights to harvest. VLO is considered a first step towards FSC certification.

Generic/Global standard. National standards have been developed for China, Indonesia, Philippines, Brazil, Sabah (Malaysia), Laos, India and the Democratic Republic of Congo.

Origin of timber

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Other criteria (6)

Developed by Rainforest Alliance based on existing references. It involves stakeholder review and consultation when necessary.

Assessments are conducted by Rainforest Alliance staff and expert consultants. The process involves stakeholder involvement and consultations. Both VLO and VLC are valid for three years, at which point, it is required to make efforts to achieve FSC certification. VLC does not require VLO certification.

Rainforest Alliance Tel: +1-212-677-1900 E-mail: info@ra.org

Rainforest Alliance (VLC)

SmartWood Verified Legal Compliance (VLC) (updated 2010, first developed in 2007).

An extension of the VLO designed to verify that the harvesting operation complies with applicable and relevant forestry laws and regulation. “Legal origin” is different to “legal compliance.” Legal compliance includes a larger range of laws on environmental protection, harvesting codes and practices, health and safety and social aspects. As in the VLO, VLC is considered a first step to attain full FSC certification.

Generic/Global standard. National standard has been developed for Sabah (Malaysia).

Origin of timber

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Other criteria (6)

Developed by Rainforest Alliance based on existing references. It involves stakeholder review and consultation when necessary.

Assessments are conducted by Rainforest Alliance staff and expert consultants. The process involves stakeholder involvement and consultations. Both VLO and VLC are valid for three years, at which point, it is required to make efforts to achieve FSC certification. VLC does not require VLO certification.

Rainforest Alliance Tel: +1-212-677-1900 E-mail: info@ra.org

SCS Global Services

Legal Harvest ™ Verification (LHV) (2010)

Program to confirm the legality of the source of forest products. The Program has two components, the Standard for the Assessment of Forests, and the Chain of Custody Standard. The first focuses on verifying an organization’s legal right to harvest. The second focuses on tracking timber throughout the supply chain.

The Program is applicable globally. SCS Global Services has auditors in the Americas, Asia, Europe and Oceania.

Origin of timber and CoC

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Trade regulations (5)

Generic standards developed by SCS Global Services based on experience and references. The standard is cross-referenced with national and local laws and regulations through review and stakeholder consultations. Standard can be replaced with another existing, locally recognized, standard that meets or exceeds LHV.

Document review, field audits, and interviews by SCS Global Services auditors. Annual audits are required to maintain the participation in the LHV program.

SCS Global Services Tel: +1-510-452-8000

The Soil Association’s Woodmark

Verification of origin and legal tenure (2010).

Verifies the legal origin of the wood and the rights to harvest the wood. The system is designed to work, wherever possible, within an FSC framework to support companies in achieving FSC certification.

Globally applicable.

Origin of timber

Legal right to harvest (1)

Compliance with laws (2)

Tenure/Use rights of resources (4)

Developed by the Soil Association and EcoSylva Ltd, based on the FSC definition of legal wood; supports FSC certification.

Evaluation includes stakeholder consultation to cross-check the standard, add credibility and be transparent.

Soil Association wm@soilassociation.org Tel +44 117 914 2435

Selected additional resources

Association of South Eastern Asian Nations (ASEAN)

Criteria and Indicators for Legality of Timber (2009).

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.

Origin of timber

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Other criteria (6)

Through an intergovernmental process

Not defined.

ASEAN Secretariat Tel : +6221 7262991 E-mail: dian@asean.org

WWF’s Global Forest & Trade Network

Common Legality Framework

The Framework consists of 10 principles and various criteria; it was developed to support improvements in the governance of forest sector by providing information on forest-related laws and regulations in a clear and consistent manner. The Framework can be used to develop consistent approaches to defining legality, and to inform efforts to verify legal compliance.

Generic, but the framework has been populated for the following countries: Central African Republic, China, Democratic Republic of Congo, Gabon, Indonesia, Malaysia, and Vietnam. Additional information provided includes guides to legal documentation.

Origin of timber, processing and trade

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Developed by the Global Forest & Trade Network.

Not applicable

Global Forest & Trade Network (GFTN) WWF International, Gland, Switzerland Tel: +44 1394 420 518 (http://sourcing.gftn.panda.org/index.php?id=80)

WWF Russia, WWF Denmark with assistance from NepCon

Checklist for verifying the legal origin of Russian timber (2007).

Guidance intended to help foreign companies verify the legal origin of the wood. It is meant to cover changes to the Russian Forest Code implemented in 2007.

Russia

Origin of timber and processed products

Legal right to harvest (1)

Compliance with laws (2)

It is based on the Guidelines of timber origin legality verification developed by WWF Russia. The checklist was field tested by NepCon.

Checklist can be applied by companies themselves, or by an independent third-party. Anybody applying the checklist should have basic knowledge and experience in forest legislation and forest operations in Russia.

WWF Denmark Tel: +45 35 36 36 35 E-mail: wwf@wwf.dk

Timber Trade Action Plan (TTAP)

Legality checklists

Regarded as a medium term solution until an official legality standard is in place in a country. Checklists are meant to be neutral, widely accepted, pragmatic and auditable, transparent, linked to original sources, and subject to review and adaptation.

Forest and factory legality checklists are available for Brazil, Cameroon, China, Congo-Brazzaville, Gabon, Guyana, Indonesia, Malaysia.

Origin of timber, CoC, and processing

Legal right to harvest (1)

Compliance with laws (2)

Taxes/fees (3)

Tenure/Use rights of resources (4)

Developed by TTAP, based on legality definitions and legality verification standards already in place or in development and through stakeholder consultation. Minimum requirements for chain of custody are considered as part of the checklists.

Checklists are used by TTAP staff to assess gaps in the legality of the supply chains and implement supply chain control systems.

The Forest Trust Tel: +41(0) 22-367-9441 E-mail: info@tft-forests.org http://www.tft-forests.org/ttap/

1- Including: legal tenure, legal rights and authorization to access and harvest the resources.
2- Compliance with laws, regulations and administrative requirements related to forest management, labor, transportation, and health and safety.
3- Compliance with tax/royalties laws and regulations.
4- Respect for tenure or use rights of land and resources that might be affected by timber harvesting rights.
5- Compliance with trade and export laws and regulations. 
6- Compliance with international laws and agreements including CITES, International Labor Organization, the Convention of Biological Diversity, etc.

Sources: CPET, 2011; Donovan, 2010; Hinrichs, 2009; CertiSource, 2010; CertiSource, 2011; CertiSource website; Keurhout Management Authority, 2009; Keurhout Management Authority, 2010; Rainforest Alliance website; Rainforest Alliance, 2010 A; Rainforest Alliance, 2010 B; WWF Russia, 2007; SCS Global Services website; SCS 2010 A; SCS 2010 B; SCS 2010 C; BVG website; BVG 2004; BVG 2010; BVG 2009; BVG, 2010; EcoSylva, 2010; TFT website; GFTN Guide to Legal and Responsible Sourcing website.