Forest Stewardship Council
Annual Report 2013-2014
2
Directors Overview Welcome You may recall that in last year’s Annual Report I outlined the five priorities for FSC UK that had been agreed by our Steering Group shortly after I was appointed to the position of Executive Director. After a year of concentrating our efforts on these priorities, it is appropriate that I should provide some indication of the progress we have made. In summary, I believe these priorities remain valid and reflect the limits of what we are capable of achieving, especially if we look forward to 2008/9 and beyond. In fact, the tempo will almost certainly increase across all these priorities. However, I am sure this will be a positive development because it will reflect a still greater alignment of our objectives in the UK with those of the global network.
Becoming a ‘Trusted Partner’ of FSC IC. The concept of the International Centre working with accredited National Initiatives to assist companies committed to FSC principles in addressing both their national and international concerns has developed considerably during the year and is set to increase still further. In positioning ourselves to take on more partnership responsibilities, we are currently proving our competence in the following areas: • Identifying and encouraging ‘new entrants’ into the FSC system; • Providing sympathetic, but accurate, advice for all users in the UK of the FSC trademark, whether found on or off a product; • Operating a competent helpline, capable of answering questions from industry, commerce, the media and public every day during working hours; • Offering a professional level of training for industry and commerce in chain-of-custody management. More details on our performance are contained elsewhere in this report, but the following handful of examples provides some guide: over 500 new chain of custody certificates were awarded in the UK during the reporting period, FSC UK now has two qualified nominated trademark agents (many countries have none), on average the helpline took well over 300 calls per month on trademark and other systemrelated matters and we ran 29 courses nationwide. Facilitating the Marketplace for FSC Products. This phrase is taken to mean the role that FSC UK plays in addressing concerns raised by industry and commerce about the suitability of the FSC system in dayto-day trading. Two issues have been to the fore in the reporting period:
To put FSC UK on a sound financial footing. Our financial position is covered in detail towards the end of this report. Our accounts show a loss of just over £9,000 over the financial year, which was mainly occasioned by the expiry of the three-year Forestry Commission grant at the beginning of the period and our failure to win more than one large forestry-related contract to compensate for this. As a result we sadly had to release Richard Robertson from FSC UK to a contracted post with FSC International Centre. Raising the profile of FSC with the public. Our awareness raising activities are fully covered on pages 12 and 13 of the report.
• Greater Flexibility over Trademark Use. We have had considerable success in representing to FSC IC the feeling held by many companies that more creative use of the FSC trademark should be allowed in advertising, so long as certain boundaries are observed. • Matching Supply to Demand. In some market sectors there is insufficient supply of FSC-certified materials to meet demand. This is a global problem, beyond the power of FSC UK to solve alone. Enhancing Policies, Standards and Governance. FSC UK continues to have considerable input into the United Kingdom Woodland Assurance Standard (UKWAS), even though its second revision was published in November 2006. Two residual issues dominated this scene during the reporting period: inclusion in the UKWAS of guidance on small/low intensity managed woodland and the use of pesticides. As this report goes to press, the small woods inclusion to the UKWAS has been agreed by FSC IC and the interested industry body is examining the proposals made by FSC’s advisory panel on pesticides. In more general terms, FSC UK always tries to comment constructively on major policy papers written by FSC IC. Two trustees and the Executive Director (plus a former Executive Director) attended a two-day workshop in Bonn in October 2007 devoted to improving the governance of the entire network.
3
America Europe Africa Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut egestas enim ac eros placerat vitae auctor mauris convallis.
4
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Mauris a nisl sit amet nunc blandit elementum sit amet eu justo.
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut egestas enim ac eros placerat vitae auctor mauris convallis.
FSC Facts What is Certification? Certification is the process of inspecting forests to assess their management according to an agreed set of Principles and Criteria. These include recognition of indigenous people’s rights, long term economic viability and protection of biodiversity. A wide range of forests have been certified from Swedish pine plantations to tropical rainforests in Brazil. Forest certification has also been adapted to meet the needs of smaller woodland owners with options for group certification and special auditing requirements for small and low intensity managed forests. Certification is carried out by independent organisations which are evaluated, accredited and monitored by the FSC.
Asia
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Mauris a nisl sit amet nunc blandit elementum sit amet eu justo.
Australia Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut egestas enim ac eros placerat vitae auctor mauris convallis.
Between Forest and Shop? A monitoring and tracking system called Chain of Custody tracks timber from certified forests and recycled or controlled sources to end products. A separate numbered certificate covers each individual company in the chain and a code number on the product label identifies the certification body responsible for issuing the certificate as well as the company that applied it to the product. This system ensures that only genuinely FSC-certified material carries an FSC label. Group Chain of Custody helps smaller enterprises achieve FSC certification by reducing the costs. Certifiers sample members of a group and carry out a risk assessment of the group scheme rather than assessing each individual business. It is particularly designed for groups of small enterprises that already have a legal organisation or the support of an external organisation e.g. trade associations or co- operatives.
5
Paper
Go Green There has been significant growth in the range of FSC certified paper products, with most supermarkets now stocking own brand FSC tissue products and FSC certified Kleenex products. In the printing sector, the number of chain of custody certificates more than doubled during the course of the year to the point at which there are now over 290 certified printers in the UK. Manchester City Football Club became the first premiership football club in the UK to produce the match day magazine on FSC certified paper. Pete Bradshaw, CSR Manager for Manchester City Football Club, commented “As a club, we are committed to delivering positive change through football. Producing a more environmentally- credible match day magazine, that continues to deliver fresh and original content for our supporters in a ‘greener’ and more ethical way, is an obvious extension to this commitment.” Subsequently, “Chelsea” the Official Monthly
6
Magazine of Chelsea Football Club became an FSC certified publication. With a monthly print run of up to 100,000 copies, this high profile magazine is also helping to raise awareness of the work of FSC. There has been significant growth in the range of FSC certified paper products, with most supermarkets now stocking own brand FSC tissue products and FSC certified Kleenex products. In the printing sector, the number of chain of custody certificates more than doubled during the course of the year to the point at which there are now over 290 certified printers in the UK. There has been significant growth in the range of FSC certified paper products, with most supermarkets now stocking own brand FSC tissue products and FSC certified Kleenex products.
“Over half the world’s timber is used by the paper sector” Paper Over half the world’s commercial timber is used by the paper sector. Procurement officers within the supply chain of the paper industry in the UK -- merchants, printers and commercial consumers -- were selectively targeted by FSC UK with the message that sustainable purchasing through schemes such as FSC made business as well as moral sense. Ut gravida elementum massa, sed imperdiet ipsum tristique eget. Phasellus nec auctor nunc. Nullam tempus ligula augue.
Toilet roll give-away Sainsbury’s offered shoppers a pack of free FSC certified toilet paper to mark its third “Make a difference” day in June 2007. The aim of the day was to raise awareness of more environmentally friendly options available to customers when they are buying tissues or toilet rolls. Gwyn Burr, Sainsbury’s Customer Director, said, “For Sainsbury’s this is all about the scale at which we operate in making change possible. In the UK, an average household uses at least 115 rolls every year, and if you add onto that the volume of kitchen towels and tissues, this is a
significant amount. It is through the volume of purchases that our customers make that will make a real difference, and raise not only the profile of the FSC standard, but also the demand for these kinds of products. We want to remind customers that there are greener alternatives available and we want to make it easy for them to access them.” The benefits of FSC were explained in leaflets (all printed on FSC certified paper) handed to customers, along with a twinpack of FSC toilet rolls. The promotion was highlighted in television, radio and newspaper
7
Percentage of increase Encouragingly, the number of people who had seen the FSC logo had increased from 19% to 23% over this ten month period, with an increase from 21% to 31% in those under 45. The greatest increase in recognition was in the youngest age bracket (under 25), where the figure more than doubled – from 9% to 21%. The number of people who had knowingly bought FSC products increased from 12% to 17%. Again the figure was higher (21%) amongst the under 45s. There was a noticeable increase in the number of people buying either
Income and Expend FSC timber for DIY or FSC tissue and paper products. Clearly, these figures do not reflect the number of people buying FSC products without realising it. Once the concept of FSC was explained, 22% of respondents stated that they would definitely choose FSC products in the future and a further 37% probably would. This confirms our belief that the consumer wants to choose products safe in the knowledge that they are not damaging the world’s forests. The number of people who had knowingly
Strategy Our strategy has been to develop partnerships between FSC UK and a wide range of certified companies and retailers which has allowed us to promote certified timber products by tapping in to their much greater advertising resources and experience. By informing and advising their promotional campaigns, FSC UK ensures that the consumer receives consistent messaging about FSC. In conjunction with companies such as Marks and Spencer, B&Q , Focus DIY, Homebase, HarperCollins and the Fair Deal Trading Company, FSC UK launched three competitions to help raise awareness of FSC. These competitions were promoted on the FSC UK website and on flyers distributed through Focus DIY, the Forestry Commission and photographic societies. Several magazines and websites featured the competitions. A double-page spread on FSC appeared in 1.25 million school diaries which also highlighted the children’s competitions. At our Annual Members Meeting on 25 September 2007, the membership approved in principle that FSC UK should incorporate into a charity limited by guarantee. Throughout the intervening year the Steering Group has been working on the two documents – the Memorandum and Articles of Association - required by incorporation to replace our existing Constitution. The Steering Group’s aim has been to reflect as much of the Constitution as possible in the Memorandum and Articles. However there are a number of key differences, which are summarized below: 1. We are required to have a company name. The steering group have agreed on Ephesea UK Ltd; 2. Our trustees become directors of Ephesea UK Ltd and their personal liability is limited. As directors, they sit on the incorporated charity’s board and are elected to this position by the membership; 3. If the charity is dissolved (we have no plans for this), members
8
bought FSC products increased from 12% to 17%. Again the figure was higher (21%) amongst the under 45s. There was a noticeable increase in the number of people buying either FSC timber for DIY or FSC tissue and paper products. Clearly, these figures do not reflect the number of people buying FSC products without realising it.
promise to pay a sum not exceeding £10 towards debts of the charity; 4. We may now recruit a UK membership. As a result of decisions taken at the recent General Assembly, the rules on international membership are about to change and it is a little too early to predict what the exact consequences will be to FSC UK. However, it will remain important for us as a national organisation to retain our existing members and to recruit others; 5. In the past, we have co-opted some trustees as ‘technical advisers’, who did not have to be members of the charity. This arrangement can continue, but technical advisers who vote at board meetings have to become directors because co-opted directors are not legally distinctive in a company limited by guarantee. As a director, a co-opted ‘technical adviser’ would still have to follow the rules on election, etc.; 6. The paid staff may sign agreements on behalf of the charity, rather than, as now, on behalf of the trustees. Some important aspects of the existing Constitution will not change: 1. The fundamental objects of the charity remain as before; 2. Annual Members’ Meetings must be held, and these meetings have the power to elect directors; 3. We will continue to allocate members to economic, social or environmental chambers. 4. There should be at least one director representing each of the three chambers; 5. Although we always try to seek consensus in our decisions, we will operate the ‘weighted majority’ system of voting by chamber (both for members- and board-meetings) if decisions have to be put to ballot. 6. The directors will receive no remuneration, other than expenses. At the time of writing, we are awaiting approval from FSC IC on the company name. The next step is to form a company in the name of Ephesea UK Ltd and to submit our draft Memorandum and
ditures
Income The financial year under review has been one of both consolidation and belt-tightening. Revenue from some key sources of income increased when comparing this financial year with 2006-07. Donations (up by over £2000), sales and subscriptions (up by £9000) and fees from training (an increase of £6000, when forestry advice is included) all show an encouragingly improving trend that should continue into the future. Two new projects were taken on – research for the international database and the Broker Project – which provided new lines of revenue amounting to more than £20,000. libero sit amet imperdiet scelerisque, justo est venenatis mi, sit amet aliquet est ipsum suscipit arcu. Maecenas nec metus quis ligula condimentum bibendum eget auctor ante. Fusce suscipit turpis sit amet odio dictum bibendum. Fusce odio neque, ultricies ut hendrerit sit amet, pellentesque eget felis. Fusce varius imperdiet orci et ullamcorper. Fusce semper molestie lorem, id dictum sapien condimentum consequat. Nunc justo libero, facilisis eu rutrum sed, dapibus et velit. Cras lacus felis, laoreet nec posuere in, feugiat at nisi. Etiam ut porta lectus.
Expenditure The 2006/7 Report commented that ‘a major expenditure over the next year will be the attempt to cover the loss of the Forestry Commission grant towards the salary of the Forest Standards Manager’. Sadly as it turned out, increased income from all other sources in this reporting period proved insufficient to cover Richard Robertson’s pay and expenses. Thus, with great reluctance, the charity was forced to release him at the end of the financial year. It was mainly the failure to win long term sustainable forestry- related contracts sufficient to cover the costs of the Forest Standards Manager’s post that accounts for the overall loss of £9,373 over the year. libero sit amet imperdiet scelerisque, justo est venenatis mi, sit amet aliquet est ipsum suscipit arcu. Maecenas nec metus quis ligula condimentum bibendum eget auctor ante. Fusce suscipit turpis sit amet odio dictum bibendum. Fusce odio neque, ultricies ut hendrerit sit amet, pellentesque eget felis. Fusce varius imperdiet orci et ullamcorper. Fusce semper molestie lorem, id dictum sapien condimentum consequat. Nunc justo libero, facilisis eu rutrum sed, dapibus et velit. Cras lacus felis, laoreet nec posuere in, feugiat at nisi. Etiam ut porta lectus.
Action Fund In 2005 FSC UK received a three year grant from Defra’s Environmental Action Fund. The aim of the project was to increase the sustainable consumption of timber in England by developing the market for FSC- certified timber products, using a ‘three pronged’ approach: • Encouraging the British public actively to seek out FSC-certified products; • Educating retail counter staff to assist in this search; • Convincing relevant industry sectors to stock FSC-certified products and persuading the paper and construction sectors to embrace the FSC system. Increased consumption of sustainably sourced timber in England inevitably has a beneficial effect on forests worldwide.
9
Legal Information Steering Group Members (and
UK Based Members to February 100010
trustees of the Charity*) Hubert Kwisthout (Chairman)* Hannah Scrase (Vice Chair)* Mark Barthel* Ben Earl* Gillian Orrell (Treasurer)* Gordon Pfetscher* Julia Murray
Social Chamber National Trust John Palmer (individual) Huber Kwisthout (individual) Dawn Robinson (individual) Ben Vickers (individual)
FSC UK Working Group Personnel Annette Allsopp (Book Keeper) Tallulah Chapman (Advisory Assistant from November 2007) Joanna Nicholson (Finance Manager) Richard Robertson (Forest Standards Manager until February 2008) Rosie Teasdale (Marketing Officer) Charles Thwaites (Executive Director) Beck Woodrow (Advisory Service Manager) Independent Auditors Whittingham Riddell, Severn House, 1010 Severn Square, Newtown SY16 2AG Bankers The Co-operative Bank, PO Box 101, 1 Balloon Street Manchester M60 4EP CAF Bank Limited, 25 Kings Hill, West Malling, Kent ME19 4JQ FSC International Centre Heiko Liedeker FSC International Centre Charles-de-Gaulle 5, 53113 Bonn, Germany Phone: +49 (228) 367 660 Fax: +49 (228) 367 6630 E-mail: fsc@fsc.org
10
Environmental Chamber Fauna and Flora International FERN Foundation Friends of the Earth – England, Wales and Northern Ireland Greenpeace UK Anna Jenkins (individual) Northmoor Trust Soil Association Matthew Wenban-Smith (individual) The Woodland Trust WWF UK
Economic Chamber B&Q plc Nick Barnicoat (individual) Blueline Office Furniture Boots the Chemist Charles Bentley & Son Chindwell Co Ltd Ecosylva Ltd Ecotimber Ltd Habitat UK Hubertus Van Hensbergen (individual) Home and Leisure International Ltd Dr Florin Ioras (individual) Dr. Alan Knight (individual) Lister Lutyens Company Ltd. Gillian Orrell (individual) Premium Timber Products Tropical Forest Trust
11
FSC UK Working Group Registered Office and Contact Address FSC UK Working Group 11 – 13 Great Oak Street Llanidloes, Powys SY18 6BU Tel: 01686 413 916 Fax: 01686 412 176 E-mail: info@fsc-uk.org Website: www.fsc-uk.org The FSC UK Working Group is a registered charity (Charity No. 1060072)