Eomf coc certification guide2012 final by Vince Murphy

Forest and Chain of Custody Certification Guidebook 2012

www.eomf.on.ca

Forest and Chain of Custody Certification Guidebook 2012

Table of Contents INTRODUCTION............................................................................................2

About the guidebook and Message from EOMF AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION..............................................................................................5

What it is and its purpose FOREST CERTIFICATION SYSTEMS.........................................................12

The difference and similarities between systems; what are the main characteristics of certification HISTORY AND TRENDS .............................................................................19

Where it originated and where it is going in Ontario BENEFITS........................................................................................................20

Why has certification caught on? LOOKING TO THE FUTURE.......................................................................22

Visions of a certified Ontario APPENDICES:

STEPS TO GETTING CERTIFIED..........................................................23

An overview for putting it all together

RESOURCES.............................................................................................27

Links to relevant resources

GLOSSARY................................................................................................29

INTRODUCTION About the Guidebook

Certification is a process that helps us to benchmark our performance in managing forests, while taking into account the complexities of sustainable forests and the communities they sustain.

Please visit our YouTube channel at: eomfvideo to view an informative and entertaining video that introduces the topic of certification entitled “Forest Certification: Chain of Custody”.

Forest and chain of custody (CoC) certification has become common practice throughout Canada and is a fast-growing global trend. Consumers want more than the basic considerations of price, quality and service – they want assurance of the sustainability of a resource. In order to capitalize on the opportunities for Ontario wood producers and forest owners and managers, the EOMF has developed this guide to provide accessible information about certification. Ontario’s forest sector is facing a variety of challenges and in order to remain competitive and find new markets, tools like certification are becoming increasingly important. In addition, consumer purchasing choices are evolving, forcing the wood products sector to adapt to a new paradigm that demands proof of environmental claims. This guidebook was developed for a wide audience to provide information about forest and forest products certification systems. The process of certification can be confusing for companies, foresters and the end user of certified products. While it may be intuitive that a wood product carrying a certification logo equates to responsible forest management practices, the complexities and requirements of individual certification systems can make decision-making and the pursuit of certification daunting. In Ontario there are three main certification systems for forest management – the Forest Stewardship Council® (FSC®), the Canadian Standards Association®(CSA®) and the Sustainable Forestry Initiative (SFI). For chain-of-custody (CoC) certification there are also three systems – FSC, SFI and the Programme for the Endorsement of Forest Certification Systems (PEFC). This guidebook intends to demystify some of the basic information needed to understand the differences between the certification systems found in Ontario. It also provides an overview of the processes and steps required to achieve forest and/or chain of custody certification. Wherever possible, links to other information are included to help steer you to more in-depth information. If you are a forest products consumer, we encourage you to become more informed about your purchasing choices and it is our hope that the information in the following pages will help steer you in that direction. If you are someone working in the forest or forest products sectors, please use this guidebook as a starting point for your decision-making processes around certification. Knowledge is power – making an informed decision is always the best one, and while certification may not be for everyone, it has its place in Ontario’s forests. The EOMF believes that the future of certification rests squarely in the markets that support it – strong domestic and international markets must result in better market access for Ontario wood.

Eastern Ontario Model Forest

INTRODUCTION

www.eomf.on.ca

Message from the EOMF In its 20-year history forest certification has emerged as an accepted and widely used management tool. Fundamental to the concept of forest certification is the pertinent question – what is sustainable forest management? Because the answer to this question is wrought with conflicting and varied views, different approaches to certification have evolved. Without a doubt, any system that promotes good forest management is good for us as a society but while the main systems share some similarities, their variant histories and priorities and the ways they are implemented show that there are differences between the systems. The EOMF does not promote one certification system over another, but instead, seeks to encourage the certification of forests in Ontario that are not currently certified. For any type of certification system to “work” over the long run, it must provide a tangible net benefit to the forest owner or forest products producer that justifies the increased cost and administration requirements associated with getting and maintaining a certificate. And while this benefit will vary depending on who and what is certified, it cannot be justified unless it is credible, affordable, and perhaps most notably, something to be proud of.

Visit EOMF’s website, www.eomf.on.ca/ certification for more information on their Certification Program.

For the better part of 10 years, the EOMF has been building a certification program within the settled landscape of southern Ontario. We started long before certified products were abundant in our retail markets and when few people had any idea what a certified forest was all about. At the time, the FSC (Forest Stewardship Council) was the only system with any real applicability to our particular region and landowner demographic. We remain interested in all systems, however, and don’t espouse to one being “better” than another. It is merely a question of applicability and as you learn more about the different certification systems, you will see that each one has its place. Managing a successful and growing Group Forest Management Certificate for the last nine years and more recently, a Group CoC Certificate has taught us many lessons about the mechanics and applicability of certification as it applies to our forests and our forest industry. Not surprisingly, EOMF sees sustainable forest management as more than just sustained timber yields. Certification is a soft market-based policy tool, which has become infused into our identity and has helped to reinforce our core values. Sustainable forest management is about good management practices, healthy and involved communities, and engaged indigenous people. Furthermore, certification is a market tool that uses a sound economic model to foster sustainable forest management.

Forest and Chain of Custody Certification Guidebook 2012

Please visit our YouTube channel at: eomfvideo to view an introductory video entitled Eastern Ontario Model Forest that provides an engaging overview on who we are and the type of work we do. Available in English or French.

INTRODUCTION

About EOMF

EOMF’s Chain of Custody certificate number is FSC®C105060

The EOMF is a not-for-profit, charitable organization. As one of 14 large-scale working Model Forests that reside in most of the major forest regions across Canada, the EOMF works with government, landowners, industry, First Nations, non-government organizations and others to develop new ways to sustain and manage our forest resources. The Model Forest provides a unique forum where forest users — many of whom may never have worked together before — can forge partnerships and share knowledge. Only through the principles of respect, equity and empowerment, can we gain a greater understanding of conflicting views, and solve problems through the power of partnership. The EOMF manages a FSC certificate on behalf of private woodlot owners in eastern Ontario and has developed a process for private woodlots to become certified. The EOMF Forest Certification Program provides an opportunity for private woodlot owners to become certified to the internationally recognized standards for forest management developed by the FSC under a group certification. The EOMF has become a leader in small-scale forest certification in Canada and is willing to transfer its model to others. The EOMF Forest Certification Program allows for numerous landowners to share the benefits and costs of FSC certification by certifying their lands under one certificate. The EOMF also manages a FSC Group Chain of Custody certificate providing certification opportunities for maple syrup producers, wood product manufacturers and smaller printers.

Compared to 10 years ago, certified forest products are widely available.

Eastern Ontario Model Forest

www.eomf.on.ca

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION What is certification? Consumers in Canada and abroad increasingly want assurance that the products they purchase meet minimum health and safety, environmental and social performance benchmarks. Society has responded with truthin-labelling standards and certification systems across sectors that provide accountability for the sourcing of resources and the production of goods. These certification standards have become common for food, household appliances and forests products.

Balancing environmental, social and economic values is the cornerstone for forest certification in Canada â&#x20AC;&#x201C; this broad based approach is what gives certification its ultimate appeal and credibility.

Forest certification is a voluntary process developed in response to global concerns with respect to logging practices and forest conversion, particularly in tropical regions. It has become a useful tool to promote high-quality forestry through standards, and provides a mechanism to improve on and monitor compliance with government policies and regulations, and avoid international boycotts. It is important to note that just because a product is not certified does not mean that it comes from a poorly managed source â&#x20AC;&#x201C; in most cases and especially in areas with no controversy, we are pretty good at managing our forests in Ontario, especially Crown forests, so if a product does not have a certification logo attached to it, you should not make the assumption that the management practices behind it are bad. Certified forest products are as much about market place perception and a defendable claim that the management practices associated with the product can be verified against accepted standards. There are two types of forest certification discussed in this guidebook: forest management certification and chain of custody (CoC) certification. Market considerations as well as other benefits will be covered under following sections.

Forest and Chain of Custody Certification Guidebook 2012

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

Forest Management Certification

Forest management certification is a tool available to forestry managers and owners who want to publicly demonstrate good and responsible forest management practices.

Forest management certification (FM) is a voluntary process where forest owners or managers hire an accredited, independent and thirdparty certification body to assess its forest against pre-determined standards. The standards outline the considerations and level of management required including planning and on-the-ground forest operations. If the forest management practices meet the requirements of the standards, the forest is recognized as “certified” and an certificate is issued to acknowledge that the forest holding conforms to that forest certification standard. This process can be quite complex depending on the type of certification system being sought. In some cases, a forest may have conditions that need to be met prior to achieving its certification status. For all certified forests, annual surveillance audits follow an initial assessment. The auditing process can be quite expensive depending on the size of the forest, its management status, and the steps necessary to get and maintain a certificate. There are three globally recognized forest certification systems that are utilized in support of sustainable forest management in Ontario (See Box 1). Each certification system has forest management standards that are used to assess forest operations. The standards vary between systems and are described in greater detail in a later section titled “Forest Certification Systems”.

Please visit our YouTube channel at: eomfvideo to view “Forest Certification: Community Forests” for an overview of how certification helps managers balance a range of diverse interests and values.

Certified forests don’t usually look much different than uncertified forests but there is a lot more behind it than that. Foresters are really good at growing trees and promoting forest values; certification just offers the ability to prove it on the world stage.

Eastern Ontario Model Forest

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

www.eomf.on.ca

BOX 1: Applicable Forest Management Standards in Ontario Canadian Standards Association’s (CSA) Sustainable Forest Management Standard (CAN/CSA-Z809)

An official national standard based on nationally and internationally recognized criteria.

Forest Stewardship Council (FSC)

Principles and criteria are set through FSC, an international non-profit organization. The FSC National Boreal Standard (2004) applies to the Boreal forest region across the country, including Ontario. The Great Lakes St. Lawrence (GLSL) Standard was submitted for accreditation to FSC International in March 2011, and if approved, will be applicable to all forests in the GLSL forest region of Ontario and Quebec, but not west of Lake Superior. The standard will also apply to areas of Ontario that are part of the Carolinian forest region. GLSL standards (2005) currently apply in Ontario and Québec.

Sustainable Forestry Initiative (SFI Inc.) (SFI 2010-2014)

Standards set by SFI, a non-profit organization promoting sustainable forest management.

There are two types of standards – system-based standards and performance-based standards – with CSA, FSC and SFI requiring elements of both type of standard, to some degree. A forest certification standard defines the

System-based standards define the requirements of a management system with which an organization must be in conformance rather than on-the ground performance criteria. One critique of system-based standards is that the forest manager and stakeholders partly determine the on-the ground performance indicators rather than using a pre-determined standard. This can result in inconsistency between certified forests.

level of forest management practice that must be achieved. Standards differ between certification systems.

Performance standards clearly define the level of performance that is required for certification by setting technical specifications to be verified on the ground. Indicators are clearly defined in the standard and are often developed for specific regions. For example, a forest manager may be required to address specific issues relating to biodiversity and ecological function, economic viability, or planning and monitoring of operations.

Forest and Chain of Custody Certification Guidebook 2012

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

Chain of Custody Certification

Consumers who purchase CoC certified goods have the assurance that the wood material in them supports good forest management

` How CoC works: Well-managed forest

Forest product certification or “Chain of Custody” (CoC), relates to the traceability of forest products flowing from the place of origin (the forest), through processing and eventually into the hands to the end user. This type of certification is available to wood products manufacturers, mills, printers, distributors and retailers who purchase, utilize or sell certified wood. Chain of Custody certification relies on a control system to track and handle the forest product through its receipt, production and sale. At every stage of production (e.g., forest gate, sawmill, primary and secondary manufacturing, distribution, printing.) the company involved is required to hold a valid CoC certificate in order to make a credible claim that the product supports responsible forest management at the time of sale. This means that every part of the chain is audited to ensure proper tracking and handling. Logs

Lumber

Finished Product

Each of the forest management certification systems used in Ontario has a CoC certification system associated with it. FSC and SFI have developed their own standards, and the CSA has adopted the CoC standards of the Programme for the Endorsement of Forest Certification (PEFC). Both the SFI and CSA are endorsed by the PEFC. Box 2 provides a summary of the applicable standards. Because of the complexities of wood supply chains and in some cases poor availability of certified wood, a company is able to mix noncertified sources of forest product with certified product as long as the fibre has come from legal sources and has not come from controversial or unspecified sources. This is termed “controlled wood” (see glossary for description), The purpose of verifying that wood is controlled is to provide flexibility for a company to be able to use non-certified wood, while ensuring that no wood from unacceptable sources is sold with a certified claim. There are similarities in the control systems used among certification systems and all have options to use the transfer or physical separation system; the credit system; or the percentage system. The transfer or physical separation system requires certified products to be segregated

Eastern Ontario Model Forest

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

from non-certified so that the certified content remains clearly identifiable through the process. Under the credit system the certified and uncertified product is mixed, but only an equivalent of the amount of certified input can be sold with a certified claim. For example, if 90 board feet (bft) of certified inputs was purchased and 20 bft of noncertified Controlled Wood inputs, the company could mix the two inputs but could only sell the equivalent of 90bft, with an associated certified claim. Similarly, the percentage system allows a company to mix certified and uncertified material as long as the certified material is over a certain amount (e.g., 70%) and that the claim at the point of sale indicates the percentage. Being able to verify that non-certified wood is controlled wood and not from controversial sources is an approach used by FSC, SFI and PEFC. Often an on-product trademark identifying the certification system and associated claim for the product is used by the company to inform consumers that the product has met certification system requirements. Chain of Custody is a prerequisite for all certification systems to be able to use their respective trademarks and on-product and promotional labels to promote products in the marketplace.

www.eomf.on.ca

A chain of custody product label such as this one used by the EOMF provides assurance that the product has been produced from a wellmanaged forest.

BOX 2: Applicable Chain-of Custody (CoC) Standards in Canada Canadian Standards Association (CSA) Sustainable Forest Management Standard

• Note: CSA and SFI wood can use either PEFC or SFI CoC systems at the primary manufacturing level.

Forest Stewardship Council (FSC)

• FSC Standard for CoC Certification - FSC-STD-40-004 V2-1 • FSC Product Classification - FSC-STD-40-004a v2-0 EN • FSC Standard for Company Evaluation of FSC Controlled Wood - FSC-STD-40-005 v2-1 EN • FSC Standard for Sourcing Reclaimed Material for use in FSC Product Groups - FSC-STD-40-007 v2-0 • FSC Requirements for the use of the FSC trademarks by Certificate Holders FSC-STD-50-001 v1-2 • Group (FSC-POL-40-002) and multi-site (FSC-STD-40-003 v1-0) CoC Certification

Sustainable Forestry Initiative (SFI Inc.)

• • •

Programme for the Endorsement of Forest Certification Schemes (PEFC)

• Chain of Custody of Forest-Based Products Requirements (PEFC ST 2002:2010) for Chain of Custody certification; • PEFC Logo Usage Rules (PEFC ST 2001:2008 v2) for logo use.

Section 2 – SFI 2010-2014 Standard; Section 3 – SFI Chain-of-Custody Certification; or Section 4 – Rules for the Use of SFI On-Product Labels, and have approval from the Office of Label Use and Licensing; SFI Certified Sourcing Label Use Requirements

Forest and Chain of Custody Certification Guidebook 2012

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

Certificate Type Businesses seeking certification can vary considerably in size, complexity and organizational structure. All of the certification systems offer different types of certificates to match the unique needs of forest managers and companies. These include: • Single certificate: applicable to both FM and CoC certification, where a single organization seeks certification.

Profile:

Baumans Sawmill Inc. and Manufacturing Plant, Wallestien, Ontario

• Multi-site certificate: applicable to both FM and CoC certification, where an organization with multiple sites can seek certification under one certificate. A central office is identified and has a responsibility to ensure that participating sites meet requirements. This system allows for efficiencies when developing and maintaining systems and procedures. • Group certificate: applicable to both FM and CoC certification, where smaller organizations (less then 15 employees) can seek certification under one certificate. The group can share some management and monitoring functions that reduce costs and increase efficiencies.

As a professional forestry team reaching into central, eastern and parts of northern Ontario, Bauman Sawmill Inc. acquires wood fibre from FSC-certified forests (e.g., SimcoeCounty, Westwind) and non-certified wood from private landowners. The district of origin of all fibre is verified and documented and a controlled wood risk assessment for the regions where non-certified material is sourced confirms that wood from these areas is of low risk, therefore allowing the supply to be classified as controlled material.

Both the sawmill processing logs into lumber and the manufacturing plant producing wood components, panels and wooden snow toys, sell products to various manufacturers and distributors, many who also hold a CoC certificate.

Eastern Ontario Model Forest

AN OVERVIEW OF FOREST AND CHAIN OF CUSTODY CERTIFICATION

www.eomf.on.ca

Certified Company • Maintains systems & practices

Certified Scheme/ Accreditation Body • Develops standards • Develops policies & procedures • Accredits & audits certification bodies

Accredited Certification Body (CB)

• Conforms with applicable standards

• Develops audit protocol

• Reports to certification body

• Reports to the certification scheme • Reviews logo use • Certifies & audits certified clients

Profile:

• Manages logo use

Third-Party Certification The cornerstone of forest and CoC certification is the process where an impartial and competent auditor evaluates the company against pre-determined standards. Third-party certification systems do not issue certificates, rather the certification process is carried out by independent certification bodies who have met strict accreditation rules. Accreditation Programs like the Accreditation Services International (ASI) or the American National Standards Institute (ANSI) ensure that the certification system remains credible. Third-party independent and accredited certification bodies conduct the initial assessment and annual audit of certified companies. Thirdparty certification is considered the most credible system as compared to first-party claims, which involve a company making claims about their performance or second-party where an association would make claims about member companies.

Forest and Chain of Custody Certification Guidebook 2012

Eastern Ontario Model Forest – FSC Group CoC-Certified The EOMF has achieved Group Chain of Custody certification and will act as the Group Manager on behalf of smaller value-added wood product manufactures as well as smaller printers. It will also become the primary contact for the certifier. There are requirements to become a member of the group as well as responsibilities to maintain membership. The Eastern Ontario Model Forest hopes to take the technical challenges out of becoming FSC Chain of Custody-certified and provide an affordable option to certify small businesses, so they can in turn sell their wood and paper products as FSC-certified.

FOREST CERTIFICATION SYSTEMS In Canada, there are three main certification standards used that provide forest certification and have options for chain-of-custody certification and product labelling. These are: • Canadian Standards Association (CSA) • Forest Stewardship Council (FSC) • Sustainable Forestry Initiative (SFI) The Programme for the Endorsement of Forest Certification systems (PEFC) is an umbrella program that endorses national certification. In Canada the SFI and CSA have been endorsed by PEFC.

About the Canadian Standards Association Forest Management Standard The Canadian Standards Association worked with interested stakeholders to develop Canada’s National Standard for Sustainable Forest Management (SFM) CAN/CSA-Z809. The standard was first published in 1996, and subsequently revised in 2002 and 2008. The CSA standard describes the requirements for sustainable forest management of a defined forest area, including the nature of the commitment, the requirements for public participation, the performance requirements and targets, the management framework, the review of actions, the monitoring of effectiveness, and continual improvement. The CSA notes that the SFM Standard sets a level of performance by a company required to meet SFM elements and core indicators. The certification process allows opportunities for the public to set values, objectives, additional indicators and targets, and to monitor effectiveness and change. The CAN/CSA-Z804 SFM Standard for Woodlots and Other Small Area Forests is a new standard for forests up to 4000 hectares in size. Both the CSA Z809 and Z804 standards have been approved by the Standards Council of Canada as National Standards. The CSA SFM Standard is endorsed by the Programme for the Endorsement of Forest Certification (PEFC), which recognizes national or regional certification standards. Organizations certified to the CSA standards use the PEFC chain of custody standard, thus allowing them to use the PEFC product label. To access the CSA SFM Standard visit: shop.csa.ca and then go to: Publications > Environment and Climate Change > Sustainable Forest Management.

Eastern Ontario Model Forest

FOREST CERTIFICATION SYSTEMS

www.eomf.on.ca

About the Forest Stewardship Council The Forest Stewardship Council uses a unique regional, multistakeholder approach to the development of standards. The Forest Stewardship Council was founded in 1993, and is an international, non-governmental organization. Its forest certification system is recognized worldwide by native peoples, environmental groups and labour organizations, and guarantees the independent evaluation of forest management practices used by companies. FSC has developed three regional standards for Canada that include and build on the Principles and Criteria of the FSC International Standard for responsible forest management. These have been accredited by FSC International and include: the Maritimes Standard (released 1999, last revised 2008), the British Columbia Standard (released 2003, revised 2005), and the National Boreal Standard (2004). The Great Lakes St. Lawrence (GLSL) Standard was submitted for accreditation to FSC International in March 2011, and if approved, will be applicable for all forests in the GLSL forest region of Ontario and Quebec, but not west of Lake Superior. The standard will also apply to areas of Ontario that are part of the Carolinian forest region. In order to facilitate the FSC certification of Small and Low Intensity Managed Forests (SLIMF), regional forest management standards have outlined modified requirements. Individual certification procedures for these forests follow the basic FM certification requirements but have important differences in their audit procedures. www.fsccanada.org

About the Sustainable Forestry Initiative The Sustainable Forestry Initiative (SFI) program was launched in 1994 as one of the U.S. forest sector’s responses to the 1992 United Nations Conference on Environment and Development. Its original principles and implementation guidelines were established in 1995, and it evolved into a national standard backed by third-party audits by 1998. SFI Inc. has since been established as an independent, non-profit organization working to maintain, oversee and improve the internationally recognized program. SFI Inc.’s current forest management certification standard applies in Canada and the United States. The standard is based on 14 core principles, 20 objectives, 38 performance measures and 115 indicators that address economic, environmental, cultural and legal issues, in addition to a commitment to continuously improve sustainable forest management. SFI also has a Chain-of-Custody certification system. Supply inputs from two other certification standards — the American Tree Farm System and the Canadian Standards Association are accommodated within this system.

Forest and Chain of Custody Certification Guidebook 2012

FOREST CERTIFICATION SYSTEMS

The SFI 2010-2014 Standard is based on principles and measures that promote sustainable forest management and consider all forest values. It includes unique fibre sourcing requirements to promote responsible forest management on all forest lands in North America. www.sfiprogram.org

About the Programme for Endorsement of Forest Certification Systems

PEFC/01-00-01 Promoting Sustainable Forest Management www.pefc.org

The Programme for the Endorsement of Forest Certification (PEFC) is an international non-profit, non-governmental organization that promotes Sustainable Forest Management (SFM) through independent third-party certification. PEFC is an umbrella organization that evaluates and endorses national forest certification systems, developed through multi-stakeholder processes and tailored to local priorities and conditions. PEFC has endorsed 32 national certification systems in 30 countries. PEFC maintains a chain-of-custody certification standard for use by national members, including PEFC Canada and SFI. www.pefccanada.org/about.htm

Comparing Forest Certification Systems Different approaches to forest certification have evolved during the last two decades, each reflective of its respective history, backing and philosophical underpinning. Generally speaking, FSC – the system with the longest history – has the widest support from environmental and social groups. PEFC and its member systems CSA and SFI have the greatest geographic area of forests certified and, in the case of SFI, were initially built and funded by the forest industry. Regardless of history, all systems have evolved significantly during the past 20 years and share some agreed-upon criteria that warrant them as credible. Table 1 provides a comprehensive summary of the forest certification systems used in Ontario. Their performance, similarities and differences are highlighted. For further comparison and debate regarding these approaches, see Box 3. Some general characteristics of certification systems include the following. • Conforms with internationally recognised guidelines for accreditation and independent third-party certification; • Involves a variety of stakeholders (social, environmental and economic) and Indigenous Peoples in a transparent standard-setting process; • Requires compliance with applicable national and international laws;

Eastern Ontario Model Forest

FOREST CERTIFICATION SYSTEMS

www.eomf.on.ca

• Recognizes the importance of conformance with international governmental or non-governmental forestry principles; • Has clearly defined standards, including principles and criteria that define performance levels; • Addresses environmental, economic and social objectives in a balanced way; • Certifies forests at a forest management unit (FMU) involving site visits; • Includes requirements for forest management planning, consultation during forest operations, maintenance of forest cover, biodiversity conservation, protection of soil and watercourses, and protection of social and cultural values; • Includes a labelling system and a system to track and handle products carrying a certification claim (e.g., chain of custody). In addition many groups feel that a certification system should: • Ensure that the governance of the certification system is transparent and is equal and balanced (e.g., board includes social, environmental and economic members); • Provide transparency in how the certification system is funded; • Provide a dispute resolution system that is accessible; • Provide adequate mechanisms to ensure that on-the-ground practices of certified organizations meet standards and there is consistency in findings; • Ensure systems and standards are appropriate to the type, scale and size of forest operation or forest products company.

Forest and Chain of Custody Certification Guidebook 2012

FOREST CERTIFICATION SYSTEMS

Table 1: Quick Comparison Guide of Certification Systems

CSA

FSC

SFI

1995

1993

1995

Systems and performance measures

Performance standards

Systems and performance standards

Systems and performance measures standards

Canada

Global

USA, CA for FM Global for CoC/ fibre sourcing

Global

Both

Is the system based on a set of clear minimum performance-based thresholds?1

Yes, 6 SFM criteria, 17 elements and 35 mandatory core indictors

Yes, Principles, Criteria and Indicators

Yes, 14 core principles

N/A

Are standards developed for specific regions?

No â&#x20AC;&#x201C; it is up to Yes â&#x20AC;&#x201C; Standards the public for BC, the Boreal, process to the GLSLaddress Laurentian and regional issues the Maritimes

North American

N/A

Year formed Focus of certification

Coverage

Forest Management Certification

Forest or plantation

PEFC

Does the system require balanced participation in standard-setting process?

Yes

N/A

Is the standard setting dominated by forestry sector?

N/A

Does the certification system certify at the Forest Management Unit or regional level?

FMU

N/A

Are field visits required annually?

Yes

N/A

Is consultation of stakeholders in the certification process required?

Yes

N/A

Is annual monitoring of certified areas required?

Yes

N/A

Is the system transparent (i.e., are summary reports on websites)?

Yes

N/A

Does the system prohibit the conversion of forests to plantations or other land uses?

Partially

Yes

N/A

Does the system prohibit use of Genetically Modified Organism trees?

Yes

N/A

Eastern Ontario Model Forest

FOREST CERTIFICATION SYSTEMS

www.eomf.on.ca

Table 1: Quick Comparison Guide of Certification Systems (Continued...)

CSA

FSC

SFI

Year formed

1995

1993

1995

Is there a system for small forests?

Yes

CoC Certification

Is there a label and well-defined chain of custody available?

Yes, simplified One standard is small and low used for forest intensity stantypes. dard (SLIMF)

PEFC

N/A

N/A SEE PEFC and SFI

Yes

What are the control systems used?

N/A SEE PEFC

Transfer Credit Percentage

100% option; as Physical well as percentage separation and credit Percentageapproaches based methods

Are there control systems for reclaimed inputs and claims?

N/A SEE PEFC

Transfer Credit Percentage

100% option; as Physical well as percentage separation and credit Percentageapproaches based methods

Controversial Sources and Controlled Wood

N/A SEE PEFC

Yes Comprehensive Controlled Wood system with focus on 5 unacceptable categories

Trademark options • 100% or Pure • Partial (e.g., Mix; 70%) • Recycled

N/A SEE PEFC

FSC 100% 100% option; as PEFC 100% FSC Mix well as percentPEFC 70% (using credit age and credit (using credit or percentage approaches or percentage systems); systems) FSC Recycled PEFC Recycled

Does LEED (Leadership in Energy and Envi ronmental Design) recognize the certification system?

Limited - Pilot Credit 43

Yes

Many of the questions are from the comparison table found in the FERN Report, “Footsteps in the Forest, Current practice and future challenges in forest certification”, 2004 (available at www.fern.org/sites/fern.org/files/media/ documents/document_1890_1900.pdf. In all cases findings were updated. 1

Forest and Chain of Custody Certification Guidebook 2012

Yes

Avoidance of Controversial Sources and requirements around fibre souring

Limited - Pilot Credit 43

Yes

Yes Due Diligence System for Controversial Sources

Limited - Pilot Credit 43

FOREST CERTIFICATION SYSTEMS

BOX 3. For more information on the differences between systems, there are several comparison studies that describe the difference and performance of the different certification systems. Forest Certification in Canada The Programs, Similarities & Achievements: Feel Good About Canadian pulp, paper and wood www.feel-good.ca (a FPAC-managed website) SFI and FSC Certification in North America — A Summary Comparison. SFI Inc. produced this comparison guide in January 2010. www.sfiprogram.org/files/pdf/SFI_FSC_comparison_2010.pdf Canopy Planet’s Buyers Guide to Forest Certification Systems. In 2007 ÉEM Inc. published a comparison study of the three major Canadian forest management certification systems in North America. This study is designed to help purchasers determine which certification system best suits their environmental paper procurement criteria and is based on an analysis of the written standards. www.canopyplanet.org/?page=paper-buyers-guide-certification-systems Footprints in the Forests August 1, 2005. The report assesses eight certification systems and different certification trends. It is a revision of FERN’s Behind the Logo Report. www.fern.org/pubs/reports/footprints.pdf Metafore’s Matrix: The Green Blue Summary shows differences between certification systems www.thepaperlifecycle.org/wp-content/uploads/2011/06/Forest_Certification_Matrix.pdf CEPI’s Forest Certification Matrix Finding your way around forest certification systems. www.certfor.org/documentos/Forest_certification_matrix.pdf

Eastern Ontario Model Forest

www.eomf.on.ca

HISTORY AND TRENDS Canada leads the world in attaining third-party sustainable forest management certification. The growth of forest certification in Canada has been supported by a government and forest industry commitment. The provinces of Ontario and New Brunswick now require that Crown and public land be certified to one of the main certification systems. In 2002, the Forest Products Association of Canada (FPAC) – whose members manage the considerable commercial forests in Canada – required their members to certify operations to any of the three major, credible standards (CSA, FSC, SFI) that are recognized in Canada. By 2006, all FPAC members had met this goal and continue to be influential in driving the growth of forest certification in Canada. Private forests that are often small and/or managed by communities have also sought certification with the majority in the Maritimes, Quebec and Ontario. Figure 1 shows the area certified to the various standards in Canada and Ontario as of 2011 Mid-year. While CSA and SFI dominate nationally, FSC and SFI are more commonly utilized in Ontario. Some other Canadian Forest Sector Achievements (As of 2011 Mid-year) include: • There are over 151 million hectares certified to the three SFM certification programs in use in Canada. • Canada has the largest area of third-party independently certified forests (CSA, FSC, SFI) in the world.

Figure 1. Area of forest certified (in hectares) in Canada and Ontario under CSA, FSC and SFI.

• Canada has 42% of the world’s certified forest area.

(Source: Certification Canada www.CertificationCanada.org).

• The practices in the vast majority of the forests in which forestry operations can occur in Canada are now certified. • Canada has almost half of all PEFC endorsed certifications worldwide (CSA and SFI), and almost a third of the FSC certifications.

Forest and Chain of Custody Certification Guidebook 2012

HISTORY AND TRENDS

Box 4: Certification Links: • OMNR maintains detailed information called the “Status of forest certification in Ontario”. www.mnr.gov.on.ca/en/Business/ Forests/2ColumnSubPage/ STEL02_167417.html • Certification Canada www. CertificationCanada.org maintains a Certification Status Report by province that shows FM certifications by system.

Box 4 provides links to further information on the status of certification in the Canadian forest sector.

BENEFITS Why have forest management and CoC certification caught on? Certification works to ensure that forest management meets high standards and provides assurance that the products we purchase are supporting it. The overall mechanism of supply of green product meeting a demand for green product only partially explains why forest managers and forest product companies seek certification. Other reasons include: A framework to implement sustainable forest management. Some managers, especially of small and private woodlots, seek forest certification in an effort to improve their forest management practices and to be assured that their forest is well managed for all values. Private landowners often state that they are proud of owning a certified forest. Involvement of Indigenous Peoples, other stakeholders and workers. Forest certification provides opportunities for interested parties to become involved in management planning. The level of involvement depends on the certification system. During the certification process the company is assessed to see how it treats and accommodates the interest and rights of indigenous peoples, workers and other stakeholders.

Please visit our YouTube channel at: eomfvideo to view “How Sweet It Is! Maple Syrup Certification” to learn about why this forest product producing sector is finding on-product certification labelling to be of benefit in a multitude of ways.

Responsible wood tracing. In CoC systems non-certified material is mixed with certified inputs as long as the uncertified material can be verified as coming from controlled or non-controversial sources. Determining the district of fibre origin and conducting a risk assessment can be a challenging process, but is important in ensuring product legality and adherence to minimum standards. Certification provides the tools for understanding the non-certified supply. Risk management. Since the 1990s consumers and not-for-profit environmental and social groups have effectively mapped the links between products purchased and the resource origin. With increased understanding of forest supply chains, society (via non-profit groups) is able to scrutinize and hold accountable companies that manage forest resources. By seeking certification, managers may seek to avoid this scrutiny and exposure that might influence corporate image and brand. Certification provides credibility and accountability for forest management practices. Government mandate. Provinces, including Ontario and New Brunswick, have mandated that all forest managers holding sustainable forest licenses on Crown lands need to become successfully certified to one of the three main certification systems.

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BENEFITS

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Procurement policies and specification – access to markets and potential increased revenues. Markets and customers require the verification that products meet specific standards. Forest product certification can be used to demonstrate compliance in a variety of situations including: • Sale of product across borders. Chain of custody could be used as part of the evidence required to demonstrate conformance of the proof of origin as required by procurement policies. The US Lacey Act for example, addresses issues of illegal wood coming into the United States. For product manufacturers selling to the USA, certification systems can provide some of the evidence in proving the origin and legality of forest products. • LEED (Leadership and Energy and Environment Design). The specification of the Green Building Leadership in Energy and Environmental Design (LEED) rating system currently only recognizes FSC certification. LEED, the leader in the rapidly growing green building market, rates building designs based on the materials used and performance expected. Using FSC-certified forest products garners one LEED credit (MRc7) that helps the building achieve LEED certification. In June 2011, the U.S. Green Building Council (USGBC) announced the LEED pilot credit for the use of non-structural wood that is open to all certified wood in North America. • Procurement policies. Some companies stipulate certified products in their procurement policies. Rona, The Home Depot and Walmart all have procurement policies with a preference for certified fibre. • Customers demand certified products. Some consumers give preference and procure certified forest products in their home renovations or wood-related projects, even in cases where the certified product costs more. Canadians are 92% more likely to buy products that support sustainability values2

“Expectations for Corporate Social Responsibility Rising with Clear Consequences for Not Measuring Up”, Canada Newswire, April 2005 2

Forest and Chain of Custody Certification Guidebook 2012

LOOKING TO THE FUTURE

Over 90% of the forests in Eastern Ontario are in the hands of private landowners. Please visit our YouTube channel at: eomfvideo and select â&#x20AC;&#x153;Forest Certification: Private Landsâ&#x20AC;? to learn about the many benefits of certifying your forest - for today and future generations.

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Forest certification started as an international grassroots movement by visionaries asking the question â&#x20AC;&#x201C; can forest practices change; can we hold companies accountable; and can markets provide benefits for producers whose wood comes from well-managed forests? History has shown that the answer to all three questions is a resounding yes. Voluntary forest management and Chain of Custody certification have grown in acceptance and have become mainstream. With nearly two decades of experience, certification systems have evolved and will need to continue to change in order to respond to difficult forestry issues such as climate change, endangered species management, wood-based bioenergy and changing forest product markets. In envisioning this publication the EOMF intended to provide practical information on what certification is; what the benefits are; and how it fits into the landscape of Ontario. We see the opportunities for certification and want it to be accessible and affordable for all. We are interested in building public awareness of the tools for practising good forest management and want to support strong certified markets. We see certification as a great way to enable sustainability on the forested landscape without the need for punitive policy or regulations. Ultimately, we hope for and support healthy Ontario forests with certified markets that grow and compete nationally and internationally.

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STEPS TO GETTING CERTIFIED Forest product companies can pursue certification on their own or as part of a larger group.

PROCESS ACROSS SYSTEMS – FM CERTIFICATION PROCESS CSA FSC SFI Y

Understand standard requirements and conduct gap analysis

Prepare and modify systems to meet requirements

Approach accredited certification body and fill out formal application

Review of preliminary documentation

Preliminary Assessment Audit / Pre-assessment (optional)

Optional

Prepare and modify systems to meet requirements

• Stakeholder consultation

• Employee interviews

• Consultation with indigenous Peoples

• Site visits and evaluation of performance

• Documentation review

Assessment report – may include conditions

Certification decision and if successful certificate issued

Surveillance audits

Annual

Re-assessment

3 years

5 years

3 years

Forest Management assessment by certifier including:

Forest and Chain of Custody Certification Guidebook 2012

STEPS TO GETTING CERTIFIED

COC CERTIFICATION PROCESS ELEMENT DESCRIPTION Scope Definition

Define the scope of the certification including: • Will the certificate type be a single, multi-site, group or project? • What system control will be used: transfer/ physical separation, credit, or percentage?

Procedures and systems

Develop procedures as based on the defined scope of the certificate including procedures for quality management (defining responsibilities, training, record keeping).

Sourcing and procurement

Categorize eligible certified and non-certified inputs. • Maintain suppliers lists for all supply (certified, non-certified and reclaimed). • Non-certified inputs will need to meet Controlled Wood or Controversial Sources Requirements. • Clear procedures on the identification of inputs upon receipt.

System for Controlling FSC Claims

• Develop the product group schedule that describes the inputs and outputs including the applicable claim. • Develop tracking systems for inputs, products, inventory and sales. • Transfer and Physical Separation System: material is segregated and clearly identified. • Credit: Inputs, production and sales are tracked using a virtual accounting system. An equivalent amount by weight or volume of certified inputs can be sold with a certified claim. • Percentage System.

Outsourcing

If the organization uses sub-contractors, the organization needs to develop procedures and have a signed Outsourcing Agreement with the subcontractor.

Trademark Use

On product and promotional use of the trademark are approved by the certification body.

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STEPS TO GETTING CERTIFIED

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PROCESS ACROSS SYSTEMS – COC CERTIFICATION PROCESS CSA

FSC

SFI

PEFC

Decide to pursue chain of custody certification Decide on certification system Explore opportunity to become certified to more than one system Understand standard requirements

N/A

Approach accredited certification body

N/A

Develop document control systems (e.g., procedures)

N/A

Conduct Internal Audit

N/A

N for single certificates. Y for multi-site certificates.

Process to address non-certified forest content.

N/A

CoC assessment by certifier including: • Employee interviews • Site tour

N/A

Assessment report – may include conditions

N/A

Certification decision and if successful certificate issued

N/A

Annual surveillance audits

N/A

Re-assessment

N/A

5 years

Varies, generally 3-5 years

Forest and Chain of Custody Certification Guidebook 2012

STEPS TO GETTING CERTIFIED

Third-party Certification Bodies The following certification systems are accredited for the respective certification system.

Certification System

Accredited Certification Bodies

CSA

• • • •

Bureau de normalisation du Québec KPMG Performance Registrar Inc. www.kpmg.ca PricewaterhouseCoopers LLP QMI SAI Global

Forest Stewardship Council (FSC) in Canada

• • • • •

KPMG Forest Certification Services Inc. www.kpmg.ca Scientific Certification Systems www.scscertified.com SGS International www.sgs.com Rainforest Alliance www.rainforest-alliance.org Soil Association – Woodmark www.soilassociation.org

SFI

• • • • •

SGS International www.sgs.com QMI SAI Global KPMG Performance Registrar Inc. www.kpmg.ca PricewaterhouseCoopers LLP Bureau de normalisation du Québec

PEFC

• • • • • • • •

ALKO-Cert Agrar- und Lebensmittel kontroll organisation e.V BMG Trada Certifiering AB BM Trada Certification Ltd. Bureau de normalisation du Québec KPMG Performance Registrar Inc. PricewaterhouseCoopers LL QMI SAI Global SGS Canada Inc.

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RESOURCES Canadian Council of Forest Ministers (CCFM) www.ccfm.org Canadian Sustainable Forestry Certification Coalition The Forest Products Association of Canada (FPAC) maintains this useful site keeping up-to-date statistics on FM and CoC certification in Canada. www.certificationcanada.org Canadian Standards Association www.csasfmforests.ca and www.shop.csa.ca The CSA SFM User Group is a voluntary group that represents the organizations in Canada certified to the CSA Standard. All members of this group are committed to the practice of sustainable forestry and to the international recognition and acceptance of the CSA SFM Standard. The group of companies manages the website. www.csasfmforests.ca/csasfmforestusergroup.htm Confederation of European Paper Industries (CEPI) is the voice and public face of the pulp and paper industry in Europe, representing its interests towards the European Institutions. It monitors and analyzes EU legislation and initiatives in the areas of industry, forestry, environment, energy, recycling and fiscal policies. Through CEPI, the paper industry defines common positions and acts on emerging issues, making expert and constructive contributions to the official consultation process with industry. www.cepi.org Eastern Ontario Model Forest (EOMF) www.eomf.on.ca Eastern Ontario Model Forest (EOMF) Certification www.certification.eomf.on.ca or www.eocfo.eomf.on.ca Feel-Good.ca about pulp, paper and wood (FPAC) www.feel-good.ca Forest Certification Resource Center The Metafore-managed website is sponsor-supported. It introduces the concept of forest certification, provides information on the major certification programs around the world and describes the markets for certified wood products. thepaperlifecycle.org/forests/in-the-field/forest-certification-resourcecenter-fcrc Forest Stewardship Council Canada www.fsccanada.org

Forest and Chain of Custody Certification Guidebook 2012

RESOURCES

Ontario SFI速 Implementation Committee provides an overview of the key components of the SFI速 Program to the general public, landowners, and external suppliers. It also provides links to additional information sources and contact information for any questions or concerns regarding the SFI program or a participant company. www.sfiontario.org/index.html Rainforest Alliance www.rainforest-alliance.org Sustainable Forest Initiative www.sfiprogram.org

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GLOSSARY Accreditation: The process of certifying the certifying bodies, to ensure credibility in issuing certificates. Certification: The voluntary process utilized to assess whether defined standards for environmental, social and economic values are met by a forest enterprise. Certification System: A system that uses defined standards with thirdparty verification to evaluate forest management practices. A variety of programs or systems for certification is available through a range of organizations providing options with varying standards, costs and implementation procedures. Chain of Custody Certification: A system for tracking wood from a well-managed forest to the final product. It also provides a mechanism to measure the proportion of certified or recycled content in a product, and provides assurance that uncertified materials come from legal and controlled sources. Controlled Wood and Controversial Sources: Uncertified wood that has been screened to ensure that it comes from a legal and credible source. Briefly, the requirements under the three certification systems utilized in Ontario include:

FSC Controlled Wood3 FSC Controlled Wood (CW) verification provides an assurance that 100% of the virgin fibre mixed with FSC-certified and recycled fibre comes from a verified and approved source. FSC’s Controlled Wood standards define the minimum requirements that non-certified forests and fibre must meet in order to be mixed, under strict circum stances, with FSC-certified and/or recycled fibre. To qualify as FSC Controlled Wood, FSC Chain of Custody certified companies conduct a risk assessment, verified by third-party Certifiers, that non-certified forest fibre meets FSC’s Controlled Wood requirements (as per FSC-STD-60-006). Forests may also be verified by third-party Certifiers through on-site audits to meet the FSC Controlled Wood standard (FSC-STD-30-010). FSC Controlled Wood has been verified to NOT come from: • illegally harvested forests; • forests harvested in violation of traditional and civil rights; • forests in which high conservation values are threatened; • forests that are being converted to plantations or non-forest use; or, • forests in which genetically modified trees are planted.

From www.fsccanada.org/controlledwoodstandards.htm

Forest and Chain of Custody Certification Guidebook 2012

GLOSSARY

PEFC and Controversial Sources4 PEFC uses a “due diligence system” (DDS) when a company mixes certified and non-certified material. The company must seek measures to minimize the risk of uncertified content in certified products originating from controversial sources by requiring a supplier self-declaration and a risk assessment. If any supplies are considered to be “high-risk”, an additional assessment is required including an assessment of high-risk supplies by a third-party verification programme.

Controversial Sources Include forests in which management activities: 1. Do not comply with local, national or international legislation, in particular in the following areas: • forestry operations and harvesting, including conversion of forests to other uses; • management of areas with designated high environmental and cultural values. • protected and endangered species, including those included on the CITES lists; • health and labour conditions of forest workers; • indigenous peoples’ property, tenure and use rights; and, • payment of taxes and royalties. 2. Utilize genetically modified organisms. 3. Convert forests to other vegetation types, including conversion of primary forests to forest plantations.

SFI and Non-Certified Supply Program participants must show that the raw materials in their supply chain come from legal and responsible sources, whether the forests are certified or not. To meet the certified sourcing requirements, primary producers must be third-party audited and certified to SFI Requirements: Section 2 – SFI 2010-2014 Standard (Objectives 8-20). Secondary producers who want to use the “certified fibre sourcing” label must be certified to SFI Requirements: Section 4 – SFI Certified Sourcing Label Use Requirements5.

Credit System: A system to calculate certified or recycled content where only an equivalent of the certified content can be sold with a certified claim (e.g., if 50% of the material is certified, then 50% of the production is considered 100% certified). Ecolabel: A proprietary symbol showing that a product has been produced to a defined standard.

From PEFC ST 2002:2010, Chapter 3.7 for a definition of Controversial Sources, and PEFC ST 2002:2010, Appendix 2: PEFC DDS for avoidance of raw material from CS. 5 From www.sfiprogram.org 4

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GLOSSARY

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Forest Management Certification: An assessment of the management of a forest against a suite of pre-determined standards, criteria or indicators of sustainability. Forest Product Certification: see Chain of Custody Certification. Group Certification: Forest or Chain of Custody certification of multiple interests under a single certificate. Percentage System: A system to calculate certified and recycled content where the proportion of certified/ recycled content is documented through the process and all of the output is given a percentage claim (e.g., if 70% of the input material has been certified, the whole batch will be labelled as 70% certified). Performance-based Standards: Measures are used to evaluate specific ecological and social performance measures on the ground and to compare results to the defined standard. Standard: the criteria defined by a certifying body that outlines the minimum requirements for management that must be implemented by a forest enterprise. Sustainable Forest Management: Forest management that maintains and enhances the long-term health of forest ecosystems while providing environmental, economic, social and cultural opportunities for present and future generations6. System-based Standards: The standard evaluates the systems in place to reveal actions that violate existing legislation, policies or procedures. Third-party Audit: An independent assessment where an impartial auditor conducts an evaluation based on defined criteria. Transfer or Physical Separation System: A system to track wood flow through chain of custody requiring segregation of certified and non-certified products.

From www.sfiprogram.org

Forest and Chain of Custody Certification Guidebook 2012

NOTES

Eastern Ontario Model Forest

EOMF gratefully acknowledges the funding support of the Ontario Ministry of Natural Resources in the production of this guidebook. We also appreciate their ongoing commitment to the Eastern Ontario Model Forest. The views expressed in this publication do not necessarily reflect those of the province.

P.O. Bag 2111, Kemptville, Ontario Canada K0G 1J0 Tel.: (613) 258-8241 Fax: (613) 258-8363