FSC-certified forest in Lakeview, Oregon
Courtesy of Collins Pine Company
FSC Western Hardwood Markets
An Update on Supply, COC Options, & Drivers
June 20, 2009
Ian Hanna
ian@nnrg.org
360-379-9421 x2
Forest Stewardship Council – United States
Major themes
• The FSC market has changed
• Fundamental business forces are
driving FSC growth
• FSC is supply limited in the West
Forest Stewardship Council – United States
FSC Certification
• Market-based, non-regulatory forest conservation tool
• World’s most comprehensive forest management standards
• Buyers create positive change through their purchasing
• Third-party verification of forest management practices,
chain-of-custody, and product labeling
Forest
Management
Chain of Custody certification
Product Labeling
Forest Stewardship Council – United States
Global foundation, global impact
3 chamber membership
Environmental, Social, Economic
Global North & South
280.3 million acres certified
13,469 chain-of-custody
certificates in 82 countries
Forest Stewardship Council – United States
What sets FSC apart: open, diverse membership and
balanced, consensus-based standards and governance
Forest Stewardship Council – United States
Supply Chain Growth
Chain of Custody Certificates – US
Building & Furniture vs. Paper & printing
*
2,721 total FSC chain-of-custody certificates in U.S. which is currently
6 times the # of certificates of the nearest system (SFI)
CA – 450; OR – 150; WA - 111
Forest Stewardship Council – United States
Certified Forest Growth
Chain of Custody Certificates - US
*
2,721 total FSC chain-of-custody certificates in U.S. which is nearly 6
times the # of certificates of the nearest system (SFI)
Forest Stewardship Council – United States
FSC-certified forestland in the US
WA: 332,841
OR: 987,501
ID: 669,370
CA: 984,035
ME: 3,365,701
VT: 197,651
MN: 6,096,827
NY: 1,056,501NH: 186,297
WI: 4,977,304
MA: 623,652
MI: 4,570,027
CT: 7,840
PA: 2,280,967
NJ: 241,523
IN: 150,000
MO: 159,583
AR: 478,819
HI: 34,600
TN 193,423
MS: 345,854
LA: 582,530
MD: 81,511
NC: 1,896,140
SC: 6,425
Total of 30.6 million acres as of June 2009
Forest Stewardship Council – United States
How FSC works
• Set standards (IC)
 Forest management
 Chain-of-custody
• Accredit certifying
bodies (ASI)
• Authorize product
labelling (GD)
Forest Stewardship Council – United States
FSC-certified product origins
FSC-certified wood and pulp can
originate from:
• FSC certified forests (FM)
• Post consumer recycled content
• Combination of FSC-certified wood
fiber, recycled content and other
‘controlled’ sources (5 key screens).
Forest Stewardship Council – United States
The Label
The FSC check tree logo identifies FSC-certified products
These FSC Product groups contains a mixture of FSC
certified material and other controlled sources
This FSC product group
contains 100% FSC
certified materials
This FSC product group
contains 100% postconsumer reclaimed
material
Forest Stewardship Council – United States
Certification Roles
• FSC
• Certifiers
• Group Manager (group rules changing)
• Forest or Supplier (FM or COC)
Forest Stewardship Council – United States
COC Certifiers
•
•
•
•
•
•
SCS
SmartWood
SGS
Bureau Veritas
GFA/American Green Business
Sustainable Northwest (group only)
Forest Stewardship Council – United States
Claim Options
• Transfer system
• Easiest administratively
• Percentage system
• 70% minimum on solid products
• 50% on chip and fiber through 2009
• Credit system
• No minimum threshold
• Based on conversion factors
Forest Stewardship Council – United States
US marketplace trends
• Fortune 500 via brand value (McD)/risk
reduction (IKEA)
• Critical mass of FSC-labeled products (5%?)
• Virgin and recycled paper
• ENGO engagement in consumer marketing
• National branding and tools
• Group certification a la NNRG
• Stepwise approaches a la NWFA
• Lacey Act amendment
• USGBC/LEED MRc7 benchmark
• FSC Northwest – Supply analysis/market
development
Forest Stewardship Council – United States
US Market Leaders
BUILDING
• LEED, BuiltGreen, Earth Advantage, Build It Green
• Home Depot, Lowe’s, regional suppliers
• NWFA RPP
• Columbia, Collins, Potlatch, US States
PAPER
• Williams Sonoma, REI, Limited Brands
• Staples, Kinkos, Scholastic, HSBC
• Domtar, Mohawk, Grays Harbor, NewLeaf
PACKAGING
• Tetra Pak, Curtis, others
FURNITURE
• Crate & Barrel, Walmart, Pier One
OTHER
• Guitars: Gibson, Martin, Taylor, Fender
Forest Stewardship Council – United States
FSC is a business strategy
 Invest in strategy and at least one staff person
 Get them involved in networks*
 Think in terms of differentiation – you are
marketing a new product
 Offer regular product lines
 Position for new product flows (OESF/PC,
NCF/Pref Pros, ODF?)
 Incentives have to flow to forest managers
Forest Stewardship Council – United States
Resources
• www.fscus.org
• www.fsc.org
• www.fsc-info.org
• www.nnrg.org
• ian@nnrg.org 360-379-9421 x 2
Forest Stewardship Council – United States
WOOD IS GREEN
Forest Stewardship Council – United States