The guidebook essentially tells importers the timber products are properly documented and comply with stringent import regulations. contributed photo

The Chamber of Furniture Industries of the Philippines, Inc. (CFIP) has developed a draft guidebook designed to support programs that resist and combat illegal sourcing of wood materials.

Due diligence refers to the importer taking reasonable steps to mitigate the risk of any illegal timber entering the supply chain

At the CFIP’s first-quarter general membership meeting on Friday, the chamber presented the latest of its “Guidebook on Requirements for Chain-of-Custody (CoC) Systems and Monitoring Compliance in the Philippines.”

“Throughout the supply chain, buyers want a practical way to check the provenance and legal status of the timber and wood products they are purchasing,” it reads.

“The international market needs to ensure that it is possible to source timber products from the Philippines that are documented and comply with legal requirements to meet import regulations,” it said.

Through the CoC guidebook, the Philippines looks to ensure the timber sector meets the immediate global market requirement for timber legality verification in the absence of a Forest Law Enforcement, Governance and Trade Voluntary Partnership Agreement and Timber Legality Assurance System.

The guidebook is intended as “a practical tool for manufacturers and traders of timber and wood products to develop and implement a chain of custody system in accordance with Philippine regulatory requirements.”

It will serve as “the standard and resource guide to monitor compliance of members of CFIP or PWPA [Philippine Wood Producers Association] or other companies that want to voluntarily join the due diligence system administered by the associations.”

The guidebook includes a comprehensive list of regulations and a set of specimen documents to help the industry and buyers identify what information and documents should be made available to check legality and perform their due diligence.

According to CFIP executive director Salvio Valenzuela Jr., the industry is facing intense competition from neighboring countries and experiencing problems with the flow of raw materials, while also facing great pressure from international buyers to demonstrate compliance with the requirement for legal verification of wood products.

With respect to international timber regulations, due diligence refers to the importer taking reasonable steps to mitigate the risk of any illegal timber entering the supply chain.

“For importers importing to the European Union, the USA, Australia, Japan and increasingly more international markets, this is a legal obligation,” Valenzuela stressed.

Thus, CFIP, in cooperation with PWPA, proposes to help the industry achieve compliance by putting in place a recognized legality verification process through the CoC guidebook, which provides the timber industry with “concise, specific information on how to comply with social, legal and environmental aspects of legal compliance,” said Valenzuela.

Through this guidebook, said Valenzuela, members of CFIP and PWPA can be guided on a chain of custody system that documents legal origin of material and defines a due diligence system to verify implementation by members.

The guidebook is currently in draft form and will need to be reviewed. Feedback to improve the document may be sent to cfip.info@gmail.com.

The CoC guidebook was developed jointly with the Food and Agriculture Organization, Department of Trade and Industry-Export Marketing Bureau, and Department of Environment and Natural Resources-Forest Management Bureau.