FSC to Vote on New Traceability Rules Amid False Claims Allegations

The Forest Stewardship Council is set to vote on significant changes to its traceability requirements this week, as the organization faces growing criticism over alleged false sustainability claims throughout its certified supply chains.

The proposed amendments to FSC’s chain-of-custody standard come after multiple investigations revealed discrepancies between the claimed and actual origins of FSC-labeled products. Environmental groups have documented instances where timber harvested from protected forests or through illegal operations has entered supply chains and eventually received the FSC certification mark.

“This vote represents a critical moment for the credibility of forest certification globally,” said Elena Karros, a forest policy analyst at the Environmental Resources Institute. “The current system has too many loopholes that allow problematic timber to be laundered through complex supply chains.”

The revised standard would require more rigorous documentation at each transfer point in the supply chain, with particular focus on high-risk regions known for deforestation and illegal logging. Companies would need to implement digital tracking systems and undergo more frequent third-party audits to maintain their certification status.

FSC certification, considered the gold standard in sustainable forestry for nearly three decades, covers more than 150 million hectares of forest worldwide. The label appears on thousands of wood and paper products, signaling to consumers that materials originated from responsibly managed forests.

However, a series of reports from watchdog organizations has cast doubt on these claims. Last year, an investigation in Romania found FSC-certified companies linked to illegal logging in the Carpathian Mountains, home to some of Europe’s last remaining old-growth forests. Similar concerns have emerged from certified operations in Brazil, Indonesia, and Russia.

Industry stakeholders remain divided on the proposed changes. Large retailers and consumer goods companies that have built sustainability commitments around FSC certification generally support stricter measures, while some timber producers and processors argue the new requirements would create prohibitive compliance costs.

“We recognize the need for improvement, but these changes could disproportionately burden smaller operators and those in developing economies,” said Marco Albrecht, director of the International Wood Products Association. “The goal should be better enforcement of existing rules, not adding layers of expensive new requirements.”

The forestry sector has faced increasing pressure as climate change and biodiversity concerns move to the forefront of environmental policy. Forests serve as critical carbon sinks and habitats for endangered species, making their proper management essential for meeting global climate and conservation targets.

Technology companies have entered the space, offering blockchain-based solutions and satellite monitoring to improve supply chain transparency. These innovations could potentially address some of the verification challenges FSC currently faces.

“The technology to trace timber from forest to shelf exists today,” noted Samira Patel, CEO of ForestTrace, a supply chain technology provider. “What’s been missing is the regulatory framework that requires its use.”

Consumer awareness about sustainable forestry certification has grown significantly in recent years. A 2022 global survey found that 73% of consumers recognize the FSC label, and 62% consider certification important in their purchasing decisions.

The FSC’s 65-member international board, which includes representatives from environmental organizations, industry, and social justice groups, will vote on the proposed changes during its General Assembly in Bali. The outcome will likely reshape how timber products are tracked worldwide.

If approved, companies would have a two-year transition period to implement the new requirements. Critics argue this timeline is too generous given the urgency of addressing deforestation and forest degradation.

“Every month of delay means more forests at risk,” said Carlos Mendez, director of Forest Watch International. “The FSC needs to recognize that its credibility is at stake and act decisively.”

The vote comes as competing certification schemes such as the Programme for the Endorsement of Forest Certification (PEFC) are also reviewing their standards, suggesting a broader shift toward more rigorous verification across the industry.