FSC-certified forest planting in Cam Lo - a significant opportunity

National Wood Company Limited - Quang Tri branch is currently constructing a wood pellet processing plant in Dong Ha city, spanning a total area of 2 hectares. The plant has the capacity to produce 5,000 tons of products per month, requiring 11,000 tons of raw materials per month, including wood, branches, bark, and by-products from planted forests. This processing plant is expected to commence operations in August 2024.

Notably, the company has signed preliminary contracts with two partners in Japan. These partners require raw materials to be FSC-certified wood from planted forests.

During a recent meeting with Cam Lo District People's Committee, National Wood Company Limited - Quang Tri branch proposed collaborating on the planting of FSC-certified forests.

With the processing plant's annual raw material demand of approximately 132,000 tons, National Wood Company Limited - Quang Tri branch aims to develop an FSC-certified material area in Cam Lo district, covering a total area of approximately 4,000 hectares, in order to promote forest management and protection, and fulfill customer requirements. Accordingly, the company signed a contract with the Consultative and Research Center on Natural Resources Management to prepare certification documents for the FSC business linkage group and the forest planting household group.

Notably, the company will cover all incurred costs during the FSC certification process. Initial costs included in the support package will cover technical training; preparation and review of documents to ensure eligibility for certification evaluation; inviting international organizations for evaluation and certification; and drafting a preliminary contract between the company and forest planting households/groups, detailing the benefit-sharing mechanisms associated with the FSC certification. The company also commits to purchasing wood from certified households/groups at a price higher than the market price at the time of purchase, or to provide seedlings for reforestation.

The leadership of Cam Lo district has agreed with the plans and policies proposed by National Wood Company Limited - Quang Tri branch. Consequently, Cam Lo District People's Committee will direct relevant departments, communes, and towns to coordinate with the company; and disseminate information regarding participation in the FSC-certified partnership to local forest owners. The Committee will also support the company and the Consultative and Research Center with legal procedures and related processes throughout the certification development. Participating forest owners are estimated to receive FSC certification by March 2025.

Pham Viet Thanh, Head of the Agriculture and Rural Development Office of Cam Lo district, reported that the district is currently managing over 18,000 hectares of planted forests, including more than 1,000 hectares of large timber forests. Additionally, the district houses three forest planting cooperatives and 500 hectares of FSC-certified forest area. Recognizing the sustainable value provided by large timber forests and FSC-certified forests, Cam Lo district has implemented flexible policies in recent years to support forest growers. The district aims to plant over 1,000 hectares of FSC-certified forests by 2025. On the other hand, the collaboration between National Wood Company Limited - Quang Tri branch and FSC-certified forest growers presents a significant opportunity for forest economic development.

Benefits of FSC-certified forest planting collaboration

"A successful collaboration with National Wood Company Limited - Quang Tri branch will bring various benefits to forest growers and local communities. This company has an independent consulting team with a high level of competency and expertise. The FSC certification process follows a chain, with the company bearing the costs of evaluation procedures and product procurement. This is the first forestry value chain model in Cam Lo district, providing new highly potential opportunities for local forest growers," shared Pham Viet Thanh.

The Forest Stewardship Council (FSC), the only global organization recognized for developing forest certification standards, was established to maintain and ensure responsible forest management systems. Its purpose is to minimize deforestation and uncontrolled logging, leading to a reduction in forest area.

After over 30 years of operation, FSC has demonstrated its global influence in preventing illegal logging and severe forest destruction. Currently, FSC forest certifications are present in over 50 countries and territories, with more than 850 members, including non-governmental organizations, scientific research centres, international certification bodies, community development centres, and businesses.