ITTO’s continuing efforts
to sustain tropical wood use
The 26th APEC-EGILAT Plenary Meeting
Lima, 12 August 2024
Tetra Yanuariadi
Projects Manager

INTERNATIONAL TROPICAL TIMBER ORGANIZATION (ITTO)

Talking Points• ITTO’s mission to sustain tropical forest• Continuing efforts to promotesustainable wood use• Innovation to optimize contribution tosustainable forest management

ITTO’s mission▪ Promote the sustainable management andconservation of tropical forests.
▪ Promote the expansion and diversificationof trade in tropical timber from sustainably
managed and legally harvested forests.
ITTO—THE SOLE inter-governmentalorganization focused entirely on tropicalforest resources.
ITTO members (37 producers & 38consumers) cover over 80% of global tropicalforests and account for 90% of trade intropical forest products!

Increased capacity:
ITTO Pilot Programme Lines• Legal & Sustainable Supply Chains(LSSC)• Enhance tropical timber supply andvalue chains, from the forests to themarket, to achieve legality andsustainability.
• Capacities of legal and sustainablesupply chain enhanced, businesscollaboration and networking facilitated:• Conservation of Biodiversity andEcosystem Services• Forest Landscape Restoration andResilient Livelihoods• Emerging Issues and Innovation

ITTO’s Legal Sustainable Supply Chains
Programme▪ Enhance tropical timber supply andvalue chains, from the forests to themarket, to achieve legality andsustainability.
▪ Capacities of legal and sustainablesupply chain enhanced, businesscollaboration and networking
facilitatedForest legality and sustainability
requirements• A key requirement ofsustainability―compliance with all legal
frameworks.
• Forest governance and legality requirements
are meant to counter the negative impacts ofillegal practices in tropical forests.
• Greater need to demonstrate the legality andsustainability credentials of forest products.
• National and international
legislations/regulations require evidence ofthe legality of imported timber.
• More requirements are being faced by timber
producers.

EUTR
03.03.2013
EUTR enteredinto force

29.06.2023

EUTR applies

EUTR and EUDR apply
in parallel

18 Months

3 Years

EUTR continues to apply in case of:••30.12.2027
EUDR fully
replaces EUTR

30.12.2024
EUDR needs to beapplied

EUDR enteredinto force

10 YearsEUDR

Harvest before 29.06.2023
Placing on the EU market between 30.12.2024 und 30.12.2027

EUDR applies to all wood harvested from 29.6.2023

EUDR applies

Continued promotion of sustainable wood use▪ ITTO promotes sustainable wood use in the producer member economies.
▪ Current stage: promoting domestic markets through projects implementation,
financially supported by Japan Governments in South East Asia economies: Viet
Nam, Thailand and Indonesia; Malaysia; and India▪ Projects’s scope: improve domestic strategy/policy, improve production capacity,
improve CFE’s skill capacity, enrich assortment of wood products, educate
consumers on advantages of using wood products vs substitute products▪ Projects’ ouputs and outcomes support SW4SW initiative → strengthen sustainable woodvalue and supply chains in order to enhance their social, economic and environmental benefits fromproduction to consumption

PD 922/21 Rev.1 (I)Promotion of Sustainable Domestic Wood
Consumption in Viet Nam

Promotion of Sustainable Domestic Wood
Consumption in Viet Nam• Objective:
Enhanced and diversified domestic consumption and promoted local markets ofwood & wood products• Output:
Output 1: Improved policy framework to drive domestic consumption of wood andwood products
Output 2: Strengthened capacity to produce wood and wood products to meet local
market demands & promote local consumption

ITTO budget: US$ 339,500

PD 926/22 Rev.1 (I)“Promotion of sustainable domestic
consumption of wood products in Thailand”

Promotion of sustainable domestic consumptionof wood products in Thailand
Development objective:
To contribute to sustainable and efficient use of domestic woodresources
Specific Objective
To promote sustainable domestic consumption of wood and wood
products in Thailand
ITTO budget: US$ 320,000

PD 928/22 Rev.1 (I)DEVELOPMENT OF SUSTAINABLEDOMESTIC MARKET FOR
WOOD PRODUCTS IN INDONESIA

Development of sustainable domestic market for wood
products in Indonesia

BUDGET

DURATION

Objectives

Outputs

18 months(2023-2024)▪

ITTO: $261,811

Development objective:
To increase contribution of theOutput 1:
wood industry to domestic economy Increased capacity of domestic
through strengthened growth of the market to satisfy consumer’s needindustryfor wood products
Specific objective:To promote strong and resilient
domestic consumption of wood
products

Output 2:
Enhanced institutionalarrangements for steadily risingdomestic consumption of wood
products

Promoting sustainable wood use for domestic market inMalaysia(about to start)
Project’s focus:
Promote the development of domestic
consumption for sustainable wood
products, in anticipation of populationand economic growth and reduced
carbon footprint , through increased
resilience of consumption, and enhance
supply chains and improved government
policies.
ITTO Budget: US$ 212,088
Status: Project Agreement has beensigned by MTCC and ITTO

Promoting sustainable teakwood use for domestic market inIndia(In preparation)

Project’s focus:
The specific objective of the project is toenhance the resilience and sustainabilityof the teak wood sector and promotesustainable use of teak resources andwood products in India + 5Th World Teak
Conference
ITTO Budget: US$ 296,000
Status: pending Project Agreement(Kerala Forestry Research Institute-ITTO)

ITTO’s continuous updates on timber markets• ITTO Annual Market Discussions:• in 2023 “Tropical Timber
Industry: Challenges andOpportunities from Changing
Priorities”,• Global Legal and Sustainable
Timber Forum 2023, 21–22
November 2023, Macao SAR,
China (www.itto.int/events).
Next forum to be convened in
September 2024.

Macao GLSTF 2023:• Promoting SFM, creating legal and sustainable wood product supplychains, facilitating the legal and sustainable use and trade of wood
products, and contributing to SDG and climate-change mitigation• Applying advanced technology, tools, and methods to ensure thelegitimacy and sustainability of timber sources, including theimplementation of digital/blockchain technology timber traceability,and compliance with legal and sustainable timber standards is highly
recommended.
• The forum touched on regulatory requirements, on the challenges ofcompliance with laws like the new EU Deforestation Regulation and theCITES regulations. Regulation is of course essential to build legal andsustainable supply chains, but trade regulations in major timber
consuming markets need to be consistent, and tropical economies needsupport and investment in capacity building to allow their continuing
market access. There is a need for smart regulations that do notunnecessarily add transaction costs that might undermine the relativecompetitive position of legal and sustainable timber.

Macao GLSTF 2024 (11-12 September 2024)• Specialized Sub-forum on Timber Legality andSustainability:• ‘Responses to emerging timber trade requirements’❑ Session 1: Updates on tropical timber producers’
responses towards emerging timber trade requirements(EUDR)❑ Session 2: Updates on national forest certification
scheme to support legal and sustainable supply chains

Concluding remarks
•
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•
•
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Forest governance—fast track to sustain tropicalforest—better social welfare.
Major markets for tropical timber and timber
products sent strong signals for enforcement oftimber legality and sustainability.
More and more emerging trade regulations andrequirements are being faced by producers.
Development of EUDR and CITES may have impact
on timber trade of Africa/Congo Basin.
Capacity building is urgently needed for timber
producers particularly Africa/Congo Basin.
ITTO potentially enables to play key roles as themain hub for assisting producing member
economies.
ITTO will continue promoting the sustainable wooduse, as we believe the future made from wood!

Concluding remarks
Scoping SWU promotion:
All SFM aspects of wood supply chains will be practiced → Theemission can also be reduced by changes in how the extracted
timber is converted into wood products. Harvested wood productis important carbon sink.
Support ITTO member economies achieving their decarbonizedsociety (e.g. Japan)
Using wood in construction also reduces the carbon footprint ofbuildings/houses in comparison to other materials, meaning thatwood offers great potential to revolutionize the greenhouse gas
emissions of the construction industry, and in turn will help
economies to fulfil their NDC.WORK WITH US!
Global Legal & Sustainable Timber Forum:
11–12 Sept 2024, Macao SAR, China

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