REPORT FROM THE COMMISSION Regulation (EC) No 2173/2005 of 20 December 2005 on the establishment of a FLEGT licensing scheme for imports of timber into the European Community Annual synthesis report for the year 2016
Date: 2018-06-08
Institutions: Directorate-General for Environment, European Commission
Subjects: activity report, cooperation agreement (EU), import (EU), import licence, information system, originating product, surveillance concerning imports, sustainable forest management, third country, wood product

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 8.6.2018  COM(2018) 448 final  REPORT FROM THE COMMISSION Regulation (EC) No 2173/2005 of 20 December 2005 on the establishment of a FLEGT licensing scheme for imports of timber into the European Community Annual synthesis report for the year 2016  
 
 
REPORT FROM THE COMMISSION 

Regulation (EC) No 2173/2005 of 20 December 2005 on the establishment of a FLEGT 
licensing scheme for imports of timber into the European Community 
Annual synthesis report for the year 2016 

1.  Introduction 

In 2005, the European Union (EU) adopted Regulation (EC) No 2173/20051 of 20 December 
2005  on  the  establishment  of  a  FLEGT  licensing  scheme  for  imports  of  timber  into  the 
European Community (hereinafter the FLEGT Regulation), as part of the implementation of 
the 2003 EU Action Plan on Forest Law Enforcement, Governance and Trade (FLEGT)2. In 
2008,  the  Commission  also  adopted  implementing  Regulation  (EC)  No  1024/20083  laying 
down detailed measures for the implementation of the FLEGT Regulation. 

The  FLEGT  Regulation  lays  down  rules  for  the  implementation  of  the  FLEGT  licensing 
scheme  through  the  conclusion  of  Voluntary  Partnership  Agreements  (VPAs)  with  timber 
producing  countries,  including  a  requirement  for  imports  into  the  EU  of  timber  products 
originating in FLEGT partner countries to be covered by a FLEGT licence. 

The  FLEGT  licensing  scheme  became  operational  for  the  first  time  on  15  November  2016 
with the start of the FLEGT licensing from Indonesia. Indonesia was the only FLEGT partner 
country to operate such a scheme in 2016. 

Article 8(3) of the FLEGT Regulation requires the Commission to prepare and make public 
an annual synthesis report based on the information submitted by the Member States in their 
annual reports, covering the previous calendar year in accordance with Article 8(1).  

To  facilitate  reporting  by  Member  States,  a  reporting  format  was  laid  down  by  the 
Commission in line with Article 8(2). The format was agreed with the Member States at the 
FLEGT  Expert  Group. To  facilitate  monitoring  of  the  FLEGT  licensing  scheme,  the  format 
includes  not  only  the  data  required  under  Article  8(1),  but  also essential  information  on  the 
key obligations of Member States under the  FLEGT Regulation  (e.g. designated Competent 
Authority/ies, penalties), as well as information on practical aspects of the implementation of 
the FLEGT licensing scheme.  

This report provides an analysis of the first annual reports submitted by the Member States on 
the  implementation  of  the  FLEGT  licencing  scheme  for  2016  and  covers  the  period  15 
November to 31 December 2016. The analysis provides a state of play of the implementation 
of the FLEGT Regulation across the EU and outlines conclusions and next steps.  

A more detailed analysis of the national reports has been prepared for the Commission by the 
consultant  UNEP-WCMC.  It  provides  further  details  and  is  available  on  the  Commission 
website4. 

1 OJ L 347, 30.12.2005, p.1. 
2 COM/2003/0251 final 
3 OJ L 277, 18.10.2008, p.23. 
4 http://ec.europa.eu/environment/forests/flegt.htm 

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2.  Background 

Illegal  logging  is  a  pervasive  problem  of  major  international  concern.  It  has  a  devastating 
impact on some of the world's most valuable remaining forests as well as on the people who 
live  in  them  and  who  rely  on  the  resources  that  forests  provide.  It  contributes  to  tropical 
deforestation  and  forest  degradation,  which  may  be  responsible  for  7  to  14%5  of  total  CO2 
emissions  from  human  activities;  it  threatens  biodiversity  and  undermines  sustainable  forest 
management  and  has  a  negative  impact  on  poverty  reduction,  sustainable  and  inclusive 
economic  growth  and  sustainable  development,  including  by  undermining  the  commercial 
viability of operators who do act in accordance with applicable legislation. 

The  2003  FLEGT  Action  Plan  sets  out  the  EU  response  to  tackle  illegal  logging  and 
associated  trade  by  improving  forest  governance,  strengthening  law  enforcement  and 
promoting trade in legally harvested timber and timber products.  

The establishment of a FLEGT licensing scheme to ensure that only legally harvested timber 
is  exported  from  countries  participating  in  the  scheme  is  one  of  the  main  elements  of  the 
FLEGT Action Plan. The FLEGT licensing scheme is implemented through the conclusion of 
VPAs with timber producing countries.  

Under  the  FLEGT  VPA,  exporting  countries  develop  systems  to  verify  the  legality  of  their 
timber  exports  to  the  EU  and  a  licensing  system  to  provide  assurance  that  timber  imported 
into  the  EU  has  been  harvested  in  compliance  with  the  legal  requirements  of  the  partner 
country, as set out in the relevant FLEGT VPA.  

The product scope of the FLEGT licensing scheme covers a core list of mandatory products, 
as  listed  under  Annex  II  to  the  FLEGT  Regulation,  as  well  as  additional  country-specific 
products to be listed in Annex III (in line with the product scope agreed in the relevant VPA). 

To date 6 VPAs have been concluded with Cameroon, the Central African Republic, Ghana, 
Indonesia, Liberia and the Republic of the Congo. Negotiations are ongoing with 9 additional 
partner  countries,  notably  Côte  d'Ivoire,  the  Democratic  Republic  of  the  Congo,  Gabon, 
Guyana, Honduras, Laos, Malaysia, Thailand, and Vietnam. 

The  FLEGT  VPA  between  the  EU  and  Indonesia  entered  into  force  on  1  May  20146.  It 
establishes  the  framework,  institutions  and  systems  of  the  FLEGT  licensing  scheme  for 
Indonesia. It sets out the supply chain controls, legal compliance framework and independent 
audit requirements of the system, termed the Timber Legality Assurance System (TLAS) or 
‘Sistem Verificasi Legalitas Kayu (SVLK)’ in Indonesian.  

Following the positive joint assessment of the Indonesian TLAS, Indonesia became the first 
country to operate a FLEGT licensing scheme as of 15 November 2016. In line with Articles 
10(1) and 10(3) of the FLEGT Regulation, the decision to start the operation of the FLEGT 
licensing  scheme  in  Indonesia  involved  the  amendment,  through  a  Commission  Delegated 
Regulation7, of Annex I and III to the FLEGT Regulation in order to include Indonesia and its 

5  https://ec.europa.eu/jrc/en/news/reporting-greenhouse-gas-emissions-deforestation-and-forest-degradation-pan-

tropical-biomass-maps. 

6  Further information on the EU-Indonesia VPA is available at: OJ L 150, 20.5.2014, p. 252   and OJ L 213, 

12.08.2015 p. 11.  

7   OJ L 223, 18.8.2016, p. 1.  

2 

 
 
                                                            
Licensing  Information  Unit  (LIU)  under  the  list  of  "Partner  countries  and  their  designated 
licensing  authorities"  contained in  Annex  I,  and  the  list  of  products  covered  by  the  FLEGT 
licensing  scheme  in  Annex  III  "Timber  products  to  which  the  FLEGT  licensing  scheme 
applies  only  in  relation  to  the  corresponding  partner  countries".  This  concerns  most  of  the 
products  covered  in  the  EU  Timber  Regulation  (EUTR)8,  as  well  as  furniture,  fuel  wood, 
wooden tools, wooden packing material, builders' joinery and carpentry of wood, wood pulp, 
paper and paper products, kitchen and tableware, and additional products, as per Annex I of 
the Indonesia-EU VPA9. Two types of products are excluded from the scope of the FLEGT 
licensing scheme for Indonesia: 1) Rattan or bamboo products, and 2) paper made from non-
wooden or recycled material. In addition, it should be noted that a number of products (e.g. 
logs), while covered in principle by the FLEGT licensing scheme, are prohibited from exports 
by Indonesian legislation and in line with Article 4 of the VPA cannot be covered a FLEGT 
licence and hence cannot be imported into the EU. 

To  support  the implementation of the FLEGT licensing  scheme in  the EU,  the Commission 
developed  an  IT  system  for  the  electronic  handling  of  FLEGT  Licences  by  the  Member 
States,  named  FLEGIT/TRACES10,  which  also  serves  as  a  central  repository  for  FLEGT 
licences.  The  Commission  also  published  in  2014  the  Customs  and  FLEGT  Implementation 
Guidelines11 to support customs in effectively carrying out their tasks in accordance with the 
FLEGT  Regulation. 
Point 
(www.flegtlicence.org)  was  developed  to  provide  relevant  information  for  operators  and 
FLEGT Competent Authorities (CAs) on the implementation of the FLEGT licensing scheme. 
Finally,  the  Commission,  in  line  with  Article  3(2)  of  implementing  Regulation  (EC) 
1024/2008, has provided the Member States with the names and other relevant details of the 
Licensing  Authorities  designated  by  Indonesia,  authenticated  specimens  of  stamps  and 
signatures for each Licensing Authority, and specimens of the FLEGT licence template used 
by Indonesia. 

Furthermore, 

Information 

Licence 

FLEGT 

the 

3.  Analysis of FLEGT annual reports 

In line with Article 8 of the FLEGT Regulation, Member States are required to submit by 30 
April  annual  reports12  on  the  implementation  of  the  FLEGT  licensing  scheme,  covering  the 
previous  calendar  year.  The  annual  reports13  submitted  by  Member  States  provide  an 
important  mechanism  for  the  Commission  to  monitor  the  implementation  of  the  FLEGT 
Regulation. They also provide a basis for information sharing among Member States and with 
other stakeholders, and support the identification of developments, trends, gaps or challenges, 
as well as possible solutions.  

8   OJ L 295, 12.11.2010, p. 23.  
9   OJ L 187, 15.7.2015, p. 30. 
10   FLEGIT/TRACES  is  a  web  application  -  a  component  of  the  TRACES  NT  system  (TRAde  Control  and 
Expert  System,  New  Technology)  - and  can  be  used  by  EU  importers  and  their  agents,  the  Member  State 
FLEGT  Competent  Authorities  and  the  EU  customs  for  the  electronic  verification  and  management  of 
FLEGT Licences in a quick and secure way. Twenty-one (21) Member States use FLEGIT, while 4 Member 
States  (Bulgaria,  Lithuania,  Latvia  and  Luxemburg)  do  not  currently  use  any  electronic  system.  Three  (3) 
Member  States  (UK,  Netherlands  and  Spain)  have  developed  their  own  national  systems  for  the  electronic 
management  of  FLEGT  Licences. In  the  future  all  national  systems  are  expected  to be  interconnected  with 
FLEGIT. 

11  OJ C 389, 4.11.2014, p. 2. 
12  Using a reporting form established by the Commission in line with Article 8(2) of the FLEGT Regulation. 
13  http://ec.europa.eu/environment/forests/flegt.htm  

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This  annual  synthesis  report  prepared  in  line  with  Article  8(3)  is  based  on  information 
provided  by  the  Member  States  in  their  2016  annual  reports,  covering  the  period  15 
November  to  31  December  2016;  15  Member  States  submitted  their  reports  within  the 
deadline, whereas 13 submitted their reports after the deadline.  

4.  Implementation state of play 

The  FLEGT  Regulation  requires  Member  States  to  designate  CA  or  CAs  and  to  adopt 
effective,  proportionate  and  dissuasive  penalties  to  enforce  the  Regulation.  The  national 
reports  provide  an  overview  of  the  status  of  national  implementation,  and  are  a  means  of 
assessing the level of consistency achieved across Member States.  

4.1 Designation of Competent Authorities 

In accordance with Article 7(1) of the FLEGT Regulation, all Member States have designated 
a CA or CAs14 and all but 1 (Portugal) reporting Member States provided information on the 
legislating act designating the CAs.  

In  7  Member  States,  the  customs  authority  has  been  designated  as  the  CA  for  FLEGT 
licensing,  or  as  part  of  the  CA.  In  21  Member  States  customs  and  the  CA  are  separate 
authorities.  In  these  Member  States  it  is  important  that  arrangements  are  in  place  to  ensure 
that  the  authorities  are  able  to  cooperate  effectively  on  the  processing  of  FLEGT  licences, 
with the CA able to delegate relevant tasks to customs and obtain the information required to 
verify  that  a  FLEGT  licence  corresponds  to  a  given  shipment.  This  delegation  has  been 
established in all but 1 (Belgium) of these Member States. Some Member States nevertheless 
reported that cooperation between different agencies could be further improved. 

4.2  Quantities of timber imported and related number of FLEGT Licences  

In  line  with  Article  8(1)  of  the  FLEGT  Regulation,  Member  States  should  report  for  the 
previous calendar year in particular on the following: 

(a)  quantities  of  timber  products  imported  into  the  Member  State  under  the  FLEGT 
licensing  scheme,  as  per  HS  Heading  specified  in  Annexes  II  and  III  and  per  each 
partner country; 

(b) the number of FLEGT licences received15, as per HS Heading specified in Annexes II 

and III and per each partner country; 

(c)  the number of cases and quantities of timber products involved where Article 6(1) has 

been applied16  

It is worth noting that Member States appear to have interpreted the information that should 
be reported on the number of licences and on the quantities on this section differently.  

14  See http://ec.europa.eu/environment/forests/pdf/list_competent_authorities_flegt.pdf  
15  i.e. the number of licences lodged with the CA 
16   i.e. acting in accordance with national legislation in cases of shipments not covered by a FLEGT 

licence 

4 

 
 
 
 
                                                            
Number of licences 

In 2016, 16 of the 28 Member States received FLEGT licences, with the numbers of licences 
varying considerably across Member States (Figure 1). A total of 591 licences were reported 
to have been received. 

Some  Member  States  reported  each  licence  separately  and  highlighted  those  licences  that 
included  more  than  one  Harmonised  Commodity  (HS)  code.  Others  reported  by  HS  code, 
combining  the  quantities  included  on  different  licences.  As  the  latter  approach  results  in 
double-counting of some licences, Member States were contacted to confirm the total number 
of  licences  received  in  2016;  all  concerned  Member  States  replied  to  confirm  the  total 
number.  

Figure 1: Number of FLEGT licences received in 2016. 

Quantities imported 

Member States reported imports of more than 13 600 tonnes of FLEGT-licensed timber over 
the  reporting  period.  The  main  product  categories  imported17  included  furniture  (HS  9403), 
paper  products  (HS  4802),  joinery  and  carpentry  timber  (HS  4418),  plywood  and  similar 
products  (HS  4412)  and  ‘continuously  shaped’  wood  (HS  4409)  (Figure  2).  The  main 
importing Member States for these products are shown in Figure 3.  

17  France and the United Kingdom also reported receiving licences under HS code 4420 (4420.10, ornaments), 
  which is not within the scope of the VPA and no FLEGT licences are required. 

5 

 
 
 
 
                                                            
Figure 2: 

Imports of FLEGT-licenced products from Indonesia into the EU in 2016 reported by weight (kg), 
by HS code (see Annex A for full description of the HS codes). 

6 

 
 
 
 
 
Figure 3:  Main EU importing Member States for the 6 main FLEGT-licenced product groups from Indonesia 

into the EU in 2016, as reported by weight (kg) (see Annex A for full description of the HS codes). 

Some Member States reported on the basis of the quantities in the FLEGT licences, whereas 
others reported on the basis of the quantities in the customs declarations18. Given that, for a 
variety of reasons, there might be some discrepancies between the quantities reported in the 
FLEGT  licence  and  the  quantities  in  the  customs  declarations,  the  two  different  approaches 
lead to data not always being comparable. Under the former approach, licences approved in 
late  2016  are  counted  towards  the  totals  imported  in  2016  (“year-end  trade”)  even  if  the 
shipment  was  only  cleared  by  customs  in  2017,  whereas  under  the  latter  approach,  the 
corresponding quantities would be  counted for 2017. Article 8(1) of the FLEGT Regulation 
specifies  that  Member  States  should  be  reporting  on  the  quantities  of  timber  products 
imported;  the  discrepancies  in  reporting  appear  to  stem  from  different  interpretations  of  the 
Regulation and the reporting template.  

Cases of shipments not covered by a FLEGT Licence 

In  2016,  all  relevant  shipments  from  Indonesia  were  covered  by  valid  FLEGT  licences  and 
none  of  the  Member  States  applied  Article  6(1)  of  the  FLEGT  Regulation,  i.e.  no  penalties 
were issued or other action taken in accordance with national legislation in force.  

4.3 Further verification of shipments 

According  to  Article  5(4)  of  the  FLEGT  Regulation,  the  CAs  shall  decide  on  the  need  for 
further  verification  of  shipments  using  a  risk-based  approach.  Provisions  are  in  place  in  17 
Member  States  as  to  which  agency  is  to  carry  out  further  verification  on  FLEGT-licensed 
shipments as and when required (Annex B, Table 1). Member States reported using a number 
of risk criteria to establish whether additional verification of a shipment is needed, including 
in  cases  of  mismatches  between  the  FLEGT  licence  information  and  other  documentation, 
such as invoice, bill of lading and customs clearance information (Annex B, Table 1). 

Arrangements for assistance with timber identification by experts have been put in place by 
12  Member  States  and  3  more  Member  States  reported  to  be  preparing  arrangements;  10 

18  For Italy, it is unclear whether the reported quantities are based on actual imports or those included on the 

licences, although the latter appears to be the case.  

7 

 
 
 
                                                            
 
Member  States  do  not  have  any  arrangements  in  place  and  3  Member  States  have  not 
provided information.  

Concerning the 591 FLEGT-licensed shipments reported to have been imported into the EU in 
2016, 3 Member States carried out physical checks of FLEGT shipments: Cyprus (3 checks), 
Italy  (8  checks)  and  the  United  Kingdom  (1 check).  Of  the  remaining  Member  States,  23 
confirmed  that  no  physical  checks  were  carried  out  while  2  Member  States  (Romania, 
Slovenia) did not specify whether physical checks had been carried out.  

4.4 Fees for processing FLEGT licences  

Member States may charge fees for the processing of FLEGT licences, as per Article 5(6) of 
the  FLEGT  Regulation  and  5  Member  States  reported  doing  so  –  with  fees  ranging  from 
around  EUR  11  to  up  to  EUR  39019  –  whereas  23  Member  States  reported  not  currently 
charging fees20 (Annex B, Table 2).  

4.5 Penalties 

In line with Article 5(8) of the FLEGT Regulation, "each Member State shall determine the 
penalties to be imposed where the provisions of this Regulation are infringed. Such penalties 
shall be effective, proportionate and dissuasive." None of the Member States reported having 
imposed any penalties related to infringements of the FLEGT Regulation in 2016.  

The  national  reports  of  19  Member  States  contained  information  on  the  range  of  potential 
penalties.  For  the  remaining  9  Member  States,  information  was  obtained  through  direct 
contact  with  the  CAs.  Administrative  charges  were  reported  to  be  imposed  by  6  Member 
States,  8  reported  that  they  may  impose  criminal  charges,  and  14  reported  that  they  may 
impose  both  types  of  charges.  Potential  fines  range  from  as  little  as  EUR30  to  as  high  as 
EUR24 million, and imprisonment was confirmed to be a possible penalty for infringement in 
16 Member States (Annex B, Table 3). 

In  line  with  Article  5(7)  of  the  FLEGT  Regulation,  customs  may  suspend  the  release  of  or 
detain timber products where they have reason to believe that the licence may not be valid and 
25 Member States reported that they may seize timber products (Figure 4). Cyprus, Germany, 
Portugal, Slovakia and Sweden specified that confiscated goods are disposed of by either one 
or more of the following: selling or destroying the shipment or by returning the shipments to 
the  country  of  origin.  In  Italy,  confiscated  goods  can  be  used  for  educational  or  scientific 
purposes, sold by public auction or destroyed. 

19  Finland has since reduced this fee to € 70 per FLEGT licence as from the 1st of January 2018. 
20  Belgium reported that it is currently considering introducing fees of approximately € 50 per licence. 

8 

 
 
                                                            
A)                                                            B) 

Figure 4: (A) Number of Member States where confiscation of timber goods is a possible penalty and (B) details 

of which authority is responsible for the disposal of seized goods21 

4.6 Implementation Challenges 

Member States reported also some technical issues and challenges regarding the verification 
of  certain  FLEGT  licences  which  required  further  verification  and  communication  with  the 
Indonesian  authorities  to  obtain  additional  information.  This  was  particularly  due  to  some 
cases of mismatching information on FLEGT licences compared to customs declarations (e.g. 
different  HS  code  classification,  inconsistent  weights  or  volumes,  different  timber  species, 
etc.) related for instance to mistakes in compiling the FLEGT licence, diverging opinions of 
Member  States  and  Indonesian  customs  authorities  on  the  correct  classification  of  certain 
goods, or last minute changes to the configuration of certain shipments not properly reflected 
in  the  FLEGT  licence.  Furthermore,  timely  exchange  of  information  between  EU  and 
Indonesian authorities was identified as an area for improvement. 

5. Conclusions 

This first report covers a limited period of time (15 November to 31 December 2016) and a 
limited  number  of  FLEGT  licences  (591).  Nevertheless,  it  shows  that  all  required  measures 
were put  in place  by the Commission  and the Member States  for the implementation of the 
FLEGT licensing scheme, including the designation of CAs, the development of arrangements 
for cooperation with customs authorities where needed, and the setting out of provisions for 
penalties for infringement of the FLEGT Regulation.  

The  information  reported  by  the  Member  States  suggests  that  all  relevant  shipments  from 
Indonesia were duly covered by FLEGT licences and there were no cases in which penalties 
were  issued  or  other  enforcement  measures  were  taken  to  deal  with  shipments  not 
accompanied by a FLEGT licence.  

Considering that the FLEGT licensing scheme became operational for the first time in 2016 
and  represented  a  novelty  for  private  sector  operators  and  authorities  both  in  the  EU  and 

21  Some Member States have more than one agency responsible for disposal of goods 

9 

 
 
                 
 
 
                                                            
Indonesia,  it  can  be  concluded  that  implementation  of  the  scheme  has  progressed  well. 
Nevertheless, 
implementation  challenges  have  been  highlighted  by  Member  States 
particularly in relation to cases of mismatching information on FLEGT licences compared to 
customs declarations and timely communication with the Indonesian authorities.  

6. Next Steps 

The  Commission  will  continue  to  work  in  cooperation  with  Member  States  towards  a 
consistent  application  of  the  FLEGT  Regulation  across  the  EU,  including  by  developing 
additional  guidance  documents  or  revising  the  Customs  and  FLEGT  Implementation 
Guidelines, where necessary, in the light of the experience to date. The Commission will also 
continue  to  work  on  the  further  improvement  of  the  FLEGIT/TRACES  IT  system,  and  to 
cooperate  on  data  exchange  with  Member  States  that  have  developed  their  own  national 
systems.  

In parallel, the Commission will continue to work closely with the Indonesian authorities to 
address  the  issues  and  challenges  identified  above  as  part  of  the  broader  discussions  on  the 
implementation  of  the  EU-Indonesia  FLEGT  VPA  and  monitoring  of  its  impacts.  The 
Commission  will  also  continue  to  explore  with  Indonesia  the  possible  integration  of  the 
respective IT systems and the possibility to move in the long-term towards a fully electronic-
based licensing system. 

The wide range in the fees set up by Member States for the handling of FLEGT licences may 
reflect different administrative costs associated with the processing of the FLEGT licenses, or 
different  estimations  of  the  related  workload.  The  Commission  will  promote  a  discussion 
among Member States on the subject.  

Finally,  this  first  reporting  exercise  has  allowed  the  identification  of  several  areas  for 
improvement in the reporting format. The reporting format for 2018 will, therefore, be revised 
in order to clarify the information to be provided by the Member States in relation to Article 8 
of the FLEGT Regulation.  

10 

 
 
 
Key to Harmonised System (HS) codes of FLEGT products imported in 2016 

Annex A 

HS code 
Ex. 4407 

4408 

4409 

4412 
4414 
4415 

4416 

4417 

4418 

Details  
Wood sawn or chipped lengthwise, sliced or peeled, planed, sanded or end-jointed, of a thickness exceeding 
6 mm.   
Sheets for veneering (including those obtained by slicing laminated wood), for plywood or for similar 
laminated wood and other wood, sawn lengthwise, sliced or peeled, whether or not planed, sanded, spliced or 
end-jointed, of a thickness not exceeding 6 mm 
Wood (including strips and friezes for parquet flooring, not assembled) continuously shaped (tongued, 
grooved, rebated, chamfered, V-jointed, beaded, moulded, rounded or the like) along any of its edges, ends or 
faces, whether or not planed, sanded or end-jointed. 
Plywood, veneered panels and similar laminated wood 
Wooden frames for paintings, photographs, mirrors or similar objects (not from bamboo nor rattan) 
Packing cases, boxes, crates, drums and similar packings, of wood; cable-drums of wood; pallets, box pallets 
and other load boards, of wood; pallet collars of wood (not from bamboo nor rattan) 
Casks, barrels, vats, tubs and other coopers' products and parts thereof, of wood, including staves (not from 
bamboo nor rattan) 
Tools, tool bodies, tool handles, broom or brush bodies and handles, of wood; boot or shoe lasts and trees, of 
wood (not from bamboo nor rattan) 
Builders' joinery and carpentry of wood, including cellular wood panels, assembled flooring panels, shingles 
and shakes (not from bamboo nor rattan) 
Tableware and kitchenware, of wood (not from bamboo and rattan) 

4419 
Ex. 4420.90   Wood marquetry and inlaid wood; caskets and cases for jewellery or cutlery, and similar articles, of wood.  
Ex. 4421.90  Other articles of wood  

Other - Match splints (not from bamboo nor rattan) and - Other - Wooden paving blocks (not from bamboo 
nor rattan)  
Uncoated paper and paperboard, of a kind used for writing, printing or other graphic purposes, and non- 
perforated punch-cards and punch tape paper, in rolls or rectangular (including square) sheets, of any size, 
other than paper of heading 4801 or 4803; hand-made paper and paperboard (not from non-wooden nor 
recycled material) 
Uncoated kraft paper and paperboard, in rolls or sheets, other than that of heading 4802 or 4803 (not from 
non-wooden nor recycled material) 
Paper and paperboard, coated on one or both sides with kaolin (China clay) or other inorganic substances, 
with or without binder, and with no other coating, whether or not surface-coloured, surface-decorated or 
printed, in rolls or rectangular (including square) sheets, of any size (not from non-wooden nor recycled 
material) 
Envelopes, letter cards, plain postcards and correspondence cards, of paper or paper board; boxes, pouches, 
wallets and writing compendiums, of paper or paperboard, containing an assortment of paper stationary (not 
from non-wooden nor recycled material) 
Seats (other than those of heading 94.02), whether or not convertible into beds, and parts thereof 
Other furniture and parts thereof 
Prefabricated buildings 

4802 

4804 

4810 

4817 

9401 
9403 
9406 

11 

 
 
Table 1: Provisions and criteria used to determine the need for additional checks on shipments 

Annex B 

Authority to 
perform 
checks was 
designated 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 
 
 

Country  
Austria 
Belgium 

Bulgaria 
Croatia 
Cyprus 
Czech Rep. 
Denmark 
Estonia 
Finland 
France 
Germany 
Greece 
Hungary 
Ireland 
Italy 
Latvia 
Lithuania 
Luxembourg 
Malta 
Netherlands 
Poland 
Portugal 
Romania 
Slovakia 
Slovenia 

Spain 
Sweden 
United 
Kingdom 

Criteria used to determine need for additional checks 

Document 
irregularities 

General 
customs risk 
assessment 

Risk 
assessment 
(e.g. origin, 
importer) 

Random 
checks  Other 

Mismatch of 
licence and 
shipment 
documents 
 

 

 

 
 
 

 

 

 

 

 
 

 
 

 

 

 

 

 

 

 

 
 

 

 

 

 

Intelligence on importer or 
shipment 

All shipments are checked 

Criteria not specified 

 

 

 

 

Substantiated concerns 
Criteria not specified 
Criteria in FLEGT Reg. apply 
Criteria not specified 
*every 25th shipment checked 

* 

Criteria not specified 

Criteria being developed. 
Criteria in FLEGT Reg. apply 

Intelligence on importer or 
shipment 

 

 

 

Table 2: Approximate levels of fees and basis of calculation for those Member States charging importers 
for the processing of FLEGT licences 

Country 

Fees per FLEGT licence 

Austria 
Finland 
Greece 
Italy 

€ 105.90 
€ 390* 
€ 100 
€ 50 

United Kingdom  £9.60 [€ 11.33] 

Basis for calculation 
Based on number of imports in the last 1.5 years, time for processing 
licences and the estimated duration and costs of physical checks. 
Based on cost recovery. 
Not specified 
Based on 2h work to validate the licence by the CA.  
Based on number of imports in the last 7 years, expected trade levels 
and cost recovery for CA/customs/Border Force; remains under 
review. 

*Finland has since reduced the fee to € 70 per FLEGT licence as from the 1st of January 2018 

12 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Country 
Austria 
Belgium 
Bulgaria 

Croatia 
Cyprus 
Czech Rep. 

Denmark** 
Estonia** 

Finland 
France 
Germany 

Greece 

Hungary** 
Ireland** 
Italy 
Latvia** 
Lithuania 
Luxembourg 

Malta 

Netherlands** 
Poland 
Portugal** 

Table 3: Overview of penalties that can be imposed nationally for infringements of the FLEGT Regulation 

Criminal/ 
Administrative* 

A 
A & C 
[A & C] 

C 
[C] 
A 
A & C 

A & C 

Financial sanctions 
€15 000; €30 000 for intent or repeated infringement 
€480 -1 200 000 (Administrative); €960 - 24 000 000 (Criminal) 
[€260-5110] BGN 500 - 10 000 (more severe penalty possible) 

Imprisonment 
Not specified 
Criminal: 8 days - 3 years  
Not specified 
Not specified 

[€1340 – 20 100] HRK 10 000-150 000  
€40 000 
[€150 400] CZK 4 000 000  
No minimum or maximum set in legislation – level determined by the court; 
seizure of goods 
Up to €3200 

Up to 2 years 
Not specified 
No minimum or maximum – level determined 
by the court 
Up to 5 years 

Legal basis 
Law “Holzhandelsüberwachungsgesetz” (BGBl. I Nr. 178/2013) 
Law of 21 December 1998 on product norms – environmental law 
Forestry Act 
Law on the Implementation of the European Union Decree on Trade in 
Illegally Cutting of Wood and Products of such Wood 
Law 125(I)/2010 
Tariff Act No. 242/2016 

Legal Act of 18. Feb. 2013 no. 169 
Estonian Penal Code 

C 
[ A & C ] 
A 

Case dependant 
1-2 x the value of the goods; seizure of goods/associated objects 
€50 000 

Up to 4 years 
Up to 3 years 
Not specified 

A & C 
A & C 

A & C 
A & C 
A & C 
A 
A & C 

C 
C 

A 
A & C 

€50 

[€323 – 3227] HUF 100 000 - 1 000 000 (administrative) 

Up to €250,000 
€2000 - 50 000 
Not specified;  seizure of goods 
€30 – 6 000 
251 – 250.000 euros 
€1500 – 25 000 (first conviction); €2 500 – 50 000 (subsequent convictions); 
seizure of goods 
Up to €8100; seizure of goods 

2x the value of the goods 
Up to €165,000; seizure of goods  
€950- 1500 (marketing of illegal timber/timber products); €3300-5000 
(import, transport, possession and/or processing/marketing of FLEGT 
products); €250 (failure to submit a FLEGT licence)  
Up to €99 581.75; confiscation of the goods 

1-6 months (obstruction of inspection); 
2 months - 2 years (possession/trafficking)  
Activity without permission up to 3 years 
(criminal) 
Up to 1 year 
1 month - 1 year  
Not specified 
Not specified 
8 days - 1 month 

30 days - 2 years 
Not applicable 

Not specified 
Up to 3 years 

Not specified 
Not specified 

Romania 
Slovakia** 

[ A & C ] 
C 

Slovenia 

A 

Spain** 
Sweden 

[ A & C ] 
C 

€1000- 20 000 
€500 – 350% of the value of the goods (administrative). Up to 6 times the 
value of the goods, confiscation of the goods and cancellation of right to 
import (criminal) 
Not specified 

Up to 5 years 

Up to 2 years 

United 
Kingdom 
 *  
**   Based on information submitted to the Commission in 2014 and/or further clarification sought directly from Competent Authorities 

[€23 300] £20 000 or 3x the value of the goods (whichever is greater); 
conviction on indictment: penalty of any amount 

Information that was not clearly specified by Member States, but which was inferred based on their replies, is indicated in square brackets “[….]”. 

6 months; conviction on indictment: up to 3 
years  

[ A & C ] 

Law “FLEGT-lupajärjestelmästä” 1425/2014; Criminal Code 39/1889 
National customs code 
Law “Holzhandels-Sicherungs-Gesetz” 

Law 86/1969 and Law 2637/1998; Joint Ministerial Decision 
135279/159/2016/(A' 83) 
Hungarian Criminal Code (Act C of 2012), Hungarian Customs Code (Act 
XIII of 2016), Decree No. 11/2016 (IV. 29) of NGM  
Statutory Instrument S.I.  No. 251 of  2015 
Legislative decree No. 178/2014 (D. Lgs. 30-10-2014 No. 178)  
Administrative violations code and Criminal law 
Code of Administrative Infringements of the Republic of Lithuania 
Law “Loi du 21 juillet 2012 (CE) n°2173/2005” 
S.L. 549.95 Forest Law Enforcement, Governance and Trade Licensing 
Scheme Regulations 

Customs law and Customs regulation  
Act on forests of 28 September 1991 (Official Journal of 2017, 788) 
General Law (No 15/2001) on tax offences 

Law no. 171/2010 regarding the establishment and sanctioning of forest 
contraventions 
Customs Act (Act No 199/2004) 
Regulation on the implementation of Regulations (ES) on the 
establishment of a FLEGT licensing scheme for imports of timber the 
European Community (Official Journal No 77/2012) 
Ley Orgánica 12/1995, de 12 de diciembre, and Ley Orgánica 6/2011, de 
30 de junio, por la que se modifica la Ley Orgánica 12/1995, de 12 de 
diciembre, de represión del contrabando 
Reg. 2012:30; Reg. 2000:1225 

The Customs and Excise Management Act (CEMA) 1979 

13