Indonesian Forestry Sector Sets Out Eight Practical Steps to Achieving 'World-Class' Production

JAKARTA, 2012, March 26 – All major trade associations representing the forestry sector have together launched a declaration outlining the eight practical steps required to be undertaken by industry, stakeholders and international trade partners to achieve world-class timber production and trade standards through implementation of the Wood Legality and Verification System (SVLK).

The declaration was agreed at a formal ceremony in Jakarta on March 20th during the 2nd High Level Market Dialogue 2012.  The introduction of SVLK in Indonesia will ensure that only wood products verified as legal will enter the market.  At the event, the forestry associations pledged to fully support the Government of Indonesia’s efforts to:

1. Engage with all stakeholders from across the forest industry’s multi-layer supply chains to help finalize and implement full SVLK compliance.

2. Encourage an examination of the desirability of adopting a phased approach to SVLK implementation across the industry to ensure a successful transition to full compliance of all companies, thereby mitigating possible production, trade and market disruption.

3. Assist (i) small to medium sized companies, (ii) companies operating in remote areas, and (iii) community based companies to be fully SVLK compliant in line with the Government of Indonesia’s sustainable forestry development plan.

4. Work with foreign countries to build and strengthen an efficient mechanism to promote legal wood product and avoiding unnecessary administrative and financial impact on verified legal Indonesian timber and timber-based producers.

5. Encourage foreign countries to ensure consistency of policy application, encourage national public procurement policies to prioritize verified legal products and to support the introduction of the same high standards across the private sector.

6. Communicate and promote SVLK to global stakeholders consistently as the highest standard to verify legality and as the foundation for the sustainable forest management certification scheme in Indonesia (PHPL/SFM).

7. Encourage a reciprocal responsibility on the part of VPA partners and also the wider international community to ensure only wood products that are verified as legal enter the market.

8. Seek active participation in process to implement the VPA such as the Indonesia/EU Joint Participatory Committee.

Trade associations present at the signing of the declaration were: GPEI (Indonesian Exporters Association), MPI (Indonesian Forestry Community), APHI (Association of Indonesian Forest Concessionaires), APKINDO (The Indonesian Wood Panel Association), ISWA (The Indonesia Sawmill & Woodworking Association), APKI (The Indonesian Pulp & Paper Association) and ASMINDO (The Indonesian Furniture Industry & Handicraft Association).

Aida Greenbury, Managing Director, Sustainability and Stakeholder Engagement, Asia Pulp & Paper (APP) said: “As an active member of the forestry associations, APP fully supports the declaration, which is focusing on a multi stakeholder approach to providing assistance to smaller, community-based and geographically remote companies as well as to ensure a sustainable implementation of the SVLK.  APP finalised its SVLK audit preparation earlier this year and the full audit will be rolled out in April 2012 with a target for finalisation in the first quarter of 2013.

About SVLK:
Wood Legality Verification System (SVLK) is Indonesia’s chain of custody certification programme, enacted in 2009.  This system ensures that wood products exported from the country are legal and traceable to verified points of origin. SVLK is designed to ensure that the industry will only receive and process timber from legal sources according to the regulations of Indonesia.  The regulations cover aspects of licensing, harvesting, transporting and processing for the industry.  SVLK is an important step in the effort to achieve full Sustainable Forest Management (SFM) certification.

About APP: 
Asia Pulp & Paper Group (APP) is a brand umbrella for paper products which are produced by several mills in Indonesia such as PT Indah Kiat Pulp & Paper Tbk, PT Pindo Deli Pulp & Paper Mills, PT Pabrik Kertas Tjiwi Kimia Tbk, PT Lontar Papyrus Pulp & Paper Industries, and PT Ekamas Fortuna. APP is headquartered in Indonesia and markets its product to more than 120 countries. Most of APP’s production facilities are Chain-of-Custody certified by LEI and PEFC. APP supports several main conservation initiatives, including a 178,000 hectare Biosphere Reserve in Giam Siak Kecil – Bukit Batu and an area of 106,000 hectare for the Senepis Tiger Sanctuary. Both are located in the province of Riau, Sumatera. Other APP wildlife preservation initiatives include the support of the Kutai Orangutan Program in Kalimantan and the conservation of the Javan Rhino in Ujung Kulon National Park.

For more information or comment, please contact:

Redita Soumi, APP Indonesia
E: redita_soumi@app.co.id

North America
Naomi Bata, Cohn & Wolfe
T: +1 312 596 3332
E: naomi.bata@cohnwolfe.com

UK Cohn & Wolfe
T: +44 7331 5246
E: app.ukteam@cohnwolfe.com

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