The FSC international board of directors has now agreed to enter negotiations with the company about final steps it needs to take to regain its certification, which was withdrawn a year ago over alleged breaches of its rules by former Danzer subsidiary SIFORCO in the Democratic Republic of Congo.
The new move follows a review by the Forest Peoples Programme (FPP) of the changes Danzer had already made in its work and management practices to secure reassociation. This concluded that "certain outcomes" from policy changes had not completely materialised, but went on to recommend Danzer’s reassociation if it committed to take the additional measures required.
However, the FSC board decided that reassociation had to be "unconditional" and opted for the roadmap route instead.
"I’m disappointed FPP’s recommendation that we regain our FSC certification while we make the final necessary adjustments was not accepted, but it is a very positive development which underlines the effort we’ve made to ensure reassociation and shows we are hopefully not far off achieving it," said Mr Walsh. "The FPP report showed we’ve got robust systems in place to meet FSC criteria and that’s a testimony to the hard work everyone has put into this process."
Losing its FSC certification had impacted on Danzer.
"We can’t quantify it in terms of business lost," said Mr Walsh. "In the UK we were ahead of the budget we set last year, prior to disassociation but who’s to say we might not have gained more sales with FSC material? It’s impossible to know. However, whilst the trade remains totally supportive, there has been some reputational damage and it’s important we repair that."
The Danzer Group, he added, was committed to legality and sustainabilty certification worldwide.
"The vast majority of our timber from higher risk areas is third-party certified, under PEFC, FSC or legality verification schemes," he said.
FSC said that once the reassociation roadmap was agreed with Danzer, FPP would monitor its implementation.
"We haven’t got a time scale, but clearly want to progress this as quickly as possible," said Mr Walsh.
Route for WWF Global Forest Trade Network return
After Danzer’s loss of its FSC certificate, its Congo Brazzaville subsidiary IFO’s membership of the WWF Global Forest Trade Network (GFTN) was also ended. Danzer Group’s own five-year participation in the Network was ended in 2012 following the sale of its SIFORCO operation in Democratic of Congo.
However, GFTN UK manager Julia Young said that the company and subsidiaries could reapply to join once its FSC certification was restored.
"It would not be automatic, we would also put them through our own due diligence process," she said. "But we do want companies on board that have shown commitment to certification, particularly in the Congo region, which continues to have significant legality and sustainability issues."
Danzer is a long-established operator in Africa and a certification pioneer in West Africa.
Its Congo Brazzaville subsidiary IFO achieved FSC certification for over 1m ha of forest concession in 2009, making it the biggest FSC-accredited timber operation in the region.
Since the suspension of its FSC certificate, the Danzer Group says its timber from West Africa has continued to satisfy the requirements of the EU Timber Regulation as it is also certified legal under the by SGS Timber Legality and Traceability Verification (TLTV) Scheme.