Timber Regulation Enforcement Exchange. Presentation from the Spanish Timber Trade Federation

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1 Timber Regulation Enforcement Exchange Presentation from the Spanish Timber Trade Federation Alberto Romero AEIM. General Secretary. Valencia, 23, October, 2017.

2 Main points of the presentation 1º) Aeim. Brief presentation. 2º) EUTR figures in Spain º) Brief overview of AEIM work in developing standards/tools for EUTR compliance. 4º) Collaboration with other Federations accross the EU to support consistency. 5º) AEIM. Due Diligence System update. 6º) Risk assessment&mitigation. Country expert reports.

3 1º) Aeim. Brief presentation. Since 1957 AEIM: 112 Member companies. In all regions of Spain. With the objective of long-term continuity and environmental commitment 96 - Distributors. - Manufacturers Agents - Sales Offices

4 AEIM Objectives in environmental Promoting timber, (from legal and sustainable sources), for a more sustainable and healthier world.

5 2º) EUTR figures in Spain In value /CIF. (Source: Spanish Customs ) EUTR 2016 (IN VALUE) Spain imported products under EUTR in 2016 to an amount of more than Mill. Sawn Timber Panels Veneers Joinery products Wooden furniture&parts Wood pulp Paper&paperboard Other products Total Other products 4% Paper & paperboard 58% Sawn Timber 5% Panels (Fireboard, Particle board, Plywood) 5% Wood pulp 14% Veneers 2% Joibery products 2% Wooden furniture&parts 10%

6 EUTR figures in Spain In value /CIF. Timber products only. (Source: Spanish Customs) Sawn timber Particle&OSB boards Fiber boards Plywood Veneers Joinery products Wooden furniture&parts Other products Total Other products 15% Wooden furniture & parts 35% EUTR 2016 (only timber products) Sawn timber 17% Particle & OSB boards 7% Veneers 7% Fiber boards 9% Plywood 4% Joinery products 6% EUTR products Only timber products. Not including paper&paperboard.

7 3º) Brief overview of AEIM work in developing standards/tools for EUTR compliance FLEGT Previous customs control. (Like CITES) EUTR SELF REGULATION DUE DILIGENCE SYSTEM (DDS) LEGALITY COMPLIANCE

8 AEIM. Some milestones towards timber legality and sustainability. Progress. 2005: First Code of Good environmental practices. (Assessed by Rainforest Alliance in : Responsible purchasing policy. 2012: Due Diligence System (Legality) : Policy Plan. Commitments on Legality+Sustainability of timber imports

9 4º) Collaboration with other federations accross the EU to support consistency. Since Working on harmonization of DDS Systems among organisations, members of the European Timber Trade Federation (ETTF) * * * * * Also managing Monitoring Organisations (EUTR)

10 ETTF members collaboration. Some specific projects. ETTF News Autumn Opening a door to due diligence data The TTP features 23 country profiles detailing supplier forestry rules and contacts Central information point, where you can find country profiles on both timber industry and legislation of producer countries. Joint project of: A questionnaire has gone to ETTF and ATIBT members asking for input to steer further development of the relaunched Timber Trade Portal (TTP) due diligence aid and business contact website. Benoit Jobbé-Duval Report guides Brazilian due diligence Spanish Timber Trade Association AEIM s EUTR has produced a preliminary risk assessment report on sourcing from Brazil. The document, which was presented to the that must accompany Brazilian sawn timber aligned due diligence system. The report breaks Brazil into three areas; risk assessment documentation is covered Brazil is rated very timber supplier after Cameroon, on which AEIM commissioned a similar risk assessment and due diligence report last year. In 2016 it imported 10,312m3 of Brazilian sawn lumber, worth 6.1m. While addressing illegality risk, the AEIM the Brazilian Environment Institute (IBAMA) to tackle illegal trade, and the development Products Origin (SINAFLOR), its timber supply chain tracking database. US white oak has been put to ground-breaking use, formin of a new stand at Lord s stadium in London, iconic home of The 11 cantilevered beams, up to 23m long and weighing up to 4 tonnes, comprise the principal supporting element of a high-tech fabric and steel canopy. beams wer Testing Inst The new specialist a

11 Other relevant collaborations in the EU and worlwide. Policy Plan EUTR Due Diligence Workshops: Amsterdam (April, 2017) Prague (November, 2017) AEIM joined FLI in 2015 Latin America Summit. November, 2017

12 5º) AEIM Due Diligence System update. Access to information. Reports from independent international organizations to tackle illegal logging Exchange of information among ETTF members On EUTR enforcement in EU: * Inspections. * Infringement procedures. * Sanctions Close collaboration among Timber Trade Federations, Monitoring Organizations and Competetent Authorities (EUTR)

13 6º) Risk assessment&mitigation. Country experts reports. wwww.maderalegal.info First Stage. Country/risk Risk assessment of 110 countries: According to the origin (forest) of the timber products. The website for EUTR compliance Second Stage. Product/risk Depending on the complexity of the supply chain Simple products (one component) Less risk. Sawn timber Veneers Complex products. (Various components / Difficulty in traceability) Higher risk. Wooden furniture Plywood Multilayer parquet

14 Spain. Main products under EUTR from risk areas. According to AEIM DDS In value Euros/CIF. (Source: Customs) Risk Countries Total (Import (Value 1000 ) Value1000 ) Paper & Paperboard , ,10 Wood pulp , ,51 Wooden furniture , ,24 Sawn timber , ,52 Veneers , ,18 Plywood , ,37 Panels (Fireboard, Particle board) 5.000, ,77 Others , , , ,10 RISK AREAS non negligible risk 8% Plywood (Fireboard, Particle board) 1% Sawn timber 10% Veneers 9% Others 9% Paper & Paperboard 31% Negligible risk 92% Wooden furniture 20% Wood pulp 20%

15 Spain. Imports of timber products under EUTR from risk areas. According to AEIM DDS In value Euros/CIF. (Source: Spanish Customs) Risk Countries (Value 1000 ) Total (Import Value1000 ) Wooden furniture , ,24 17,11 Sawn timber , ,52 20,54 Veneers , ,18 42,23 Plywood , ,37 16,67 Panels (Fireboard, Particle board) 5.000, ,77 2,00 Others , ,41 9, , ,49 15,45 % Panels (Fireboard, Particle board) 2% Plywood 4% Others 13% Wooden furniture 39% Veneers 20% Sawn timber 22% Timber products only. Excluding paper&paperboard

16 Main exporting countries to Spain. Timber products (excluding paper&paperboard) from risk areas. AEIM DDS Euros/CIF. CHINA CAMEROON BRAZIL VIETNAM ROMANIA UKRAINE RUSSIA OTHERS TOTAL RUSSIA 2% UKRAINE 7% ROMANIA 7% OTHERS 24% VIETNAM 5% BRAZIL 10% CHINA 33% CAMEROON 12%

17 Progress on DDS and risk mitigation. Country expert reports. REPORT ON BRAZIL Finished, June, 2016 Finished, September, 2017 REPORT ON CAMEROON Those reports analyze official documents, to prove the legal origin of the wood. Related to: They have been incorporated into AEIM due diligence system - Documentation on exploitation and extraction. - Transportation. - Payment of taxes and fees. - Export.

18 Thank you! Web EUTR: Follow us on: Member AEIM MADERA