PEFC certification: Market developments and trends
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1 Ein Glück für unseren Wald PEFC certification: Market developments and trends Oslo, 1 June, Jan Mertens Marketing Manager PEFC Germany 1 // 42
2 Agenda Introduction Development from a macro perspective: Certification at international level Development from a micro perspective: Certification in Germany Trends: Market Drivers Brands & certified products in the market 2 // 56
3 Introduction Introduction 3 // 56
4 Introduction What is PEFC? Global, not-for-profit association powered by 46 national forest certification organizations and 29 international stakeholder members World's leading forest certification system, offering the largest choice of sustainably-sourced timber and wood-based products PEFC specifically considers the unique needs of small and family forest owners while being equally used by large landowners as well 4 // 42
5 Introduction What is PEFC? Global, not-for-profit association powered by 46 national forest certification organizations and 29 international stakeholder members World's leading forest certification system, offering the largest choice of sustainably-sourced timber and wood-based products PEFC specifically considers the unique needs of small and family forest owners while being equally used by large landowners as well 5 // 42
6 Introduction What is PEFC? Global, not-for-profit association powered by 46 national forest certification organizations and 29 international stakeholder members World's leading forest certification system, offering the largest choice of sustainably-sourced timber and wood-based products PEFC specifically considers the unique needs of small and family forest owners while being used by large landowners as well 6 // 42
7 Macro Perspective - International Development from a macro perspective: Certification at international level 7 // 42
8 Macro Perspective - International Global Growth of the PEFC Alliance As As of December of May PEFC members with endorsed systems PEFC members progressing towards endorsement Countries actively developing systems 8 8 // 42
9 Macro Perspective - International Growth of international certified forest area 500,0 450,0 400,0 350,0 300,0 250,0 200,0 FSC PEFC 150,0 100,0 50,0 0,0 In mio. ha curren tly FSC ,4 147,8 169,3 190,8 183,1 186,4 192,0 PEFC 0,0 32,4 41,1 46,1 50,9 55,3 187,7 193,8 194,4 217,7 223,5 229,6 245,1 237,4 253,1 263,2 272,0 303,1 9 // 42
10 Macro Perspective - International Top Ten Certified Forest Area Country Cer;fied Area (ha) Canada 131,113,561 United States 33,252,664 Australia 26,578,998 Finland 16,571,224 Russia 12,039,345 Sweden 11,549,700 Belarus 8,710,234 France 8,206,117 Germany 7,386,453 Norway 7,380, // 42
11 Macro Perspective - International PEFC Chain of Custody Growth International Number of CoC certificates Year 11 // 42
12 Macro Perspective - International PEFC Chain of Custody: Share by Region Central & South America 2 % North America 4 % Asia 9 % Africa Oceania 0 % 2 % 12 Europe 83 % 12 // 42
13 Micro Perspective - Germany Development from a micro perspective: Certification in Germany 13 // 42
14 Micro Perspective - Germany PEFC certified forest area in Germany Total Area: Two thirds of the forest area in Germany are PEFC certified, i.e. more than 7.3 million hectares (18 million acres). State Forest: The state forests belonging to the states are entirely PEFC certified. 230,000 Forest Owners: 3,900 private forest holdings, 850 forestry associations and 2,800 communal forests are PEFC certified. 14 // 42
15 Micro Perspective - Germany PEFC the system for ALL types of forest owners FSC 1, only FSC PEFC+FSC PEFC 7, only PEFC Hectares State Forests Communal Private Forests Forests only FSC PEFC+FSC only PEFC // 42
16 Micro Perspective - Germany PEFC Chain of Custody Growth Germany PEFC-CoC-certified companies in Germany Number of CoC certificates Year // 42
17 Micro Perspective - Germany PEFC & FSC Chain of Custody Ratio Germany Number of CoC certificates FSC PEFC FSC PEFC Year // 42
18 Micro Perspective - Germany Expenses 2016 PEFC Germany (plan) PEFCC 17 % Staff 31 % Other 14 % On-Site-Audits 24 % PR & Marketing 14 % On-Site-Audits PR Staff PEFCC Administration Forests Reports Reg. Working Groups Contractors Rent Meetings Others = Staff: 5 colleagues in the office 1 accountant 7 regional assistants 18 // 42
19 Trends Trends: Market Drivers 19 // 42
20 Trends Market drivers for certification Legislation Consumers Public procurement Finance Private commitments Private procurement 20 // 42
21 Trends Who drives demand? 8 billion Consumers companies (70% of trade) Millions of Forest Value Chain Actors // 42
22 Trends Corporate Drivers Associations Consumer Goods Forum one of the largest global industry networks, is pledging to achieve zero net deforestation by World Business Council for Sustainable Development A CEO-led organization made up of some of the world s leading corporations, encouraging full utilization of existing forest certification systems, such as PEFC, throughout the forest products value chain Banking Environment Initiative Commitment for banks to raise the standards they expect of certain clients in high risk geographies. Signatories include: Barclays, BNY Mellon, China Construction Bank, Deutsche Bank, Lloyds Banking Group, Nomura, Northern Trust, Santander and more. 22 // 42
23 Trends Consumers: Certification labels communicate trust What reassures you most that environmental considera;ons have been taken into account? Label cer?fying ethical considera?ons Country of origin ("Made in ") Brand Recommenda?ons of family/ friends Media recommenda?on - TV, press, newspaper 30 % 24 % 17 % 16 % 54 % Source: PEFC/GfK Global Consumer Survey (Nov 2014) 23 // 42
24 Trends Certification labels: recognition & trust of global consumers Would you prefer companies to label products? 4 % 15 % 81 % Yes No Don't know Mean Value PEFC (ASF / CERFLOR / CFCC / SFI) is a label I can trust ,4 5 - I strongly agree FSC I strongly disagree 3,3 is a label I can trust Source: PEFC/GfK Global Consumer Survey (Nov 2014) 24 // 42
25 Trends Brand awareness among consumers Germany Do you know this label? By the name or have you ever seen it? GfK-Survey 2014, German ci?zens over 18 yrs old 25 // 42
26 Trends Brand awareness among consumers Germany Do you know this label? By the name or have you ever seen it? 26 // 42
27 Trends PEFC performs well in independent reviews WWF Certification Assessment Tool (CAT) forest certification systems assessment against WWF mission and objectives Standard Strength : PEFC appreciates that WWF finds its forest management standards closely aligned with WWF priorities (PEFC: 70%, FSC: 76%) UK Public Procurement CPET Compliance scores: PEFC: 96%, FSC: 94% Dutch Public Procurement TPAC Top scores on SFM, CoC // 42
28 Trends Public Procurement Policy Federal Gov. The German Federal Government supports the certification of sustainably managed forests and will continue to use only wood from certified stands in its procurement measures: Wood products procured by the federal administration must demonstrably come from legal and sustainable forest management. The bidder must furnish proof of this by presenting a certificate of FSC or PEFC, a comparable certificate or by producing individual specifications. Comparable certificates or individual specifications are accepted if the bidder can prove that the criteria of FSC or PEFC that apply to the respective country of origin have been met. (January 2007) 28 // 42
29 Trends German Public Procurement Policy State Gov. 29 // 42
30 Trends Federal Ministry for Building and Consumer Protection Assessment System for Sustainable Building 30 // 42
31 Trends Third party influencers 31 // 42
32 Brands & Products Brands & certified products in the market 32 // 42
33 Brands & Products 33 // 42
34 Brands & Products 34 // 42
35 Brands & Products Office paper 35 // 44
36 Brands & Products Laminate flooring 36 // 44
37 Brands & Products Food: Coffee filters 37 // 44
38 Brands & Products Packaging: Bakery bags 38 // 44
39 Brands & Products Packaging: Pizza Hut cups 39 // 44
40 Brands & Products Packaging: tea bags 40 // 44
41 Brands & Products Packaging: Coca Cola cans 41 // 44
42 Brands & Products Packaging: Krombacher beer bottles 42 // 44
43 Brands & Products Packaging: cigarettes 43 // 44
44 For more info: Thank you very much for your attention! 44 // 42
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