Timber iQ August - September 2020 // Issue: 50 August - September 2020 | Page 5
Recommitment to SVLK
certification through mounted
international pressure
NEWS
Following a series of meetings with relevant ministries, lobbying from
international trade bodies and other relevant stakeholders, SVLK conditions will
continue as a mandatory requirement for exporting forestry industry products
out of Indonesia.
TROPICAL TIMBER INDUSTRY
In a briefing at the end of May 2020, Indonesian Environment
and Forestry Minister, Siti Nurbaya, confirmed that
following a series of meetings with relevant ministries,
lobbying from international trade bodies and other relevant
stakeholders, SVLK conditions will continue as a mandatory
requirement for exporting forestry industry products.
The regulation issued in February 2020 by Indonesia’s trade
ministry, which would have taken effect from the end of May 2020,
would allow timber exports without verifying their legal source. “The
main thing is Indonesia still wants to maintain SVLK as one of our
major investments for the long-term interests of sustainable
businesses, especially MSMEs, as well as for the benefit of
Indonesia’s forests,” Minister Nurbaya conveyed.
SVLK is an acronym for Indonesia’s national timber legality
assurance system (Sistem Verificasi Legalitas Kayu), the constitute
proof of legality for Indonesian timber products. Achieving FLEGT
status in November 2016, Indonesia’s SVLK system addresses the
reputation of Indonesian timber, verifying the provenance of timber
along every part of the supply chain to ensure legality.
FLEGT licensing goes beyond legality to support the three pillars of
sustainability: social, economic and environmental benefits. The
benefits of Indonesia’s SVLK have resulted in increased trade,
stakeholder engagement, improved forest governance,
transparency and demand for legal timber.
Indonesia reinstates SVLK certification in long term view of
sustainable business.
Indonesia and civil society has benefited socially from greater
transparency, access to information and communication as a result
of FLEGT.
Furthermore, there have been greater access to jobs, new job
creation and foreign direct investment from business
opportunities, in particular to further processing activities
including furniture making.
Economically, the implementation of FLEGT in Indonesia has
increased Indonesia’s timber products competitiveness for the EU
and other regulatory markets, improving their image and reputation.
Since FLEGT licensing began in Indonesia in 2016, FLEGT licensed
products exported to the EU have amounted to $3.5 billion.
Subsequent to Indonesia’s VPA signing in 2013, the value of
Indonesia’s timber exports was $6 billion, to 2019 when the figure
has nearly doubled to $11.6 billion. EU exports account for 9% of
this market.
Environmentally, Indonesia has seen improved forest sustainability
as a result of increased understanding by smallholders, developing
a greater understanding on the requirements of sustainable forest
management. The VPA process is globally regarded to contribute
positively towards decreasing illegal logging rates.
Continued commitment to FLEGT and sustainable forestry is crucial
in the climate change battle, for biodiversity and long-term
sustainable development. The only way to keep forests standing is
by allowing the people who live in them to make money out of
keeping trees standing. The best way to achieve this is to reward
those countries who have undergone tremendous country-wide
changes, by specifying, buying and driving the demand for FLEGT
licensed timber.
Indonesia still wants to maintain
SVLK as one of our major
investments for the long-term
interests of sustainable businesses
www.timberiq.co.za // AUGUST / SEPTEMBER 2020 3