Results of the second transaction verification on Paulownia

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March 9, 2023

The results of the data analysis phase of the second transaction verification (TV) loop on FSC-certified Paulownia has revealed no systemic risks to the integrity of these supply chains. The FSC Advice Note 40-004-20 (Confirmation of origin for FSC-certified Paulownia products) is considered to have effectively mitigated the integrity risks that had been identified in the previous TV loop.  

The Forest Stewardship Council (FSC) and Assurance Services International (ASI) launched the second TV loop on FSC-certified supply chains of Paulownia in July 2022. ASI collected transaction data for January – December 2021 from all 67 certificate holders from all over the world.  

The main findings from the first phase of the TV loop – data collection and analysis – revealed: 

  • There are two active FSC certified forest management units producing/harvesting Paulownia. 
  • Timber from certified forest management units is being supplied to certified supply chains and to non-certified companies. Only a small volume of certified Paulownia is being traded within the certified supply chains.     
  • There has been a significant reduction in the number of certificate holders with Paulownia in their certificate scope, as well as in the number of transactions that occurred in 2021. 

Based on the above-mentioned findings, ASI will not be conducting the second and third phases of a TV loop for FSC-certified Paulownia supply chain; a TV loop usually includes three phases. However, smaller investigations will be conducted on a few clusters where potential risks have been identified. 

FSC will continue implementing the Advice Note on Confirmation of origin for FSC certified Paulownia products (Advice-40-004-20). This Advice Note states, “Organizations shall not include Paulownia or products containing Paulownia in their product group list, nor sell/label products containing Paulownia. The only exception is if the organization can trace the Paulownia carrying an FSC claim to its FSC certified forest management unit of origin through documentary evidence.” In the meantime, FSC continuously monitors the certified Paulownia supply chains. Detection of non-conforming products carrying FSC labels/claims can be reported to FSC and/or ASI.       

For more details about the FSC Advice Note 40-004-20, please visit page 39 of this document

For more information about the second TV loop on Paulownia, click here

For more information about the results of the first TV loop on FSC-certified Paulownia, click here.