Investigation into FSC’s Teak Corridor

FSC and Assurance Services International (ASI) announce the launch of the Teak Corridor transaction verification (TV) loop. FSC and ASI have conducted TV loops on FSC-certified high-value timber species like teak (Tectona grandis) in the past. The previous teak TV loop, along with other available information, indicate the possibility of integrity risks in the segregation of FSC-certified and non-certified teak in the supply chains.   

The findings of the previous teak TV loop show that certain certificate holders who handle FSC-certified teak products also trade in non-certified Burmese teak (outside their certification scope). Therefore, teak supply chains might be getting contaminated with non-certified material.  

The scope of this TV loop is informed by the Teak TV loop launched in 2022 and allegations of potential false claims on FSC-certified teak that ASI recorded in 2024. Therefore, the following countries are included in this TV loop’s scope (grouped according to geographic location):  

• The Americas: Costa Rica, Mexico, Nicaragua, Panama, Ecuador, United States (US) 
• Asia Pacific: Thailand, India, Singapore, Taiwan 
• Europe: Denmark, Italy 

A total of 627 selected certificate holders with teak in their certification scope have to submit their transaction data between 1 January 2024 and 31 December 2024 to their certification bodies by 25 April 2025. This TV loop will examine supply chains of all types of FSC-certified teak products. 

Building on insights from the previous teak TV loop, this investigation will focus on markets where Burmese teak is allegedly heavily traded. In collaboration with ASI, FSC is proactively scrutinizing the FSC-certified teak supply chain to ensure it remains free from the risks of illegal logging and illegal trade of timber.  

After the transaction data from the certificate holders is collected, ASI will analyze it to detect potential volume mismatches between the sale and purchase of FSC-certified teak through the supply chain. The preliminary results of the TV loop’s first phase are expected in the latter part of 2025.  

Background: 

About teak supply chains:

Teak is a highly traded commodity across the world. It is also designated as a high-risk species because of numerous reports about illegal logging and illegal trade. Globally, the trade of Burmese teak is considered illegal in many countries that have placed sanctions against Myanmar. However, companies continue to sell and purchase Burmese teak, sometimes hiding its true origin.  

However, there are no FSC-certified teak forests in Myanmar. 

About the previous teak TV loop: 

In 2022, FSC and ASI launched a TV loop on FSC-certified teak supply chains, across the world, after receiving reports about potential fraudulent activities in the global teak market. The preliminary analysis of the transaction data submitted by certificate holders included in this TV loop showed that non-certified timber may be entering the teak supply chains.  

The final results of the TV loop revealed: 

• There is no evidence of Burmese teak with FSC claims entering the supply chains. 
• No evidence of Burmese teak with controlled wood claims entering FSC supply chains.  
• A few false claim cases in teak traded from Brazil to India. 

However, ASI found that some European certificate holders handle non-FSC Burmese teak outside their certification scope 

Therefore, FSC recommends certificate holders with teak in their certification scope to apply additional due diligence in selecting their teak suppliers and following FSC rules to ensure that the teak products they purchase are legitimate and within the FSC certificate scope of the seller.