Item 2

53rd FAO Advisory Committee on Paper & Wood Products 23 – 24 May – Le Meridien, New Delhi, India

A process between industry and the conservation community

ACPWP 52nd Recommendation 3:

FAO will work with the committee to scope and assess the concept of hosting a process in which industry and the conservation community can explore the modalities for supporting the industry’s continued commitment to improving sustainable forest management

Summary

A survey of the processes that already exist between industry and the conservation community for improving Sustainable Forest Management (SFM) has been undertaken. An analysis shows that some well functioning arrangements are already in existence for the forest oriented dialogue. There are however far fewer processes oriented around sustainable production and consumption of forest based products. Any new process must add value. To ensure this, a list of issues are provided that need to be addressed in order to sharpen the focus on a process that does add value. Finally it is suggested that there may be a case for a new dialogue.

Introduction

The FAO Advisory Committee on Paper and Wood Products (ACPWP) seeks for more efficient channels and mechanisms to voice their position and better impact FAO forest policy work, project work and international policy processes. The huge value added of working together with ACPWP is that they provide the private sector perspective. ACPWP together with the forestry department (FO) have joint objectives and are looking for joint outcomes, to solving common problems. Together, ACPWP and FO work towards better solutions for sustainable consumption and production contributing towards a sustainable future.

The ACPWP have shown over the years how they can influence the FAO forestry programme in positive ways. In a move well ahead of the time, they proposed the climate change position in FO. They saw this as an emerging issue through their private sector perspective and were able to influence FO to develop this important post.

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Forest industry commitment to improving sustainable forest management

The need for greater (forest oriented) dialogue between forest industry and environmental non- governmental organizations (ENGOs) has been ongoing since the historic 1992 United Nations Conference on Environment and Development (UNCED). There are in fact a number of existing mechanisms and initiatives that have been established precisely for the purpose of ensuring greater collaboration for improving sustainable forest management (SFM) and there are a number of leading ENGOs that engage regularly with the private sector. See Annex 1 for a selection of examples.

A scoping exercise of existing processes was undertaken. This identified the wide array of processes that already exist. Most are undertaken through agreements, dialogues or partnerships. An analysis has shown that the majority of existing arrangements focus on forest management issues, while far fewer are oriented to the sustainable production and consumption of forest products. Therefore a significant question to be addressed is how value can best be added.

The robust array of existing processes indicates that if another is to be created, it needs to be very focused with clear objectives on what it would achieve. It is important to define the competitive advantage of a new process and distinguish it from those already existing. For this, a series of issues are raised that need to be addressed both holistically and systematically.

Issues to be addressed and discussed at ACPWP 53 in India in order to ensure real added value

In whatever direction this proceeds, there must be an added value for a new dialogue. It is not useful to repeat already existing dialogues and whatever is proposed must have an appropriate mechanism. Therefore there are some points to be considered when developing this process:

1. Problem: What is the real, underlying problem and what do ACPWP and FAO want out of this? What is the intended outcome and impact of this process? 2. Audience: Who is the intended audience? To whom are the results of the dialogue directed, and to be communicated? Is it for informing solely the dialogue members or a wider group (for example the public and governments)? 3. Tool: Do we have the right tool for this? Are we communicating enough through the right channels? 4. Scale: At what scale should this operate? Does the committee intend to work at global level on issues linking with UNFCCC SBSTA and CBD SBSTA, or rather at regional and national level? Once the target audience and the means of communicating to them are defined, then the scale at which this should work, should become clear. 5. Organization: How will the process function? 6. Themes: What are relevant forest themes for discussion?

By carefully addressing these issues it should be possible to establish a clear picture of how the problem can be solved and the opportunities addressed.

Current situation and summing up

There are currently a number of forest oriented mechanisms and initiatives, with some evident overlap occurring. If the committee wishes to continue to focus on the forest oriented dialogue, the question is whether there are potential gaps that are ripe for intervention, and whether FAO and the ACPWP can show added value for beginning yet another process. In such a crowded field it needs to be determined where value can be added.

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An alternative may be for the committee to move away from the forest oriented dialogue and to look into other areas of intervention. For this to be effective ACPWP needs to be looking at the role of forests from a different angle and fill a niche that is currently not served. It may be that there are areas that relate to sustainable production and consumption downstream to which this committee could contribute. For that, it would be necessary to identify the downstream groups who are interested in more sustainable lifestyles related to the consumption of forest industry’s end products, both new and old.

That means that production and consumption would be examined in a new light together with people with different perspectives leading to a new dialogue with different players resulting in other objectives and benefits.

To summarize there are two suggested alternatives: 1. To take on a similar discussion to that being undertaken by existing partnerships and ENGOs with private sector, and develop a new added value to it. OR 2. To shift the focus to the end users and consumption lobby, in which case it would be about putting sustainable production and consumption of forest based products in the limelight.

To have a forest oriented dialogue or to have a forest products dialogue?

Redress the forest dialogue There are important issues at stake here and this is an important dialogue. However by pursuing this discussion the group may be repeating what is already being undertaken by others. It is a discussion that is not new or original and is unlikely to move forward. Would it receive the support of our constituents (FAO member countries, private sector and ENGOs)?

Taking the discussion to the forest products and the end users ACPWP and FAO are in a position to mainstream forest products as a pathway to a sustainable future, built on the evidence of genuinely sustainable products derived from photosynthesis and validated by lifecycle assessment. This has potential with further expansion in the debate on sustainable production and consumption. With innovative strategies being developed both in North America and Europe further R&D can bring forest-based industry products to totally unprecedented end-uses.

Forest-based products for packaging goods are environmentally sound. Research and investment can be made into recyclable and biodegradable intelligent packing and health products that use wood fibre; packaging of food with paper products in food chains, linking to and safety issues. Forest based products can lower the losses of goods. New and improved cartons and paper based packaging are being developed that can inform when the quality of the packed foodstuffs or medicines had deteriorated.

When pursuing this route, it may also be useful to consider the client organizations of the ACPWP members, including associations of do-it-yourself chains and retailers.

There is a strong set of evidence for taking the discussion to the end users as is already being discussed to some extent by AF&PA et al and CEPI. The following are some extracts taken from two recent publications:

Forest products industry technology road map

Forest, wood and paper industry can significantly improve by encouraging innovation as an essential element of long-term . Investment in technology can reduce manufacturing costs and

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enable individual companies to pursue programs in new and advanced products. A robust industry driven R&D program is an important building block in changing the image of the industry to investors and the public. • Recent significant societal concerns that need addressing include: Climate change, water availability, energy security, and sustainability of wood and biomass; • Manufacturing considerations: input costs have risen dramatically; • Economic pressure: The recent economic recession has directly impacted the forest products industry globally, with large declines in consumption for many of its products; • Market forces: customers increasingly want products from renewable materials, with a desire also for green fuels and chemicals from renewable sources; • Impact of government policy on wood supply: Governments at all levels are imposing mandates or providing incentives for renewable energy. What impacts forest industry’s wood procurement in a subsidized wood market? http://www.agenda2020.org/uploads/1/1/4/1/11419121/fpi_roadmap_2010.pdf

Unfold the future – The forest fibre industry 2050 road map to a low-carbon bio-economy

A clear way forward is crucial for Europe’s pulp, paper and wood products industries, operating as they are at the cross roads of renewable energy policy, emission trading, industrial and raw material polices. Climate change policy also has a major influence on the future of these sectors.

Bio-economy, bio-based products and recycling: sufficient biomass is needed, and a combination of improved technologies and product innovation. Limited resources underline the need for added value – i.e. a system is needed where the most value is produced from the land that is available, from forest management, trees, fibre and by sectors. Recycling and reuse of material before final stage use as energy must be optimized.

As competition for energy and resources grows worldwide, sectors and regions that flourish will be those that can extract the highest value from the scarce raw materials using the least energy.

The largest sustained mitigation benefit depends on a sustainable forest management strategy aimed at maintaining or increasing forest carbon stocks, while producing an annual sustained yield of timber, fibre and energy from forest. Two examples of growth segments are the role of packaging and paper based hygiene products. http://www.unfoldthefuture.eu/uploads/CEPI-2050-Roadmap-to-a-low-carbon-bio-economy.pdf

Conclusion

There is a case to be made for establishing a process in which industry and the conservation community can explore the modalities for supporting industry’s continued commitment to improving sustainable forest management. In order for this to be effective though, there are a number of issues that must first be addressed. These include being able to show that it provides added value. As such, it is suggested that the process could be most effective if it moves away from the forest oriented dialogue, and instead focuses on emphasizing sustainable production and consumption of forest based products.

Glossary

Agreement = formal contract, a contract or arrangement, either written or verbal and sometimes enforceable by law

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Dialogue = a formal discussion or negotiation, especially between opposing sides in a political or international context Initiatives = a plan or strategy aimed at tackling a particular problem Mechanisms = method or means a method or means of doing something Partnership = the relationship between two or more people or organizations that are involved in the same activity Process = a series of actions directed towards a specific aim

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Annex 1. Examples of existing mechanisms and initiatives

Canadian Boreal forest agreement is a national agreement within a country, between forest products companies and leading environmental organizations. This collaborative process sees parties committed to working together in the realization of a stronger, more competitive forestry industry and better protected, more sustainably managed boreal forests. Changing economic realities and heightened public and marketplace concern over environmental issues created both problems and opportunities for Canada’s forest industry and environmental organizations. The shared challenge is to address sometimes conflicting social, economic, and environmental imperatives in a way that captures the economic opportunities that are emerging for forest products of the highest environmental quality. http://canadianborealforestagreement.com/

The Forests Dialogue (TFD): begun under the auspices of the World Bank, World Business Council for and the World Resources Institute, TFD is an on-going, civil society driven, multi-stakeholder dialogue platform and process to address global forestry issues. TFD provides a neutral forum and members participate as individuals, not organizational delegates, and they aim to speak for a diversity of perspectives. TFD have demonstrated an ability to discuss a wide range of issues: Food, Fuel, Fiber and Forests (4Fs); Free, Prior and Informed Consent (FPIC); Genetically Modified Trees; Forests and Climate; Investing in Locally Controlled Forests; Intensively Managed Planted Forests; Forests and Poverty Reduction; Forests and Biodiversity Conservation; Illegal Logging and Forest Governance; and Forest Certification. http://environment.yale.edu/tfd/

The Forest Trust (TFT) is a global non-profit organisation that helps companies and communities deliver Responsible Products. They work in forests, farms and factories to help create products that respect the environment and improve people's lives. They focus on products and supply chains to bring about sustainable development. Although their work impacts every stage of the supply chain, the main focus is at the extraction stage. They also focus on traceability systems. http://www.tft-forests.org/

The global partnership on forest landscape restoration includes a variety of environmental NGOs, international organizations and governments. It builds sustainable relationships between communities, government authorities, commercial interests and the ecosystems on which they depend. The approach brings people together to identify, negotiate and implement practices that restore an agreed optimal balance of the ecological, social and economic benefits of forests within a broader pattern of land uses. It works at the level of landscapes and watershed management. http://ideastransformlandscapes.org/

The Three Rights-Holders Group, a group of three alliances of community and indigenous forest owners - collectively known as the G3 - who have been working with Growing Forest Partnerships on investing in locally controlled forestry http://www.g3forest.org/article.cfm?ID_art=26&lang=1

They are made up of the following: • The International Family Forest Alliance (IFFA) promotes the development of family forestry and advocates supportive policies through recommendations to international forest policy processes. http://www.familyforestry.net/ • The Global Alliance of Community Forestry (GACF) provides a common ground for stakeholders representing forest communities from different parts of the world for securing their rights to forests at international and regional levels. http://www.gacfonline.com/

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• International Alliance of Indigenous and Tribal Peoples of the Tropical Forest (IAITPTF) is a worldwide network of organizations representing indigenous and tribal peoples living in tropical forest regions. http://www.international-alliance.org/

The Tropical Forest Foundation (TFF) teaches the principles and the advantages of sustainable forest management including training in Reduced Impact Logging (RIL) through the establishment of demonstration models and training schools. http://www.tropicalforestfoundation.org/about

Leading ENGOs and their engagement with private sector:

• Conservation International (CI) partners with businesses to help them establish “green” benchmarks and embrace environmentally sound practices. http://www.conservation.org/Pages/default.aspx • Fauna and Flora International (FFI) develops partnerships with businesses, works with private sector to build long-term strategies for environmental management, including development of forest based carbon projects for the Volunteer Carbon Market http://www.fauna-flora.org/ • Forest stewardship council (FSC) provides forest certification and labelling systems that certify that forest products come from responsibly managed forests. http://www.fsc.org/ • campaigns for zero deforestation globally by 2020 http://www.greenpeace.org/international/en/ • International Union for Conservation of Nature (IUCN) strategy for private sector engagement encourages more sustainable economic models with greater convergence between conservation and business interests. http://www.iucn.org/ • The Nature Conservancy work with companies to advance their conservation mission. http://www.nature.org/ • WWF work with the private sector, by establishing partnerships with companies, by working with them and their supply chains to transform markets of key global commodities, such as wood, through the Global Forest and Trade Network (GFTN) and by promoting environmental awareness and responsible environmental practice. http://www.wwf.org/

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ENGOs1 Headquarters Country Local to Forest Local/National Common Offices global agenda affiliates Catchwords Conservation Arlington, VA, 30 Mainly One of 1000 plus partner Species, International USA US and several organizations ecosystems, local conservation Fauna and Cambridge, UK 40 Local Mainly Species flora (partner biodivers conservation International ships) ity and global FSC International Nationally Forest ISEAL(International Social SFM sustainable Centre, Bonn, represented Certificat and Environmental trade and Germany in 50+ COs ion Accreditation and Labeling certification Alliance), IUCN Greenpeace GI Amsterdam 33 including Global One of Forest protection Africa office in International several and conservation SA primarily in SE Asia office the North in Thailand IUCN Gland, See Local One of Membership: Forest landscapes, Switzerland membership and several National NGO (875 total) conservation, global International NGO (102 total) biodiversity, Affiliate (42 total) climate change State (89 total) Government Agency with State Member (98 total) Government Agency without State Member (26 total) The Nature USA 30 Mainly One of Partnerships with locally based Species, Conservancy local and several conservation organizations ecosystems, US conservation WWF Gland, 62 COs Local One of Species, Switzerland 7 Regional and several ecosystems, offices global conservation, sustainable trade

Table providing some examples of ENGOs, indicating the extent of their forest agenda and global reach.

1 Table of ENGOs: Legend for the criteria Headquarters location; Number of country offices; Degree of local to global influence; Whether the forestry agenda is the primary component of their work or one of several components; Whether they have local and national affiliates; Common catchwords in their work focus area.

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