1. What is European Industry doing to respond to the EUTR Rachel Butler Independent Technical Advisor

2. USA, Europe & Australia Illegal Logging Laws…markets are aligning but will not change overnight.. These laws changes fundamentally one concept; the risk & obligation is on the importer

3. Legal Verification Due Diligence/Due Care Certification Due Diligence & Certification/Verification  Not a new concept  BWWF Buyers Groups 20+ years old  Certification eg FSC Controlled Wood  AHEC/Seneca Creek – large scale regional risk assessment  Private Sector purchasing policies

4. Establish procedures Initiate performance monitoring Define scope of supply chain & products Keep records Evaluate supply chain info Identify risks: forest management supplier level risks of mixing & substitution Specify risks where identified Record supply chain info: origin suppliers species legality documentation Collect additional supply chain info Manage supply chain Risk assessment Risk mitigation 2 3 4 Quality system 1 Mitigation options Additional documentation Replace supplier Source certified material Supply chain verification audits

5. Certification & Verification  Certification and legality verification is a tool to support due diligence not automatically compliant ; operators choice to use it & assess it.  ProForest Reports commissioned by ETTF highlights the gaps in meeting legality requirements  Further issues with certification/verification not covered in the report  Lack of info; species & source country  Fraudulent certificates

6.  Complexity of supply chains  Evidence of non-enforcement  Known cases of illegal activities in the supply chain  Known corruption  Lack of information about source  Lack of supply chain control  Lack of transparency  Poor quality information or documentation  Tree species EU industry Indicators of Risk

7. Global Trade Implementation …consistent?  Little guidance from any authorities  Good thing; flexibility!?  Lack of information on risk  Some initiatives – little of much use as yet  Buyers & producers need to know their supply chains!  Documents are not enough!  Confusion with operators who do not understand the EUTR & producer national legal regimes…. LEADING TO PANIC!  ETTF working to address e.g one due diligence system

8. Confusion amongst operators  Asking for information beyond the regulation  Not meeting and understanding due diligence  Putting obligations on producers  Indemnity contracts  Not a documentation regulation  Awareness will slowly increase

9. Guiding your Buyers  Down to the global trade to work it out therefore…….  Consistent messaging from Cameroon Industry  Easy for EU importers to understand  Helps you  Not contentious in Civil Society

10. Thank you! rachel.butler@rba-solutions.com rachel.butler@rba-solutions.com or raichbutler@gmail.comraichbutler@gmail.com