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Research of Measures Taken to Illegal Logging Issues in Consumer Nations Survey Results (Outline)

3.Results of Survey

(3) EU Timber Regulation

(A) Actions corresponding to “due diligence” survey (DDS) as an “Operator”(Multiple answers accepted, total number of respondents: 22 including 1 that has no answer)
19 out of 21 responded that they are “conducting periodical documents examinations” and 13 answered “visiting the suppliers for on-site inspections”. Others include “we are dealing in FSC/PEFC certified timbers”. Because this question accepted multiple answers, we can find from the results that companies are taking several actions to correspond to DDS.

AnswersN.A.EUOthersTotal
Conduct documents examination316019
Visit suppliers to conduct on-site inspection112013
Others1405

(B) Influence on business caused by obligation of exercising “due diligence” in EUTR
The response of “considerably affected” stays low with only 2 respondents out of 21, 12 replied “slightly affected” and 7 said “not affected”. Many companies raised cost increase as a major influence of DD obligation.

AnswersN.A.EUOthersTotal
Due diligence considerably affected our business1102
Due diligence slightly affected our business111012
Due diligence did not affected our business1607

What were the considerable affects?

AnswersN.A.EUOthersTotal
Increased management workload/cost1102
Changed items of marketing products1001
Changed timber suppliers1102
Changed customers1001
Changed procurement policy1102
Others0000

What were the slight affects?

AnswersN.A.EUOthersTotal
Increased management workload/cost111012
Changed items of marketing products1102
Changed timber suppliers1405
Changed customers1001
Changed procurement policy1506
Others0000

(C)Influence on business by meeting “traceability” requirement as a “Trader”
(Total number of respondents: 29 including 3 who have no answer)
3 out of 27 answered “considerably affected”, 12 replied “slightly affected”, and 12 replied “not affected”.
Cost increase seems a major negative affect by securing traceability.

AnswersN.A.EUOthersTotal
Traceability considerably affected our business1203
Traceability slightly affected our business012012
Traceability did not affected our business48012

What were the considerable affects?

AnswersN.A.EUOthersTotal
Increased management workload/cost1203
Changed items of marketing products1001
Changed timber suppliers1001
Changed customers 1001
Changed procurement policy1102
Others0000

What were the slight affects?

AnswersN.A.EUOthersTotal
Increased management workload/cost010010
Changed items of marketing products0202
Changed timber suppliers0303
Changed customers0000
Changed procurement policy0505
Others0101

(D) Penalty provided in EUTR
18 out of 28 respondents answered “yes, we know it.” and the rest 10 said “no.”
Even among the European respondents, 7 out of 22 replied “no, we do not know it.” Concerning the contents of the penalty 10 out of 28 think that “it is appropriate” and 14 have some other opinions, such as “it is not too strict and seems unfair from the viewpoint of companies who are seriously taking measures against illegal logging problems” and “penalty should be applied to timber exporters, not the importers”.

Do you know of the penalty stipulated in EUTR?

AnswersN.A.EUOthersTotal
Yes, I know it.315018
No, I do not know it.37010

Opinion about the penalty in EUTR

AnswersN.A.EUOthersTotal
It is appropriate.28010
Penalty is necessary but this penalty is too strict.1304
Other opinions311014

(E) FLEGT VPA (bilateral agreement)
The progress of FLEGT VPA is said to be very slow, however, this survey shows that 8 out of 28 respondents have already had timber trading with countries engaged in VPA, and 3 more are planning to do so. On the other hand, even among the European respondents, 7 replied “we do not know FLEGT VPA”.

AnswersN.A.EUOthersTotal
We are importing timber from countries engaged in VPA.1708
We are planning to do so.1203
We are not planning and will not do so.1607
We do not know about FLEGT VPA37010

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