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Forest Certification in Developing and Transitioning ... - UTas ePrints

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356<br />

forest certification <strong>in</strong> develop<strong>in</strong>g <strong>and</strong> transition<strong>in</strong>g countries<br />

relaxation of purchase commitments. The greatest challenges still rema<strong>in</strong> <strong>in</strong> secur<strong>in</strong>g<br />

<strong>and</strong> ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g adhesion to certification st<strong>and</strong>ards by a larger number of Amazon<br />

forest managers, given the open season on legal deforestation by smallholders <strong>and</strong><br />

rampant illegal extraction still prevalent <strong>in</strong> the region. A relatively small number of<br />

Amazon forest enterprises have committed themselves to forest <strong>and</strong> cha<strong>in</strong>-of-custody<br />

certification, <strong>in</strong> exchange for differentiated market access. But by <strong>and</strong> large,<br />

certification has not made a substantial impact on the problems of forest protection<br />

<strong>and</strong> susta<strong>in</strong>able use <strong>in</strong> the Amazon, which cont<strong>in</strong>ue unresolved.<br />

Roadblocks <strong>and</strong> Challenges<br />

One of the challenges to success <strong>in</strong> natural forest certification is to overcome resistance<br />

on the part of some elements <strong>in</strong> the national forest regulatory agency, IBAMA,<br />

toward <strong>in</strong>dependent voluntary certification. The proposal regard<strong>in</strong>g concession of<br />

public forests for susta<strong>in</strong>able management responds <strong>in</strong> part to the scarcity of titled,<br />

accessible, <strong>and</strong> productive forestl<strong>and</strong> <strong>in</strong> areas of sufficient scale to enable long-term<br />

wood production <strong>and</strong> forest rejuvenation (Nelson Barbosa Leite, PNF/MMA, personal<br />

communication), but also <strong>in</strong> some measure to the <strong>in</strong>efficacy <strong>and</strong> corruption<br />

associated with federal regulation <strong>in</strong> this <strong>in</strong>dustry. Current government <strong>in</strong>tention to<br />

establish m<strong>and</strong>atory cha<strong>in</strong>s of custody us<strong>in</strong>g satellites to trace the orig<strong>in</strong> of timber<br />

from natural forests may build greater confidence <strong>and</strong> mutual support between<br />

members of the certified segment <strong>and</strong> local IBAMA officials (Barreto 2004). Without<br />

improvement <strong>in</strong> regulation <strong>and</strong> a decl<strong>in</strong>e <strong>in</strong> illegal logg<strong>in</strong>g, the certified segment will<br />

rema<strong>in</strong> limited <strong>in</strong> scale <strong>and</strong> prices throughout the <strong>in</strong>dustry deflated.<br />

Other areas constitut<strong>in</strong>g important challenges <strong>in</strong>clude f<strong>in</strong>anc<strong>in</strong>g of the costs of<br />

conversion to certified st<strong>and</strong>ards, labor <strong>and</strong> managerial tra<strong>in</strong><strong>in</strong>g, organizational<br />

capacity build<strong>in</strong>g for community management projects, <strong>and</strong> community-enterprise<br />

<strong>in</strong>terfaces, such as partnerships with outgrowers <strong>and</strong> partner enterprises. Conversion<br />

costs to certified st<strong>and</strong>ards <strong>in</strong> tropical forest management typically <strong>in</strong>clude the fairly<br />

modest costs of certification itself (estimated at around 0.4 percent of average wood<br />

sales value) (May et al. 2000). More significant is the <strong>in</strong>vestment <strong>in</strong> skidders to replace<br />

outmoded bulldozers, as well as other equipment necessary to undertake reduced<br />

impact logg<strong>in</strong>g (geographical <strong>in</strong>formation systems, for example). Labor costs <strong>and</strong><br />

preparation time <strong>in</strong>volved with <strong>in</strong>ventories, fell<strong>in</strong>g <strong>and</strong> road-build<strong>in</strong>g plans, v<strong>in</strong>e cutt<strong>in</strong>g,<br />

<strong>and</strong> block demarcation add to the equation. Practical tra<strong>in</strong><strong>in</strong>g of field crews is<br />

essential to avoid needless fell<strong>in</strong>g of non-merchantable trees <strong>and</strong> destruction of adjacent<br />

juveniles, as well as reduced impacts of skidd<strong>in</strong>g <strong>and</strong> storage patios <strong>and</strong> the local<br />

road network.<br />

Transactions costs relative to l<strong>and</strong> acquisition, community relations, <strong>and</strong><br />

compensation tend to be relatively <strong>in</strong>significant <strong>in</strong> monetary terms but are time<br />

consum<strong>in</strong>g <strong>and</strong> can impede implementation of management plans if not carried out<br />

sensibly. Overall, these costs can add significantly to timber extraction operations <strong>and</strong><br />

can affect the “social license to operate.” Yet those who have embarked on such<br />

practices have found that price premiums (to the extent these exist), <strong>and</strong> access to<br />

yale school of forestry & environmental studies

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