4. Have forests been sustainably managed?

The movement for sustainable procurement of wood and paper-based products is driven to a large extent by the concern for how forests are affected by wood production. This concern has two major aspects:

• Sustainability – the balance of economic, social and environmental demands on the forest landscape. The maximization of wood production and minimization of cost should not upset the environmental and social balance of the landscape, either by removing trees at a quicker rate than they grow back or by paying insufficient attention to environmental or social concerns.
• Forest conversion and land-use change – the forest can change drastically after logging. It may be redesigned for tree production in a way that is significantly different from the forests that would naturally occur, or the forest can be converted to some other purpose that prevents trees from growing back.

Sustainable forestry

Sustainable Forest Management (SFM) is a management regime that integrates and balances social, economic, ecological, cultural, and spiritual needs of present and future generations (United Nations, 1992). Essential aspects of SFM include the following:

• Economic – the capacity of the forests to attract investment and support economically viable forest uses in the present and the future is undiminished. The forest is not used beyond its long-term capacity for production of wood, and non-wood forest products.

• Social – include a variety of aspects such as:
• The rights of indigenous peoples and local communities are respected and protected
• Forest workers are healthy, safe, and their rights are protected (e.g., freedom of association, right to bargain, child labor, forced labor, equal remuneration and non-discrimination)
• Local communities, including indigenous peoples, benefit economically from forest management
• Sites of religious, spiritual, archaeological, historic, as well as of aesthetic and recreational value are preserved.
• Environmental – forest use protects biodiversity (ecosystems, species, genes and ecological processes) and the capacity to maintain ecosystem processes and services such as watershed protection, pollination, protection against mudslides, aesthetic beauty, carbon storage, etc.

There are various approaches, positions, standards, and definitions of what SFM means and what specific management measures it requires. There are also various methods to measure progress towards SFM. Depending on the way their authors understand the concept and the management objectives, SFM standards for the same forest can be different. Regional standards for SFM can legitimately be somewhat different from one another, reflecting differences in forest types, legal frameworks, social conditions, and other factors. Mainstream standards for SFM differ on the following issues:

• Clearcutting – SFM standards, including CSA, FSC, PEFC and SFI, recognize clearcutting as consistent with SFM in the right forest ecosystems. Clearcutting can accomplish the following:
• It mimics some of the natural disturbance dynamics of the forests (e.g., fire, wind blow downs, insects)
• In some ecosystems, it allows regeneration and rapid growth of certain tree species
• It costs less, making forestry more economically viable
• It provides safer working conditions for loggers.

However, all SFM standards also recognize there is no single harvesting method suitable for all forest ecosystems.

• Plantations – plantations can focus production on smaller but more intensively managed areas. All SFM standards recognize plantations as being consistent with SFM under certain conditions; conditions may include considerations based on the ecological systems of the place, and the availability of land free from conflicts with other users.
• Chemicals – most standards allow controlled and appropriate use of chemicals (pesticides and fertilizers). Some standards prohibit the use of chemicals.
• Genetically Modified Organisms (GMOs) – some standards strictly prohibit the use of GMOs, while others will allow the use if and when legally available. At least 24 tree species have been known to have been the subject of transgenic research (for a list of species see WWF, 1999). In North America, however, no GM trees have been deregulated for commercial use.

Forest certification schemes define SFM through their respective standards (Table 3). All types of forests can be sustainably managed, from primary or natural forests to intensively managed forest plantations (Box 6).

Table 3. How major international certification schemes address selected aspects of SFM

	Forest Stewardship Council (FSC)	Programme for the Endorsement of Forest Certification Schemes (PEFC)
Social issues	Four principles of the FSC system include various social concerns: tenure and use rights and responsibilities, indigenous people’s rights, community relations, and workers’ rights. Principle related to high conservation value forests (HCVF) also addresses social aspects for areas of archaeological, historical or cultural value. Standardsetting processes at the national and sub-national level are conducted in a transparent way and involve all interested parties.	Requires compliance with ILO core conventions. Pan-European Operational Level Guidelines (PEOLG) criteria and indicators address issues of occupational safety and health as well as accessibility to recreation and maintenance of sites with cultural or spiritual values. ATO/ITTO criteria and indicators for SFM require that legal and customary rights of local populations with respect to ownership, use and tenure are clearly defined, acknowledged and respected, as well as engagement with informed stakeholders (PEOLG, ATO/ITTO Principles, criteria and indicators for SFM of African natural tropical forests).
Special places	Principle 9 addresses high conservation value forests (HCVF), which are areas to be managed in such a way that these values are maintained or enhanced. HCVF include: Forests that contain globally, regionally, or nationally significant concentrations of biodiversity values Globally, regionally, or nationally significant large landscape level forests Rare, threatened or endangered ecosystems Forest areas providing basic services of nature in critical situations Forest areas fundamental to meeting basic needs of local communities Forest areas critical to local communities’ traditional cultural identity	Forest management should maintain or enhance biodiversity, and protect soil and water. Sites of historical or spiritual significance should be respected and protected as specified by international guidelines and standards (PEFC, 2006 D). Different requirements specified by international standards, criteria and indicators and requirements for SFM, for instance: PEOLG Criterion 4.2i – special key biotopes in the forest such as water sources, wetlands, rocky outcrops and ravines should be protected or, where appropriate, restored when damaged by forest practices.
Forest plantations	Principles 6 and 10 of the FSC principles address forest plantations. Certified forest plantations should meet a set of requirements concerning: (i) representation on landscape; (ii) time of establishment; and, (iii) design of the management blocks (i.e., blocks promote biodiversity). Forest conversion to plantations or non-forest land uses should not occur except in circumstances where conversion entails a very limited portion of the forest management unit, does not occur in high conservation value areas, and will deliver long-term conservation benefits.	Management standards for forest plantations are to be compliant with the International Tropical Timber Organization and the PEOLG (PEFC, 2006D).
Chemicals	Principle 6 of FSC addresses chemicals. Chemicals should be minimized. Integrated Pest Management (IPM) is the preferred approach, i.e., to minimize chemical use through the use of alternative prevention and biological control techniques. Documentation, monitoring, and control are required, and certain chemicals are banned.	Use of pesticides and herbicides should be minimized, used in controlled manner, and take into account appropriate silvicultural alternatives and other biological means. Compliance with PEOLG, ATO/ITTO criteria and indicators for SFM, as well as various ITTO guidelines for SFM (PEFC, 2007).
Clearcuts	Principle 6 of FSC addresses clearcuts. Restrictions on size and location vary among national/regional standards as long as ecological functions and values are maintained intact, enhanced or restored.	Management plans – including clearcutting – should be based on legislation as well as existing land-use plans and adequately cover forest resources. Regeneration, tending, and harvesting should be carried out in time and manner that do not reduce the productive capacity of the site (MCPFE, 1998).
GMOs	Use of GMOs is prohibited; addressed in Principle 6 of FSC.	As required by PEOLG, native species and local provenances should be preferred where appropriate. Introduced species, provenances or varieties producing negative impacts on ecosystems and on the genetic integrity of native species and natural provenances should be avoided or minimized as should those not thoroughly evaluated (MCPFE, 1998).

Source for FSC information is FSC (1996). This table provides an overview of the general characteristics of these two systems. This table is NOT meant to be an exhaustive comparison. A list of references to more detailed comparisons can be found in the section on additional resources.

Land-Use Change and Forest Conversion

Forests are naturally dynamic ecosystems. Natural processes (e.g., fire, flood, wind, earthquakes, mortality caused by insects, outbreaks of diseases, and the simple aging of trees) affect the composition and structure of all forests. Anthropogenic influences also change forest ecosystems, often in more dramatic and permanent ways. It is important to distinguish two different types of significant forest change, which are sometimes confused:

• Land-use change
• Forest conversion.

Land-use change, i.e., deforestation, reduces the area under forest. The United Nation’s Food and Agriculture Organization (FAO) defines deforestation as “The conversion of forest to another land use or the long-term reduction of the tree canopy cover below the minimum 10 percent threshold” (FAO, 2001). Deforestation occurs when forest areas are transformed to other land uses such as:

• Agriculture: this includes shifting cultivation (traditional and colonist shifting cultivation), permanent cultivation (subsistence or commercial cultivation), and cattle ranching (small and large-scale cattle ranching). Agricultural expansion can replace native forests with pasturelands and crops. Palm oil, soy crops, and likely fuel crops in the near future, are considered the leading proximate cause for forest land use change in the tropics.
• Human settlement: urban development, colonization, transmigration and resettlement (spontaneous transmigration, estate settlement, industrial settlement, urban settlements).

• Infrastructure: transport infrastructure, market infrastructure (mills, food markets, storage, etc.), public services (water, sanitation), hydropower, energy and mining infrastructure.

Forest conversion happens when a natural forest is transformed into a highly cultivated forest, often with introduced tree species and control of the hydrological and nutrient regime with a focus on wood production.

FAO’s definition of deforestation specifically excludes areas where the forest is expected to regenerate naturally or with the aid of forest management measures following harvesting.

Over time, a significant amount of the world’s forest lands have been converted to other land uses. In the northern latitudes most of this change in land use occurred in the past. In some cases natural forests have reestablished themselves in these areas; in others forests have been planted. The managed forests we see today are often influenced by historical land uses, such as grazing or agriculture.

In the tropics, a major concern is the high rate of continued conversion of forests to other uses (Figure 6).

The causes of forest land use change vary by region, and even within a region. It is often a complex combination of intertwined factors and circumstances involving more than a single industry. Table 4 presents a general summary of some of the causes, drivers, and factors associated with forest land use change.

Commercial extraction of wood-based products, in combination with other factors and economic activities, has been linked to forest land use change. For instance:

• In Asia, logging concessions are often harvested and converted to plantations (mostly oil palm) because this change in use is usually less expensive than the selective logging needed to maintain the native forest. Under current economic and political incentives, there are faster and more profitable investment returns in palm oil plantations, and there is poor law enforcement and planning.
• In Central Africa and South America, logging companies open roads to extract/transport timber. These roads open the way for encroachment. An opening in the forest, combined with lack of enforcement and pressure from human populations, can result in change in use to subsistence farming or other agricultural operation.

Converting a forest into a forest plantation affects the balance of ecosystem services (e.g., it may eliminate species, affect erosion control and/or water supplies while increasing the production of wood), but converting forests to non-forest uses such as urban settlements completely eliminates the forest ecosystem. Forests deliver a variety of ecosystem services and benefits, but many of these are not recognized under the current economic and political situation and do not generate any revenue to the forest owner. Often the value of an intact natural forest or a standing forest or a forest plantation can be greater to society than the value of a converted forest area.

Table 4. Factors underlying forest land-use change and conversion in the tropics

Factors	Underlying Causes
Economic	Market growth and commercialization: rapid market growth of the export-oriented sector, increased market accessibility, growth of industries, lucrative foreign exchange earnings, growth of demand for goods and services. Economic structures: large individual speculative gains, poverty and related factors, economic downturn, crisis conditions. Urbanization and industrialization: growth of urban markets, rapid build-up of new forest-based (or related) industries. Special economic parameters: comparative advantages due to cheap, abundant production, factors in resource extraction and use, and price.
Policy and institutional	Policies: taxation, credits, subsidies, licenses, concessions, economic development, population (migration), and land ownership policies. Institutional factors: corruption, poor performance, mismanagement, etc. Property rights regime: insecure ownership, rush to establish property rights, titling, consolidation, open access conditions, etc.
Technological	Agro-technological changes, technological applications in the wood sector, and other production factors in agriculture.
Social and cultural	Social unrest and disorder (war, civil war, etc.), health and economic conditions, government policy failures. Cultural factors include concern (or lack of) towards forest protection and sustainable use.
Demographics	Population growth and increasing demand for products, food, space, etc.
Other	Soil quality, water availability, and slope, topography, and vegetation types.

Based on Geist and Lambin, 2001

Box 6. Plantations

The increasing demand for wood and paper-based products will likely be met, at least in part, through the establishment of new forest plantations. The area of forest plantations worldwide has been increasing to reach 140 million ha in 2005. Slightly less than half of the world’s plantations are in Asia while exceptionally fast increases were experienced in North America, Central America, Oceania and South America between 1990 and 2000 (FAO, 2006). This trend is expected to continue, especially in developing countries. Forest plantations currently make up 5% of world’s forest cover, but account for 35% of total global industrial wood production. There are advantages and disadvantages that need to be considered when sourcing from forest plantations.

Planted forests (plantations) may not provide the same ecosystem services natural forests provide, but they can play a positive role in other regards:

• By producing wood more efficiently, they may allow other natural forests to be managed for other forest values.
• When established on previously degraded sites they may recover some ecosystem functions and services. Increased recovery of degraded lands will play an important role in meeting future demand for wood and paper-based products and services including carbon sequestration and/or crops for fuels.

However, when forest plantations reduce the production costs for timber, products from natural forests may be at a disadvantage. If natural forests become less economically viable, it could cause owners to convert their lands to other more financially attractive land uses.

Advantages and disadvantages of plantations

Advantages	Disadvantages
Forest plantations can return degraded or worn out lands to productive use and protect soil from erosion.	There is often limited biodiversity if the forest is managed in single species plantations, resulting in reduced wildlife habitat and ecosystem value.
The rapid growth of forest plantations can produce more wood, faster, requiring less land to produce a specified amount of wood.	Diseases and pests which target a particular tree species can have devastating impacts in single species plantations.
Forest plantations enable landowners to take advantage of the newest forest technology and genetics. This results in greater yields and better prices, strong incentives for private landowners to continue to practice forestry on their lands.	Forest plantations often receive higher levels of inputs such as fertilizer and chemicals to control vegetative competition.
Wood harvested from forest plantations is often very uniform in terms of species and size, thereby improving processing and manufacturing efficiency.	Run-off, overspray and groundwater contamination can be issues if these practices are not carried out correctly.
Focusing wood production in fast-growing forest plantations can allow other native/natural forests to be managed for other uses such as biodiversity, non-wood forest products, and aesthetics.	Some forest plantations are established using non-native species. These plantations may not provide suitable habitat for local wildlife. Trees replacing grazing land may also adversely affect groundwater levels. If allowed to escape off-site, some non-native species may out-compete local tree species for available resources, and become a “weed” or invasive species.
Greater economic value of plantations can keep forest land in forest use, where a natural forest may not be economically sustainable.	Rights of local communities and indigenous peoples may be ignored. Forest plantations often take over large areas of land that become unavailable to other users (e.g., fuel-wood collection, non-wood forest products) and can distort income distribution in households and communities.
	Clearance of natural forests to establish plantations.

The two principal concerns about forest plantations are:

1. They may replace natural forest areas or areas in the forest landscape with unique qualities.
2. They may not be established in compliance with local laws regarding land occupation, and with authorization of local and indigenous peoples.

Sources: Boyer, 2006; FAO, 2007B; Nair, 2001.