Three Indonesian merbau suppliers—PT Forest Indo Perkasa, PT Wijaya Multi Sentosa, and PT Kayan Jaya Tanjung—have lost their FSC certification. The California-based auditor SCS Global Services terminated one supplier in April and suspended two others in June, complicating the supply of a major hardwood substitute used in Australia.
What happened to the Indonesian merbau suppliers?
SCS Global Services, the auditing body based in California, revoked the chain-of-custody certificates for three East Java exporters. The organization terminated PT Forest Indo Perkasa in April and suspended PT Wijaya Multi Sentosa and PT Kayan Jaya Tanjung on June 20.
These certificates allow timber to be sold under the FSC label from the mill all the way to the merchant. While the official register lists these withdrawals, it doesn’t provide specific reasons for the actions.
Why does this impact the Australian timber market?
Merbau has become the default replacement in Australia for native hardwood species like blackbutt, jarrah, and spotted gum. As the country winds back native harvesting, merbau, meranti, and balau are increasingly used to fill the gap.
The loss of certification has drawn attention from within the trade. An industry source familiar with the merbau trade told Wood Central that while the timber remains on shelves, the loss of certification makes importing from these specific suppliers “a whole lot more complicated.”
“If you’re importing from those suppliers, it gets a whole lot more complicated,” the source said.
What are the environmental implications?
The loss of certification is significant because there is no CITES listing covering the merbau genus. Consequently, FSC certification serves as the primary assurance that a board was legally cut. This is particularly critical given that Greenpeace estimates the illegal share of Indonesian harvesting as high as 80 per cent.
How has timber demand changed in Australia?
Research by University of Queensland forest economist Tyron Venn suggests that cutting native harvesting hasn’t actually reduced timber demand. Instead, it has pushed harvesting offshore. Since the 1990s, native sawlog production has fallen by approximately 2.2 million cubic metres, while imports from less-regulated Asia-Pacific forests have risen by a similar volume.
This shift is occurring as states like New South Wales move to close native forests, such as those within the proposed Great Koala National Park.
The loss of these certifications could make importing from these specific East Java exporters more difficult for the trade. As Australia continues to reduce domestic harvesting, the industry may face increased pressure to secure alternative certified sources to maintain legal supply chains.
Frequently Asked Questions
Which companies have lost their FSC certification?
PT Forest Indo Perkasa was terminated in April, while PT Wijaya Multi Sentosa and PT Kayan Jaya Tanjung were suspended in June.
Who is responsible for auditing these suppliers?
The audits are conducted by SCS Global Services, a body based in California.
Why is certification so important for merbau?
Because the genus is not covered by a CITES listing, certification is the main way to ensure the timber was legally harvested.
