Traceability gaps in global timber trade threaten critical forests

Staff
By Staff
3 Min Read

The majority of the world’s leading tropical forestry companies are failing to disclose the origins of their wood and pulp, according to the latest SPOTT assessment by international conservation charity ZSL.

The lack of transparency leaves markets exposed to risk, with billions in investment and irreplaceable forests under threat.

The global timber and pulp trade is worth more than $480 billion (£350 bn) annually. Even small traceability failures can jeopardise significant value, as companies struggle to demonstrate that their products are responsibly sourced.

ZSL’s 2025 assessment of 100 major forestry companies found that just 18% disclose the countries they source from and only 4% report supply chain traceability down to forest management unit (FMU) level.

None of the companies assessed publish georeferenced maps for all third-party FMUs and only 3% report what share of their supply is verified deforestation-free.

ZSL says this lack of accountability exposes both upstream suppliers and downstream buyers to regulatory, financial and reputational risk.

Protecting these forests isn’t optional – they keep our water clean, filter our air and stabilise our climate,”

said Sam Ross, ZSL’s timber expert.

“These gaps threaten upstream companies’ market access, investor confidence and compliance with tightening regulations – and the risk cascades down the supply chain.”

The findings come as global attention turns to COP30 in Brazil this November, with forests a central theme. The deadline to halt deforestation by 2030 is approaching, alongside the EU Deforestation Regulation taking effect in December 2025.

Tropical forest loss has doubled since 2023, with 18 football fields disappearing every minute. Logging accounted for 335,000 hectares lost in 2024 alone.

SPOTT-assessed companies manage more than 43 million hectares of forest, yet only 10% provide comprehensive FMU maps, limiting oversight of deforestation impacts.

Illegal logging remains a major threat, representing up to 30% of global timber trade and fuelling corruption and community conflict.

ZSL highlights available solutions, including satellite monitoring, independent verification and scientific origin testing.

“The solutions are already available,” added Ross. “What’s missing is not the technology, but the will to use it.”

ZSL is urging buyers, investors and forestry companies to adopt transparent traceability systems, safeguard forests and strengthen the credibility of global timber markets.

Traceability gaps in global timber trade threaten critical forests appeared first on Energy Live News.

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