Consolidation In Certification

(Continued from previous Page) aware of its availability and its environmental advantages. The key market advantage is the ability to sell a preferred product in a market that is oversupplied and will remain so for thenext two years. Currently higher prices are achieved, but that advantage will moderate as more certified wood becomes available.

My forecast? I believe there will be a consolidation or mutual recognition of the three North American systems over the next four or five years. FSC has recently moderated its percentage-based requirements on chips and composite panels, primarily because of pressure from the industry sector. SFI will probably soon adopt a chain-of-custody component. Clearly the winner in this movement will be the forest industry and the consuming public (7OVo of which identify themselves as environmentally friendly). By purchasing wood and wood products that have been certified through an independent third-party verification system, consumers will be assured that the wood they buy comes from a sustainable forest, managed as a total forest ecosystem with as much attention paid to the trees as to the environmental and social impacts.

I would estimate that by 2005, we'l1 see about 20Vo of the forest base certified under the auspices of one of the major certification systems. Certified wood will be the standard by which sustainable forestry will be measured and its success in the marketplace will be our guide. In an industry that has a remarkable story of sustainability and renewability this will be a welcome change from the contentiousness of the past few years.