This briefing shows how ten European companies trading in timber from the Democratic Republic of Congo (DRC) risk falling foul of EU laws on illegal logging. The timber in question has been cut and exported by the logging company Industrie Forestière du Congo (IFCO), the DRC’s second biggest timber exporter...European companies risk falling foul of EU laws on illegal timber. Our research into IFCO’s international timber business shows that European companies – based in France, Belgium, Portugal, Spain, Italy and Poland – together placed over 1,400m3 of IFCO timber, with a value of approximately €2 million, on the EU market between June and October 2018. Under the European Union Timber Regulation (EUTR), which came into force in 2013, companies must be able to show they have taken clear steps to reduce the risk that timber imported to the EU has been illegally harvested.

Significant quantities of IFCO timber were also exported to buyers in China, Taiwan and Vietnam during the same period. The current lack of regulation or import controls against illegal timber in these countries brings with it a risk of illegal timber entering broader international supply chains and consumer markets. Illegal and unsustainable logging is a major threat to climate-critical forests and the communities that depend on them...

European timber importers should take steps to avoid trading with sanctioned individuals and companies...At least ten EU-based companies in six different EU member states bought timber from IFCO between June and October 2018, according to documents seen by Global Witness. These European buyers are: JAF Polska (Poland), France Noyer, Edwood, Angot Bois, Timbearth and Carbon Market Timber (France), TimTrade (Italy), Exott (Belgium) and Interarrod (Portugal), as well as an unconfirmed Spanish buyer.

Global Witness wrote to all of the companies named in this report asking if they would like to respond to our findings. Certain EU timber traders responded. The company France Noyer stated that they source small amounts of “abandoned” timber from IFCO. France Noyer claims that this timber come from areas where IFCO is authorised to log, and that France Noyer has an employee in DRC who verifies this. The company believes that IFCO is operating in full compliance with DRC’s laws, and that the necessary paperwork is in place and validated by local authorities. The Portuguese company Interarrod stated that, while they have previously purchased timber from both IFCO and Cotrefor, they have ensured that they are in full compliance with the EUTR and have undertaken rigorous due diligence in relation to all aspects of IFCO’s operations. Their due diligence system includes documentary evidence, as well as third party checks on timber operations at source. They told us that they were inspected by the Portuguese authority in relation to shipments of Cotrefor timber in 2017.

IFCO also has a number of important buyers in Asia, such as China Plaited Products and Shanghai Wooden International Trading (both China), Song Jing Wood (Taiwan), Dai Loi Trading Company and Tai Anh Timber (both Vietnam). We are not alleging that any of these Asian companies have broken domestic laws by importing this timber.