NMO praises timber industry on EUTR implementation

Michael Kearney, enforcement project manager at the National Measurement Office (NMO), gave the initial results of EUTR enforcement to more than 50 hardwood traders during a London Hardwood Club meeting at the Victory Services Club in central London.

Mr Kearney said the NMO had seen excellent examples of due diligence in action, a strong performance in information gathering and supply chain transparency but also highlighted "shortcomings" because of either misinterpretation or misapplication of the legislation.

He confirmed that no action had been taken against timber companies during the initial enforcement programme but the NMO was now moving on to target companies and products based on risk.

Mr Kearney emphasised the NMO was working with companies to aid compliance and had gathered practical experience, examining industry best practice and identified specific products for scientific analysis.

"We have not yet visited very many companies at all," Mr Kearney said.

"There has been some strong due diligence and most are carrying it out to good standards," Mr Kearney said. "The timber trade is particularly good at mapping out supply chains. It is a difficult job and the trade has to be applauded for this.

"We've also seen a number of companies changing suppliers. That shows people are not just paying lip service to the regulation. At this stage that is more than we expected."

But the NMO has also found shortcomings, including over-reliance on documentation, some cursory risk assessments and issues with presentation of due diligence.

NMO recommendations include presentation of due diligence to show the decision-making process, closer scrutiny of suppliers' documentation and a need for operators to quantify results of visits to suppliers overseas.

Mr Kearney said third-party certification was a valuable tool but due diligence was still needed on certified timber products. He does not see prospects for certification being given a "green lane" for EUTR compliance.

In the medium to long-term the NMO will start to be more demanding on due diligence. "There has to be that deterrent, people have to know that we will take meaningful action."

Mr Kearney also addressed a 187-strong audience at the Plywood Luncheon Club's Shippers Luncheon at the Park Lane Hotel on November 12.