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which increased by 13 percent and clothing, which increased EUROPE
by 139 percent. Certification schemes lay out EUDR compliance
However, furniture consumption only increased by three support
percent and the consumption of construction and decoration Given the huge dependence on FSC and PEFC by suppliers
materials recorded a decline of eight percent. into and out of the EU and for internal EU trade for provision
Many institutions predict that the annual transaction of data on provenance and forestry practices, the extent
volume for new homes will only be maintained at about to which these systems can adapt, or not, to the new
one billion sqm, down by about 40 percent compared to requirements of the EU Deforestation Regulation (EUDR) will
the high point in 2018. have a strong bearing on access to the EU market and on
This will affect the manufacturing sector such as home the continuing global competitiveness of European wood
furnishing. Businesses have assessed there is no chance of product manufacturers and traders in the future.
expansion in the domestic market. FSC webinars in recent weeks have detailed its guidance
National policies have promoted the pace of home and support to help certified companies meet EUDR obligations.
furnishing enterprises relocation overseas. The government PEFC is also progressing alignment of its system and standards
encourages enterprises to "go global" and provides a series with the EUDR to aid PEFC-certified businesses’ compliance.
of supportive policies and measures such as tax incentives The FSC webinars, recordings or which are available on
and financial support creating favourable conditions for its website, covered its FSC EUDR Aligned Standard which
enterprises to expand overseas. will be launched in June this year as an added option for
In late 2000, many Chinese home furnishing enterprises all FSC certified companies.
chose to set up businesses in Europe and America, but more Within this, its EUDR Regulatory Module will provide
recently, companies have vigorously targeted the Indian and added components on avoiding implication in deforestation
Southeast Asian markets. and forest degradation and take companies through EUDR
This is because these countries have a large population alignment of due diligence processes and reports.
and growing consumer demand. As these economies expand FSC has also been explaining how its new ‘FSC Blockchain’
and people's living standards rise the demand for household platform will work. This is designed to enable certified
products increases. companies to meet the EUDR obligation for geolocation
These new target markets have cultures and consumption coordinates identifying the origin of timber and wood products.
habits closer to those in China which is conducive to the
rapid adaptation and integration of domestic household
enterprises into the local market. Ingeborg Korme
In addition, the policy environment in India and Southeast
Asian countries is also relatively open providing a good
investment and development environment for domestic
household enterprises.
Some countries, in order to attract foreign investment
and promote economic development, provide tax incentives,
land leasing and other preferential policies reducing the
establishment cost of incoming enterprises.

