2007-07-23

Strict control of raw materials

SCA devotes extensive time and effort to ensuring that the timber used in its operations comes from responsibly managed forests. SCA has been working intensively with its supply base for some time to ensure that all the fibre-based raw materials delivered to the Group’s plants, such as purchased pulp or liner, do not come from controversial sources.

Liner and flutingIn 2005, SCA introduced a policy for responsible procurement of fibre-based materials that entails careful control of all fibre-based raw materials delivered to the Group’s plants.

“In general, suppliers are supportive and understanding of our requirements,” relates Brian Dillon, who is responsible for purchasing fibre materials within SCA Tissue Europe. “Every fibre supplier must complete a Fibre Questionnaire which we review annually, in addition we have a programme of Supplier Visits to ensure compliance to SCA requirements and that pulp suppliers are indeed managing their forests and manufacturing plants in an environmentally responsible manner.”

Most suppliers satisfy SCA’s requirements, and those that do not, have often already started a process to ensure that forestry operations will be environmentally compatible.

“The forest industry takes environmental issues very seriously,” says Brian Dillon.

When the demands on suppliers were increased, some suppliers questioned portions of the questionnaire that they were asked to complete. Today, relations with suppliers are excellent.

“Suppliers welcome SCA’s initiative and our relationship with them has strengthened,” notes Brian Dillon.

Requirements on verification of origin

Illegal felling is an industry worth billions. In some parts of the world, there is little concern for where the raw materials come from.

In some cases, felling takes place without the landowner’s knowledge or permission or in areas with substantial natural value or in violation of the country’s laws. Illegal felling of timber is not only an ethical issue but also has serious financial implications for the forest industry overall. Unethical companies sell illegal timber at reduced prices for example as they avoid taxes, fees and many other legal costs which in turn impacts the professional ethical forest companies who operate in compliance to the law and environmental legislation. It is therefore in our industry’s interest to stamp out the trade in illegal felling.

"We need to make high demands and conduct tough negotiations with our suppliers to ensure that our requirements are satisfied."

The fibre raw materials used in SCA’s plants derive in equal parts from recycled materials, recycled fibre and fresh fibre, meaning wood fibre from raw forest materials that are used for the first time.

SCA’s policy requirements state clearly that the source of raw materials we use may not come from illegal felling or from areas with high natural values. This also includes persons who work with or are affected by forestry operations. This means that employees must work under safe conditions and that the rights of indigenous people may not be violated.

“If we discover that a supplier is not living up to our requirements, we first try to influence the supplier to change its work methods,” relates Anders Hildeman, who is responsible for work on responsible procurement of fibre-based materials within SCA.

“We need to make high demands and conduct tough negotiations with our suppliers to ensure that our requirements are satisfied,” says Hildeman. “If we do not see any improvement or opportunities for improvement, we simply stop buying from that supplier. If a supplier is not prepared to specify the origin of its products, then SCA will not do business with that supplier,” concludes Anders Hildeman.

Timber from controversial sources is defined as:

  • Timber that was felled illegally
  • Timber from forests with a high conservation value
  • Timber from areas where human rights or the rights of indigenous people are being violated