Illegal Logging

Illegal Logging Prohibition Regulation 2012 Sunsetting Review

As mentioned in our last e-update in July, the department is conducting a sunsetting review of the Illegal Logging Prohibition Regulation 2012 (the Regulation). Australia was among the first countries globally to introduce illegal logging laws and the review is an opportunity to learn from nearly 10 years of experience here and overseas.

The review is considering if the Regulation continues to be fit-for-purpose. It is also considering potential reforms to strengthen Australia's illegal logging laws more broadly, which may require changes to both the Regulation and the overarching Illegal Logging Prohibition Act 2012.

The potential reforms aim to ensure that the laws are effective at protecting the Australian market from illegally logged timber, and efficient in minimising burdens on regulated businesses from the law's operation.

Public consultation on the potential reforms opened on 6 July 2021 and closed on 30 September 2021. We invited feedback from the public and targeted our engagement at those with a close interest in the laws. We received 20 written submissions and 30 survey submissions from 47 participants.

An overview of the views received from stakeholders on the key potential reforms can be found on the review's Have Your Say webpage. The Government is currently considering the outcomes of the public consultation and the next steps for the potential reforms and remaking of the Regulation. The department will continue to update stakeholders on  progress.

Australian Government announce series of studies to assess our exposure to illegally logged timber
Recently announced in the department's 2021-22 Mid-Year Economic and Fiscal Outlook (MYEFO), the Australian Government is investing $900,000 over 2 years to deliver a series of studies to assess our current and future exposure to illegally logged timber imports. As part of this commitment, these studies will assess:

• Australia's current and future exposure to illegally logged timber imports
• how Australia's laws have reduced demand for illegally logged timber
• where enforcement efforts under the laws can be tailored to emerging risks.

These studies will harness specialist knowledge and skillsets in illegal logging, trade, regulatory implementation and policy, strengthening our illegal logging laws to better protect the profitability and viability of the Australian market and our timber producers.

The studies will be used to develop a set of recommendations for better targeting compliance efforts across the 30,000 importers and $7.8 billion of annual trade regulated under the illegal logging laws.

Resources for importers: updates to the Country Specific Guidelines and State Specific Guidelines
Country Specific Guidelines (CSGs) and State Specific Guidelines (SSGs) outline the legal frameworks used in the relevant jurisdictions to regulate timber harvesting. This information can help importers and processors with their due diligence assessments.

Updates to these documents include a new Thailand CSG and Quick Reference Guide (QRG).  Additionally, the Tasmanian and South Australian SSGs and QRGs have been updated. These documents come into effect on 17 February 2022, two months after the legislative instrument was registered on 17 December 2021.

We continue to work with our trading partners to develop and routinely update CSGs. Similarly, SSGs will be updated as changes are made in the relevant state jurisdictions. New CSGs will be added to the CSG webpage page as they are finalised/updated and SSGs will be added to the SSG webpage as they are updated. Please check these webpages regularly to ensure the documents you are referencing are the most up-to-date versions.

APEC Experts Group on Illegal Logging and Associated Trade (EGILAT) two-year policy theme report endorsed
The final report of EGILAT's 2-year policy theme, 'Advancing the trade and distribution of legally harvested forest products' will soon be published on the APEC EGILAT webpage.

EGILAT's policy theme commenced in 2019, and recognised that private sector entities are the key players in the trade and distribution of forest products. The policy theme sought to identify:

• the issues faced by private sector entities in legal forest product trade
• potential actions that might be undertaken to support them
• the resources and materials available to help.

The report details the policy theme's three distinct streams of work:

1. a series of four stakeholder workshops to identify challenges and opportunities for the private sector
2. a private sector survey to capture the views of a broader range of industry organisations
3. the development of a 'Compendium of Resources' to draw together existing tools, materials and resources to understand and navigate the legal frameworks of various economies.

The report outlines key themes and challenges identified throughout the policy theme, and explores opportunities identified through stakeholder workshops and by survey respondents, including options to optimise use of the Compendium of Resources.
The final report provides eight recommendations for consideration, which will help shape EGILAT's future work plan, including its future work with industry and other partners.

International News - Illegal Logging: a global issue

• In Mexico, the Federal Agency of Environmental Protection, Procuraduría Federal de Protección al Ambiente (Profepa), has released a report stating forests in about 15% of Mexico's territory are disappearing due to illegal logging. The document notes there are 122 areas where severe deforestation has occurred due to 'the high incidence of illegal logging related to organized crime groups'.
• In Myanmar, authorities seized over 510 tons of illegal timber across the country in just over a month. The Forest Department under the Ministry of Natural Resources and Environmental Conservation stated seizures were made from 30 August to 3 October 2021 and included over 217 tons of teak, over 72 tons of hardwood and over 221 tons of other types of timber.
• In Zambia, the High Commission has confirmed 200 Tanzanian registered trucks have been seized for illegally logging a protected rosewood type without valid permits. Tanzania's High Commissioner to Zambia, Hassan Simba Yahya said that the issue will now be resolved diplomatically by the two countries.
• In the Philippines, the Anti-Illegal Logging Task Force confiscated P4.5 million (A$125,000) worth of illegally cut premium wood in three separate operations. The Department of Environment and Natural Resources also reported 13 individuals were arrested and two vehicles were confiscated as part of the operation.
• In Papua New Guinea, Gary Juffa, governor of the Oro province, has called for the international community to join forces to fight illegal loggers destroying PNGs rainforests at the COP26 climate summit in Glasgow, Scotland. Juffa said political corruption has forced him to use the court system to remove three of the five timber companies operating in the Oro province.
• In the lower Mekong, more than a 100 forestry, law enforcement and customs officials from relevant countries met virtually for a five day CITES led workshop to bolster their skills in timber identification. The aim of the workshop was to give the officials the tools to identify and combat illegal shipments of timber and wood products moving through their countries. It was the third such online workshop held this year.