Monday, August 11, 2025
With growing demand for certified forest products and ongoing efforts to decarbonise the economy and combat climate change, it is essential to understand the economic value of forest certification. A recent study in Frontiers in Forests and Global Change examined this by analysing publicly available forest, economic, and environmental data from 28 European countries to explore the link between certification levels and economic performance in the forestry sector.
Key findings
The research found that in Europe, forest certification increases revenue generation. While certification costs tend to rise with forest area, they often stabilise at larger scales, especially through mechanisms like group certification. The Czech Republic and the Netherlands show particularly high net economic gains from certification, suggesting effective economic exploration of forest resources.
In practice, the researchers suggest that forest owners and managers align their strategies with broader economic trends to optimise their operations.
Beyond economic benefits
Beyond profit, certification reduces environmental, social, and reputational risks. Through engagement with auditors and stakeholders, forest managers can identify potential environmental and social issues, helping to manage reputational risk for the company. Evidence of this risk mitigation is particularly important for investors seeking to support positive social and environmental outcomes and responsible timber and non-timber forest product markets.
The researchers also found evidence of other favourable social and economic outcomes: certification can connect forest managers to global, sustainability-driven markets and satisfy market demand for sustainable and responsible produced goods.
Finally, certification aligns with key European Union strategies and policies such as the Regulation on Land Use, Land-Use Change and Forestry (LULUCF), which outlines how the land-use sector contributes to climate goals, and the Nature Restoration Law, which supports biodiversity conservation and ecosystem restoration.
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Tags: biodiversity, Forest, forest certification, forest products, Forestry, sustainability, timber, Timber Industry
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