Lacey Act: The basics
Article Number : 4879
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Date 9/23/2009 9:35:08 AM
Written By LGM & Associates Technical Flooring Services
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Abstract Illegal logging is an issue that affects every facet of the industry. It’s a practice that destroys forests, essentially eliminating the raw materials that provide for our way of life; it undermines global trade by introducing low-cost, often inferior, materials to...
Article Illegal logging is an issue that affects every facet of the industry. It’s a practice that destroys forests, essentially eliminating the raw materials that provide for our way of life; it undermines global trade by introducing low-cost, often inferior, materials to the market; and it contributes to global warming, which impacts every living thing on Earth.

The U.S. Lacey Act is a law that was implemented more than a year ago to combat the occurrence of illegal logging throughout the world, but there still seems to be a great deal of confusion about its intent and purpose. The purpose of the Lacey Act is to restrict the import of illegally logged lumber into the United States. This does not mean that the United States has attempted to define “illegal logging” on a worldwide scale. It simply means the United States will work to ensure that lumber harvested in violation of the laws of the country of origin will not enter the U.S. market.

In general, this means U.S. suppliers will need to do a more-thorough job verifying that the materials they are importing from other countries are legally logged. It essentially requires a chain of custody verifying legal origin by a third-party certification provider. This documentation is now necessary for any lumber being imported from a country that is classified as at-risk for illegal logging by the Forest Stewardship Council. Currently, the only countries not classified as at-risk are the United States, Canada, Australia, New Zealand and most of Western Europe.

Enforcement of the Lacey Act will affect those companies that do not practice due diligence when importing products of questionable origin. The law states that a company must follow due diligence/“reasonable man practices” to ensure the materials are harvested legally. Documentation is essential but is not enough alone. The due diligence/“reasonable man” stipulation becomes easier to understand with a simple example. If standard industry pricing for a particular product is $1.50 per square foot, and the material you are being offered is 50-cents per square foot, a reasonable man should be cautious about the offer and demand documentation. There is no Lacey Act police enforcing these policies, but environmental groups will be watching shipments from at-risk countries, and for at-risk species, very carefully.

It is important to note that the Lacey Act was implemented as a way to eliminate illegally sourced material, not to eliminate specific products or species. One of the easiest ways to ensure your compliance with the Lacey Act is to participate in the NWFA’s Responsible Procurement Program, which promotes and recognizes environmentally and socially responsible forest management, and includes a third-party verification system for materials sourced outside the United States.