PEFC CoC: Chain of custody certification – ensuring legal product origin

How can it be demonstrated that a wooden table does not originate from a deforested forest? PEFC CoC provides the answer. By tracking and verifying each link (from sustainably managed forests to processing facilities and retail points), this certification ensures full transparency and meets the most stringent requirements regarding the legal origin of products.

What is PEFC CoC?

PEFC is an international, non-profit certification programme established in 1999 in Europe, operating as a verification mechanism for independent national forest certification systems. The PEFC chain of custody certification (PEFC CoC) is a programme established to track the traceability of forest-based products at the international level.

The core objective of PEFC CoC is to provide independent third-party assurance that forest-based materials used in final products originate from sustainably managed forests and controlled sources. The international standard applicable to the chain of custody is PEFC ST 2002. This standard establishes a continuous link from forest to market, tracking forest- and tree-based products from sustainable sources to the final product. Through the application of this standard, organizations can provide accurate and verifiable information on the origin of materials.

PEFC CoC certification is directly linked to sustainable forest management certification (PEFC SFM – sustainable forest management). PEFC FM certifies that forests are managed in accordance with strict economic, social, and environmental requirements, while PEFC CoC is the mechanism used to track and verify materials after they leave PEFC SFM-certified forests.

Importance of PEFC CoC

As of March 2025, PEFC is the world’s largest sustainable forest management certification system, with nearly 293 million hectares of certified forest. In terms of chain of custody, there are 13,514 PEFC CoC certificates worldwide, covering more than 29,800 companies. The number of CoC certificates has been steadily increasing, indicating continued growth in the market for certified wood and paper products. This trend reflects growing corporate attention to supply chain transparency, sustainable procurement requirements, and compliance with certification-based purchasing policies (e.g. public procurement in the United Kingdom, Germany, and Japan).

In Viet Nam, as of the same period (March 2025), 139 PEFC CoC certificates have been issued, corresponding to approximately 139 enterprises. Although Viet Nam is one of the leading exporters of wood and forest products (for example, wood exports in the first six months of 2025 reached approximately USD 8.2 billion), the national timber industry is under significant pressure from international markets. PEFC CoC certification is a key instrument enabling these enterprises to overcome export barriers, particularly in demanding markets such as the EU, the United States, and Japan, where demand for sustainable wood products continues to increase.

PEFC CoC certification ensures transparency and traceability of wood product origin, enabling enterprises to demonstrate compliance with strict legal requirements. PEFC CoC supports compliance with regulations such as the EU Timber Regulation (EUTR) and the United States Lacey Act, and is developing a due diligence system (DDS) module to support enterprises in meeting the EU regulation on deforestation-free products (EUDR). With the tightening of regulations and increasing requirements from international customers (such as large retail groups), PEFC CoC certification is increasingly becoming a necessary condition for maintaining competitiveness and sustainable export capacity for Vietnamese forestry enterprises.

Which enterprises is PEFC CoC suitable for?

The PEFC CoC standard is applicable to all enterprises participating in the forest product supply chain, particularly organizations involved in purchasing, processing, or distributing forest-based products. Specifically, this includes:

  • Processing and manufacturing enterprises: This is the core group requiring CoC certification. They directly transform raw materials such as roundwood, chips, latex, or fibres into intermediate or finished products, including sawmills, plywood and furniture manufacturers, pulp mills, and rubber processors.
  • Trading and distribution enterprises: Companies involved in buying and selling forest-based products, whether or not they physically handle the goods, require CoC certification in order to make legitimate PEFC product claims.
  • Relevant logistics enterprises: Transport operators within the CoC chain, although not required to obtain separate certification, must comply with strict control requirements as stipulated by the certificate holder.

In addition to wood and paper, PEFC CoC also applies to non-wood forest products such as rubber, cork, viscose fibre, footwear leather, etc., making it suitable for enterprises seeking to expand into the EU or other markets that require evidence of legal and deforestation-free origin in accordance with EUDR.

Benefits of PEFC CoC for enterprises

The implementation and maintenance of PEFC CoC certification deliver dual value: direct strategic benefits for enterprises and commitment-related benefits for the environment and society.

1. Direct strategic benefits for enterprises

These are core business benefits that enhance competitiveness and support sustainable development:

  • Market access and export expansion: This is the most significant benefit. PEFC CoC is regarded as a “passport” for products entering demanding markets such as the EU, the United States, and Japan, where consumers and major retailers (e.g. IKEA, Home Depot) require certified products.
  • Legal compliance assurance: PEFC CoC certification provides a robust mechanism, particularly when combined with the due diligence system (DDS), to demonstrate compliance with stringent international legal requirements such as the EU regulation on deforestation-free products (EUDR) and the United States Lacey Act, thereby reducing legal risks and avoiding import rejections.
  • Enhanced credibility and brand image: Enterprises demonstrate a clear commitment to sustainability and environmental and social responsibility. This attracts partners, investors, and particularly conscious consumers, supporting trust-building and brand differentiation.
  • Supply chain transparency: The standard requires strict control of input and output material flows, enabling enterprises to manage risks more effectively, optimize operations, and prevent illegal or unknown-origin materials from entering the supply chain.

2. Commitment-related benefits for environment and society

By prioritizing and using PEFC-certified materials, enterprises directly contribute to and support a global system aimed at:

  • Biodiversity protection: Ensuring that materials originate from forests managed in ways that support complex ecosystems and protect diverse flora and fauna.
  • Ecosystem and habitat conservation: Prioritizing the conservation of critical natural resources such as water, soil, and key wildlife habitats.
  • Community support: Ensuring that forest management activities respect community values and cultures, and support fair and sustainable livelihoods for local and indigenous communities dependent on forests.
  • Promotion of sustainable harvesting: Ensuring a balanced approach between the use of forest resources for current economic needs and the maintenance and enhancement of forest health and productivity for future generations.

Conclusion

PEFC CoC represents evidence of responsible development, where economic benefits are aligned with the objective of protecting the planet. Investment in this certification is not only an investment in today’s products, but also an investment in the green future of Viet Nam’s forestry sector.