During 2004–2008. LEI certification process for timber origin has been applied in several timber-based industries
To date, 2 (two) management units have passed LEI chain of custody certification. The two management units are:
- PT. Uniseraya, Riau
- PT. Jawa Furni Lestari, DI Yogyakarta
There are 4 (four) pulp and paper industries has passed LEI-CoC Certification:
- PT. Pindo Deli
- PT. Tjiwi Kimia
- PT. Indah Kiat
- PT. Lontar Papyrus
In order to reinforce market recognition over LEI labeled plantation forest products, LEI conducts the following promotion programs:
1. Statements in mass media regarding Green Products demanded by European and American markets.
2. Advertisement in 2007 Garuda Indonesia Inflight Magazine, on furniture products made of LEI certified raw materials. .
3. Promoting LEI and its products at Asmindo Pavillion in the 2007 Export Products Exhibition, Jakarta International Expo.
4. Promoting LEI and its products (both LEI certified services and products) at the Green Pavillion in the 2008 IFFINA Exhibition, Jakarta International Expo.
5. Products from community forest bearing LEI Logo have been traded in European market through Maison Du Monde (MDM).
LEI in cooperation with IFC recruited 15 trainers to provide training and capacity building to furniture and handicraft industry business operators in order to obtain Chain of Custody certificate from LEI.
Demands over LEI Certified Products
According to Indoneisia’s Trade Minister, Mari pangestu, European and American consumers are demanding environmentally friendly products; based on this fact the government deems it is important to encourage furniture and handicraft industry to use environment-friendly raw materials. (Kompas 08/03/08). Jajag Suryoputro, who runs furniture based SME and LEI certificate holder, said that buyers require products made of legally harvested raw materials. In addition, ”Many buyers inquire the certification of the traded products,” added Jajag, Director of PT Jawa Furni lestari. Jajag explained that particularly American and European buyers are staring to demand and desired ecolabelled furniture products.
Positive Impact of Ecolabel Certificates
According to Jajag, the direct benefit he received from the certification is an easier promotion efforts and a more appreciations received from importers and buyers. Ecolabel certification also bring positive impacts in the form of increased efficiency in the company’s internal management, as they now have better production system that complies with eco-label certification indicators.
”Premium Price is not our main motivation us in undergoing the certification process,” Jajag said, ”If we can achieve it, it’s good, if can not, well, that is not the objective of the certification itself. Business competition is not only in the price, there are many variables in business competition.”
Sustainable forest management certificate and chain of custody certification bring positive impacts to the product’s image. With chain of custody certification, producers may attach logo on the product, informing that the product has undergone a process that maintains forest sustainability. ”Buyers who are searching for eco-label products do not hesitate to order products from our company,” he added. Certification has increased product demands in his company.