September 8, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

Ten forestry companies including Dasos Capital, F&W Forestry, Gresham House, Marubeni, Mitsui & Co., New Forests, Oji Holdings Corporation, Rayonier, Stora Enso, and UPM are answering the urgent call to action on climate change, biodiversity loss, deforestation, and other critical environmental challenges by launching a new industry body, the International Sustainable Forestry Coalition (ISFC).

When considered as a whole, this group of companies manages nearly 9 million hectares (22 million acres) across 27 countries: Australia, New Zealand, the U.S., Brazil, Chile, Uruguay, Ireland, UK, Finland, Sweden,  Lithuania, Latvia, Estonia, France, Poland, Spain, Portugal, Indonesia, Japan, Thailand,  Malaysia, Vietnam, Cambodia, Laos, Uganda, Tanzania, and Mozambique. 

Dr. David Brand, who is the convening Cchair of the ISFC and chair of New Forests, explained how the ISFC will aid the forestry sector in achieving its full potential for greatest impact in the sustainability transition, saying, “For the forestry sector to play a greater role in the overarching  sustainability transition it needs to engage more directly with the Climate Change and  Biodiversity COPs, with initiatives such as the Forests and Climate Leaders Partnership and  with other policy processes related to the conservation and sustainable management of  forests.” 

Dr. Brand continued, “There is an expectation that the forestry sector needs to grow and contribute to a transition to greater use of sustainable, renewable, naturally decomposable materials in society; to a sustainable built environment; and to thriving rural communities. This will require expanded investment, but also an approach that creates and perpetuates landscapes  which effectively balance conservation and production functions.”  

When considering the greatly varied and diverse geographies represented, as well as the differing socio-political and regulatory frameworks at play, a representative body such as this will go far in bringing a more unified focus to an often disjointed, but globally-scaled investment class. 

“Forests are  extremely important for providing both ecological services and sustainable, renewable  products for a growing population,” said Jody Strickland, chief business officer, EVP, F&W Forestry Services. “We believe the sustainable building materials and other cellulose-based products produced from the trees we grow will play an increasingly important role in helping us transition to a more sustainable economy.”

At the same time,” Strickland continued, “we need to continue to improve the way we manage forests to provide additional ecological  benefits. Therefore, it is vitally important that the forestry sector come together to help meet the challenges of transitioning to a sustainable society. The International Sustainable Forestry Coalition provides a conduit for us to work together to meet the challenges that lie ahead.” 

The Paris Agreement, an international treaty adopted in December 2015 during the 21st Conference of the Parties (COP21) of the United Nations Framework Convention on Climate Change (UNFCCC) held in Paris, France, set a long-term goal of keeping global average temperature increases to well below 2 degrees Celsius (3.6 degrees Fahrenheit) above pre-industrial levels, and if possible, to limit the temperature increase to 1.5 degrees Celsius (2.7 degrees Fahrenheit). 

It has been determined that to achieve this goal, it is critical that we collectively reach carbon neutrality, meaning that global greenhouse gas emissions will need to be zero, by 2050.

It is within this framework that forests are important as CO2 sinks, as noted in the Glasgow Climate Agreement adopted at COP26 in 2021. Additionally, forests are not only a climate change countermeasure, but are considered Nature-based Solutions (NbS) addressing social issues and performing public functions such as conservation of biodiversity and water resources.

“The ISFC is committed to help solve the challenges laid out in the Glasgow Leaders  Declaration on Forests and Land Use, being progressed by the Forests and Climate Leaders  Partnership (FCLP),” said Ross Hampton, executive director, ISFC. “The private forestry sector is a vital partner to mobilize capital at the  scale required to deliver on these ambitions and the applicable United Nations Sustainable  Development Goals.” 

Prior to attending Climate Week in New York coming up September 17-24, 2023, the ISFC launched its position paper (available for download here) entitled Expanding the Forestry Sector Contribution to the Transition to a Sustainable Society. This paper, the group stated, is a signal that the global forestry sector is interested and intent on playing a greater role in the policy processes related to this transition.

“At Mitsui, we are committed to driving initiatives that will make contributions to  solving the material issues our world is facing today, of which one is to ‘Create an Eco Friendly Society’,” said Masaru Namiki, general manager, Living and Environmental Business Division, Mitsui. 

“While there is no doubt that forestry will play a key role in promoting sustainable growth of our society, realizing its potential has only begun. It is our privilege to join the International Sustainable Forestry Coalition, and to work together with global leaders in unlocking the true values and benefits forestry can bring.” 

Hiroyuki Isono, group chief executive officer, Oji Holdings Corporation, also commented, “Sustainably managed forests not only absorb carbon dioxide, but also mitigate floods, cultivate water sources, and prevent natural disasters in addition to their contribution to biodiversity, healing and people’s health. The products derived from wood are made of renewable materials and able to substitute for plastic, films and fuel derived from fossil  resources.”

“We are delighted to join the International Sustainable Forestry Coalition where world forestry leaders work together as one to combat global problems such as climate change, biodiversity loss and forest degradation. The coalition will also attempt to clarify the real value of forests as natural capital, to lead to a more sustainable society.”

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

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