The FSC (Forest Stewardship Council) is an independent non-profit, non-governmental organization founded in 1993 to promote responsible forest management based on social, environmental and financial criteria.

The first requirement for obtaining the green label is to comply with all legal requirements in the country of origin, including labor and environmental aspects. E.g. accomplishment of all ILO´s (International Labor Organization) conventions and maintenance of preservation areas.

In addition to legal requirements, social criteria include in-company aspects such as the safety and training of the workers. Out-company, social criteria mean good relationships with project stakeholders. Usually, their involvement starts with public consultation during the FSC application phase and extends to all actions taken to address their demands. The company is constantly open to receive stakeholders’ inquiries.

Environmental standards also go beyond legal requirement, FSC companies are asked to implement many actions in order to minimize impacts to their natural resource. An example is the requirement that roads be well planned out, avoiding additional damage to the forest. Whenever there appear signs of erosion, the land must be properly recovered and the problem resolved. As for roads, they must not obstruct the water flow; therefore bridges are built whenever needed. The volume of wood to be harvested is limited to a maximum of 30 cubic meters per hectare in the Brazilian Amazon region. The fauna and flora are monitored before and after the harvesting operation, in order to evaluate the effect of human interference on the ecosystem. Lastly, complying with certification implies the implementation and continuous improvement of performance indexes. Orsa Florestal is constantly looking for implementing best practices, for increasing the sawmill yields and for developing FSC markets.

Part of the management area is designated as conservation zones to be left intact forever to protect most vulnerable and biologically valuable parts of the forest. Reserve zones are established to protect high conservation value forest, followed by buffer zones to make a transition between operational areas and conservation zones.

The entire production process is frequently audited by independent third parties (at least annually), ensuring that the company does not divert from the FSC standards.

The origin of the green wood is ensured through the chain of custody. The path of the timber must be traceable back through the supply chain to its origin in the forest.

The consumer can verify whether he is purchasing a product that was properly managed by looking at the chain of custody number on the purchase document (invoice), and/or on product label.

The green label provides the consumer with two assurances. Firstly, that the product being purchased did not deplete environment. Secondly, that both native people and workers were treated fairly.

The Green Label emerged due to consumers’ environmental concerns about wood products and forests around the world. Half of the forests had already been affected, degraded, destroyed or converted for other uses, such as plantations and grazing land. A large amount of it is illegally logged. Forests provide clean water, fresh air and help to combat global warming. They also provide food, medicine and important natural resources. If managed responsible, they benefit the people that depend on the forest.

The FSC was founded to promote both legal and responsible forest operation as well as reasonable incorporation of social and environmental considerations. This was the first global environmental certification system for wood and forest products. It is currently available in 75 countries, wit a total of 87 million hectares certified. This environmental certification ensures proper forest management is based on universal principles and criteria established through a process of deliberations and negotiations that lasted three years.

In Brazil, the first Green Label was granted in 1995. Two years later, the first native forest management in the Amazon region became certified. The second certified company in the region started its certified operation in 2000. Since then there has been an increase in the certified area. Between plantations and native forest, Brazil has 6.184 million hectares FSC certified (by April, 2008 data), occupying the 4th position on the list of countries with the largest FSC certified areas.

The FSC principles and criteria are:

Principle 1.Compliance with all applicable laws and international treaties

Principle 2.Demonstrated and uncontested, clearly defined, long–term land tenure and use rights

Principle 3.Recognition and respect of indigenous peoples' rights

Principle 4.Maintenance or enhancement of long-term social and economic well-being of forest workers and local communities and respect of worker’s rights in compliance with International Labour Organisation (ILO) conventions

Principle 5.Equitable use and sharing of benefits derived from the forest

Principle 6.Reduction of environmental impact of logging activities and maintenance of the ecological functions and integrity of the forest

Principle 7.Appropriate and continuously updated management plan

Principle 8.Appropriate monitoring and assessment activities to assess the condition of the forest, management activities and their social and environmental impacts

Principle 9.Maintenance of High Conservation Value Forests (HCVFs) defined as environmental and social values that are considered to be of outstanding significance or critical importance

Principle 10.In addition to compliance with all of the above, plantations must contribute to reduce the pressures on and promote the restoration and conservation of natural forests.