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As a part of its commitment to providing sustainable fiber to its customers, Sinarmas Forestry enforces a strict "Chain of Custody" (CoC) system to ensure that no illegally sourced fiber enters the supply chain from the forest to the mill gate. This system is annually audited by an independent third-party to verify its proper functioning and integrity. In addition, SMF also goes through annual, independent Legal Origin Verification (LoV) audits. The CoC/LoV system was developed in conformity with the Criteria and Indicators of The Indonesian Ecolabelling Standard (LEI) for Wood Fiber Material. Based on the recommendation from the annual audit results, the system have been upgraded and improved annually. For the past years, the appointed verification body to conduct the audits was SGS (Societe Generale de Surveillance), a Geneva-based world's leading inspection, verification, testing and Certification Company which has been recognized for its global benchmark for quality and integrity. In recent audits held on 2007, SGS concluded that there was no evidence of illegal material being supplied by SMF, by any joint venture or by third-party fiber suppliers. SGS also concluded that there was no evidence of illegal fiber being present the CoC tracking of fiber from the forest to the pulp mill customers in Sumatra. (For detailed SGS Audit Statement Summaries, click here). In December 2008, APP and its fiber suppliers' LoV and CoC systems were again independently audited using national law, Eco-label Institute and Timber Legality and Traceability Verification (TLTV-VO) standards by SGS. The SGS auditing team has again found no indications of any illegal fiber being harvested by SMF and its partners or being introduced into APP's mills. |