Given continuing controversy in the EU over whether Myanmar teak can be traded in compliance with EUTR requirements, importers questioned by ITTO’s correspondent were surprised by EU import statistics showing a 46% increase in sawn hardwood trade with Myanmar in the first five months of this year. The statistics indicate that much of the rise in trade was destined for Italy, Belgium, Germany, and the Netherlands.

Some NGOs claim that it is not possible, under the existing regulatory framework in Myanmar, for EU importers to gather information sufficient to ensure a negligible risk of teak being from an illegal source in line with EUTR requirements.

As things stand, this position is effectively endorsed by the Competent Authorities (CAs) responsible for enforcement of EUTR at national level in the EU.

At their meeting in November 2017, the European Commission’s Expert Group on the EUTR and FLEGT Regulation which provides a forum for member state CAs, reviewed a statement issued by the Ministry of Natural Resources and Environmental Conservation (MONREC) in Myanmar regarding improvements in traceability and transparency. The Expert Group agreed that this still falls short of what is needed to demonstrate the origin of the timber and so ensure full due diligence from an EU perspective.

A Myanmar delegation recently met with EU officials, trade bodies, NGOs and CAs, but the outcome was reported to be ‘status quo’ with the CA’s assessment of risk on Myanmar imports unchanged.

Until the matter is resolved, several timber trade bodies, including Le Commerce du Bois in France and the UK TTF, are advising members not to import Myanmar teak.