The answer in one sentence
PEFC and FSC are certification systems for responsible forest management and the traceability of forest-based materials. We explain what they mean for forest owners and timber sellers.
Two systems, one purpose
PEFC and FSC are two international forest certification systems. Both are designed to promote responsible forest management and provide a way to verify the origin of forest-based materials.
The systems differ in their structure and standards. PEFC (Programme for the Endorsement of Forest Certification) endorses national forest certification systems that meet its international requirements. In Estonia, this is based on the Estonian PEFC forest management standard. FSC (Forest Stewardship Council) operates through its own international principles and standards, with requirements adapted to national conditions where applicable.
In practice, the two systems exist side by side. Different companies and markets may use one or both systems.
Two different certificates, often confused
One distinction is particularly important.
A forest management certificate (FM) applies to forest management. It confirms that the forest area covered by the certificate is managed according to the requirements of the relevant standard. Compliance is checked by an independent certification body.
A chain of custody certificate (CoC) applies to organisations handling forest-based material. It provides a system for identifying and tracking certified material through the supply chain, from sourcing through processing and sale.
The two certificates cover different parts of the same chain. Forest management certification concerns how the forest is managed; chain of custody certification concerns how certified material is identified and tracked after it enters the supply chain.
Why this matters to a forest owner
A forest owner does not need to hold an individual certificate simply to sell timber or harvesting rights. However, certification can affect how the material can be sold and represented further along the supply chain.
Market access. Some buyers and supply chains require certified material. Forest management and chain of custody certification can therefore affect which markets certified timber can enter.
Traceability. Chain of custody certification requires organisations to identify and track eligible forest-based material through their processes and sales documentation. For the seller, this means that the origin of certified material must be documented.
Forest management. Forest management certification provides independent verification that the forest areas covered by the certificate are managed according to the applicable standard.
Can a private owner get certified
Yes. Forest owners can be certified individually or through group certification. Group certification allows several forest owners to participate under one certification system, which can make certification more practical for smaller owners.
Whether certification makes sense depends on the property, the owner’s plans and how the timber will be marketed. If certification is relevant, it is worth asking a forest owners’ association or certification body about the available options.
What a certificate does not mean
- A certificate does not mean that the forest cannot be harvested. Certification sets requirements for how certified forests are managed; it is not the same as nature protection status.
- A certificate does not replace the law. Forestry and nature conservation requirements apply regardless of certification.
- A certificate does not guarantee a higher price. Certification can affect market access and how material can be sold, but it does not determine the price of a forest property or timber on its own.
- A certificate is subject to continued compliance. Certified organisations and forest management systems are audited against the applicable requirements.
How to check a buyer
Ask directly whether the buyer holds forest management certification, chain of custody certification or both, and under which system. PEFC and FSC certificates can be checked in their respective public certificate databases. Ask for the certificate number or licence code and verify the current status and scope of the certificate.
Where we stand
BaltWood’s forest management is 100% PEFC-certified, and the company also holds FSC chain of custody certification. These certifications cover two different parts of our work: the management of certified forest land and the traceability of forest-based material through the supply chain.
The certificates can be independently verified.
Send us the cadastral reference and your contact details. We will review the property and make an offer.
These articles provide general background information and do not replace legal or tax advice. For a specific transaction, check the applicable requirements with the Tax and Customs Board, the Environmental Board or a specialist in the relevant field.
Updated 2026