BRIEF BACKGROUND ABOUT TA ANN’S TIMBER DIVISION:
Ta Ann Group is a resource-based company with principal activities centred around sustainable harnessing of timber resources including value-added processing of timber into a wide range of products. The Group is also one of the pioneers in forest plantation in Sarawak. Its value adding downstream operation has begun utilising planted timber from its Acacia mangium Superbulk plantations which serve as the renewable resource base for the Group. Veneer supplied by its Tasmanian operation, which is Programme for the Endorsement of Forest Certification (PEFC) certified, is also a core component in its plywood production.
ABOUT MTCS-PEFC CERTIFICATION – TA ANN KAPIT FMU
Kapit Forest Management Unit (FMU) under Ta Ann Group has been awarded the Certificate for Forest Management (Natural Forest) under the Malaysian Timber Certification Scheme (MTCS), a scheme endorsed by the PEFC. The certificate was awarded by SIRIM QAS International Sdn Bhd on 11 June 2018 with a validity of 3 years, after undergoing two stages of audit, a series of stakeholder consultations and peer review since April 2017. Covering an area of 149,756 hectares, Kapit FMU is located in the southern part of Kapit District and is the first FMU under Ta Ann Group to attain sustainable forest management certification under the scheme. The FMU constitutes 40 % of licensed concession area under Ta Ann Group with a combined area size of 337,996 hectares.
HOW IT STARTED
Ta Ann has always been committed to sustainable practices by focusing on the key pillars of certification namely, economic viability, environmental management and corporate social responsibilities. Its journey towards MTCS – PEFC forest management certification started in 2014 in response to the state government’s aspiration to have all timber concessions certified in phases so as to enhance sustainable forest management in Sarawak. It began with the consolidation and amalgamation for the Group’s timber licences in Song-Kapit region into 3 FMUs namely, Kapit FMU, Pasin FMU and Raplex FMU. This restructuring was necessary to ascertain clear user rights of forest resources and to ensure the economies of scale of its forest operations based on 25 years cutting cycle which are the essential components of the sustainable management of forest resources.
GROUP WIDE COMMITMENT FROM TOP DOWN
The certification of its Kapit FMU is an important step forward which will enable the Group to further increase its production of certified plywood products. The Forest Management Plans for another 2 FMUs, namely Raplex and Pasin have been approved by Forest Department Sarawak (FDS). Raplex and Pasin FMU are expected to be certified by 2019 whereas Borlin FMU to be certified by 2022. Ta Ann is committed to achieving its goal to have all its 4 FMUs certified by 2022.
UPHOLDING THE SPIRIT OF COLLABORATION
Ta Ann realises that the journey towards sustainability cannot be undertaken alone and thus the Group is actively engaging all its stakeholders with the aim to achieve its targets for sustainable development. “Our deepest appreciation to FDS, Sarawak Forestry Corporation and all various bodies and institutions which had been so diligently involved in facilitating our certification process. The achievement is not possible without the strong support from the state government and related agencies with whom we share a common aspiration and commitment to elevate the industry to global standards,” Dato KH Wong, Chief Executive Officer of Ta Ann Group.
SUSTAINABLE FOREST PLANTATION
To-date, Ta Ann has established over 33,000 hectares of sustainably managed forest plantations which serve as a renewable resource base to complement the timber from its sustainably managed natural forest concessions. The Group has also embarked on extensive research and development programmes which have resulted in the production of improved tree planting materials such as Acacia mangium Superbulk.
In the establishment of forest plantations, Ta Ann conserves environmentally sensitive areas such as stream buffers, steep terrains, community use areas, special conservation sites, protected fauna and flora in compliance to forestry and environmental legislations. Ta Ann also strives to maximize landuse efficiency and expand its renewable resource base via the intercropping of Kelampayan in its oil palm plantations.
Ta Ann will continue to invest in R & D and to subscribe to best practices in resource management to improve its sustainability credentials of all its operations. Its oil palm division subscribes to Malaysian Sustainable Palm Oil (MSPO), a national certification scheme that addresses the legal, environmental, economic and social requirements of sustainable palm oil production. To date, 7 oil palm plantations and 2 crude palm oil mills have obtained MSPO certification.