TTS CERTVIETNAM

FSC & Sustainable Forestry

What Is FSC CoC? FSC Chain of Custody Explained for Businesses

FSC CoC (FSC chain of custody) is the certification system that tracks FSC material through every company in the supply chain. This guide explains what FSC CoC is, when a business needs it, the FSC claim types, the three control systems and common terms.

FSC CoC (FSC Chain of Custody) is the certification confirming that a business controls FSC material from purchase to sale, so its products can be sold with FSC claims that buyers can trust. It is issued by an independent, accredited certification body against the standard FSC-STD-40-004 V3-1.

This guide explains FSC CoC in plain terms: how the chain works, when a business needs certification, the FSC claim types and the most common terms.

1. What Is FSC CoC?

FSC (Forest Stewardship Council) is an international organisation that sets standards for responsible forest management.

Chain of Custody (CoC) is the sequence of businesses that material passes through from the forest to the final product: harvesters, sawmills, paper mills, packaging plants, furniture makers, traders and so on.

For a product to be sold with an FSC claim, FSC requires an unbroken chain of certified businesses covering every change in legal ownership of the product. If any business in the chain owns the goods without being certified, the FSC claim is broken and businesses further down cannot sell the product as FSC.

FSC chain of custody diagram: every business that owns the goods from forest to retailer needs certification to keep the FSC claim

2. FSC CoC vs FSC FM

 FSC FM (Forest Management)FSC CoC (Chain of Custody)
Applies toForest owners and managersBusinesses that process, manufacture or trade forest products
ConfirmsThe forest is managed to FSC principles and criteriaFSC material is controlled correctly as it passes through the business
ExamplesForest enterprises, smallholders in an FM groupSawmills, paper mills, packaging plants, furniture factories, traders

FSC's forest management principles are covered in the 10 principles of the FSC standard.

3. When Does a Business Need FSC CoC Certification?

According to FSC, a business needs CoC certification when it takes legal ownership of FSC products and does at least one of the following:

  • Sells products with FSC claims on sales documents (invoices, delivery notes).

  • Applies FSC labels to products.

  • Manufactures or changes the composition or physical form of products sold with FSC claims (e.g. printing, cutting, assembling, repacking).

  • Promotes products as FSC certified (except as permitted below).

When CoC certification is usually not needed:

  • Businesses that do not take legal ownership of the goods, such as agents and brokers who only connect buyers and sellers.

  • Retailers and end users that buy and resell finished, FSC-labelled products without changing them. To promote these products with FSC trademarks, they can use a promotional licence instead of CoC certification.

Check specific cases with a certification body, as every supply chain operates differently.

Example: A trading company buys FSC paper and resells it to a printer, with "FSC Mix 70%" on the invoice → the trader needs CoC, because it owns the goods and makes an FSC claim on its documents. If the company only brokers the deal, with goods shipped directly from mill to printer and no purchase or sale in its name → it usually does not.

The process, documents and costs of certification are covered in FSC CoC certification: process and costs.

4. What Does the FSC CoC Standard Cover?

The main standard is FSC-STD-40-004 V3-1 – Chain of Custody Certification, in four parts:

PartContent
1. Universal requirementsCoC management system, material sourcing and handling, records, sales, timber legality compliance, FSC core labour requirements
2. Control of FSC claimsProduct groups; transfer, percentage and credit systems
3. Supplementary requirementsFSC labelling; outsourcing
4. EligibilitySingle, multi-site and group certification

These requirements are explained in detail in the pillar article, section "Main Requirements of the FSC CoC Standard".

5. Common FSC Claims

An FSC claim is the information on sales documents that states the type of FSC material in a product.

ClaimIn short
FSC 100%All material from FSC-certified forests
FSC Mix x% / FSC Mix CreditA mix of FSC material, recycled material and controlled wood
FSC Recycled x% / FSC Recycled CreditRecycled material
FSC Controlled WoodNot FSC material, but controlled to exclude unacceptable sources. Cannot carry the FSC label

A detailed comparison of the FSC 100%, FSC Mix and FSC Recycled labels is in the pillar article.

6. The Three FSC Claim Control Systems

A business chooses a control system for each product group:

  • Transfer system: outputs carry the claim of the inputs. When inputs are mixed, the lowest claim applies. Suits traders and simple manufacturing.

  • Percentage system: calculate the share of FSC input over a claim period or job, and state the claim at that percentage (e.g. FSC Mix 70%).

  • Credit system: FSC inputs are added to a credit account; the business can sell an equivalent quantity of output with a "Credit" claim.

The right system depends on materials, production processes and the claims customers require.

7. Common FSC CoC Terms

TermMeaning
CoC certificate codeThe certificate's code, in the format XXX-COC-123456 (XXX identifies the certification body). Must appear on sales documents with the FSC claim
FSC licence codeA code in the format FSC-C123456, used on labels and when using FSC trademarks
Product groupProducts with the same material and control system, managed together
Conversion factorThe ratio between input material and output product, used to reconcile volumes
Group / multi-site certificationLets several small businesses or sites share one certificate

To check whether a certificate or licence code is valid, see how to look up an FSC certificate.

8. Frequently Asked Questions About FSC CoC

What does FSC CoC stand for? Forest Stewardship Council – Chain of Custody.

How long is an FSC CoC certificate valid? Up to 5 years, with regular surveillance audits during that period.

Can a certified business use the FSC logo straight away? Not automatically. Labels must follow FSC rules, apply only to product groups within the certificate scope and follow the certification body's procedures.

Does a trading company need FSC CoC? Yes, if it owns the goods and puts FSC claims on its sales documents. No, if it only brokers deals without taking ownership.

Is FSC CoC required by law? No. FSC is a voluntary scheme; the requirement usually comes from customers or the markets a business sells into.

9. Conclusion

FSC CoC makes FSC claims credible by ensuring every business that owns the goods along the chain is certified. The first question for any business is whether it takes ownership and makes FSC claims on documents or labels. If so, the next step is building a CoC system to FSC-STD-40-004 V3-1. TTS Cert advises businesses preparing for certification — see the FSC CoC pillar article.

Lawyer, Expert Trần Thị Mai - TTS Cert Vietnam
AuthorLawyer, Expert Trần Thị MaiLawyer | Social Responsibility and Sustainable Development Expert

Lawyer Tran Thi Mai has more than 10 years of experience in legal affairs, social responsibility, ESG and sustainable development.

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