ITTO convenes Asia-Pacific leaders and private sector in Kuala Lumpur to strengthen sustainable timber trade

ITTO’s Trade and Markets Day, held in Kuala Lumpur, Malaysia on 24 April 2026, brought together participants from across the Asia-Pacific region to strengthen the legal and sustainable tropical timber trade amid ongoing trends facing the industry. © ITTO

The International Tropical Timber Organization (ITTO) recently brought together policymakers, private sector leaders, certification bodies, scientists and trade experts from across the Asia-Pacific region for its Trade and Markets Day in Kuala Lumpur, Malaysia.

Held alongside the ITTO Asia-Pacific Regional Training Workshop on CITES non-detriment findings (NDFs) for timber species listed in Appendix II, and hosted with the support of Malaysia’s Ministry of Plantation and Commodities (KPK), the event focused on strengthening legal and sustainable tropical timber trade amid rising global demand, expanding regulatory pressures and growing market uncertainty.

Opening the event, ITTO Executive Director Sheam Satkuru emphasized the importance of deeper collaboration across governments and industry. “The expansion and diversification of legal and sustainable timber trade remains central to ITTO’s mandate,” she said. “Meaningful engagement with the private sector is essential to strengthening supply chains, identifying workable solutions and ensuring resilient and well-functioning markets.”

With representatives from seven ITTO member countries participating, discussions addressed major challenges facing the sector, including the European Union Deforestation Regulation (EUDR), evolving CITES requirements, geopolitical disruptions and shifting market expectations. Ms Satkuru stressed that “well-governed and effectively regulated timber markets across all species can serve as powerful drivers of sustainable growth and development.”

A keynote by CIFOR-ICRAF’s Herry Purnomo highlighted projected increases in global wood demand by 2050, reinforcing the need for stronger forest governance, traceability and sustainable supply systems. Experts from the International Tropical Timber Technical Association (ATIBT), Forest Stewardship Council (FSC), and Programme for the Endorsement of Forest Certification (PEFC) examined how certification can support producers in meeting EUDR obligations while improving legality verification and market access.

The event also highlighted technological innovations, including DNA and isotope testing, AI-powered wood identification, geolocation tools and digital traceability systems, as increasingly important for strengthening transparency, due diligence and compliance, particularly for smallholders and domestic industries.

Country perspectives from Malaysia, Indonesia and Viet Nam explored market diversification, rising compliance costs, logistical disruptions and species-specific trade concerns. Participants also examined the implications of recent global trade policy shifts, including developments in the United States, which are encouraging many producer countries to diversify export markets and adapt to changing geopolitical realities.

Parallel discussions on CITES implementation focused on concerns over potential Appendix II listings of commercially important timber species. Participants emphasized that broad genus-level listings will create unintended burdens for sustainably managed species and producer countries while impacting on supply chains, and highlighted the need for science-based decision-making, stronger data sharing and closer ITTO-CITES collaboration.

A high-level panel discussion moderated by Ms Satkuru featured Ms Noraihan Abdul Rahman (Malaysia Timber Council), Mr Ngo Sy Hoai (VIFOREST), Mr Tjipta Purwita (Indonesian Forest Community Forum), Dr Steve Johnson (ITTO) and Mr Joe O’Donnell (International Wood Products Association), who explored strategies for strengthening resilience, policy alignment and legal, sustainable trade under increasingly complex regulatory frameworks.

Throughout the event, speakers underscored the need for targeted capacity building and technical support for smallholders, domestic producers and developing countries.

“By staying informed, adaptive, and forward-looking, trust and confidence can be built to meet changing market expectations and conditions,” Ms Satkuru said.

ITTO expressed appreciation to Malaysia’s Ministry of Plantation and Commodities, TRAFFIC, the German Federal Agency for Nature Conservation and all technical partners for supporting this event, which reinforced Trade and Markets Day as a key platform for dialogue on the future of sustainable tropical forestry and timber trade.