Raw materials

Metsä Wood’s main raw material, wood, comes from sustainably managed northern forests where growth exceeds use. Most of the wood we use comes from forests owned by Metsä Group’s 90,000 owner-members. Metsä Group focuses on sustainable forest management by working closely with forest owners, increasing the proportion of mixed forests and safeguarding the biodiversity of forests. In 2021, Metsä Group delivered approximately 35 million seedlings to Finnish forest owners – four seedlings are planted per each harvested tree in regeneration fellings. Passed in 1886, the Finnish Forestry Act is one of the oldest forest laws in the world. From the very beginning, the Forestry Act has been founded on an obligation for forest renewal after felling.

We use every part of the tree from the stump to the top for the highest added value products. The efficient use of resources steers our operations. We process high value logs into engineered wood products, such as Kerto^® LVL and plywood.

Traceability and forest certification 

All the used wood is traceable and comes from certified or controlled forests. Metsä Group’s wood tracing systems are certified and verified according to PEFC and FSC® Chain of Custody requirements. Metsä Group ensures responsible forest management through the PEFC and FSC forest certification processes. Likewise, the responsibility of our wood suppliers is always assured through the PEFC or FSC Chain of Custody systems.

Metsä Wood fulfils the obligations of European Union Regulation No. 995/2010 (EU Timber Regulation), the UK Timber Regulation, the US Lacey Act and the Australian Illegal Logging Prohibition Act, which all prohibit the placing and trading of illegally harvested timber and timber products on the market. As all the wood is covered by Chain of Custody certification, Metsä Wood knows the origin of all the wood it uses. The PEFC logo on the product ensures that 100% of the wood raw material is legally harvested, and at least 70% is sourced from certified forests.

Biodiversity is guaranteed in sustainably managed forests 

Consideration for nature values and biodiversity is an integral part of sustainable forest management measures and wood supply. Biodiversity can be considered in various ways, such as leaving retention trees in regeneration felling, and a mixture of broadleaved trees in thinning. It is also important to support mixed forests wherever the fertility of the site allows for it, protect key habitats, and make buffer zones to protect the cleanliness of watercourses and provide connectivity.

Finnish forests play an important role in preserving biodiversity, as they are home to many different habitats with more than 20,000 different species. Increasing the amount of decaying wood in forests is one of the actions that supports Metsä Group’s sustainability objective of safeguarding biodiversity. The amount of decaying wood in a forest is actively increased by both the retention of decaying trees already there and the creation of new ones. Since 2020, forest owners have been encouraged to leave four high biodiversity stumps per hectare in all fellings. Since late 2016, all types of felling operations carried out by Metsä Group have included the creation of high biodiversity stumps. A high biodiversity stump starts decaying after a few years, benefiting fungi, insects and several forest-dwelling birds.

Effective use of fossil-free raw materials

Metsä Wood is enthusiastically working to reduce dependence on fossil-based materials. Currently, the raw materials in Metsä Wood products are 97% fossil-free. Our target is to achieve 100% fossil-free raw materials by/in 2030. To reach this target, we are seeking renewable fossil-free options to replace the final 3% of fossil-based materials in our production.

Our R&D is making efforts with selected partners to find sustainable and fossil free options for adhesives used in production and for plastic packaging. Fossil free adhesives must comply with our high standards, and the final product must meet Metsä Wood’s strict requirements to ensure end-use safety.

We are also working to replace plastic materials used in packaging. For wooden products, the moisture protection is an important factor during transport and storage. Currently, fossil-based plastic is still the most efficient material for this. However, we are researching with our partners ways to reduce the share of plastic used in packaging, and eventually to replace it completely with bio-based wrapping. Meanwhile, we are investigating the possibilities for recycling plastic waste efficiently to support the circular economy.

Responsible value chain

The goal of Metsä Wood is that all its suppliers will operate according to the environmental, social and economic responsibility requirements jointly set at Metsä Group by 2030. We carefully select our partners and suppliers, and the prerequisite to be our partner is to observe our Code of Conduct. We also ensure sustainability by assessing and auditing. 

We have the wood supply in our own hands

Wood is the main raw material for all our products. Our parent company Metsä Group is responsible for wood supply for Metsä Wood: it has thorough PEFC and FSC forest certification processes; all the wood is traceable; and it cooperates closely with wood suppliers and harvesting contractors. In addition, its main purpose is to promote sustainable forestry thorough training and close cooperation with stakeholders.

Centrally managed procurement

In addition to wood, we purchase chemicals and other materials, as well as machinery, equipment and services, in a centralised manner. Metsä Wood’s external purchases total nearly 200 million annually (excluding wood). We aim to use local suppliers as much as possible. In 2020, 72% of our purchases came from countries where we have production sites. Ninety-seven per cent of our purchases, excluding wood, came from Europe.

Supplier Code of Conduct

At Metsä, we cooperate with the selected suppliers that meet our high requirements in terms of reliable operations, ethical and environmental principles, quality and cost-effectiveness. Our suppliers must comply with our Supplier Code of Conduct (SCoC) which minimises the risks related to corruption, child labour and other human rights violations. The Supplier Code of Conduct was updated during 2020, and it will be introduced in all new purchase agreements from the beginning of 2021. The supplier assessment and audit process was also updated in 2020 and will be deployed in 2021. Each of our new subcontractors, suppliers and service providers must sign our Supplier Code of Conduct.

Of Metsä Wood’s purchases in 2020, 86% were made by suppliers committed to the Supplier Code of Conduct, and 30% were made by suppliers whose sustainability has been evaluated through the supplier’s self-assessment. In addition, we measure our responsible suppliers by Compliance check – in 2020, it was 71% for Metsä Wood. Sustainability criteria are also part of our regular supplier audits.