In the 2015 Sustainability Review, we communicated our plan to strengthen our level of due diligence by sourcing single species alternative plantation wood in Malaysia. 

 In FY16, CHEP worked closely with two local suppliers in Malaysia to achieve certification for their facilities without any investment from the supplier. 

CHEP Malaysia and Thailand undertook extensive field work with plantation owners, timber consultants, the Timber Industries Board and our local suppliers. CHEP concluded that local plantations would be able to deliver certified timber over the mid to long term. However, to address our immediate supply requirements in this market it was necessary to import chain of custody certified wood. The solution ensures operational continuity while meeting our sustainability commitments, at no additional cost. Throughout this process our key suppliers in these countries were retained as strategic partners, strengthening local supplier relationships. The local suppliers will handle our imported timber shipments, manufacture pallets and provide value-add services such as pallet repairs. Our suppliers are aware of and help support CHEP’s commitment to sustainable forestry certification. The feasibility of using imported lumber sources was successfully tested at CHEP’s Test Track Facility at the Innovation Centre in Florida.