# FSC Trace - Blockchain-based Traceability for Certified Wood Products

> FSC Trace is a blockchain-based platform for comprehensive traceability of FSC-certified wood products throughout the entire supply chain. The solution captures all FSC-certified materials with an error rate of only 2% and enables end-to-end tracking from GIS-local forest areas to retail. The system was developed to make complex supply chains transparent and ensure compliance with regulations such as the EU Deforestation Regulation.

**Sector:** Secondary sector · **Industry:** Wood and paper industry · **Organisation:** Forest Stewardship Council (FSC) · **Maturity level:** Pilot

Canonical URL: https://www.sapientblock.com/en/use-cases/forest-stewardship-council-holzkette-wald-bis-regal-belegen

## Documentation status

- **Project status:** Pilot
- **Evidence:** Evidence high
- **Editorial review:** Ufuk Avci, 15 April 2026

## Description

FSC Trace is the blockchain-based traceability platform of the Forest Stewardship Council for the wood and paper industry. Every transaction between trading partners — sawmill to manufacturer, manufacturer to dealer — is blockchain-secured with wood species, quantity, and geolocation coordinates of the source forest. The platform is free for all organisations with FSC certification or promotional licence.

The EU Deforestation Regulation (EUDR) forces a fundamental change in the wood and paper industry: first-time market introducers must prove from 30 December 2026 that their products do not originate from areas deforested after 31 December 2020. This requires seamless, verifiable origin data down to the specific forest parcel. FSC Trace delivers exactly that: geolocation coordinates of the harvest site, harvest time, wood species. The private blockchain allows verification of transaction data without disclosing all supply chain actors — important for competition protection. Integration with satellite imagery (earth observation instruments): coordinates are checked against deforestation monitoring databases. Integration with the FSC Risk Assessment Framework: automatic risk classification. All due diligence data is automatically consolidated and available on demand for authorities. FSC certifies 173 million hectares of forest worldwide — the largest forest certification system on earth.

## Benefits

- Companies can strengthen their market position through proven sustainability and gain access to new, sustainability-oriented markets.
- The system significantly reduces administrative effort through automated capture and verification of certification data.
- Seamless traceability with only a 2% error rate offers the highest transparency and trust in the supply chain.
- Integration with existing FSC systems enables seamless data flow and improved compliance monitoring.
- Employees are relieved from time-consuming manual documentation tasks and can focus on more value-adding activities.

## Challenges

- Companies must invest in new technologies and employee training to successfully implement the system.
- Implementation requires the willingness of all supply chain actors to participate and share data transparently.
- Technical integration into existing company systems can be complex and resource-intensive.
- Employees must acquire new digital skills and adapt to changed workflows.

## Technology foundation

FSC Trace uses a Proof-of-Authority blockchain technology that creates immutable transaction records, ensuring maximum transparency in the supply chain. This technology is particularly suitable for applications with known and trusted participants, as it operates more efficiently than public blockchains while providing the necessary security and traceability.

## Sources

- [FSC Trace Case Study - Forest Stewardship Council](https://www.createnectar.com/case-studies/forest-stewardship-council)
- [FSC Trace Informationsblatt](https://fsc-schweiz.ch/fsctrace/)
- [FSC Trace Zweiseiter Deutsch](https://www.fsc-deutschland.de/wp-content/uploads/20240917_FSC-Trace-Zweiseiter-DE.pdf)