June 25, 2025

This article was originally published by Papnews. Click here to view it on the website.

FSC and its assurance partner, Assurance Services International (ASI), have launched a new transaction verification (TV) loop focused on FSC-certified takeaway food containers. This investigation will scrutinize the supply chain of paper-based containers used for takeaway food, tracing their journey from producer markets in Asia to consumer markets in America, Europe, and Oceania, across 28 countries. This marks the first TV loop conducted on FSC-certified paper products.

The global demand for fibre-based disposable packaging and wooden cutlery in the food service industry is rising significantly. Over the past three years, ASI has found evidence suggesting a widespread presence of fraudulent manufacturing and trading of paper-based dinnerware originating from China. In response, FSC has reviewed reports of potential false claims and has taken action by blocking Ningbo Yinzhou Happy Paper Products and Ningbo Yinzhou Yongshun Foreign Trade from the FSC system due to false FSC claims.

To protect the integrity of certified takeaway food container supply chains, FSC and ASI are examining transaction data from 710 certificate holders involved in trading materials and products related to paper-based food containers. These certificate holders are required to submit records of all transactions conducted between 1 July 2024 and 31 December 2024.

Through this TV loop, ASI will verify and analyse sales and purchase data of certified Chinese (including Hong Kong) manufacturers and exporters—who represent the majority of certificate holders included in the investigation—alongside their overseas importing clients.

To capture any risks related to hidden sales or purchases of certified materials, all certified entities within the scope of this TV loop—including manufacturers, exporters, and suppliers—must report all transactions, including instances of zero purchases and/or sales. This loop will cover all FSC-certified claims, including FSC MIX and FSC RECYCLED.

Preliminary results from the initial phase, known as the TV data analysis, are expected in early 2026. Based on these findings, ASI will conduct targeted transaction investigations into high-risk certificate holders, focusing on volume mismatches and potential fraudulent behaviour throughout 2026.