is essential for any agarwood-related enterprise—especially when engaging in commercial cultivation, oil extraction, and export . Compliance not only ensures legal operations but also builds investor and buyer confidence, enhances global competitiveness, and contributes to forest conservation goals.
Key Environmental & Sustainability Compliance Requirements ✅ 1. Regulatory Permits & Certifications (Philippines) Permit Issuing Agency Purpose CENRO Certificate of Verification DENR–CENRO Confirms the planted Aquilaria species CNC/ECC (Certificate of Non-Coverage or Environmental Compliance Certificate) EMB–DENR Environmental impact compliance for plantations & distillation Wildlife Farm Permit (WFP) DENR–BMB Required for growing Aquilaria malaccensis (CITES-listed) Tree Cutting & Transport Permit DENR–CENRO/PENRO Needed to harvest or transport agarwood legally CITES Export Permit DENR–BMB / CITES Philippines Required for all cross-border trade of agarwood & oil Business Permits (LGU) Local government Legal operations, tax compliance
2. Sustainable Cultivation Practices Practice Description Agroforestry integration Intercropping with fruit/nitrogen-fixing trees (e.g., Santalum, Casuarina) Organic or minimal chemical inputs Avoid harmful pesticides/herbicides Resin induction monitoring Use ethical, science-based inoculation techniques Buffer zones and soil conservation Prevent erosion and protect surrounding ecosystems Biodiversity planning Maintain native flora/fauna and avoid monocultures
3. International Standards & Voluntary Certifications (Optional but Valuable) Certification Description CITES Appendix II Compliance Required for legal export of A. malaccensis products Organic Certification For products marketed as organic (Philippine or USDA/IFOAM standards) ISO 14001 Environmental management system certification FairWild / Fair Trade Ethical harvesting and labor practices Carbon Credit Registration (VER, Gold Standard) For plantations generating carbon offsets PEFC / FSC Agroforestry Certification For responsible wood sourcing and traceability
4. Waste Management & Pollution Control Proper disposal or recycling of:
Biomass residues (e.g., leaves, branches)
Distillation waste (water, sludge)
Solvents (for CO₂/UAE/MAE labs)
Install water treatment and emissions control systems for distillation facilities.
Comply with Clean Air Act , Clean Water Act , and Ecological Solid Waste Management Act . 5. ESG (Environmental, Social, Governance) Framework Integration Investors increasingly demand ESG transparency. Agarwood businesses can align with:
ESG Aspect Compliance Strategy Environmental Carbon sequestration, habitat protection, waste reduction Social Local farmer livelihood, fair wages, training programs Governance Transparent reporting, legal compliance, anti-illegal trade
