HAWA DSS Platform development including implementation, training and technical support

In 2013, the European Union put into effect the EU Timber Regulation (EUTR) as the main demand side measure of its Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan. Under the EUTR, European operators are legally responsible for applying Due Diligence (DD) to minimize the risk of bringing illegally harvested timber products into the market1. Similar legislation is in place in the US (US Lacey Act amendment 2008) and Australia (Australian Illegal Logging Prohibition Act 2012, with an amendment regulation in 2013) and is being considered by other countries. Due Diligence (DD) or Due Care is demonstrated by collecting information related to the timber sources and by applying mitigation measures if risk of illegality is not considered negligible.
Vietnam entered into negotiation with the European Union for the development of a Voluntary Partnership Agreement (VPA) in October 2010. Negotiations concluded in November 2016 and the VPA was initialled in May 2017. The key component of the VPA is the national Vietnam Timber Legality Assurance System (VNTLAS) providing a guarantee that timber is harvested, processed and traded legally. FLEGT licenses, resulting from future TLAS implementation and accompanying legally verified timber consignments to Europe, are evidence that DD obligations have been met, and provide a green lane access into the European Market in the future. The detailed mechanisms of the VNTLAS are currently being developed and will further clarify the DD obligations imposed on all operators in Vietnam, in order for FLEGT licenses to be issued.
Due Diligence (DD) requirements generate an additional workload or administrative burden for Vietnamese operators the majority of whom are SMEs or micro-enterprises and do not have sufficient resources or capacity. Such operators have expressed concerns about challenges and costs related to DD applied by their clients.
Within this context, the management of the Handicraft & Wood Industry Association of Ho Chi Minh City (HAWA) has proposed to develop a Due Diligence System (DDS) at association level. In August 2017, HAWA completed Phase 1 or consultation phase of a project with FAO-EU FLEGT funding for the design and development of an appropriate DDS. The Phase 1 project enabled HAWA to consult its members and key stakeholders on needs, appropriateness and cost-effectiveness of the proposed DDS as well as orienting the proposed system to ensure a better alignment with the Voluntary Partnership Agreements (VPA) between Vietnam and the European Union
In May 2018, Phase 2 of the DDS project started, which is the implementation phase for the DDS including final design and development, pilot testing, training and roll-out. Phase 2 will run for 30 months and is anticipated to be completed by December 2020. The overall design of the HAWA DDS, addressing the need to adopt an integrated system which focuses on the supply chain and can address both pre and post FLEGT licensing needs, was agreed upon through the stakeholder consultation process
In May 2018, Phase 2 of the DDS project started, which is the implementation phase for the DDS including final design and development, pilot testing, training and roll-out. Phase 2 will run for 30 months and is anticipated to be completed by December 2020. The overall design of the HAWA DDS, addressing the need to adopt an integrated system which focuses on the supply chain and can address both pre and post FLEGT licensing needs, was agreed upon through the stakeholder consultation process
The project will be managed by the HAWA DDS Project Management Unit (PMU) under the framework of FAO-EU FLEGT Programme, based at HAWA office in Ho Chi Minh City. External services required for the design and development of the system, and the electronic system structure and platform functioning, will be contracted directly by FAO.
FAO is currently seeking a competent contractor to develop the HAWA DDS Platform and IT infrastructure requirements.