24 INTEGRATED ANNUAL REPORT 2026 Certification Focus and Reinforcement of Ethical Supply Certification pressures from both export and domestic markets intensified during the early part of the year. The spoken demand for FSC-certified timber started to increase significantly and widespread client calls for a supplier EUDR compliance declaration became the order of the day. In response, NCT initiated a concerted FSC certification drive aimed at progressing towards a medium-term target of 70% FSC-certified intake, with an earlier interim milestone of 50%. Allocation preference for certified suppliers, particularly Acacia growers, was introduced to operationalise and attain this objective. Focus on methods to meet the stringent EUDR source to market visibility requirement served again to highlight deliverynote misuse and chain-of-custody breaches as potentially material risks. NCT’s enhanced scrutiny across the supply chain, investigation of incidents and decisive disciplinary action reinforced the Co-operative’s zero-tolerance stance on unethical supply, thereby protecting market access and organisational reputation, and bringing us ever closer to unequivocally announcing EUDR compliance. Mid-Year: Governance Discipline and Digital Enablement As the year progressed, governance discipline became increasingly important in an increasingly constrained and compliance-driven environment. Management regularly reinforced VAT compliance, accurate supplier categorisation and adherence to the NCT Code of Conduct and final and revised Guaranteed Supply Tonnage (GST) limits as necessary safeguards for Co-operative sustainability. A significant milestone was the rollout of the NCT member App and cloud-based website, enabling electronic GST submissions, improved allocation visibility and the foundation for geo-referenced source verification. These systems materially improved transparency, operational visibility and compliance readiness.
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