CITES, DENR regulations, permits, licensing, and ethical trade. 

1. CITES (Convention on International Trade in Endangered Species of Wild Fauna and Flora)

  • Scope: All Aquilaria species are listed under Appendix II, meaning trade is controlled to avoid exploitation that threatens their survival.
  • Requirements:
    • Export Permit: Issued by the CITES Management Authority (Philippine DENR).
    • Import Permit: May be required by the importing country.
    • Non-Detriment Finding (NDF): Confirms that trade will not harm wild populations.
  • Impact on Trade:
    • Regulates both chips and oil in international commerce.
    • Prevents illegal harvest of wild Aquilaria; encourages plantation-grown resin.
  • Reference: CITES Aquilaria spp. listing

2. Philippine Regulations (DENR / BMB / EMB)

a. DENR-BMB (Biodiversity Management Bureau)

  • Governs: Harvesting, collection, and trade of threatened species.
  • Key Permits:
    • Planting Permit: For establishing Aquilaria plantations.
    • Harvesting Permit: Required for extraction of resin or felling plantation trees.
    • Transport Permit: Moving materials across regions.
  • Compliance: Must follow Philippine Wildlife Resources Conservation Act (RA 9147).

b. DENR-EMB (Environmental Management Bureau)

  • Governs: Environmental compliance.
  • Key Permits:
    • CNC (Certificate of Non-Coverage): Confirms project is not environmentally critical.
    • ECC (Environmental Compliance Certificate): For larger commercial plantations.
  • Purpose: Ensures environmental impact is assessed and mitigated.

3. Licensing & Permits Overview

ActivityPermit/LicenseIssuing AuthorityNotes
Plantation establishmentPlanting PermitDENR-BMBRequired for legal plantation operations
Resin induction & harvestingHarvesting PermitDENR-BMBNeeded for commercial extraction
Movement/transport of productsTransport PermitDENR-BMBEnsures traceability
Export of chips/oilCITES Export PermitDENR-BMB (Management Authority)Must meet NDF & documentation requirements
Large-scale commercial plantationECCDENR-EMBRequired for >5–10 ha commercial projects

4. Ethical Trade Principles

  • Sustainable Sourcing:
    • Prefer plantation-grown or cultivated resin over wild-harvested material.
    • Avoid illegal logging; adhere to traceability standards.
  • Community Engagement:
    • Involve local communities in plantation management.
    • Ensure fair labor practices and benefit-sharing.
  • Certification & Standards:
    • FSC (Forest Stewardship Council): Sustainable forest management.
    • ISO / GACP (Good Agricultural & Collection Practices): For product quality and safety.
    • CITES compliance: Mandatory for international credibility.
  • Transparency & Traceability:
    • Maintain records of planting, inoculation, harvesting, processing, and export.
    • Use labeling and documentation to certify legal and ethical sourcing.

5. Key Takeaways

  • CITES regulates all international trade of Aquilaria; non-compliance can result in seizure, fines, or trade bans.
  • Philippine laws (RA 9147, DENR regulations) ensure both environmental protection and sustainable commercial use.
  • Ethical trade aligns with global market expectations and commands higher prices and market access, especially in the Middle East, Europe, and Japan.
  • Plantation cultivation and proper certification are the safest ways to legally and sustainably supply high-value agarwood products.