Multi Site Chain of Custody Credit Ledger Fundamentals
Multi-site chain of custody credit ledgers centralize certified fiber allocations across eligible sites under strict conversion and 24-month expiration limits.
Balance Reconciliation
Volume Verification
Audit procedures for forest product certification ensure that the volume of certified output leaving a mill does not exceed the volume of certified input entering the facility. Mill accountants perform balance reconciliation to compare the weight and grade of incoming pulpwood against the finished paperboard shipped out during a specific period. This process prevents the contamination of the certified supply chain by uncertified material from unauthorized forests.
Discrepancy Control
Verification of material inputs involves checking delivery notes and supplier invoices for fiber origins and FSC or PEFC status. Certified output cannot be generated without sufficient certified inputs, meaning any surplus must be investigated. In practice, discrepancies during balance reconciliation trigger immediate stock holds until the origins of the uncertified pulp are traced.
Sourcing Balance
Unresolved variances between logged purchases and sales volumes result in the loss of certification status for the affected batch. If the conversion factors used do not reflect the actual fiber loss during the pulping stage, the material balance becomes skewed. Incorrect accounting leads to the downgrading of finished stock to standard or non-certified grades to protect the integrity of the chain of custody.
The reconciling team must trace every pulp delivery back to its gatehouse receipt and verify the moisture content at the time of weighing to isolate the source of any systematic over-allocation.