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Revising Theories of Nonstate Market-Driven (NSMD) Governance: Lessons from the Finnish Forest Certification Experience

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  • Benjamin Cashore
  • Elizabeth Egan
  • Graeme Auld
  • Deanna Newsom

Abstract

We assess the ability of Cashore, Auld, and Newsom's theoretical framework on "Nonstate Market-Driven" (NSMD) governance to explain the emergence of and support for forest certification in Finland. In contrast to Sweden's experience, the environmental group-initiated international forest certification program, the Forest Stewardship Council (FSC), failed to gain significant support. Instead, the commercial forest sector created and adopted the Finnish Forest Certification Program, which domestic and international environmental groups ultimately rejected as inadequate. The NSMD framework must better incorporate two key findings. First, the dependence of international markets on the targeted country's forest products can shape domestic certification choices. We found that the largely non-substitutable qualities of Finnish paper products gave the domestic sector greater leeway in responding to international pressures. Second, whether the FSC is being championed primarily to influence a country's domestic forestry debates or indirectly as a lever with which to improve forest practices elsewhere appears to permeate the forest sector's overall receptiveness to the FSC. (c) 2007 by the Massachusetts Institute of Technology.

Suggested Citation

  • Benjamin Cashore & Elizabeth Egan & Graeme Auld & Deanna Newsom, 2007. "Revising Theories of Nonstate Market-Driven (NSMD) Governance: Lessons from the Finnish Forest Certification Experience," Global Environmental Politics, MIT Press, vol. 7(1), pages 1-44, February.
    • Handle: RePEc:tpr:glenvp:v:7:y:2007:i:1:p:1-44
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    Cited by:

    1. Verena Bitzer & Alessia Marazzi, 2021. "Southern sustainability initiatives in agricultural value chains: a question of enhanced inclusiveness? The case of Trustea in India," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 38(2), pages 381-395, June.
    2. Ulybina, Olga & Fennell, Shailaja, 2013. "Forest certification in Russia: Challenges of institutional development," Ecological Economics, Elsevier, vol. 95(C), pages 178-187.
    3. Timothy Cadman & Lauren Eastwood & Federico Lopez-Casero Michaelis & Tek N. Maraseni & Jamie Pittock & Tapan Sarker, 2015. "The Political Economy of Sustainable Development," Books, Edward Elgar Publishing, number 15773.
    4. Moritz Albrecht, 2012. "Public Procurement and Forest Governance: A German Case Study of Governmental Influences on Market-Driven Governance Systems," Social Sciences, MDPI, vol. 1(1), pages 1-20, September.
    5. van der Loos, Hendrik Z. Adriaan & Kalfagianni, Agni & Biermann, Frank, 2018. "Global aspirations, regional variation? Explaining the global uptake and growth of forestry certification," Journal of Forest Economics, Elsevier, vol. 33(C), pages 41-50.
    6. de Jong, Wil & Arts, Bas & Krott, Max, 2012. "Political theory in forest policy science," Forest Policy and Economics, Elsevier, vol. 16(C), pages 1-6.
    7. Eero Palmujoki, 2009. "Global principles for sustainable biofuel production and trade," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 9(2), pages 135-151, May.
    8. Pappila, Minna, 2013. "Forest certification and trust — Different roles in different environments," Forest Policy and Economics, Elsevier, vol. 31(C), pages 37-43.
    9. Gallemore, Caleb & Guisinger, Amy & Kruuse, Mikkel & Ruysschaert, Denis & Jespersen, Kristjan, 2018. "Escaping the “Teenage” Years: The Politics of Rigor and the Evolution of Private Environmental Standards," Ecological Economics, Elsevier, vol. 152(C), pages 76-87.
    10. Marin-Burgos, Victoria & Clancy, Joy S. & Lovett, Jon C., 2015. "Contesting legitimacy of voluntary sustainability certification schemes: Valuation languages and power asymmetries in the Roundtable on Sustainable Palm Oil in Colombia," Ecological Economics, Elsevier, vol. 117(C), pages 303-313.
    11. Di Girolami, Erica & Kampen, Jarl & Arts, Bas, 2023. "Two systematic literature reviews of scientific research on the environmental impacts of forest certifications and community forest management at a global scale," Forest Policy and Economics, Elsevier, vol. 146(C).
    12. Sarkki, Simo & Rönkä, Anna Reetta, 2012. "Neoliberalisations in Finnish forestry," Forest Policy and Economics, Elsevier, vol. 15(C), pages 152-159.
    13. Galati, Antonino & Gianguzzi, Giuseppe & Tinervia, Salvatore & Crescimanno, Maria & La Mela Veca, Donato Salvatore, 2017. "Motivations, adoption and impact of voluntary environmental certification in the Italian Forest based industry: The case of the FSC standard," Forest Policy and Economics, Elsevier, vol. 83(C), pages 169-176.
    14. Peter Dauvergne & Jennifer Clapp, 2016. "Researching Global Environmental Politics in the 21st Century," Global Environmental Politics, MIT Press, vol. 16(1), pages 1-12, February.
    15. Trey Herr, 2021. "Cyber insurance and private governance: The enforcement power of markets," Regulation & Governance, John Wiley & Sons, vol. 15(1), pages 98-114, January.

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