The area includes Tembec's Gordon Cosens five
million-acre forest licence located in Northeastern Ontario, which is the
largest FSC-certified forest in Canada and is the first boreal (northern)
forest to be certified in North America.

Tembec is a leading integrated forest products company , well established
in North America and France.
The panel highlighted the significant contribution of forests and trees
outside forests to the MDGs, emphasizing that sustainable forest management
and sustainable development are closely linked, as recognized at the World
Summit on Sustainable Development (WSSD) in 2002. And it was recommended that FAO assist countries to
carry out analyses of the forest-poverty links in their national context, to
increase the visibility of the forest sector in their Poverty Reduction
Strategy Papers and other sustainable development plans, and to reflect
poverty reduction and food security adequately in their national forest
programs.
"Economic viability in a broad sense is necessary to enable wider adoption
of sustainable forest management ," said Hosny El-Lakany, Assistant Director-
General of the FAO Forestry Department."

From wood production to processing
The gross value added by the forest sector amounted to US$354 billion
globally in 2000, or about 1.

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The Company also manages 40 million acres of forest land in
accordance with sustainable development principles and has committed to
obtaining Forest Stewardship Council (FSC) certification for all forests under
its care by the end of 2005. Tembec's common shares are listed on the Toronto
Stock Exchange under the symbol TBC.9 million people are employed in the sector .
The panel recognized the key role that FAO can play in raising the profile
and increasing awareness of the links between forests and the MDGs and in
enhancing regional and sub-regional cooperation in this area. FAO is fully committed to helping countries realize the
potential contributions of forests to their national development goals," said
Hosny El Lakany, Assistant Director-General, FAO Forestry Department.

Economic Viability Critical Requirement for Sustainable Forest Management



Beyond economics
Not all values generated by forests and trees can be transformed into
immediate economic benefits.

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Enhancing economic benefits from forests and trees, and their equitable
distribution, are also critical factors in the development of forested areas. This is
a decline from 1. Much will depend on the ability to move up the value chain, taking
advantage of the emerging market opportunities in wood processing, such as the
production of furniture. The report notes that the share of gross value added
by forests in some countries and regions remains very low, notwithstanding the
large extent of the forests involved. This mainly stems from limited success
in developing an efficient wood processing sector.

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Kaimowitz.
The Ministerial Meeting on Forests and FAO's Committee on Forestry, both
to be held in Rome in March, are expected to help raise additional
international awareness of the role of forests in sustainable development and
to identify actions to help realize forests' potential contribution to the
realization of the MDGs.

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Tembec is
committed to being a leader in the supply of FSC pulps, and we are making good
progress toward reaching our stated environmentally and socially responsible
forest management goals. Widely recognized environmental functions of forests
include mitigating climate change, conserving biological diversity,
maintaining clean and reliable water resources, sustaining and enhancing land
productivity , protecting coastal and marine resources and enhancing urban
environments.
In promoting the achievement of the MDGs, it was recommended that FAO
continue to support countries' efforts to enhance participatory processes in
the forest sector as well as to encourage corporate social responsibility
(CSR) in the private forestry sector.

More attention to be paid to the informal sector
The report notes that the economic contribution of the forest sector is
often low, largely due to the exclusion of a large informal sector which plays
an important role in supporting the livelihoods of rural communities. Many of the benefits provided by forests go
beyond national income estimates and immediate markets.

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Poor people's agricultural
activities also benefit from the role of forests and trees through
contributions to land productivity, enhancing crop and livestock production,
and providing genetic resources, among other services.

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2 percent of the gross domestic product.

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These
FSC -certified pulps now allow Tembec's customers to respond to market demands
for certified, environmentally -friendly products, and to demonstrate their
support for sustainable forest management.
The livelihoods of the approximately 240 million of the world's poor that
live in forested areas of developing countries depend on the protection and,
in many cases, the rehabilitation of these forests.


Forestry's Contribution to the Informal Sector Must Be Taken Into Account

WASHINGTON and ROME, Economic viability,
including the environmental and social benefits deriving from forests , is a
pre-requisite for wider adoption of sustainable forest management practices,
the UN Food and Agriculture Organization said today.

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6 percent in 1990, a decline characteristic of most primary
sectors, including agriculture.

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"Tembec's
Skookumchuck Softwood Kraft pulp mill in British Columbia is currently
conducting its chain of custody audit and expects to introduce additional
FSC-certified NBSK pulp to the market as early as July 2005.

Sustained international commitment to the MDGs
The panel's views come at a time when international attention and national
efforts are focused on efforts to achieve the goals. FAO is currently carrying
out a major review of its activities aimed at ensuring maximum support to
achieving the MDGs.
"Forests not only make significant contributions to sustainable
development, but failure to achieve environmental stability -- including
through sustainable forest management -- will undermine social and economic
development goals .

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TEMISCAMING, Quebec, June 16 - Tembec today
announced that it has recently begun offering FSC -certified Softwood Kraft
(NBSK) and Temcell(R) High Yield pulps to the market.

Experts Emphasize Forests ' Contribution to the MDGs


Marginalisation of forestry in social and economic development may fuel armed
conflicts, whereas sustainable forestry that creates employment and generates
income can help to avert the emergence of conflicts and promote post-conflict
rehabilitation. Attaching a price tag is not going to help
sustainable forest management.

This category is for websites concerned with the science and practice of growing forestry crops.

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Kavanagh,
Tembec Executive Vice President and Chief Operating Officer.
Producing primary forest products alone is unlikely to enhance economic
benefits.

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In particular, the
report concludes there is a need to promote wood as an energy-efficient and
more environment-friendly product than many of the available substitutes.

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Additional information is available at
http://www. "And where forests are managed
primarily to provide environmental services, society should be willing to bear
the costs.

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Tembec adds FSC-certified pulp to its list of environmentally-friendly products

"It accounts for about three percent of global
trade and one percent of global direct capital investments.

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FAO Committed to Helping Realize Development Goals

WASHINGTON and ROME, Forests contribute directly
to reducing extreme poverty and hunger and ensuring environmental
sustainability, two of the Millennium Development Goals (MDGs) , a panel of
forestry experts invited to the UN Food and Agriculture Organization (FAO) has
concluded .

Forests' contributions to achieve the MDGs
"Forest products can contribute directly to the goal of reducing poverty
and hunger by providing cash income, jobs, and consumption goods for poor
families," said Dr. David Kaimowitz, Director-General of the Center for
International Forestry Research, who chaired the meeting."
The panel recognized forests' contribution to environmental sustainability
by providing a range of environmental services and by furnishing renewable
wood and non-wood products, many substitutes for which are not renewable or as
environmentally friendly .
These are some of the conclusions of the 2005 edition of the State of the
World's Forests (SOFO 2005), a report presented by FAO this week to about 100
heads of national forestry agencies at the international Committee on
Forestry.

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And an estimated
12.
Given the growing recognition of the role played by local communities in
protecting and managing forests, the report notes the need to improve policy
and legal frameworks so as to protect these communities' rights.


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"
The three operations produce approximately 770,000 metric tonnes of NBSK
and BTCMP High Yield pulps annually, and use FSC wood fibre from a combined
area totalling 10 million acres.
Softwood Kraft (NBSK) and High Yield pulps are used in various products
including towel and tissue, printing and writing, and specialty papers. Tembec markets its products worldwide and has sales offices in
Canada , the United States, the United Kingdom, Switzerland, China, Korea,
Japan, and Chile.com


In addition,
it is also essential to address the problems of institutional weaknesses and
lack of information that undermine the ability of communities to take full
advantage of emerging opportunities .

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FSC certification is a
third party endorsement for environmentally and socially responsible forestry
practices, and is the only system that tracks market pulp from the forest to
the final product .
"The industrial forest sector also plays an important economic role
globally," said Dr.

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In addition, the area includes
Tembec's 350,000-acre Tree Farm Licence 14, located in the southeastern
British Columbia.

Key roles for FAO
Several roles that FAO can play to assist countries ' efforts to achieve
the MDGs were identified.
Heads of State and other high level government officials will gather at
the United Nations in New York in September in a high level segment of the
General Assembly to review progress in implementation of the UN Millennium
Declaration and the MDGs.

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"We are proud to announce that Tembec's Smooth Rock Falls and Temiscaming
High Yield pulp operations have both recently achieved Forest Stewardship
Council (FSC) chain of custody certification ," said Terrence P.

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The report focuses on the changing opportunities and challenges
involved in making forest and tree management an economically viable option
for the various stakeholders. This would help towards achieving the Millennium Development Goals
of alleviating poverty and ensuring environmental sustainability, two sides of
the same coin.

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With sales of approximately $4 billion and some
11 ,000 employees, it operates 50 market pulp, paper and wood product
manufacturing units, and produces chemicals from by-products of its pulping
process.tembec.

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