1. The Parties recognise the importance of the conservation and sustainable management of forests for providing environmental functions and economic and social opportunities for present and future generations, and of market access for forest products harvested in accordance with the law of the country of harvest and from sustainably managed forests.  

2. To this end, and in a manner consistent with their international obligations, the Parties undertake to:
     (a) encourage trade in forest products from sustainably managed forests and harvested in accordance with the law of the country of harvest;
     (b) exchange information, and if appropriate, cooperate on initiatives to promote sustainable forest management, including initiatives designed to combat illegal logging and related trade;
     (c) promote the effective use of the Convention on International Trade in Endangered Species of Wild Fauna and Flora, done at Washington on 3 March 1973, with regard to timber species considered at risk; and
     (d) cooperate, where appropriate, in international fora that deal with the conservation and sustainable management of forests.

3. The Parties shall discuss the subjects referred to in paragraph 2, in the Committee on Trade and Sustainable Development or in the Bilateral Dialogue on Forest Products referred to in Chapter Twenty-Five (Bilateral Dialogues and Cooperation), in accordance with their respective spheres of competence.