FLEGT is part of the EU action plan to combat illegal logging. FLEGT stands for Forest Law Enforcement, Governance, and Trade. The EU's FLEGT Action Plan aims to reduce illegal logging by strengthening sustainable and legal forest management, improving governance, and promoting trade in legally produced timber (source:http://www.euflegt.efi.int/what-is-flegt).
The policy reforms and sectoral improvements that stand behind the licenses are helping ensure that forests contribute to economic growth and poverty reduction while promoting sustainable forest management. Also, the process that makes licensing possible has positive impacts on democracy and justice, jobs and welfare, peace and security, climate change and biodiversity conservation (source: http://www.flegtimm.eu/). FLEGT licensed timber products are allowed to enter the EU market without additional due diligence under the European Timber Regulation (EUTR)