The New Zealand High Court has upheld a decision by an association of timber importers to ban a company accused of illegal logging in Papua New Guinea.
LumberBank had contested the move by the New Zealand Timber Importers Association to exclude it earlier this year.
The High Court at Auckland has ordered LumberBank to pay costs.
A Greenpeace campaigner against illegal logging, Grant Rosoman, describes the ruling as a ground-breaking stand.
Mr Rosoman says the New Zealand trade doesn't want illegal timber.
But he says it's likely some is still in circulation.
"New Zealand government has a procurement policy that you know, should act act to preclude illegal wood being used in government buildings or in government operations. It's very difficult to, to track timber and ensure that it is from a certified source, so you know, it's possible that there may be some that is getting into the system."
A Greenpeace campaigner, Grant Rosoman.
