The evergreen subtropical Knysna forests occur in the southern cape, South Africa, and are about 60,000 ha in extent. Characteristic canopy tree species include Olea capensis ssp. macrocarpa, Podocarpus spp., Pterocelastrus tricuspidatus, Curtisia dentata, Apodytes dimidiata and Ocotea bullata. The Department of Water Affairs and Forestry manages nearly 36,000 ha of the Knysna forests. These forests are subject to multipurpose management. The three main land use types are nature conservation, forest resource utilization (mainly timber) and outdoor recreation/tourism. A network of seven nature reserves (IUCN category I) provides for the strictes form of nature conservation. No resource utilization is permissable in these reserves. Under the management classification system, 25,9 % of the forest area under state control is allocated to sustainable timber harvesting. The productivity of the forest is relatively low at 0,5 m3 of utilizable timber/ha/year. Trees are harvested under a 10 year felling cycle and selected according to externally visible, species-specific criteria of maturity, allowing effective mortality pre-emption and largely mimicking natural disturbance patterns. The most important tree species for timber harvesting are Podocarpus latifolius, Ocotea bullata and Acacia melanoxylon, an exotic from Australia. The timber is primarily used for upper-market furniture production. Economic sustainability of timber harvesting is based on downstream benefits. Tourism/outdoor recreation in the Knysna forests is of increasing economic importance for the Department and the region in general. Overall, modern conservation principles are being implemented in the management of the forests, backed by ongoing research and monitoring. Community forestry project initatives are pursued in order to contribute towards poverty alleviation of the rural population. The management of the Knysna forests by the Department of Water Affairs and Forestry has received Forest Stewardship Council (FSC) certification status. The backbone of this certification status is the effective realization of a balanced multifunctionality, sustainability regarding all land use forms and the implementation of porgressive conservation principles. To date the management of the Knysna forests is the only case with FSC certification in respect of moist natural forests on the African continent.