Thu, 17 Nov 1994

Eco-labeling is a stupid demand: German association

JAKARTA (JP): The practice of eco-labeling, required by a number of developed countries for imported tropical forest products, is a "stupid" one, the general manager of the German Woodworking Machinery Manufacturers Association says.

Werner Neubauer told journalists here yesterday that Germany has never bothered to set environmental standards for any wood products from Indonesia.

"It's stupid of them to impose such a requirement as they will lose chances to do business in wood products," Neubauer told a press conference on his country's participation at the Woodworking and Forestry Indonesia '94 at the Jakarta Fairground yesterday.

German exhibitors, 50 companies occupying some 1,300 square meters at the fairground, are the largest foreign contingent at the international forestry expo, which will last until Saturday.

To deal with eco-labeling standards, Neubauer suggested that Indonesia invite representatives of concerned countries to Indonesia to look at its forest management. "If necessary, also invite journalists from those countries."

Neubauer said eco-labeling measures were not taken by the Commission of the European Union but were by some individual European countries like Britain, the Netherlands and Switzerland.

He noted that he is confident that the German government, under Chancellor Helmut Kohl, will not introduce new restrictive practices such as environmental standards, which have been accepted by most developed countries.

"I'm very happy that he was reelected as chancellor. He is a chancellor who really takes care of the German economy," Neubauer told The Jakarta Post, commenting on Kohl's reelection as chancellor by the German parliament on Tuesday.

Boycott

Early this year, however, some 400 city administrations in Germany reportedly boycotted Indonesian wood products. According to Muhammad (Bob) Hasan, chairman of the Association of Indonesian Wood Panel Producers (Apkindo), the boycott was motivated more by commercial objectives and a limitation on imports from Indonesia rather than by environmental concern.

For the first six months of this year, Indonesian exports of wood products declined by 5.9 percent to 4.6 million tons worth US$3.1 billion.

Indonesian imports of woodworking machinery from Germany last year decreased by 140 percent to $37 million from $90 million in 1992.

"This year, I hope it will be increasing," Neubauer said, adding that the decrease of Indonesia's imports of German woodworking equipment might result from its policy of reducing imports in general.

He said Germany's woodworking machinery exports to Asian countries accounted for 17 percent of its total exports. The largest Asian importing countries are Japan, China, Malaysia and Indonesia.

He predicted that wood products would regain worldwide popularity in the future, especially for furniture, home and office interiors, as raw materials are more abundant than steel or plastics. (rid)