Indonesian Political, Business & Finance News

Fifteen million Indonesians live off forestry

| Source: JP

Fifteen million Indonesians live off forestry

JAKARTA (JP): Tycoon Mohammad "Bob" Hasan says the forestry
industry supports the livelihood of 15 million people, proving
that its existence has positive impacts, especially for the
indigenous people living in the exploited forests.

Forestry companies employ 2.5 million workers and indirectly
provide for the welfare of 1.5 million others. These four million
plus their families was used to arrive at the 15 million figure,
he added.

Hasan was responding to a question from a participant at the
monthly discussion of the Jakarta Lawyers Club held yesterday
where he presented his views on forestry and the legal issues
involved.

Luhut Pangaribuan, director of the Jakarta Legal Aid Institute
(LBH), questioned Hasan about the benefits to the local people of
exploiting the forests.

Hasan dismissed the question as inappropriate, saying that
Indonesia does not distinguish among minority groups.

He explained that forestry companies provide jobs and
education for local people and have increased their income.

He brushed aside what might be called the sentimentality of
foreigners who wish to see those people remain clad in only penis
sheaths.

Luhut told The Jakarta Post after the discussion that Hasan
had not responded to his questions at all. He said he had not
asked about minority groups, but rather indigenous people. He
also did not ask about the education or income of the local
people but the changes in their way of life brought about by
forestry companies.

The lawyer dismissed Hasan's claim that the companies brought
positive changes to the people. "The companies just ignore them,
regarding them as uncivilized."

"Those people have their own civilization," he added.

Wages

Another issue raised during the meeting was that of wages paid
to workers in the forestry sector amid demands that they be paid
more.

Hasan said it was better for the workers if the companies
continued operating rather than close down for not being able to
pay higher wages for the workers. "The (welfare of the) four
million workers should be considered."

Hasan said the current wage of workers in forestry sector of
around US$2 per day was adequate because the cost of living was
low. He said in Thailand, though the wage was around US$6, it was
insufficient because of higher living costs.

Hasan said that contrary to accusations made by foreign non-
governmental organizations, Indonesia has wisely managed its
forests.

Of the 144 million hectares of total forest (74 percent of the
country's land area), 64 million hectares were allocated for
productive use, 49 million hectares were protected, 113 million
was "to remain as forests", and 31 million hectares were to be
converted to farmland, residential areas, and other uses.

He said that the pressure against the exploitation of tropical
woods was spurred by the anxiety among industrialized countries
located in subtropical zones which saw that their wood products
would not be able to compete economically with tropical wood
products. (smb)

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