RI considers possibility of importing logs
RI considers possibility of importing logs
JAKARTA (JP): Indonesia may have to import logs for wood-based
industries which cannot obtain timber from existing natural
forests, Minister of Forestry Djamaludin Suryohadikusumo said
yesterday.
He said the importation of timber would have to be done if
Indonesia hopes to preserve its natural forests, while at the
same time ensuring raw material supplies for its wood-based
industries.
"We resort to imports when there's a lack of cement or oil, so
maybe we could also do the same for logs," Djamaludin said in a
press conference.
But he said the possibility of importing logs still requires
further discussion with other ministries, such as the Ministry of
Industry and Trade.
"Imports, if the government decides on it, should be seen
merely as a crash program and a short-term solution to our supply
problems," he said.
He pointed out that imports should not be from neighboring
countries because there were possibilities that raw material
supplies there were also scarce, or that timber from those
countries had been actually smuggled out from Indonesia.
He was apparently referring to Malaysia, the nearest
neighboring country which relies on timber as one of its export
commodities. He suggested importing from countries such as
Myanmar, Vietnam and the Solomon Islands.
Djamaludin yesterday acknowledged that raw material supplies
from natural forests for wood-based industries were becoming
increasingly scarce.
Average timber production derived from natural forests in the
First Five Year Development Plan (Repelita I) period, which
started in 1969, was 14.8 million cubic meters a year. The figure
reached 25.7 million cubic meters a year in the (Repelita V)
period which ended in 1994.
For the current Repelita VI period, the government intends to
harvest 28.9 million cubic meters a year at the beginning of the
period, to reach 31.6 million cubic meters a year by the end of
the period.
"The increase in production is expected to come from the
harvests of timber estates planted by forest concessionaires,"
Djamaludin said.
The production capacity of Indonesia's plywood industry alone
currently reaches nine million cubic meters per year, which
requires at least 18 million cubic meters of timber.
Djamaludin estimated that, along with other purposes,
Indonesia would need at least 31.5 million cubic meters of timber
during the Repelita VI period.
Other short-term solutions to overcome the shortage of timber
for wood-based industries include supplying the industries with
logs from state-owned forestry firms.
The government, Djamaludin said, would also encourage wood-
based industries lacking raw materials to seek long-term supply
contracts with state-owned forestry firms, conduct joint logging
operations or establish joint-ventures with them.
Meanwhile, the government would continue to accelerate the
development of timber estates and encourage wood-based
industries, especially plywood factories, to speed up their
restructuring programs so that they could diversify their
businesses to other products which use small-diameter logs, he
said.
He said there were also suggestions for the government to
stipulate ceiling prices of logs.
"But this is not for the Ministry of Forestry to decide... It
will be discussed in the next cabinet meeting with the minister
of industry and trade," Djamaludin said.
"There is no cheap wood from natural forests... Cheap wood can
come only from companies that fail to conduct sound forest
management and good management can only be achieved with a
considerable amount of money," he added.
The minister said currently 160 forest concessionaires have
had to end their operations for various reasons, including law
violations, mismanagement and a lack of virgin forests needed to
supply their wood-based industries. (pwn)