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WORLDWIDE
FOREST/BIODIVERSITY CAMPAIGN NEWS
One
Surinamese Timber Deal Scuttled, Others Continue
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Forest
Networking a Project of Ecological Enterprises
September
3, 1995
OVERVIEW
& SOURCE
For
some time now we have been following the on again, off again
moves
by primarily Malaysian and Indonesian timber companies to
bring
Asian style industrial forest practices to South America.
Several
one million hectare rainforest timber concessions have
been
proposed for Suriname. SKEPHI, the
Indonesian Forest
Conservation
Network, provides excellent details into Indonesian
companies'
involvement in plans to liquidate large areas of
Suranimese
rainforest wilderness. Recent
developments include
reports
that MUSA, an Indonesian timber company, will not be
granted
a one million hectare plus concession.
However, plans for
SURI
ATLANTIC of Indonesia and BERJAYA of Malaysia to be granted
logging
concession of 1,105,000 hectares by the Surinamese
government
continue. Please join the thousands of
individuals,
politicians
and NGOs around the world protesting short sited
forest
development policies in Suriname.
SKEPKI
is an excellent local Indonesian forest conservation
organization;
whose willingness to speak out on this issue, shows
great
courage and deserves international support.
Note the
attached
piece was not written in the author's native language.
It is
passed on here as it was sent out by SKEPHI, with only minor
formatting
changes.
g.b.
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/**
list.consbio: 156.0 **/
**
Topic: SURINAME **
**
Written 8:41 PM Aug 28, 1995 by skephi@server.indo.net.id in
cdp:list.consbio
**
From:
skephi@server.indo.net.id (bambang ryadi soetrisno)
Press
RELEASE
SKEPHI
August, 25 1995
--------------------------
SURINAM
FORESTRY DEAL OF ONE MILLION HECTARES
ANNULED
INTERNATIONAL
CAMPAIGN FOR SURINAME'S FOREST HEIGHTENING
CAMPAIGN
VISIT BY A GLOBE MEMBER TO INDONESIA SOON
SKEPHI
DEMANDS FURTHER INVESTIGATION ON THE OTHER INDONESIAN
INVESTOR
NV.
MUSA (MITRA USAHA SEJATI ABADI), the Indonesian logging
company
from the Porodisa Group, which in Surinam
has been the
source
of social disputes and political uproar, at last seems to
have
failed in acquiring an additional logging concession of 1,105
million
hectare. Recently, the negotiating commission of the
Surinam's
Ministry of National Resources Management,
has spoken
for the
annulation of it's preliminary agreement
with MUSA,
previously
agreed upon in September 1994. With the halting of
MUSA's
ambition to further deforest Surinam, there remains SURI
ATLANTIC,
another Indonesian investor. SKEPHI deems it necessary
to
continue its investigation and campaign to prevent the second
Indonesian
logging company from operating.
MUSA
FAILS
Through
a memorandum earlier this week, the special commission
under
the Surinam's Ministry of Natural Resources Management (Min.
of
NRM), responsible for the preparation and granting of forest
logging
concessions, the Minister of NRM, Franco Demon, was
reported
that the whole process of negotiation with MUSA has been
stopped.
This has been reported by the leading
Surinam's daily,
De Ware
Tijd (DWT) on 21 August 1995. The memorandum explained
that
the negotiation with MUSA which has been going on for the
last
one year has not brought the expected result.
The
commission, in particular, condemned the fact that MUSA has
been
repeatedly unwilling to present its financial background,
including
of the PORODISA GROUP, its mother company in Indonesia.
The
commission also conveyed, until last week MUSA has also been
unable
to submit the other principle requirements for its
investment, namely a clear investment plan.
BLUFFING
AND CUNNING
MUSA,
arriving almost two years ago, has had big ambitions in
Surinam.
Widespread protests within the Surinamese community,
including
from the local timber industry, alleged that MUSA has
been
ambitioning logging rights of millions of
hectares, ranging
between
six to ten millions of hectares. SKEPHI's European office
managed
to acquire authentic proof, that it had indeed had these
ambitions.
A document disclosed that MUSA has registered another
69
companies in the Surinamese Chamber of Commerce.
Previously,
to make its arrival and plans impressive, MUSA
directors
in Paramaribo stated that an approximately USD.1,5
billion
would be invested in the country, mostly in the forestry
sector.
Despite protests, it soon managed to obtain logging rights
of
150.000 hectares in the Apoera district, West Surinam, without
the
necessary approval by the Surinamese National Assemble
(parliament).
Not
long after, in the second half of 1994, despite protests
extending
internationally, MUSA is said to stand side by side with
BERJAYA
and SURI ATLANTIC in eyeing another concession rights of
1,105
million of hectare. SKEPHI has found inextricable links,
that
SURI ATLANTIC may be coming from the same timber industry
source
in Indonesia, as MUSA did. Several prominent business
figures
with most powerful political backings in Indonesia are
suspected
to be behind the move of these Indonesian investors to
Surinam
After
enduring unceasing critics and at the moment that the
Surinamese
government takes a more critical stance, Irawan Imoek,
the
director of MUSA, started to breaks his silence. Last week, he
conveyed
that MUSA's investment in the timber processing industry
in
Surinam, will amount to US$. 149 million. But on his previous
statements
to invest US$ 1,5 billion remains unclear.
CONFLICT
LADEN
Throughout
almost two years, MUSA's activities have met with
endless
resistance, both from the indigenous population of the
Amerindian
ethnic who live in and around forests,
as well as from
Surinam
community in general. The granting and negotiations of
logging
concessions by Surinamese government has so far not been
duely
discussed or communicated to the indigenous population
living
in the interior. Ressistance has since also arisen within
the
Afro-Marron tribes against the granting of further logging
concessions
to the Malaysian BERJAYA and Indonesian SURI ATLANTIC.
The
granting of these concessions is considered as a blunt
violation
of the PEACE TREATY between the Surinamese central
government
and the indigenous population in the interior,
established
after the bloody CIVIL WAR ending only in 1992. The
PEACE
TREATY, among other constituted the rights of the interior
and
indigenous population to traditional land and autonomy in the
economic
activity.
The
granting of logging concessions to MUSA and the two other
investors
is regarded as an harassment of the rights of the
indigenous
people, regulated en detaille in the Peace Treaty, such
as the
rights to develop their own 'economic zones'. Instead, what
have
been happening, such as repeatedly reported by the Surinamese
media
since last year, were complains against MUSA of not always
having
paid for the timber it purchased from the local people,
even in
areas far beyond it's concession in West Suriname.
UNSUSTAINABLE
PRACTICES
According
to various sources, including Surinam's government
officials,
MUSA has been reported as repeatedly violating various
forestry
regulations, such as logging protected tree species,
logging
beyond its boundary, distribution of chainsaws and heavy
machines
to local people, systematic manipulation of
forestry
taxes,
and even manipulative and forced timber purchases from the
increasingly
marginalized indigenous people. MUSA has openly
admitted
to purchased part of its timber supply from 'middlemen',
notorious
for bad reputation criminally as well as on the aspects
of
human rights violation, such as from Surinam's former military
ruler,
Desi Bouterse (DWT, 11/8/1995).
THE
BRIBING OF POLITICIANS
Irawan
Imoek, MUSA's director, in response to the current position
of the
commission of Ministry of NRM last week, started to show
his
annoyance. In his opinion, he has submitted all the
information
asked from him. He stated that he is now at a loss for
the
ways to fulfill the answers in the commission's requirements.
His
company, he said, has "spent a lot of money" to collect the
data's
required. He is annoyed at the final decision of the
commission.
He is even suspicious that the decision has been taken
purposedly.
Little
could be denied with regard to the funds that MUSA has been
spending.
An editorial of Surinamese wekly, de
Surinamese
Weekkrant,
has even discussed the bribery of the Surinamese
politicians.
The article alegged that MUSA has bribed
KPTI (a
conservative
Javanese party) and NPS leaders amounting to US$ 11
million.
SKEPHI sources in Surinam's politics has even put en
detail
names of several Surinam's political figures who have
enjoyed
extravagant comforts prior and during the visit of
Venetiaan,
the Surinamese President, to Indonesia, May last year.
An
outstanding example who clearly takes sides with MUSA, is Mr.
Willy
Soemita, currently the Surinamese Minister of Social
Affairs.
In his country, he is known to be a corrupt politician
and who
had once served two years of imprisonment for a corruption
case.
SOUTHERN
EXPLOITERS
The
perspective of a southern country threatened to be deforested
by a
company from another southern country, such as with the case
of
MUSA, has since the beginning been potential to smear the
Indonesian
image internationally. Surinam is a country having
almost
similar past with Indonesia. Surinam is also a member of
the
Non-Aligned Movement, currently chaired by Indonesia.
Another
Indonesian investor, SURI ATLANTIC, together with the
Malaysian
BERJAYA, are currently the remaining Southeast Asian
logging
companies, waiting to be granted logging concession of
1,105
hectares by the Surinamese government. Provided that MUSA be
stopped
from further deforesting Surinam, there remain above
mentioned
investors to potentially mar the relations between these
southern
countries.
SKEPHI's
POSITION:
1.
Support all international activities that prevent irresponsible
the
selling and exploitation of forests as Surinam's natural
resources.
This support applies to the efforts by international
organisations
such as WRM, IUCN, WRI, Conservation International,
GLOBE,
and multilateral institutions such as Inter-American
Development
Bank, the World Bank, EU, provided all efforts are
directed
for the sustainable existence of Surinam nature and
indigenous
communities.
2.
Appeal to concerned members of the Indonesian House of
Representative
to defend the image of Indonesia abroad, to take a
clear
position on the practices of Indonesian logging investors in
Surinam
and other countries, by, in the form of a meeting which is
open to
public.
3.
Appeal to the government of the Republic of Indonesia to
simultaniously
and comprehensively take practical and policy
measures
on Indonesian forestry investors to prevent prolonged and
repeated
occurrence of similar cases.
4.
Appeal to the Indonesian mass media to break the culture of
'fear'
in its works, to assist in the matter by assuming a role in
investigating
the background and business linkages of the above
mentioned
Indonesian logging investors.
5.
Appeal to the highest officials in the Indonesian government,
in
particular,and to prominent figures in the society, such as
those
from the Department of Forestry, Department of Environment,
Indonesian
Eco-label Institute to take a moral-political position
and
policy measures to prevent such cases from being repeated.
6.
SKEPHI will continue its effort to investigate on the
background
of the other Indonesian and Malaysian logging company
and its
solidarity campaign for the indigenous people of Surinam.
With
this position SKEPHI means to halt Indonesian companies from
being
given leeway as new southern
exploiters, in this era where
south-south
exploitation of natural resources start to widespread.
In the
mean time, the campaign started almost two years ago, has
indeed
only been increasing.
The
fate of Surinam's forest today has not only been the concern
of
environmental organisations alone. The case of
the selling out
the
Surinamese forests has also been brought to a UN conference
in
Geneva by the representatives of the affected
Surinam-
Amerindian
community, July last year .
Members
of the Global Legislators Organisation
for a Balanced
Environment
(GLOBE) will soon discuss a Resolution to stop the
Surinamese
government to grant forest concessions to above
mentioned
Southeast Asian companies.
On the
31st of August, SKEPHI and Mr. Hemmo Muntingh, a GLOBE's
founding
member will present reportings to the Indonesian House of
Representatives
(DPR-RI) in Jakarta.
Indro
Tjahjono, Hasjrul
Junaid,
SKEPHI-Indonesia
Coordinator SKEPHI-Europe
Coordinator
More: A
draft Resolution which will be forwarded to the GLOBE
Conference in Tokyo, August 28-29, 1995, and which will be
submitted
to the Indonesian House of Representatives in
the
coming
visit of a founding member of GLOBE to Indonesia in the
next
few days, can be ordered from SKEPHI (tel/fax:
#62-21-4711388)
--------------------------
News
article published in Indonesian daily _Bisnis Indonesia_
(Sunday,
23 July 1995)
(English
translation)
MUSA
Group's position threatened in Suriname
The
expansion of Indonesian entrepreneur abroad is not always
smooth
sailing. MUSA Group that has planned to open up a six
million
hectare forest in Suriname received criticism and is in
danger
of being kicked-out due to competition from Malaysia and
primarily
because of environmental issue.
The investment
of one Indonesian company has caused social and
political
unrests in Suriname. Mitra Usaha Sejati Abadi (MUSA) or
Eternally
True Business Partner Group that is involved in Logging
Concession
(HPH) in Suriname, is facing very strong criticism from
some
political force in that country.
The
European Community as well as a few environmental NGOs,
including
in the US keep focusing on the activities of MUSA Group
belonging
to Irawan Imoek. Leading publications such as Time, The
Economist
and Asiaweek, even printed fairly long articles on the
expansion
of the Indonesian business group.
Last
year MUSA's investment was being opposed by forestry and
logging
entrepreneurs' community, NGOs, the people of Suriname and
various
mass world media because of its plan to control a 6
million
ha consessionned area (compare it with the total area of
Suriname
which is 14 million ha).
According
to the Indonesian Forest Conservation Network (SKEPHI),
last
year Suriname's justice department had the opportunity to
process
efforts to evict MUSA Group to quench the demand of the
people
in that Central American country, even though ultimately it
was not
carried out yet.
SKEPHI's
representative in Europe recently brought MUSA's issue to
the
attention of the Environment Minister, Sarwono Kusumaatmadja
dan
Forestry Minister, Djamaloeddin Soeryohadikoesoemo. According
to
Hasjrul Junaid SKEPHI's European coordinator, the problem of
MUSA's
investment in Suriname could tarnish the image of Indonesia
from
the international point of view. We categorize this case
under a
form of south-south exploitation, which must be opposed.
Especially
considering Indonesia's position as chairman of the
Non-Aligned
Movement which must maintain its image, Junaid
clarified
to Bisnis.
Analyzed
The
Forestry and Environment Ministers, Junaid said, is analyzing
Skephi's
report. Djamaloedin even promised to give inputs on the
activity
of MUSA Group in Indonesia.
Aside
from conveying the information to the Environment and
Forestry
Ministers, SKEPHI is also preparing an opinion-gathering
meeting
with DPR's IV Commission and to invite to Indonesia
natives
from Suriname who suffered because of
MUSA.
Rawan
Imoek , head of MUSA or Porodisa can not be contacted in
Jakarta
as well as in Surabaya. He is not yet in the league of big
entrepreneurs.
However, in Suriname, Imoek conveyed to the
government
of that country that he will invest at least US$1.5
billion.
Last
year SKEPHI filed a protest to the Indonesian government to
investigate
and delay the business permit of that group until
there
is a clarification on the case that it caused in Suriname.
MUSA
Group originates from some companies like PT Porodisa Trading
Co.
(Kaltim), PT Pacific Bontang Raya Industries (Bontang), PT
Putera
Bengalon (Kaltim), PT Meratus Kalimantan Timber (Kaltim),
PT
Tembaru Budi Pratama (Sulut).
For the
forestry business in Suriname, Notosoewito--a man who has
connections
with high-ranking officials in Indonesia-- has been
said to
hold a Commissioner President position.
Mysterious
MUSA's
presence in Suriname had been considered mysterious since
the
beginning. Many trade and professional associations of that
small
country were not included in the dialogue of investment
acceptance
procedure. Time said that the investments and
concessions
given to MUSA gave rise to other effects such as labor
piracy,
relocations of Indian villages and environmental
pollution.
The concessions that are opposed by Suriname's
people
are the forestry sector, wood industry, palm oil, alcohol
production
and natural gems.
MUSA's
initial investment of US$1.5 billion covers an area of 1.2
million
hectares and the total conversion planned is 6 million ha.
In a
few months after the investment permit was given, the group
had
opened 70 companies (NV) in Suriname.
The
investment permit of MUSA was given after the visit of
Suriname's
Social Minister to Indonesia. During that visit a
joint-venture
agreement was signed between Suriname-Indonesia in
the
field of forestry for 20 years.
Major
General (Police) Koesparmono Irsa while attending the
General
Meeting of the International Criminal Police Organization
(ICPO)
in Rome last year, stated that the government of Suriname
actually
filed an official claim to the Indonesian governent
because
of non-payment of tax on the part of MUSA.
Up to
now MUSA is not paying tax to the
government of Suriname,
so that
the country will file an official claim through the Dutch
Police,
said Koesparmono Irsan imitating the statement of the head
of
Dutch's Interpol, G.J. Goosens.
Illegal
The
concession given by the government of Suriname's President,
Ronald
Venetiaan, to MUSA begun in 1993 in the form of a
concession
to develop a man-made rain forest with an area of 150
ha in
West Suriname. That concession included giving Imoek
permission
to export unprocessed wood from Suriname with very low
fiscal
costs.
What
concession is illegal since it violates the 1992 Forestry
Laws
paragraph 27 which regulates that the granting of concessions
in the
area of 150.000 ha can only be given to integrated timber
firms.
While at the time of being granted the concession, MUSA did
not
even have sawmilling facilities to process timber into plywood
or
other processed wood products.
The
Chairman of Forestry Council of Suriname, Kenneth Tjon even
expressed
his surprise with the sudden granting of concession. The
concession
was given in a very short time and under misterious
circumstances.
I even knew about it from the newspaper, he said as
quoted
by Time August 1, 1994 edition.
Plywood
factory
At the
end of 1993 the Berjaya Malaysia company, owned by
conglomerate
Vincent Tan and Ahmad Rithaudeen former Malaysian
Defense
Minister, followed the footsteps of MUSA in negotiating to
get a
concession of one million hectares by offering an investment
of
US$200 million, including building a plywood
processing
factory
and a five star hotel. Other companies from Indonesia,
Suri-Atlantik,
owned by PT Gudang Garam and PT Antang Permai
Plywood
also invested capitals in Suriname. Berjaya intends to
process
wood products into plywood. While the main target of MUSA
and
Suri-Atlantik was to gain two million hectares of forest for
supplying
the need for raw wood materials to produce plywood and
paper
pulp.
* Lukas
Luwarso & Meirizal Zulkarnain
Bambang
Ryadi Soetrisno
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