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WORLDWIDE FOREST/BIODIVERSITY CAMPAIGN NEWS

Asian Timber Firms Threaten the Amazon

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Forest Networking a Project of Ecological Enterprises

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Asian Timber Firms Threaten the Amazon

By Glen Barry, Ecological Enterprises

Copyright, 1997

2/14/97

(822 words)

 

Asian industrial loggers are poised to significantly impact the

world's largest rainforest wilderness:  the Amazon.  Within the past

year several of Southeast Asia's biggest forestry conglomerates--known

for abysmal environmental records back home--have greatly increased

their control of Amazonian rainforests... and you guessed it, they are

not planning on creating a wildlife preserve.  The heart of the Amazon

is being opened to wholesale industrial logging and increased rates of

deforestation. 

 

Prior to the recent onslaught of Asian loggers and despite government

initiatives, annual deforestation rates in the Brazilian Amazon have

increased from about 2.8 million acres in 1991 to nearly 3.8 million

acres in 1994.  A small group of Asian companies are threatening at

least an additional 15% of the Amazon.

 

The Asian timber industry represents a concentrated core of rainforest

destroying capital and has been characterized by an aggressive

efficiency.  Timber companies in the state of Sarawak, Malaysia have

practiced highly intensive industrial logging, harvesting much of the

state's timber resource in only a decade with major environmental

consequences including silted rivers, eroded soils and declining

forest diversity and health.  Indigenous Dayak tribes have experienced

severe social dislocation.  After exhausting much of Asia's timber

supplies, the multinationals have expanded operations throughout the

tropics.  

 

Malaysia's biggest logger, Rimbunan Hijau, first moved to Papua New

Guinea where they control at least 60% of the country's forestry

concessions.  Their arrival coincided with a tripling of log exports

from 1991 to 1994.  Industrial logging has been blamed for social

upheaval and extensive environmental damage.  The 1989 Barnett

Government Inquiry into the Timber Trade stated "It would be fair to

say, of some of the companies, that they are now roaming the

countryside with the self-assurance of robber barons; bribing

politicians and leaders, creating social disharmony and ignoring laws

in order to gain access to, rip out, and export the last remnants of

the province's valuable timber."  Similar allegations of graft and

environmental mismanagement have been leveled at Asian timber firms

elsewhere.

 

Historically, the Amazon rainforest's size, inaccessibility, typically

poor soils and potent diseases have protected it against large-scale

logging and development.  Things are changing rapidly as major new

highways dissect the basin, providing a major artery for timber

companies to access north-central Amazon.  One new highway runs from

the city of Manaus, northward to Venezuela; making Manaus a major hub

for new timber development.  The number of timber mills there has

increased from 10 to nearly 100 in five years.   

 

Multinational Asian timber companies have entered the Amazon either

through long-term harvest leases or by purchasing major interests in

Brazilian timber firms.  The Associated Press reports major players

include the Malaysian companies WTK Group, Samling, Rimbunan Hijau and

Mingo; Fortune Timber of Taiwan, and several companies from China

which are expressing interest.  Brazil's national environmental

protection agency, Ibama, estimates Asian multinationals have gained

control of about 11.1 million acres.  The Wall Street Journal

estimates Asian firms control about 30 million acres in the wider

South American tropical forest region, having quadrupled their

interests in a few months in late 1996.  The figure is expected to

increase rapidly in the next two years.

 

"It's the last great resource grab," says Russell Mittermeier,

president of Conservation International.  Asian loggers are targeting

countries with financial problems that are technically and politically

unable to monitor logging.  Brazil has about 80 environmental

inspectors for an area the size of western Europe.  Though sound

forest laws and harvest practices may exist in theory, they are

frequently flaunted.  A recent survey of 34 logging sites in Para

state, Brazil has revealed that none have met International Tropical

Timber Organization harvesting requirements that Brazil has agreed to

comply with by the year 2000.  Illegal logging is common in the

Amazon.  A 1996 raid by Ibama found over 30,000 cubic meters of

illegally-cut timber floating down the Purus River towards waiting

sawmills. 

 

According to Ibama's chief, Eduardo Martins, "Multi-million dollar

investments in the Amazonian logging industry would spell disaster...

We don't want that kind of investment."  The federal government has

launched an investigation into the Asian timber purchases which have

surprised many Brazilian observers.  Amazonino Mendes, the pro-logging

governor of Amazonas State, has stated that logging will be regulated

to limit environmental damage.  However, even in the unlikely event

that the loggers do follow forestry laws, the excessive scale of their

operations could easily accelerate the pace of Amazonian deforestation

by greatly increasing forest access to hunters and slash-and-burn

farmers.

 

Asian industrial loggers are poised to significantly impact the Amazon

rainforest wilderness, changing forever the ecological, social,

spiritual, and economic composition of the planet.  By opening up the

heart of the Amazon to large-scale logging, the Brazilian government

risks accelerating rates of deforestation.  Brazil has not

demonstrated that it can control or regulate timber harvests.  The

arrival of aggressive Asian multinational timber firms will be a

decisive test of Brazil's forestry policy.  The stakes are high--the

fate of the world's largest rainforest ecosystem.

 

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