Forest Certification in Developing and Transitioning ... - UTas ePrints

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forest certification in developing and transitioning countries
Figure 3 Log export destinations in 2002
Source: Bun, Shearman, King 2003
The forestry sector annual allowable cut (AAC) is 3.3 million cubic meters. Many
estimates suggest that, if managed properly, the forestry sector could contribute about
US$270 million to PNG’s GDP annually (which includes US$85 million paid in export
taxes/levies and landowners receiving some US$20 million in direct payments). The
AAC is initially set based on the size and economics of the operation, is prescribed in
timber permits, and is subject to review as specified in the permit (Ministry of Forests
1991, 20). It is calculated by dividing the total volume of timber in the operable forest
area by the number of years allocated to each developer (i.e. total area by volume per
hectare over time).
The PNG timber industry is dominated by Malaysian timber companies. Ribunan
Hijau is the major company and is responsible for the exploitation of most of PNG’s
production forests. These large logging companies have so far shown little interest in
forest certification because their management views forest certification as something
that NGOs support and is for small industries.
Those community forestry operations that have been certified produce mainly
rough sawn timber (Table 5). Their markets are already guaranteed and they sell to
local exporters. The timber is bought at a price higher than that available in niche and
local markets.
yale school of forestry & environmental studies