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No lift on log export ban: Ministry
(Internet)The Trade Ministry is currently revising a number of import and export policies to regain investors' trust, but the ban on the export of logs will remain in place
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(Internet) (Internet)
(Internet)
The Trade Ministry is currently revising a number of import and export policies to regain investors' trust, but the ban on the export of logs will remain in place.
"We will leave open [exporting] for pulp, but log exports will stay closed," said the ministry's director of agriculture and forestry exports, Nurlaila Nur Muhammad, on Monday as quoted by Antara news agency.
Previously, the Industry Ministry's director general for agro-industry, Panggah Susanto, said that any decision to boost log exports would be misguided, since the domestic processing industry still needed the material.
According to Panggah, expanding domestic wood processing industries, such as furniture manufacturing, represented a big opportunity since the sector could absorb many workers, especially in more remote areas.
"The government's current focus is on increasing value-adding industries, starting from the downstream sector. So, if log exports are encouraged, we worry that it will decrease the potential of domestic processing industries," said Panggah.
Separately, Ian Hilman from the Eyes on the Forest (EoF) environmental group said that this was not the right time to open up log exports since the government's supervision of the upstream sector was still very weak.
"If log exports are open, illegal logging 'part two' will continue. Moreover, currently a lot of timber, sourced from converted land or newly opened land, is potentially corrupt," said Ian.
He added that logs from Indonesia's forests should be allocated to domestic industry, especially since the current growth of domestic wood processing industries was huge due to the implementation of the timber legality verification system (SVLK), among other causes.
"The Trade Ministry's decision not to open log exports is spot on and should support the growth of domestic industry," added Ian. (kes)(++++)
