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MTC Timber Report Report By Kapal Berita 17/10/2000 9:09 pm Tue |
Komen: Dulu kini dan selamanya pembalak perompak negara.....
Bacalah kisah tahun 1998 ini, muka yang sama kini
menerajui negeri Sarawak. Forest Networking a Project of Forests.org, Inc.
http://forests.org/ 12/1/98 ******************************* Title: Malaysian Timber Council Statistics
Source: Malaysian Timber Council Statistics 1997.
http://www.mtc.com.my/statistic/stat97/
Date: 12/1/98 While some cannot see the wood for the trees, there are also those who do
not see the trees for the wood. Let us all remember that there is more to
the forests than the wood and the trees.
In this era of rapid development and techno!logy, the question must be
raised, `at what price?' Japan, as one of the world's economic giants,
has been heavily criticised in newspapers and publications around the
world for wrecking havoc on the earth's natural resources, particularly in
Southeast Asian rain forests. Malaysia is a notable example, with various
interrelated connections to Japan, all of which spell out a history of
destruction and unsustainable development. Japan is a relatively
resourceless country, throughout the last few centuries most necessary
resources have been supplied by territories outside of mainland Japan,
such as Manchuria and Korea during the Pacific War. This is not to say
that Japan started off barren, without potential, on the contrary, Japan
was, and is now again one of the most richly forested temperate nations of
the world. However, due to large scale logging after the wars in order to
keep up with the rush in development and a construction boom, Japan found
itself stripped of its only valuable natural resource. Hence the only
option became imports. Japan turned first to her Southeast Asian cousins, initially the
Philippines, then when stocks became limited, Thailand, Indonesia, Sabah
and Sarawak (the two East Malaysian states), then more recently, Papua New
Guinea and the Solomon Islands. This steady progress through some of
Asia's most biologically diverse forests has been encouraged, and even
initiated by Japanese sogoshosha, or general trading companies, which make
a profit not by high prices, but rather the size of turnover, ensuring
that even when demand is not present, supplies are still required to
stockpile in anticipation of a future shortage. Japan's nine biggest
sogoshosha include some big names like Mitsubishi, Marubeni, and Sumitomo,
and together import over half of all timber that arrives in Japan. !note
Jomo, K.S (1994) p189 These companies work with various government
officials, and local timber firms to ensure constant supply, it would seem
regardless of any environmental cost.
The effects of large scale logging is compounded by the downsides of
Japanese Official Development Assistance (ODA). The relationship between
rain forests and ODA is complex, comprising at least three factors.
Firstly, Japan's ODA loans to Malaysia were on a yen basis, and with the
fall in the value of the ringitt have placed the country in quite serious
debt, this has necessitated a concentrated effort to increase GNP in order
to pay back the loan. Malaysia has few options to fund this debt as it is
a country where the majority of people are still living at third world
standards, while at the other end of the scale a small number of
politicians and bureaucrats have assets totalling millions of dollars.
Logging generates the most, and the easiest revenue, as unskilled workers
can be utilised, and as long as the pockets of those in power are being
lined, no governmental intervention will occur.
Secondly, Japanese ODA technical loans have funded the purchase of large
scale machinery (such as tractors utilised for dragging logs), that
Malaysia had neither the technical ability nor the funds to supply. These
`technological transfers' have not always been accompanied by training,
encouraging wanton use by people who know no better. Lastly Japanese ODA
projects, although required to have an environmental impact assessment
both prior to and after any activity, have often had environmental side-
effects, all of which have been overlooked by the Japanese government.
These construction projects include dams, power stations and roads, all of
which require the clearing of land, and often necessitate the relocation
of entire tribes, for whom the land was previously a tribal possession!.
Roads allow access to more remote areas of the jungle that would not have
been possible to log, and facilitate slash and burn farmers who clear the
land preventing any future reforestation. Imported wood is cheaper for
Japan than reinstating her own logging businesses as essentially the
forest in Malaysia is free. There is no ecological worth placed on the
land, and no provision must be made for sustainable growth, so basically
the only cost incurred is in the extraction and transport. Japan's forests
are bound by very strict laws requiring certain levels of sustainability,
and compensation must be paid to all those who are affected, either
directly or indirectly. To add to this, Malaysia is so concerned with
maintaining this crucial export market in Japan, that log prices have
never reflected their true worth, even on the international market. Wood
imported into Japan is used to make chopsticks, cheap furniture, and
construction plywood (konpan!e) all of which are either single use
products, or disposed of after being used one or two times, as in the case
of konpane. Illegal logging in order to keep up with the Japanese sogoshosha-driven
demand has meant even more destruction as logging firms work under cover,
in the dark, or using unreliable equipment. This is overlooked by
Malaysian officials as most positions of power come complete with
portfolio of logging concessions, enabling the official to utilise various
portions of state land to whatever means they desire. Even ministers with
portfolios such as Forestry, Environment, and Tourism hold such
concessions. Environmentalists around the world mourn the loss of one of the world's
most biologically diverse rain forests, and the removal of other potential
gains from this natural resource, such as medicines and antidotes.
Negative effects of logging also include land slips, global temperature
changes, desertification and loss of wildlife. Native people who once
lived on the land are now forced to start over elsewhere, with no
compensation, often without the natural resources they have depended on
for centuries. Japan is the world's top donor of ODA in monetary terms , but the portion
of this money spent on the environment or environment-related aspects is
minimal (2.5 per cent of the $US9.44 billion total aid in 1996) , and
appears to be implemented more as a comeback to universal criticism rather
than any great desire to promote sustainable development. An ironical
point is that due to considerable effort on behalf of the Japanese
government, Japan has now reached the stage of over-forestation, causing
rural disharmony, and encroaching on private land needed for farming.
However although the obvious solution would appear to be commercial timber
use, the costs of doing so are still much higher than wood available from
Malaysia, and the timber is of a poorer quality. Before the end of this
century Japan must rectify the situation. This essay will now explore the
aforementioned points in greater depth.
For many years prior to World War Two, mountain forest covering over two-
thirds of all national land area in Japan contributed food, fuel and
timber to local farmers. However during the immediate pre-war and wartime
years substantial logging extracted the majority of this forest. The
Japanese were focused on competing with other industrialised nations, and
to this end utilised vast quantities of timber. A lack of natural
resources was one of the catalysts which led to the occupation of nearby
lands such as Manchuria, Korea and Sakhalin, where Japan nearly doubled
the area of natural forest resources available. However with the high
demands of the war effort, these resources were soon diminished, and Japan
was forced to look to her own forests. These too subsequently suffered
from severe over-logging, and as initially Japan did not have the
financial ability to import the large quantities of wood required for
construction being carried out throughout the nation, forests were
depleted to minimum levels. This also had added impact environmentally, as
the "loss of tree cover led to repeated downstream floods, landslides and
river silting in many rural areas". The general post-war shortage of timber naturally led to a rise in prices, practically halting all construction, so an alternative was crucial. The government weighed up the costs, and originally attempted importing from the USSR and North America, but the supply still fell short of demand, and a more prolific resource base was sought. Southeast Asia seemed an obvious choice, in particular the Philippines, where money-hungry Marcos in power encouraged any potential profit generator. By 1973, all the easily accessible forest areas in the Philippines were exhausted, and the remaining sources were not only in areas difficult to extract from, but also generally of lesser quality. Focus then shifted to Thailand and Indonesia, until faced with possible total deforestation, the Indonesian government banned the export of logs in 1986. font color="#0000cc">Meanwhile investment had started moving towards Sabah and Sarawak, the two East Malaysian states on the island of Borneo.At present Japan is the biggest importer of wood from Southeast Asia and
nearly single-handedly stripped almost all of the primary rain forests in
Thailand and the Philippines. According to Martin Khor (of the Asia
Pacific People's environment Network) and other environmentalists at a
series of Japanese conferences addressing global warming, "Japan is mainly
responsible for environmental problems in the Asia-Pacific region.... It
is the biggest importer of wood from jungles in Southeast Asia. Primary
rain forests in Thailand and the Philippines have been almost entirely
stripped". From their own experience in local rain forests, Asian
logging companies, the majority backed by Japanese sogoshosha, are
"depleting an ecologically important resource at unconscionable rates and
violating native rights". font color="#0000cc">Between 1963 and 1985 at least thirty percent of Sarawak's total forest area was logged, (nearly half the wood going to Japan) and more than two thirds of Sarawak's remaining rain forest is licensed for commercial timber use.! Japan imported 2.26 million cubic metres of logs from Sarawak in the first five months alone of 1993, worth RM894.2 million, and was the biggest single buyer of Sarawak logs for the whole of 1992. This trend remains, with Japan importing 45 per cent of all logs and 57 per cent of all plywood exported from Sarawak between January and December 1997. Japan now imports over eighty percent of all wood consumed in Japan. Consistently Japan purchases at least 45% of all exports of logs from Saraw!ak, 37 percent of plywood, but only 6 percent of sawn timber (the highest revenue spinner). As a consumer, Japan actually imported 47 percent of all tropical timber available on the international market in 1996 (compared to China, the next biggest importer with 15 percent), while Malaysia produced 48 percent of all tropical logs, sawn timber and veneer sold world-wide.font color="#cc0000">Sarawak now accounts for almost half the world's export volume of tropical logs, despite a 1990 International Tropical Timber Organisation estimate that Sarawak's primary forests would be logged out in eleven years. The ITTO has also set an objective of sustainable forest management world-wide by the year 2000, as by their calculations under one percent of the 60 million m3 of timber extracted from tropical forests is harvested on a sustainable basis. In 1993 the Sabah state government banned all log exports from the state in an effort to combat deforestation, a ban that was lifted in 1996, but was replaced with numerous restrictions, limiting the number of timber concessionaires, but lengthening the period the concession was held; requiring that loggers use techniques involving pre- cutting and directional felling to protect vast areas of forest from being ravaged by bulldozers; and putting into effect a selective export quota for logs, specifying permissible species etc. The state also has a target of 250,000 ha of its land reforested by the year 2000.The role of the Japanese sogoshosha is complex one. Japan has sixteen
general trading companies, including Mitsubishi Corporation, Mitsui &
Company Ltd., Itochu & Company Ltd., Sumitomo Corporation, Marubeni
Corporation and Nissho Iwai Corporation. According to Fortune magazine's
1998 Global 500 list, in terms of sales, Mitsui is the world's third
largest corporation, followed by Mitsubishi (fourth), Itochu (sixth), and
Marubeni (ninth). Sumitomo ranks tenth, and Nissho Iwai is thirteenth.
These companies are considered to be the backbone to Japan's incredible
growth. Sogoshosha are primarily trade intermediaries which supply a
range of services to facilitate and co-ordinate trade at a small cost.
They work at remarkably low profit margins and seek to generate profit by
stimulating and maintaining demand for immense volumes of natural
resources. In order to ensure the volume demanded by construction firms in Japan is
available, the trading companies provide credit and equipment to Southeast
Asian loggers, often in excha!nge for logs or guaranteed purchasing
agreements. The joint turnover of the main sogoshosha equates to
approximately one quarter of Japan's entire GDP, an indication of the size
and power of these large trading companies. In order to cover
fluctuations in the market, sogoshosha buy up excessive quantities of
timber, and store it for future use. Unfortunately this has a domino
effect, and in anticipation of a short supply, other sogoshosha will also
buy up large. This of course fuels massive extraction efforts, and drives
unsustainable resource use. Many of the logging firms have low interest
loans from the Japanese sogoshosha, and this propels them to sell more and
more, in order to pay back the debt. Other firms are actually joint
owned, and as Malaysian law requires a local equity of at least 60
percent, Japanese sogoshosha may even advance the local firm the balance
required. This again necessitates bulk extraction to facilitate financing
the debts. As the market in Japan will consider only the top quality logs and timber,
there is much wastage. It was noted by Stan Sesser after his journey
through Sarawak in 1991 that there were "logs piled on either side of the
river- tens of thousands of logs........ they were logs that had been
brought downriver, inspected by the Japanese buyers, and rejected, either
because they were the wrong species or because they were marred by
defects". font color="#cc0000"> In retaliation to criticism, Mitsubishi and 86 other prominent
members of the Japan Lumber Importers' Association have contributed a
$70,000 fund aimed at promoting environmental research. Although the
amount can surely be put to good use, this is only about $800 per company.
There are still Japanese engineers directing the building of bridges and
logging roads, and Japanese companies are supplying heavy machinery to the
Malaysian firms that would be financially impossible to acquire
otherwise. At present (May 1998) Japanese sogoshosha are still reported
to be holding large, inactive stocks of timber.
Loggers have degraded an irreplaceable forest gene pool that had stood
largely undisturbed for millennia in the rush to extract hardwoods to be
turned into scaffolding, chopsticks and paper, mostly for the Japanese
market. Three quarters of tropical hardwood coming into Japan ends up as
plywood, mostly for the construction industry, whereas in most other
countries, a low cost, plantation softwood is used. The plywood is mainly
utilised in the moulding of concrete walls, and is used maybe two or three
times before being disposed of. This plywood is known as kon-pane or
construction panelling, and none other than the best quality tropical
hardwood will do. Construction firms shun plantation plywood from North
America due to its knotty surface and uneven grain compared with the
`smooth as silk' rain forest timber. In Japanese cities, plywood made of cheap tropical timber is used for such
purposes as to protect walls from being scratched during renovations or
construction. Other timber is made into cheap furniture that is often
thrown away when the owners change house. "The average Japanese uses
more Government leaders in Japan are quick to defend criticism of large scale
purchasing of cheap tropical timber, and state that Japanese firms are
increasingly under pressure to accept more products from Southeast Asian
nations as the growth of those countries depends on "the production of
low-priced, high-quality products and their acceptance in the world's
marketplaces". In defence of the tendency of the Japanese to purchase
cheap timber from overseas rain forests rather than using local supplies,
Japanese foresters themselves emphasise the fact that it is easy for
Southeast Asian countries to offer cheaper wood as sustainable forestry is
not practised, they do not incur the costs of forest reproduction.. There
is also widespread Japanese perception that Japanese timber is different
from and therefore irreplaceable by foreign wood, hence the value of
foreig!n timber should be less. Taking into account the total cost of cutting down a tree in Sarawak,
shipping it to Japan, milling the timber into thin sheets and gluing them
together to make plywood, it still costs less than it does to make plywood
from an inferior Japanese softwood. The main reason for this is that
basically the Sarawak rain forests are free, so compensation for the use
of the land is not a factor in the cost of the tree. The government does
not charge for logging concessions, rather it gives them out, and the
natives who have lived on the land for centuries get nothing. If
environmental impact assessment (EIA) reports were enforced in Sarawak,
more of the environmental cost might be incorporated into the price of the
log, but in the first five years of this being a legal requirement, no
EIAs were submitted to the Department of the Environment.
Due to the rather tenuous grasp on timber concessions in Malaysia as
politicians win and lose, the onus is on maximum extraction in minimum
time. Although restrictions detailing selective felling exist, many
logging companies ignore this in an effort to log the capacity required
for them to meet the customers demands, put sufficient money in the
pockets of the politicians who distribute the timber concessions, or pay
back the Japanese loans that are often given under the table, and hence
uninsured. Under-declaration of the wood extracted and exported is
common, with exporters `fiddling' the accounts in order to pay less to the
government in royalties and tax, while concealing illegal profits. By
looking at statistics from both Malaysia and Japan, it would suggest that
more wood arrives in Japan than has been declared as exports from the
country of origin. Such illegal behaviour has been ignored by the
sogoshosha importing the timber. It is thought that in the early 1990's,
thirty to forty percent of total log exports may have been recorded
inaccurately to avoid government charges.
In the five years from 1991-96, over 152 cases of illegal logging were
detected by the Malaysian State Forestry Department, seventy three of
which were carried out on forest reserves, while another seventy nine were
on government-owned land.chftn Due to difficulties in bringing such cases
to the attention of often corrupt officials, this is most likely just the
tip of the iceberg. Another negative side effect of this rush to extract
large volumes results in very unskilled staff working in very dangerous
conditions. Those who drive the bulldozers are paid per tree cut, and as
they are given no map, they simply drive into the forest looking for
suitable timber. When the trees are cut down, no attention is paid to
where or how they fall, so that when the skidders -tractors to drag the
logs out- go in they have no idea where the logs are, and drive around
aimlessly until they find them. It is estimated that as no precise
cutting methods are used, when a tree is felled, up to ten other trees can
be lost or seriously damaged as it falls. If rice is growing in fields
surrounding the forest area desired, the bulldozers will still take the
shortest route possible, even if it totally destroys the crops.
Injury is high amongst the mostly unskilled workers, with someone killed
nearly every week, and although logging employs less than five percent of
the Sarawak workforce, in 1983 timber companies reported 67% of all fatal
accidents in the state. Over the last seventeen years more than a
thousand workers in the timber industry have been killed. The statistics
get worse. In 1980, one in five workers suffered injury and one in four
hundred was killed, a figure more than twenty-one times that of the timber
industry in Canada. The danger is intensified when a company feels the
pressure to produce more timber or logs in a certain time frame, whether
it be to keep up with exporters' demands, or perhaps when a politician's
future looks tenuous, and there are doubts as to whether the timber
concession will remain valid. Sometimes truck drivers are forced to work
all night in the dark, operating on very little sleep, an issue that has
not yet induced the government to suspend or revoke a company's licence.
As remaining forests are getting sparser, illegal logging operators and
poachers have found it lucrative to take logs and animals from national
parks and wildlife sanctuaries, as obviously the gains far outweigh the
risks being taken Unfortunately, the make-up of Malaysia's political system does nothing to
curb illegal or highly destructive practices among logging companies. If
anything, the money-hungry politicians encourage it. Although forests
have multiple functions, such as providing both timber and non-timber
resources and supplying numerous environmental and cultural services,
factors besides the obvious monetary gain from wood exports are often not
considered by the government. Sabah and Sarawak have state governments
separate from the central government, as they only joined the Malaysian
Federation in 1963, and Britain tried to ensure that its lucrative
colonial possessions passed into safe hands. Sarawak was accorded the
power to set its own land policies, and from then (1963) until 1985 about
30 percent of Sarawak's total forest land was logged. Over the last two
decades timber economics has been the basis for much of Malaysian state-
level politics, with timber concessionary rights the coveted prize for
political office and power. At present concessions are given to potential
political backers, friends, family, and royalty.
The logging concessions controlled by the most senior politician in
Sarawak at present, Chief Minister Datuk Patinggi Tan Sri Haji Abdul Taib
Mahmud have been established to be worth about RM10 million. Other
current, key ministers hold comparable concessions, a noteworthy example
being the Minister of the Environment and Tourism, Datuk Wong, who is head
of Limbang Trading, which controls about 300 thousand! hectares of forest
in Sarawak. He upholds that logging is good for the forest, saying that
all the animals have returned, and there are more fruits and nuts than in
previous years. Limbang Trading has purportedly even sold timber that is
on the government's protected species list, established by the Select
Committee on Fauna and Flora, which is chaired by Datuk Wong himself.
Chief Minister Taib's family including his uncle, sister, and sons are all
partners in various logging and plywood operations, and these ties weaken
supervision of state implementers, distort formal policies and undermine
state capacity to enforce regulations. It does not raise an eyebrow in
Sarawak that the Environment Minister moonlights as a logger. Wong
himself has stated that he cannot understand what the fuss is about, as he
is not logging in protected areas. He also feels that only a relatively
modest reduction in logging is needed to make the Sarawak rain forest
sustainable indefinitely. Many world bodies such as the ITTO have recommended that the Forestry
Department in Sarawak simply freeze logging concessions, but any
commitments made by the Malaysian government have not yet been translated
into practice as there are large profits still to be made. The present
system of handing out concessions for free is unaccountable, and does not
generate fair revenue to the State. Political abuse and patronage are
rife as concessions are handed out as political favours to reward
politicians' allies and buy off opponents. Sarawak is a state nearly
half the size of New Zealand (47% of total land area), yet over half of
all land is officially zoned for logging, compared with the eight percent
which is decreed to be permanently protected. The remainder is available
to be deforested for `development'.
There are major discrepancies in the Malaysian Timber Council requirement
for EIAs, for example, it is only necessary to submit an EIA report with a
concession area of more than 500 ha, and that only those concessions
approved on or after April 1, 1988 are required by the Act to submit
anything at all. As political elite in the state are dependent on the
wealth generated from timber exploitation for their personal gain,
measures and policies initiated at the federal level can not be enforced
in Sarawak. In order to evade the necessity of submitting EIAs, many new
logging concessions were claimed to be extensions of concessions awarded
before the 1988 cut-off date. Large concessions are appropriated into
areas less than 500 ha and awarded to different subsidiaries of the same
parent companies. There have been persistent complaints and reports by affected communities
with regard to illegal felling, pollution of water-catchments, removal of
protected tree species, damages to their farmlands and clashes over land
rights, but no action has been taken by the government. In January, 1998,
several Iban tribesmen, some as young as 13, were shot and arrested in
Sarawak for protesting at the! loss of their home and livelihood. No
explanation was given on their arrests, and they were held until the case
was tried in court three months later. In 1991 it was shown that the
combined acreage of Chief Minister Taib, and his influential uncle Abdul
Rahman Yakub (who was actually Taib's predecessor) amounted to half the
forest land in Sarawak still available for logging at that time. Foreign
owned timber companies in Malaysia have to pay Malaysian taxes, but their
financial statements often end up showing losses or only small profits, a
trend which is largely ignored by state officials. Politicians face an
election every five years, and if they lose, their successors could revoke
the concessions, so there is great importance on getting as many logs as
viable out of the rain forest as quickly as possible. !
Japanese companies have been criticised for their approach to
environmental issues abroad. Aid projects themselves have contributed
directly or indirectly to environmental destruction in the recipient
countries. In 1992 the Japanese government began to suggest new
directions for ODA (Official Development Assistance), in particular a
compatibility with environmental preservation. However, generalist aid
administrators and managers are lacking at government agencies in Japan,
along with a shortage of specialists in various fields. The Ministry of
Foreign Affairs conducts "post-project" evaluation on sustainability and
impact concerning those projects that have been completed two to four
years previously, however as yet no flaws in the system have been noted by
the Japanese government. In the 1998 evaluation results, 33 projects
relating to forestry and agriculture were evaluated amongst the total 167.
Of the whole, 28 projects were identified as in need of "certain
improvements", and 1 as unsuccessful as a whole. However detailed
information concerning the direct environmental impact of all ODA
projects, or even what improvements were required in most cases was not
given in this report. "Government-sponsored development projects, typically supported by
bilateral loans or multilateral lending agencies have compromised a number
of major rain forests". For the most part this is unintentional as
government agencies may be unaware of the location of protected areas
(often unmarked and constantly being revised in Malaysia), or they may not
appreciate the true value of the resources that appear in the area. These
and other competing interests tend to overrule any thoughts towards
sustainable development. The director of Japan's `Friends of the Earth'
movement, Yukio Tanaka criticised in 1993 his homeland saying, "Japan's
contributions are made in money, and it has no law-binding aid policies to
protect the environment". Many Japanese manufacturers are shifting plant
to Asia to take advantage of the cheap labour and land prices, initiating
comments like the "environmentally unfriendly behaviour of Corporate
Japan". In 1990, Malaysia owed Japan approximately $5.6 billion U.S. in aid
loans , an amount which with the diminishing value of the ringitt looks
set to put the nation into bankruptcy. Loans have financed road and
logging projects that destroy tropical rain forests, deplete natural
resources, eradicate untold numbers of species, and displace thousands of
people. This is despite Japan being a world leader with regards to other
environmental issues, for example its per-capita energy consumption is the
lowest among leading industrialised nations, vehicle emission standards
are the world's strictest, and it has world class anti-pollution
technology. C. Itoh, one of the Japanese sogoshosha operation in the Southeast Asian
region built a road into dense tropical rain forest in Sarawak in 1982,
entirely financed by Japan's foreign aid programme. Although there was
much protest from local natives, it was only when international media
attention focused on the Japanese Government, that any reparation was made
by very embarrassed officials. Yoichi Kuroda, coordinator of the Japan
Tropical Forest Action Network, asserted as early as 1989 that Japanese
government policies fail to focus on how to reduce Japanese consumption of
tropical timber. Officials justify sending foreign aid to build logging
roads by arguing that the roads will be travelled by local people, when in
fact the only use by locals could be by hitchhiking rides, "clinging
dangerously to the back of speeding vehicles overloaded with logs".
In 1996 Malaysia was the sixth highest recipient of technical cooperations
under the Bilateral Assistance banner in terms of financial support. JICA
(the Japan International Cooperation Agency) actually funded a major
forestry project in Sabah from 1987 to 1994, and provided expert knowledge
on reforestation, equipment (such as bulldozers, front-end loaders, and
fire-fighting equipment), and training in Japan with regard to planting
techniques and silvicultural methods for timber plantations. This project
had considerable success in the planting of plantation trees, but in
contrast Sarawak has not benefited from any such project so it is obvious
that this was only an issue in hindsight after all logging for export was
banned in Sabah. It would be too dangerous to implement such a project in
Sarawak at this stage as it could reveal problems with the current
situation which might reduce log exports. Japanese ODA projects in
Sarawak instead tend to be primarily inventories of forest resources,
which it is suggested actually encourage and facilitate further logging by
providing a directory of remaining timber, the timber quality, and how to
access it. Even more direct Japanese Official Development Assistance projects see the
introduction of unsustainable logging techniques that are often
unsuitable for successful tropical forest management as they make use of
heavy machinery which causes considerable damage to smaller trees and the
forest floor. Other projects not targeted at the forestry sector have
also had adverse effects on the rain forest. Dam construction, roads,
power stations, metal refineries and factories all affect the local area
in often overlooked ways. Dams flood large areas of farmland and forest,
and change the natural environment and ecosystems further down the valley.
Roads enable land-less farmers to penetrate the forest in order to convert
logged-over land into agricultural land. Power stations, metal refineries
and factories affect the local habitat, polluting the air and rivers which
plants, animals, and people depend upon for food, drinking water, and
medicines. Natural forests play important roles in preventing soil
erosion, flooding, drought and in maintaining soil stability and
fertility. Logging and development activities d!isrupt these ecological
functions. Dams trap silt and valuable nutrients, affecting distribution
to downstream fisheries and agricultural activities. Mud and chemicals
from logging machinery wash downstream and contaminate water supply.
Government figures reveal that some 60% of Sarawak's rivers suffer such
pollution. There are other projects put forward to the World Bank by Japan which
actually contradict the World Bank policy to preserve primary tropical
forests. Fundamental planning problems occur due to the fragmented
nature of Japanese ODA. Of the three bodies that act under the ODA
banner, JICA is concerned mainly with technical aid, the OECF (Overseas
!Economic Cooperation Fund) provides funding for the above, and the
Japanese Ministry of Foreign Affairs (MOFA) must oversee all projects.
The Environment Agency and the Ministry of Finance also contribute, and as
bureaucrats in Japan are usually rotated from section to section every
four years, it is difficult to accumulate a highly experienced and skilled
staff base to work on ODA issues. Tropical rain forests cover a mere 6% of the world's surface, yet they are
the earth's most diverse biological habitat. They contain over half the
species of animal and plant life found on this planet, and are of vital
importance to global ecological processes. Forty per cent of all drugs
prescribed in the USA are derived from rain forest plants, and it is
thought that this is only 2% of all potential drugs able to be created
from rain !forest plants. Rain forests are crucial in maintaining the
balance of local environments by preventing flooding, soil erosion and
changes in climate. The Northwest part of Borneo (including all of
Sarawak) is the richest forest in terms of tree species in the world.
Some twenty thousand species of flowering plants, several thousand species
of trees (compared with a total of 8924 native plants in New Zealand),
hundreds of species of butterflies, a hundred and eighty species of
mammals, and more than a hundred kinds of fruiting trees are contained in
Sarawak's rain forests. Many of these thousands of tree species are 150
feet tall in this rain forest that is 10 million years old. Numerous
birds, mammals, and a third of all plant species are endemic to Borneo.
At present, under one percent of this forest is harvested on a sustainable
basis, despite the obvious destruction and loss to society in Malaysia as
a whole. In a survey of commercial operations in Malaysia, extraction of
only 10 per cent of the trees in an area led to an additional 55 per cent
being damaged or destroyed in the process.
In August 1998 Dr Steve Howard of the World Wide Fund for Nature (WWF)
made a statement to world media warning that 77 species of the world's
trees are already extinct, and at present rates, another 10 per cent face
imminent extinction. This poses an incredible risk as most living species
are dependent for their survival on trees, and 90 per cent of these
species live in tropical forests. Renewable resources continue to be
used at rates that are clearly unsustainable, with little or no thought to
the future. In 1991 ITTO findings showed that nowhere in the world has
sustainable management been proven over even a single rotation period. It
also indicates that figures giving present sustainably produced logs at 1
per cent may be far too high. Their estimate is nearer one eighth of 1
per cent, and shows that virtually all of Sarawak's forests will have been
logged by the year 2000. Even the Interim Report of the Council on ODA Reforms for the 21st Century
put out by MOFA comments that some developing countries have been
confronted with an array of increasingly serious environmental problems as
a consequence of rapid economic growth. These problems range from forest
depletion and encroaching desertification to global warming. The logging
of tropical rain forest is a serious global problem, it does not just
affect Malaysia. However at present it is Malaysia which is bearing the
brunt of it as with expansion of agricultural land brought about by access
via logging roads, excessive logging and over grazing, Southeast Asian
tropical forests are being depleted at a rate of 12.6 million ha per year,
an area equivalent to one-third the land area of Japan. Another
potential money spinner and global benefit is being overlooked by both the
money-hungry Malaysian government, and the timber-hungry Japanese. This is
ethnobotany, which involves the study of plant life to source out those
which could offer possible cures for disease. Dr Abdul Latiff Mohamed,
the biodiversity expert at the Universiti Kebangsaan Malaysia, (one of
the top two universities in the country), found a plant that had the
potential to cure breast cancer if detected at an early stage. In Sabah
the most sensational breakthrough has been the discovery of a potential
AIDS cure from the Bintangor plant. Another plant extract that seems to
have an inhibitory effect on HIV, the virus that causes AIDS has been
found in Sarawak. Needless to say, Latiff feels it is time that
authorities came out with an order to protect local resources with such
potential. Biodiversity is a term coined in the last decade, and refers to the "range
of variation among plants, animals and micro-organism, genes, species and
ecosystems" It is a fact that at present depletion rates due to man's
ignorance, more than half of all flora, fauna and marine life will be
extinct by the year 2100. Sarawak has 9 national parks and 3 wildlife
sanctuaries, covering a total of 2.31% of the state's land area. The aim
of these is to preserve and maintain maximum biological diversity
(biodiversity), and to conserve endangered species. It has been known for
some time that larger areas of forest contain more species than do smaller
ones. If an area of habitat declines in size, the end result is faunal
collapse - the number of species declines - hence it is more important to
protect a few very large areas than numerous small areas. If only a small
area of primary forest is available to be protected, it is recommended
that it is joined to another via a passage of secondary forest. There is
a minimum viable population of any species, which is the number of
individuals need for a population of animals to survive in the long-term,
and appears to be at least in the low thousands when counting breeding
adults. In an ironic twist, most rain forests would collapse without
their resident animal and bird species, so it is crucial that a network of
inter-connecting protected forests should be established.
At present the main problem facing those wanting to implement such
protected areas in Sarawak is conflicting claims on land such as timber
extraction, agriculture, and aquaculture. The government is quite happy to
gazette secondary forest (i.e. replanted forest, often a single species)
as protected areas, but many animal species rely on specific trees for
their livelihood so this is not the best idea. According to figures
published in 1997, almost half the area originally covered by tropical
rain forests world-wide has been converted or seriously degraded. Fires
have increased in frequency and extent because logging operations leave
highly combustible slash on the ground. Forests located higher than 762m
above sea-level are supposed to remain untouched as a safeguard for
slopes, water supply and wildlife and plant conservation. However, due
to the rush to extract timber in large volumes for predominantly Japanese
consumers, such ideals are pushed aside.
The people who are suffering the most from this mass logging in Sarawak
are of course the natives who have lived in the forests for hundreds of
years. The destruction of the native people's environment is denying them
access to forest produce, for making baskets, for constructing canoes and
longhouses, for their medicines, arrow poisons and blowpipes, for resins,
fruits and dyes. Mean intakes of protein have declined from
54kg/person/year to only 12 kg/person/year according to a WWF study while
in recently logged areas there is a serious increase in malnutrition,
affecting approximately 31% of the population. If the average nutrition
statistics are compared between Malaysia and Japan and New Zealand, the
daily protein intake is 65gm, 80gm, and 165gm respectively. Obviously
this only gives a broad overview, but with the Japanese tending to eat
less meat than other countries, and the Malaysians considering meat a
dominant part of their diet, the figures for Malaysia seem very low, even
taking into account their "newly developed nation" status. The lack of
foods containing protein and vitamins is obvious with the extremely high
instances of intestinal parasitic diseases and dysentery. Elders of the
tribes say that some logging companies give the settlements the equivalent
of $8,000 a year for logging on their land, a generous offer compared to
most, but divided between some 200 inhabitants it is a pittance in
comparison to the lost wild boar, medicinal bark, and fruit trees that
could previously be depended upon. In recent years, Japan has been eager to point out that it is the world's
top donor of ODA in monetary terms, also contributing whole-heartedly to
the coffers of such multi-lateral organisations as the ITTO and the World
Bank. However the question must be raised as to for what reason is this
supposed act of great kindness so eagerly proclaimed. Japan started !out
as a recipient of aid after the Second World War, and as its GNP has
increased has become a large-scale donor. The then prime minister
Ryuutaro Hashimoto stated in June 1997 at the United Nations General
Assembly special session on the environment that Japan is playing an
important role in promoting sustainable development in developing
countries. He also spelled out five points illustrating Japan's
environmental ODA policy for the future, including the conservation of
nature. Five years prior to this Prime Minister Kiichi Miyazawa defined
environmental ODA as including forestry conservation and natural
environment conservation, highlighting conservation as one of the basic
aims of Japanese assistance. During the creation of the ODA charter in
June 1992 one of the underlying philosophies was recorded as "the
necessity for conserving the environment" Yet despite these heart-
warming ideals and goals, to date a decided reluctance by the Japanese
government to address any specific environmental issues such as the
deforestation of Southeast Asia has been observed. For example, in 1995
potential environmental conservation projects included those related to
air pollution in China and Indonesia, waste disposal in Morocco and
Romania, forests in Malawi, and the urban environment in Thailand. Yen
loans directed at the environment have gone to such countries as Thailand
(electricity energy project, Flue gas desulfurisation, water supply
improvement), Sri Lanka (flood control and environment improvement),
Argentina (river sanitation), India (afforestation), and Indonesia (beach
conservation). These are of course well thought-out and admirable
contributions, but Malaysia, (or any other Southeast Asian country), does
not seem to have benefited from any afforestation projects such as that in
India. In the 1995 ODA summary the four principles of the ODA charter were
revised and commented on in depth, with "environmental conservation and
development should be pursued in tandem" relocated as the most important
principle. In recent years Japan has directed aid towards reforestation
and forest conservation projects around the world, however only in places
such as Thailand where the rain forest has already been wiped out, and
Brazil, Sri Lanka and Chile, where Japan has had no previous impact
whatsoever. In 1994 only 4.4 per cent of ODA allotted to the environment
went to forest preservation, yet in the specific summary of aid to
Malaysia, Environmental Conservation was listed as the top priority. In
1997 and 1998, the only aid concerning Malaysia was a mining project,
however the ITTO is at present considering two project proposals in
Malaysia: studies on the "Management standards of hill dipterocarp forests
in Sarawak from a Watershed management point of view", and "Tree flora of
Sabah and Sarawak", which will hopefully have an impact on timber
extraction in Sarawak. Japan is still releasing statements that consistently contradict its
actions. A decade ago in Paris at a G7 meeting Japan announced it would
increase aid directed at tropical forests in particular, and ensure that
both its foreign aid programme and the overseas activities of private
Japanese corporations pay more attention to the environment. Even as
recently as the 1997 Denver Summit Japan presented its intentions to
strengthen efforts in the environmental sector, pointing out that it is
extremely important that industrialised countries provide assistance for
necessary environmental considerations in development, in order that
developing countries achieve sustainable development. Despite these
fine ideals, Japanese sogoshosha are still buying vast quantities of
Malaysian timber, while assuring international environmental organisations
that it will promote projects which demonstrate sustainable forest
management. Japan is even a dominant supporter of the ITTO, in fact the
headquarters are based in Tokyo. ITTO's 1997 goals include the protection
of tropical forests and the implementation of a strategy for achieving
sustainably managed tropical timber exports by the year 2000.
Despite all efforts on behalf of the Japanese government to reassure
international environmental groups and the media that it is fervently
trying to stop global deforestation, many remain unconvinced. Even a
Japanese Environment Agency official was quoted as saying that the major
motivation for increasing environmental aid was Japan's sensitivity to
criticism from the United States and Europe. Others comment that
Japan's ability to expand its environmental aid depends entirely on
whether recipients think it is valuable to them, highlighting yet
another reason why very little environmental aid concerning rain forest
protection has been given to the ambivalent Malaysian government.
In an ironic twist of fate, upland Japan is suffering from under-cutting
of timber and over-forestation. Since the deforestation after World War
Two, forestry policy in Japan has been directed at national tree-planting
days. Every year a tree-planting festival (shokujusai) is held in a
different prefecture and attended by the Emperor himself, who plants three
tree saplings followed by a mass planting by all others gathered. It
is estimated that over ten million hectares of new timber forest has been
planted over the last forty or so years, yet imports still account for
nearly eighty per cent of all wood consumption in Japan. To accomplish
such massive reforestation in such a short period of time is a feat
unheard of previously, and shows the Japanese people's great love of their
forests. However this reforestation is becoming a great problem in rural Japan. As
wood prices are so low there is no economic incentive to tend the forest
plantations, and many owners live far away in the cities, so are unable to
attend to their trees. The forest is encroaching on the village and the
tall trees make it a darker place, reducing yields in outlying rice-
fields. Graveyards are dark and unpleasant to visit, and the tree roots
push through the soil to the buried human remains. Despite being vacated
only twenty years ago, some abandoned upland villages have been totally
overgrown and have become forest. Japan is in the unique position of
having successfully reforested her own land, however these skills are not
being utilised as potential ODA resources.
This problem can be solved. Malaysia is finally taking a good look at the
destruction rampant in its countryside, and in the 1996 7th Malaysia Plan,
the conservation of natural resources and the sustainable use of natural
resources were top priorities. In particular a long term goal of at least
50 per cent forest cover in the long term was stated. Japanese sogoshosha
are slowly coming to terms with global pressure, and in May 1998 Daiken
Sarawak Sdn. Bhd., a Malaysian-Japanese fibreboard company of which 20 per
cent of the holdings are owned by Itochu Corporation, announced plans to
develop a 5000 ha forest plantation in Sarawak to ensure stable supply of
raw materials in the future. This is planned to start in 1999, and
hopefully will encourage other sogoshosha supported timber companies to
either initiate reforestation or move to more sustainable methods of
logging. The WWF called in 1992 for GATT (the General Agreement on Tariffs and
Trade) to allow producer countries to protect their timber processing
industries while permitting consumer countries to discriminate between
timber on the basis of sustainably based production. !ote WWF International
Discussion Paper (1992) p 2 At present voluntary labelling of products
such as timber as being sustainably produced is certainly legal, but
mandatory labelling is doubtful as it contradicts GATT rulings on trade
discrimination. In 1996, the ITTO made their 1994 proposal on
sustainable management by the year 2000 a formal agreement, thereby
enforcing all timber sold on the international market by ITTO countries
(including both Malaysia and Japan) after the year 2000 to be produced in
a sustainable manner. Japan must come to terms with the damage it has done in Southeast Asia and
use both its knowledge and resources to rectify the situation.
Deforestation in Malaysia has largely been ignored as an issue in
Malaysia, but this does not exempt Japan from sustainable resource use.
Japan must bring its actions and input in Southeast Asian nations into
line with its ODA goals, rather than simply producing large quantities of
propaganda about its environmental concern, but having very little actual
impact on some global issues, particularly protection of the rain forests.
These ODA goals are focused in the correct area but technical knowledge
and a strong support base must be provided to countries such as Malaysia
in order to stop the destruction of the rain forest. If nothing is done
and the situation continues in much the same vein as in recent years, with
Japanese sogoshosha ignoring their part in environmental damage, and
corrupt Malaysian officials choosing also to ignore it, then it is certain
that within the next decade all remaining tropical rain forest will be
logged with unforeseeable consequences on both the global climate and all
living creatures. Source: Malaysian Timber Council Statistics 1997. Available at
http://www.mtc.com.my/statistic/stat97/
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