Timber Takeaway V1.8

Recommendations contained on page 1 Chainsaws speak louder than words A Briefing Document by Global Witness. May 2000 Recommendations 1. RECOMMENDATIONS G Stop the practice of granting cutting permits by any authority other than the Department of Forestry and The meeting of the Consultative Group (CG) in Paris in Wildlife. Permits granted in this way to Pheapimex May 2000 is of crucial importance to forestry reform in and Mieng Ly Heng should be withdrawn. Cambodia. The 1999 CG meeting set the pace for forestry G reform, but it is the 2000 meeting that can ensure that the Adopt the new forestry law as soon as possible, momentum of reform is continued. The concession review following meaningful public consultation. and the logging crackdown will count for nothing if they G Urgently address the issue of domestic timber supply, are not brought to their logical conclusions. as the current system stimulates illegal logging. G The Royal Government of Cambodia (RGC) should: Complete an inventory and impound all old logs, and set up a working group to determine the best use of G Immediately impose a moratorium on all concession these old logs. activity, until all the recommendations made by the G Consider the importance of the proposed Cardamom World Bank funded Forest Policy Reform Project mountain protected area as a reserve of regional and (FPRP) and the Asian Development Bank (ADB) world significance, and impose a moratorium on all funded concession review are implemented. concession activity in the Cardamoms. G Terminate all concessions that possess less than ten years of operable forest, and impose a moratorium on Cambodia’s neighbours: all concessions with less than 15 years of operable G The governments of Thailand, Laos and Vietnam forest, as described in table 6 of the ADB draft report. should enforce Cambodia’s 31st December 1996 timber G Terminate the contracts of all concessions that have export ban, as they have publicly committed to do. committed serious contractual breach, especially with Currently all these countries systematically abuse it. regard to extensive illegal logging. These include Hero The International Community should: Taiwan, Colexim, Casotim, Samling, Mieng Ly Heng, Long Day Machinery, Pheapimex-Fuchan, Lang Song G Continue to tie non-humanitarian aid disbursement International, Kingwood Industry, Cambodia to implementation of forestry reform. Chemdar Plywood, Superwood, Silveroad, You Ry G Continue to work with the RGC, providing both Sako, Voot Tee Peanich and TPP Cambodia Timber financial and technical assistance in achieving these Product. reforms. G Ensure that all remaining concession contracts are G Inject at least the additional $2 million into the Forest renegotiated. Crimes Monitoring Unit, on top of the original G Redefine concession areas, to ensure that a reduced budget, to increase its capacity to sufficent levels. number of concessions can practice sustainable forestry management in truly viable forest areas. G Ensure that all agencies within the Forest Crimes Monitoring Unit are able to operate fully and without Remaining harvest in Cambodia’s concessions. restrictions, according to the FAO Project Document signed by the RGC. G Examine a new vision for forestry in Cambodia, and rethink the current concession strategy, to maximise forest revenue from reduced exploitation levels, by focusing on high value added product. G Take into account all forest crimes, carried out by concessionaires, that have taken place since the start of their concession contracts, and release pre-1999 government records relating these forest crimes. G Enforce Hun Sen’s 25th January 1999, 17 Point Declaration, especially with regard to Clause 4 on the issuance of collection permits. G Cancel all concessions on indigenous people’s land and develop alternative more socially responsible forms of timber supply and ensure that indigenous peoples’ rights receive adequate attention. G Provide local people with maps clearly delineating concession and current prey coupe boundaries. Local people should be notified as soon as cutting licences are granted. “In the provincial forestry department the best jobs are given to those who have the money available to give bribes, even if they have less experience and poor technical capability; having money brings power. Those in the community with little money are increasingly upset about the situation as they feel that it is only the poor people who must observe the forest regulations. Oxcarts used to carry firewood and roughly processed timber for building local houses are checked while the concessionaires act as they want to, clearing both large and small trees within their concession. Working within a concession and being prepared to disregard the forest regulations pays; staff currently working with a concession company reportedly earn between $20,000 to $30,000 a year1.” —PROVINCIAL OFFICIAL, DECEMBER 1999. 1 CHAINSAWS SPEAK LOUDER THAN WORDS Summary / Contents 2. SUMMARY CONTENTS Hun Sen’s Declaration No. 1 The 17-point declaration, signed on 25th January 1999, is the 1. RECOMMENDATIONS 1 bedrock of the logging crackdown and the solid foundation of 2. SUMMARY 2 forestry reform. Although several of the 17 clauses are being adhered to, other important clauses are not being enforced. For example, 3. INTRODUCTION 3 concessionaires are not being held responsible for forest crimes committed on concession land, contrary to clause 7, and collection 4. ADB CONCESSION REVIEW 3 permits for old logs are still being issued, contrary to clause 4. & THE FUTURE OF CONCESSIONS Forest Crime Monitoring Unit BOX - HUN SEN’S 17 POINT DECLARATION 4-5 The establishment of the FCMU will, in time, provide MAP - BEFORE. DRAFT (FCMU) INCEPTION REPORT 6 Cambodia with a system that can effectively monitor forest crime, and aid suppression of these crimes. It is a far reaching and precedent MAP - AFTERMAFF. FINALISED (FCMU) 7 setting programme that promotes transparency within the forest INCEPTION REPORT sector. Its first five months of operation have, for the first time, 5. FOREST CRIME MONITORING UNIT 8 begun to see actions taken against specific criminal incidents, although a uniform response to different crimes has yet to be 6. DOMESTIC TIMBER SUPPLY 8 achieved. 7. FOREST CONCESSIONS ON INDIGENOUS 9 ADB Concession Review and the future of concessions PEOPLE’S LAND The draft report of the ADB Concession Review is not only 8. IS LOGGING THE BEST ECONOMIC USE 10-11 damning of the state of the forestry sector, but makes strong OF CAMBODIA’S FORESTS? recommendations for its reform. It is essential that the RGC and the international donor community ensure that the recommendations 9. TIMBER MOVEMENTS 11 are acted upon, to prevent the destruction of the forest resource. 10. THE MILITARY REGIONS 12-27 However, most suspects escape arrest and/or prosecution. The timber industry has returned at total of just $92 million to MILITARY REGION 1 12-19 the RGC since 1994. In future sustainable logging under the present system cannot return more than approximately $30 million per year. Ratanakiri 12-16 Therefore the viability of the system is in doubt, and a new vision Stung Treng 17-19 for forestry needs to be identified to not only preserve the forests, but to generate revenue for the state. Mondulkiri 19 Domestic Timber Supply MILITARY REGION 2 20-22 The current system to supply timber for domestic use relies on the Kratie 20-21 concessionaires providing 20% of their harvest for this purpose. This system promotes illegal logging because the concessionaires are Kompong Cham 21-22 obliged to pass on royalty and production costs to the consumers, rendering the timber unaffordable. Local people have no choice but MILITARY REGION 3 22-23 to obtain timber from other (illegal) sources. Furthermore, as the ADB report has identified that the current concession system is Koh Kong 22-23 unworkable, the 20% quota system is also, de facto, unworkable. Kampot 23 Forestry Concessions on Indigenous Peoples Land MILITARY REGION 4 23-24 Forestry concessions on indigenous peoples land not only abuse the right of these peoples, but also place Cambodia in contravention of Preah Vihear 23-24 numerous international agreements and conventions to which it is a Siem Reap 24 signatory. Such concessions should be terminated. Kompong Thom 24 Economic Value of Cambodia’s Forests Since 1994 Cambodia’s forest have been severely degraded by legal MILITARY REGION 5 25-27 and illegal logging. During this period the RGC has received just Battambang 25 $92 million in timber royalties and tax. It is apparent that the whole concession system and economic uses of Cambodia’s forests need to Pursat 25-27 be reviewed, as it is evident that an industry based purely on industrial logging is not in the interests of the RGC or the country Banteay Meanchey 27 itself. 11. THE ROLE OF CAMBODIA’S NEIGHBOURS 27-32 Legal and illegal logging, and exports to Thailand, Laos and Vietnam Thailand 27-30 Levels of illegal logging are still unacceptably high. Illegal exports to Laos 30 all of Cambodia’s neighbours are continuous, whilst the logging concessionaires illegally log with impunity. Laotian, Thai and Vietnam 31-32 Vietnamese authorities collude in illegal timber imports from 12. CONCLUSION 33 Cambodia on a systematic basis. 13. REFERENCES 33-34 CHAINSAWS SPEAK LOUDER THAN WORDS 2 Introduction / ADB Concession Review and the Future of Concessions 3. INTRODUCTION 4. ADB CONCESSION REVIEW AND Cambodia’s forest sector has undergone incredible changes THE FUTURE OF

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