Papua Demands Log Export Ban Called Off
16 April 2014 13:46 WIB
TEMPO.CO, Jakarta - Minister of Industry Mohammad Suleman Hidayat said that timber entrepreneurs in Papua have submitted a request to reopen the log export license. The businesses argued the ban on log export has killed Papua's wood industry.
"Many are unemployed because of this ban," Hidayat said yesterday.
To date, the Ministry of Industry has not decided whether they would lift the ban. "We are still conducting studies," said Minister Hidayat.
Meanwhile, the Indonesian Furniture and Handicraft Association (AMKRI) rejected the issuance of log export license. AMKRI chairman Soenoto said allowing the export would disrupt the supply of raw materials for the domestic craft and furniture industry, as all of the wood would be sold to international markets.
"It would be ruin the timber product exports projection which was targeted to reach US$5 billion," he said.
The international export market value for wood reached US$112 billion, with China dominating the market share with an export value of US$40 billion. Indonesia's export share is only US$1.8 billion.
Earlier, the Forestry Ministry's director general of forestry efforts, Hendroyono Bambang, said that the log export ban is the government's way to boost the ailing timber business.
AMIR TEJO | NURUL MAHMUDAH
