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Southeast Asia

Apr 9, 2005

Plywood factories stop operations in Papua

JAKARTA - About 38 of 128 plywood companies in the Indonesian province of Papua have been forced to stop operation because of a shortage of log supplies from logging companies.

Meanwhile, the remaining 90 companies are operating at only 50% of their installed capacity, said Abbas Adhar, deputy chairman of the Wood Panel Association (Apkindo).

Logging companies could not operate normally in Papua as police have sealed all logs they cut under an anti-illegal logging operation launched by the government in that province. About 49 logging companies were reported to have stopped their operations because of the logging campaign.

Abbas said legal logging companies have suffered because of the government's campaign, with ships refusing to carry logs for fear they would be suspected of carrying illegally cut trees.

The government launched its anti-illegal logging operation in Papua after reports surfaced of rampant smuggling of rare Merbau trees from that province.

Hendroprastowo, executive director of the Indonesia Association of Forestry Companies, said law officers have to seal all logs cut by logging companies to decide whether they are legal or illegal.

As a result, the shipment of millions of cubic meters of logs to plywood factories was delayed, Hendroprastowo said.

(Asia Pulse/Antara)

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