SVLK Boosts Indonesia’s Wood Export to 10.94 Billion Dollar

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Photo: Purningsih

Jakarta (Greeners) – Ministry of Environment and Forestry on Thursday claims increase of Indonesia’s wood export due to recent legal license implementation.

Secretary General of the Ministry, Bambang Hendroyono, said that Indonesia’s increasing wood export was boosted after the country obtained legal wood licence, SVLK, through Forest Law Enforcement Governance and Trade (FLEGT) on November 15, 2016.

Hendroyono added that timber and non-timber sectors contributed Rp 1.4 trillion for Non Tax State Income (PNBP) between 2012 to 2016. It means Indonesia’s wood export has been increasing for the past six years. Indonesia exported timber products reached up to US$ 10.02 billion in 2012, then in 2016 there was a slight decline to US$ 9.87 billion. However, it increased back to US$ 10.94 billion in 2017.

“If you look from the calculation, there has been increase though it’s not yet optimized in productivity. It is clear that FLEGT Indonesia license has been acknowledged by international. European Union and other countries have already acknowledged it,” he said in Jakarta.

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Furthermore, he said that only Indonesia’s FLEGT license being accepted by international market. SVLK, he added, has become an insurance that the wood obtained through sustainable ways. In addition, the system also ensures connectivity with imported countries with legal documents. This condition, he said, resulted to Indonesia’s products being accepted without any obstacles.

“Whatever happens, our monitoring still occurs. If anyone against the license, they will be subjected to sanctions. It will develop economic contribution from forestry sector and it can be improved for the better. President also wished for us to settle all the problems because issues in the upstream or downstream of the forests are related to issues on environment, social, and production,” he said.

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In addition, production in forestry sector also increasing, from 32.2 millions of cubic meter in 2015 to 38.8 millions of cubic meter. Plantation forests also becoming more sustainable, meaning that felled trees will be replanted as this type of forest aimed for mass production industries.

“We are hoping for better performance than last year, for plantation forest to be more improved this year. We targeted industrial plantation forests companies who are still active to solve conflicts in their working areas and partner up with local people. It is a must as the industry is still in capacity to receive wood such as pulp industry,” he said.

Reports by Dewi Purningsih