By Liliana Usvat
Blog 273-365
Forest Concession - a contract, license, or permit granted to a firm or a person to extract and market timber (timber concession) or other produce commercially from a defined area of the forest within a given period —note a timber concession may specify the number, type, and size of tree that may be harvested
Forest concessions have been an important element of forestry, and forest management in many countries, including many developing countries.
More often than not, the concessions experience of these countries has not been successful, and, improving their performance is not likely to be popular.
The forest concessions involve both forest utilization contracts, and forest management services contracts.
Africa
Concessions in Africa have a long history and mixed records. Initially, under colonial era, concessionaires were granted by Westerns Governments a given – and generally huge – area on which they received privileges to use natural resources as private assets, the trade monopoly on resources they gathered, and often the right to levy taxes and use hard labour.
After the Independence, the relationship between private actors and the State evolved into a more balanced one.
The concession timber sector is a significant contributor to the Government budget, although the revenues derived from this sector look modest compared to revenues derived from oil.
Forest taxes are totalling annually between $3.85 million for DRC to $40 million in Cameroon and up to $50 million in Gabon. In Congo-Brazzaville, forest taxes compare to theoretical oil revenues in proportion of 1 to 100.
The concessions sector is still dominated by the Europeans, but with an increasing prominence of Asian companies, which are already dominant in Equatorial Guinea, CAR and South Congo.
The size of the concessions, the demographic patterns, and the land allocation history are closely related. West African countries are more densely populated than those of the Congo Basin.
In the Congo Basin, since the mid 90’s for Cameroon, and the beginning of the decade, the fiscal reform promoted by the World Bank and backed by the IMF has lead to changes in the taxation structure pattern, with an introduction or an increase of the area tax.
Since most of the forest sector in West and Central Africa is export-oriented, with the largest part of the production (in value) still going to Europe (except for Equatorial Guinea), the issue of “environmental norms” (certification) – which includes legality requirement – should not be underestimated. And small-scale logging and processing is, currently, unable to meet these escalating requirements.
Outside the boundaries of national parks and reserves, many areas of the Congo River Basin have been allocated for forestry concessions. But logging is also taking place inside protected areas, with dire consequences for people and wildlife.
By far the greatest threat is the demand for timber by some Asian and European-owned trans-national logging companies, which take advantage of weak forest legislation and law enforcement.
They are not alone in this process. International banks and financial institutions are also implicated in the deforestation of the Congo Basin’s ancient forests.
Between 1959-2000, 80% of Cameroon’s forest was allocated for logging in this way. This 'license to log' is only granted for a set number of years, after which the companies need to re-apply.
There is no guarantee that documenting an illegal activity will bring any consequence.Over 80% of the violation cases brought before the judiciary were dropped after “the intervention of an influential person”.
Climate Change
We are currently experiencing, without a doubt, the greatest crisis to face human kind. Indications of climate change are being seen around the globe: accelerated melting of the Arctic sea ice, rapidly receding glaciers, rising sea levels, warming oceans and ocean acidification, more frequent and longer-lasting droughts, stronger and more frequent storms, higher temperatures than ever recorded, and a rapid extinction of species are direct result of a warming climate.
Taken for granted in the climate change discussion is the assumption that nature or the environment is something that can or should be commodified, yet the structure of society seeks to commodify everything, including human life (labor) and the environment (land and natural resources). The commodification of nature and the environment, is problematic in its own right.
Conclusion
So if we want to understand deforestation we need to follow the money.
Links
http://dictionaryofforestry.org/dict/term/forest_concession
http://elibrary.worldbank.org/doi/pdf/10.1596/0-8213-5170-2
Blog 273-365
Forest Concession - a contract, license, or permit granted to a firm or a person to extract and market timber (timber concession) or other produce commercially from a defined area of the forest within a given period —note a timber concession may specify the number, type, and size of tree that may be harvested
Forest concessions have been an important element of forestry, and forest management in many countries, including many developing countries.
More often than not, the concessions experience of these countries has not been successful, and, improving their performance is not likely to be popular.
The forest concessions involve both forest utilization contracts, and forest management services contracts.
Africa
Concessions in Africa have a long history and mixed records. Initially, under colonial era, concessionaires were granted by Westerns Governments a given – and generally huge – area on which they received privileges to use natural resources as private assets, the trade monopoly on resources they gathered, and often the right to levy taxes and use hard labour.
After the Independence, the relationship between private actors and the State evolved into a more balanced one.
The concession timber sector is a significant contributor to the Government budget, although the revenues derived from this sector look modest compared to revenues derived from oil.
Forest taxes are totalling annually between $3.85 million for DRC to $40 million in Cameroon and up to $50 million in Gabon. In Congo-Brazzaville, forest taxes compare to theoretical oil revenues in proportion of 1 to 100.
The concessions sector is still dominated by the Europeans, but with an increasing prominence of Asian companies, which are already dominant in Equatorial Guinea, CAR and South Congo.
The size of the concessions, the demographic patterns, and the land allocation history are closely related. West African countries are more densely populated than those of the Congo Basin.
In the Congo Basin, since the mid 90’s for Cameroon, and the beginning of the decade, the fiscal reform promoted by the World Bank and backed by the IMF has lead to changes in the taxation structure pattern, with an introduction or an increase of the area tax.
Since most of the forest sector in West and Central Africa is export-oriented, with the largest part of the production (in value) still going to Europe (except for Equatorial Guinea), the issue of “environmental norms” (certification) – which includes legality requirement – should not be underestimated. And small-scale logging and processing is, currently, unable to meet these escalating requirements.
Outside the boundaries of national parks and reserves, many areas of the Congo River Basin have been allocated for forestry concessions. But logging is also taking place inside protected areas, with dire consequences for people and wildlife.
By far the greatest threat is the demand for timber by some Asian and European-owned trans-national logging companies, which take advantage of weak forest legislation and law enforcement.
They are not alone in this process. International banks and financial institutions are also implicated in the deforestation of the Congo Basin’s ancient forests.
How the logging process works
The governments of Congo Basin countries grant companies, usually foreign-owned, rights to log areas of the forest. These areas are called forest concessions and they vary in size and cost millions.Between 1959-2000, 80% of Cameroon’s forest was allocated for logging in this way. This 'license to log' is only granted for a set number of years, after which the companies need to re-apply.
There is no guarantee that documenting an illegal activity will bring any consequence.Over 80% of the violation cases brought before the judiciary were dropped after “the intervention of an influential person”.
Climate Change
We are currently experiencing, without a doubt, the greatest crisis to face human kind. Indications of climate change are being seen around the globe: accelerated melting of the Arctic sea ice, rapidly receding glaciers, rising sea levels, warming oceans and ocean acidification, more frequent and longer-lasting droughts, stronger and more frequent storms, higher temperatures than ever recorded, and a rapid extinction of species are direct result of a warming climate.
Taken for granted in the climate change discussion is the assumption that nature or the environment is something that can or should be commodified, yet the structure of society seeks to commodify everything, including human life (labor) and the environment (land and natural resources). The commodification of nature and the environment, is problematic in its own right.
Conclusion
So if we want to understand deforestation we need to follow the money.
Links
http://dictionaryofforestry.org/dict/term/forest_concession
http://elibrary.worldbank.org/doi/pdf/10.1596/0-8213-5170-2
