This paper is prepared for the IUFRO Special Project on World, Forests, Society and Environment.
Introduction
Illegal logging, and associated trade, has been identified as one of the major drivers of forest loss and degradation in Indonesia. Various studies and reports (Scotland, 1999; Palmer, 2001, Brown, 2002; Brown et al., 2005; Tacconi et al. 2004) have indicated the scale of illegal logging in the country. They have concluded that illegally harvested timber is well above the legal one and the levels of any sustainable regime, and proved is detrimental to the country economically, socially and environmentally.
While enforcement measures in the forests are often seen as crucial to controlling illegal logging, a Forest Watch Indonesia (FWI) and Global Forest Watch (GFW) report is cautious that the measures cannot be effective without measures on the demand side (FWI/ GFW, 2002). Such bilateral agreement between producer and consumer as FLEGT is therefore recognized as a potential approach to curb illegal logging (Speechly, 2003). This paper briefly presents efforts on curbing illegal logging in Indonesia, with a further emphasis on EU-Indonesian FLEGT agreement.
Ensuring the legality
Ensuring the legality of timber harvested from the Indonesia’s forests is seen as the foremost to curb illegal logging in the country. A spectrum of instruments and measures (highlighted below) have been implemented in recent years, ranging from governmental regulations and control to market-based instruments, notably forest certification and labelling, but they are yet to work meaningfully.
Governmental regulations Domestically, such governmental regulations as moratorium logging and sanction and penalties for companies exceeding harvest limits (see FWI/ GFW, 2002; Casson et al., 2006) have been put in place to control illegal logging. However, they have been limitedly effective due a mixture of such factors as underdeveloped and even contra-productive regulatory frameworks, lack of enforcement, poor expertise and insufficient resources, compounded by corruption and collusion amongst forestry officials and within other state agencies (Scotland 1999, Mitchell et al., 2003; Casson et al., 2006; Maryudi, 2008).
Those limitations also apply to the most recent response from the government of the set up of Badan Revitalisasi Industri Kayu (BRIK, Indonesian Institute for the Revitalisation of the Timber Industry) in 2002. This agency was established to monitor and verify the legality of timber. It issues a legal certificate (ETPIK) only to forest companies which provide all required documents, including transportation permits. Despite the government’s claims on the sufficiency of the ETPIK certificates for verifying timber legality, many are in doubts, as evidence shows that transportation certificates –on which the BRIK system relies- are readily available on the black market (Colchester, 2006).