More Information

In November 2001, this Pre-project was approved and funded to canvass views in a range of major producing member countries on the desirability of undertaking promotion of tropical timber and, provided there was support, to prepare a full project proposal.

During the implementation of the Pre-project, a consultant visited Brazil, Indonesia and Malaysia as well as Japan, UK and other EU members and USA, engaging in discussions with trade, industry and government representatives. Ideas were further refined during the Trade Advisory Group (T-A-G) meetings in Bali in May 2002, and on other occasions whenever possible. This allowed the gathering of comments and ideas from a number of other consuming and producing countries, including LDCs in Africa (Cameroon, Gabon and Ghana), Tropical America (Guyana and Peru), Asia and the Pacific region (Australia, Korea and PNG).

It was confirmed during the survey that in the past decade, the international trade in primary forest products from tropical forests had steadily fallen by some 10% in value. At the same time, trade in secondary processed tropical wood products has increased by 140% and now accounts for over 40% of total trade. Prices have varied widely in different markets and producers are concerned that the high value western markets have become resistant to tropical timber in part because of the negative image of timber harvesting in tropical forests. Reduced opportunities in these high value markets could undermine the contribution of the timber industry in producing countries to poverty alleviation and economic growth and could impede or even preclude long-term sustainable development.

The industry has responded to the challenge by encouraging sustainable management of the forest and the market increasingly seeks independent verification of this although the willingness to pay higher prices for timber from sustainably managed sources is limited.

In order to secure sustainable management of tropical timber producing forests, it is necessary to show consumers what progress has been made and to provide them with objective information on the social, environmental and economic benefits of sustainable management. It is also necessary to make technical information on timber properties and product specification in different markets more widely available.

The project proposal that has been developed from this Pre-project seeks to gather objective information on the contentious issues of tropical forest management, to provide illustrative materials on current practices and to encourage partnerships between the timber industry and civil society environmental organisations. This is in order to provide working examples of mutually beneficial cooperation in efforts to achieve sustainability.

Project Objectives

The Development Objective is to achieve improved sustainable development in tropical hardwood producing regions, encompassing poverty alleviation, environmental soundness, enhanced social equity, and improved economic stability. This is to ensure a focus on sustainable development in the widest sense. Whilst the project itself will obviously not achieve this fully in any member country, let alone in all participating ITTO producing members, it is important that the wider goal is framed in this way. Indicators have been developed in the logical framework which will assist in measuring achievement of this goal. As with all development projects, it will not be easy to separate impacts due to the project from those occurring as a result of other activities. Baseline and subsequent data collected in target areas will assist in giving some indication of project impact. If the project is successful, then it is important that the impact is comprehensive and assists in balanced development of social, environmental and economic aspects. This is consistent with the wider aspirations of ITTO and its members as made explicit in the ITTA (1994) which all members committed to on signature, in the Decisions of ITTC and the ITTO Action Plan.

The Specific Objective is to assist in meeting the development objective through working towards an increased share of an enlarged and transparent market for tropical hardwood and value-added products derived from sustainably managed sources through efficient and socially responsible industries. This emphasises that the strategy adopted will be to create a larger and more transparent market overall for tropical timber and timber products within which products coming from sustainably managed sources will secure a greater share. At the same time, processing industries should become both more efficient and equitable, this can be facilitated through greater profitability from enlarged market opportunities for tropical timber products.

In this regard, the higher value markets are of particular importance. Generating increased economic activities is of particular importance in forest rich LDCs, where the forest sector makes substantial contributions to the local economy, GNI and export earnings. There is thus potential for both poverty alleviation and economic growth. It is proposed that this project proposal be submitted to the CFC for consideration.