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 7 October 2003
Timber exports set to surpass last year’s record
By ZAIDI ISHAM ISMAIL
 MALAYSIA’S
exports of timber and timber-based products this year are on track to surpass
last year’s record following steady global demands.
The sector recorded its best performance in 2000, with exports worth RM17.7
billion. But the exports fell 21.5 per cent to RM13.9 billion in 2001 before
increasing 10 per cent to RM15.3 billion last year.
Deputy Primary Industries Minister Datuk Anifah Aman said for the first seven
months of this year, Malaysia had already sold RM12.1 billion of the commodity,
a 6.1 per cent increase compared with RM11.4 billion in the comparable period
previously.
“Global demand will sustain until year-end and the sector will perform
marginally better this year to beat 2002’s exports (RM15.3 billion),” Anifah
told reporters in Kuala Lumpur yesterday.
Timber and timber products include sawn log, sawn timber, dressed timber,
moulding and dowel, veneer sheet, plywood, particle board and furniture (wood
and rattan).
“The bulk of Malaysia’s timber exports, especially furniture, is expected to
come from buyers in West Asia such as United Arab Emirates, Saudi Arabia,
Kuwait, Bahrain, Oman and Qatar.
“But I would like to stress here that Malaysia puts more emphasis on producing
timber and timber products from sustainable resources.
“This is because at the end of the day, logs which come from a sustainable
resource can ensure a competitive price. It’s better to have lower volume of
timber exports with an attractive price rather than high volume but poor prices,”
said Anifah.
He had earlier opened the three-day conference on Forestry and Forestry Products
Research and launched Forest Research Institute of Malaysia’s newly-revamped
website.
Anifah was representing Primary Industries Minister Datuk Seri Dr Lim Keng Yaik.
Also present were the institute’s director-general Datuk Dr Abdul Razak Mohd
Ali and the ministry’s secretary-general Datuk Dr Abdullah Mohd Tahir.
On a separate matter, he said Malaysia is still seeking a meeting with Indonesia
to settle once and for all the accusations by the republic that Kuala Lumpur is
dumping plywood into the international market.
“As both countries are exporters of timber and timber products, it is better
that we both sit down and discuss ways towards a mutual solution rather than
making accusations.
“Furthermore, Malaysia has long since banned the import of Indonesian round
logs (June 2002) and other preventive steps have already been taken,” Anifah
said.
Malaysia has been trying to meet Indonesia’s Forestry Minister Muhammad
Prakosa for the past four years but to date its request has been turned down
many times.
The Indonesian Wood Panel Association (Apkindo) claimed last month that
Indonesia’s plywood exports plunged 15 per cent due to the actions of both
Malaysia and China.
Apkindo had accused the two countries of flooding the export market with cheaper
plywood made from logs taken illegaly from Indonesia.
“Indonesia is experiencing poor sales and cannot control its own illegal
logging. That is why it is blaming Malaysia and dragging its feet to arrange a
meeting,” said a government official at the sidelines of the conference.
Indonesia is the world’s biggest exporter of plywood producing 6.3 million cu
m in 2002 followed by Malaysia (3.5 cu m), Brazil (1.3 cu m) and China (1.2
million cu m).
Meanwhile, in his speech, Dr Lim said the Finance Ministry has agreed to grant
various additional incentives for the establishment of a forest plantation as an
alternative source for timber on a case-by-case basis to take off the pressure
on natural forests.
“Unfortunately, until today the response by the private sector has been poor
because it is said to be unprofitable due to its long gestation period,
inadequate funding and land availabilty.”
“Nevertheless, the Government is doing all it can such as the adoption of an
agro-forestry approach by planters which includes combining long-term forest
species with short-term agriculture crops,” said Dr Lim.
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