MANILA, Philippines – The Philippine Exporters Confederation, Inc. (PhilExport) has called for the immediate suspension of the implementation of the total log ban, citing dire consequence to the lucrative wood-based industries.
Philexport stressed that the total log ban would result in the loss of income and displacement of at least 10 million Filipinos that are directly or indirectly dependent on about 15,000 enterprises in the furniture and furnishings sector nationwide.
The total log ban will jack up the cost of wood as a result of the actual and perceived shortage of the raw materials.
In addition to these job losses, the government will also incur revenue losses resulting from foregone tax payments from these unemployed and business closures.
PhilExport said the total log ban would drive the thriving wood-based sectors out of business without being able to stop flooding as shown by the studies done by the Food and Agriculture Organization.
FAO studies show that it is the extremely huge volume of rainfall connected with climate change that has so far caused the calamities, in addition to the indiscriminate conversion of lands for commercial use that contributes to flooding.
PhilExport likewise noted a few gray areas that need to be immediately clarified in the IRR or a joint Department Administrative Order (DAO).
For example, the forest certification system is absent. While the DENR may have the accreditation guidelines ready, the issue is the third party/private sector investor who will certify, considering the volume of business in the country.
PhilExport has expressed concern over possible harassment and extortion activities at check points when multiple interpretations of the total log ban are made by enforcers due to the absence of implementing rules and regulations.
Herdex International Corporation President Wilfredo Hernandez, a Philexport member, has asked whether the total log ban can be retroactively applied on the wood materials that were cut before its implementation date. And if not, “how will enforcers on the road know whether the wood was cut before or after the date of implementation of the total log ban?”
Hernandez likewise pointed out that importing wood will not be able to adequately address the shortage of wood materials.
The imported and indigenous wood are not perfect substitutes, said Hernandez, noting that some buyers make specific demands as to the kind of wood that will be used in the production of furniture and home furnishings.
The most viable policy then is to impose selective logging for the wood-based sectors, particularly the furniture and home furnishing as global competitiveness of these products is strongly tried to the quality of home-grown wood, Hernandez said. –EDU LOPEZ, Manila Bulletin
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