- to curb US$200m yearly losses, boost timber trade
By Kizito CUDJOE
Ghana is preparing to complete the process necessary for issuing Forest Law Enforcement, Governance and Trade (FLEGT) licences in partnership with the European Union (EU).
Forest Law Enforcement, Governance and Trade is a European Union initiative to address illegal logging and the social, economic and environmental harm it causes. The EU adopted this Action Plan in 2003.
Currently, the domestic forestry sector is grappling with excessive timber-trafficking, leading to an estimated revenue loss of US$200million annually.
Timber trafficking takes place when loggers harvest and transport timber without complying with the country’s forestry regulations, dodging taxes, royalties and fees that should boost government revenues. This situation threatens both the timber sector’s sustainability and country’s ability to preserve its forest ecosystems.
According to National Director at A Rocha Ghana – a civil society organisation, Dr. Seth Appiah-Kubi, illegal logging and smuggling timber are undermining the country’s economy; robbing potential resources from one of its key natural resources.
This move will allow the country to commence FLEGT licencing for timber trade with EU member-states – excluding the United Kingdom, which is establishing its own regulatory framework.
This will help curb timber-trafficking and its associated losses to the economy.
Industry sources indicate that the UK is developing a separate system to manage its timber imports.
The anticipated agreement will be formalised with an Aide Memoire, expected to be signed by Ghana’s Minister of Lands and Natural Resources, Samuel Jinapor.
Background
The FLEGT licencing process follows extensive efforts and calls from timber & forest associations and civil society organisations (CSOs), which have urged authorities to expedite the conversion of existing leases and permits into timber utilisation contracts. This conversion is essential for the successful issuance of FLEGT licences.
CSOs such as EcoCare Ghana and Forest Watch Ghana have highlighted potential repercussions from delays in the licencing process. They warned that the country’s credibility in the international timber market, particularly with the EU, could be undermined if the FLEGT licence is not issued soon.
“Ghana’s credibility on the international timber market, especially with the European Union, is at stake,” stated the CSOs, adding that failure to complete the conversion and issuance process could jeopardise future commitments.
The CSOs commended the Forestry Commission’s leadership, noting progress in preparing over 100 Timber Utilisation Contracts – which were said to be awaiting approval from the Ministry of Lands and Natural Resources before submission to parliament.
Issuing the FLEGT licence is anticipated to reinvigorate the domestic timber industry, contributing to economic growth and job protection – particularly amid the current economic challenges.
