MANILA, Philippines - State-run think tank Philippine Institute for Development Studies (PIDS) is urging the review of a standing moratorium on harvesting of timber to revive the local wood processing industry, a downstream activity of the forestry sector that can create more jobs in rural areas.
In a discussion paper, PIDS fellows Danilo Israel and David Feliks Bunao said the potential economic contributions of this industry is not realized as it has been on the decline for many years now owing to several restrictions.
Chief among these concerns is the imposition in February 2011 of an indefinite moratorium on the cutting and harvesting of timber in the natural and residual forests via Executive Order 23.
With the implementation of this order, the number of wood processing firms in the country dwindled. In the CARAGA region for instance, only 27 firms survived as of 2015 from 119 in 2010.
The EO should be reviewed to make it more equitable to all stakeholders and subsectors. The government can also help provide employment options as well as safety nets to workers displaced by the log ban,” said the paper.
Stable policies should be in place to ensure a more stable business environment. After a policy has been decided through a fair and inclusive process, it must be implemented firmly across affected firms and over time. This will provide wood processing firms and potential investors a clear and positive message that will help them firm up their production and investment decisions,” it added.
The researchers noted the total national income and employment from wood processing is currently not known but noted the industry can employ thousands in several provinces alone.
PIDS urges review of timber harvest ban
