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Higher premium, cess no obstacle to industry growth: Dept

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Hamden Mohammad

KUCHING: State Forest Department yesterday rejected the notion that the increase in timber premium and cess implemented last year was the biggest obstacle to the timber industry’s growth.

Its director Hamden Mohammad said the government was very cautious and had taken into considerations all relevant factors in formulating forestry policies based on current needs and development in the sector.

Clarifying a statement by Sarawak Timber Association (STA) as reported in a local daily on March 29 on the state government’s proposed forestry policies, he said these were aimed at strengthening sustainable forest management and the needs for environmental protection, economic development and the social wellbeing of the local people.

Hamden Mohammad

“The formulations of several forestry policies by the state government have undergone a series of consultation sessions with industry players and other stakeholders to achieve a win-win situation.

“Our objective is to formulate a comprehensive policy that is good for the state government and all stakeholders especially the people of Sarawak,” he said in a media statement yesterday.

Hamden also pointed out that the current policies, including the review of timber rates, had always reflected the actual situation of the industries and supported by feasibility studies.

He cited the charges on certain amount of forest produce which had never been revised for the past 20-30 years, even though the rate was no longer relevant under the current situation.

“The revenue from hill timber premium and rehabilitation and development cess are mainly for financing education and the welfare of the people of Sarawak,” he explained.

According to him, the state government believed that Sustainable Forest Management (SFM) Certification principles were good practice and was in line with our goal to ensure that our forests are managed sustainably.

The Forest Management Certification was crucial in strengthening SFM by promoting good governance through transparency and credibility in managing forest management area.

Hamden said the sustainability of the state’s forest should not be solely valued by dollar and cents.

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