Berita

EUROPEAN - INDONESIAN BUSINESS DIALOGUE (EIBD)

ON THE FORESTRY SECTOR

BETWEEN

INDONESIAN VERIFIED LEGAL TIMBER PRODUCT PRODUCERS AND EUROPEAN IMPORTERS

JW MARRIOTT HOTEL, JAKARTA – INDONESIA

March 21st, 2012

 

Organized by Permanent Committee on Forest Timber Products of the Indonesian Chamber of Commerce and Industries (KADIN)

in collaboration with the Indonesian Exporters Association (GPEI) and PT. Mutu Hijau Indonesia (PT. MHI)

 

A group of around 70 Indonesian and EU delegates came together to share the vision and mission of each party for mutual understanding and strengthen business networks for the future. They discussed topics from the markets and also the supply side.

Dr Suryo Bambang Sulisto, Chairman of the Indonesian Chamber of Commerce (KADIN) which organised the meeting in collaboration with Indonesian Exporterts Association and PT. Mutu Hijau Indonesia, welcomed the delegates. “The timber trade between Indonesia and EU amounted to $1.2 billion and it is vital therefore that we understand the regulatory world within which we must operate” he said. “The USA, EU, Japan and Australia are all establishing new schemes which present us with challenges that we have to overcome, so this meeting gives us the opportunity to understand,” he added. And he closed with the observation that “perception goes beyond certification.”

Dr. Suryo Bambang Sulisto, Chairman of the Indonesian Chamber of Commerce (KADIN)

Dr Boen Purnama, Senior advisor to the Minister of Forestry, presented a very comprehensive overview of forestry in Indonesia and stressed that the VPA, which has been signed, must not become a non-tariff barrier. He hoped that countries will swiftly reject illegal timber and said that TLAS (SVLK) is the instrument to restrict it. “The country is committed to address illegal logging, which will continue if the market allows it,” he concluded.

Ambassador Julian Wilson, EU Ambassador to Indonesia, welcomed the organisation of this business dialogue by KADIN as an opportunity to promote awareness on the EU’s market requirements and opportunities. He said, "The VPA has the potential to considerably improve the perception of Indonesian timber products on the EU market and, with the new EU Timber Regulation coming, Indonesian producers could have a competitive advantage against producers from non-VPA countries." He also said that this meeting was a deliberate attempt to start dialogue that would help the growth of Indonesian trade. Failure would mean Indonesia would not rise from supplying only 10% of its production to the EU and the risk is that, if there is not a credible SVLK, buyers will go elsewhere. He added that the ‘roll out’ of SVLK presented a challenge because so far only 15-20 companies were being verified/licence per month. “Let’s start grouping companies, identify real exporters, and fund further progress with the €10 million still available,” he suggested. EUTR is mandatory and VPA is a kind of mutual recognition, but SVLK can only go live (be signed) when we perceive it is up and ready, he added and urged that communication channels be created.

HE Ambassador Julian Wilson, EU Ambassador to Indonesia

The Morning Discussion addressed many issues in detail with formal inputs from:

Dr. Djisman Simanjuntak, Chairman of the Vision Group of CEPA called for a re-think on equal benefit-sharing between Indonesia and the EU and discussed the importance of capacity building followed by facilitating. He agreed with Ambassador Wilson that Indonesia can be first in complying with EUTR and take advantage thereof.

Mr Purwadi Soeprihanto from KADIN the length of time it had taken from the Bali Declaration in 2001 to the SVLK agreement in 2011. He referred to the certification schemes of FSC with 150 mill ha and PEFC with 241 mill ha of forest certified – as competition but suggested that engagement with them was needed to ensure market acceptance.

Mr Moeller of ETTF, discussing the readiness of EU importers for the EUTR, said that “we are all in the same boat” and hoped that the VPA would arrive early. He suggested that EUTR was the biggest challenge our industry has ever had and that many stakeholders were not well prepared. Certificates and verification are not passports to EUTR he asserted. But, while the EU commission simply want to eliminate illegal logging, the European private sector wants a wider discussion that rewards wood against concrete steel and plastic. He also explained that ETTF is collaborating with other producers countries and their representatives such as MTC and AHEC.

Gavin Rostron from United Wood, which operates globally, gave a detailed view of responsible buying wood and said that their main priority is with suppliers that have complete control of their chain. He also later said that customers in Australia and NZ were now asking for SVLK material.

Mr. Andy Roby, FLEGT VPA Facilitator in Indonesia, then chaired a panel discussion “under the Chatham House Rules” so that no comments could be attributed to any one person. Representatives from the Comprehensive Economic Partnership Agreement (CEPA), European Timber Trade Federation (ETTF), KADIN and international buyer Wood United presented their ideas:

Questions then related to the bottleneck in signing VPA, the differences between LEI and TLAS, the cost of certification and why LEI could not be merged with FSC or PEFC.

Responses were that the bottleneck is technical in nature, that PEFC is known to be talking to LEI/SVLK and that a phased approach to SVLK is the only safe way forward. One key point that dominated the discussion was the weakness of SMEs and that there are capacity limitations in the licensing of candidate companies which must be addressed. Finally it was pointed out that Due Diligence these days applies to everyone in the timber trade.

Michael Buckley, wood industry consultant and raporteur for the morning, was asked to summarise the dialogue. He referred to the complexity and the comprehensive nature of the issues under discussion. The commitment by the 70 members of the audience listening to the dialogue reminded him of the 50,000 – or perhaps 500,000 - of those who still know nothing of these issues - but need to know. The same themes as of the previous day were again threaded through the dialogue; that clarification is still needed and that fear of, and risk of, failure is an issue. But it was clear that all participants were committed to the progress of forest legality verification and improved confidence in timber trading. The president of the European TTF had said “Doing nothing is not an option,” which was perhaps, Mr Buckley pointed out, evidence of a thread of frustration running through the morning session that he had detected. He concluded that Indonesia has taken a lead but may be in danger of not being rewarded for its efforts.

 

Jumat, 14 Desember 2012 03:28 WIB

London (ANTARA News) - Uji coba pengiriman ekspor produk kayu V-legal Indonesia ke Uni Eropa berjalan dengan lancar dan sukses yang merupakan implementasi dari perjanjian perdagangan kayu legal (Forest Law Enforcement Governance and Trade-Voluntary Partnership Agreement/FLEGT-VPA) Indonesia dan Uni Eropa (UE) pada tahun 2013 mendatang.

Hal itu diungkapkan Dubes RI untuk Uni Eropa, Kerajaan Belgia dan Keharyapatihan Luksemburg, Arif Havas Oegroseno, kepada ANTARA London, usai melakukan kunjungan ke importir plywoods Indonesia terbesar di Belgia, Altripan NV, Kamis.

Kehadiran Dubes di kawasan importir plywoods Indonesia terbesar di Belgia, Altripan NV guna menyaksikan kedatangan pengiriman kayu V-legal Indonesia guna mengantisipasi implementasi Perjanjian tentang perdagangan kayu legal pada tahun 2013 yang uji coba berjalan dengan lancar dan sukses.

Produk plywoods tersebut diimpor dari salah satu eksportir Indonesia melalui verifikasi sesuai skema Legalitas Kayu Indonesia (SVLK). Jumlah total perusahaan di Indonesia yang telah mengikuti skema tersebut adalah 17 perusahaan yang mengapalkan produk berbasis kayu yang sudah menerapkan SVLK.

Dubes RI dalam sambutannya di hadapan CEO Altripan NV Koen De Witte, pejabat dari Directorate General of Environment Komisi Eropa serta pejabat dari Bea Cukai Belgia menyampaikan, "Ini merupakan salah satu momen bersejarah mengingat Indonesia merupakan negara pertama di Asia yang menyelesaikan negosiasi mengenai FLEGT-VPA."

Dikatakannya Indonesia sangat menyadari pentingnya kebijakan berkesinambungan (sustainable), termasuk dalam tata kelola hutan. Komitmen tersebut telah ditunjukkan dalam berbagai fora dan tingkatan seperti komitmen pengurangan emisi gas rumah kaca sebesar 26 persen dengan usaha sendiri dan 41 persen dengan dukungan internasional.

Diharapkan arus ekspor kayu dan produk kayu legal Indonesia ke UE terus berjalan lancar, dan Indonesia optimis dengan ratifikasi perjanjian FLEGT-VPA tahun depan, industri di UE akan mendapatkan banyak manfaat dari perjanjian tersebut.

Implementasi FLEGT-VPA pada tahun 2013 juga menjadi benchmark pengakuan proses sertifikasi produk kayu Indonesia yang dihasilkan secara legal dalam menghormati prinsip sustainability.

Pernyataan Dubes mendapat dukungan dari Mr. De Witte, yang menyatakan, sebagai importir plywoods Indonesia terbesar di Belgia, sangat gembira Indonesia dan Uni Eropa menyelesaikan negosiasi mengenai FLEGT-VPA, yang akan semakin memberikan nilai tambah Indonesia bagi industri kayu dan produk kayu di Eropa, disamping fakta bahwa plywoods Indonesia merupakan yang terbaik di dunia.

Negosiasi FLEGT-VPA Indonesia-Uni Eropa merupakan proses yang unik, melibatkan seluruh pemangku kepentingan di kedua pihak, termasuk organisasi masyarakat madani dan LSM advokasi lingkungan seperti Telapak dan The Nature Conservancy dengan masukan dari berbagai organisasi seperti Forest Trust dan Tropical Forest Foundation.

Dengan FLEGT-VPA, Indonesia dan Uni Eropa mendukung tata kelola, penegakan hukum dan transparansi di sektor kehutanan, mendorong pengelolaan hutan berkesinambungan serta memberi kontribusi pada upaya penanganan dampak perubahan iklim.

Mr. De Witte mengatakan dengan akan berlakunya EU Timber Regulation (EUTR) Maret 2013, lisensi SVLK sebagai bagian dari FLEGT merupakan pilihan terbaik bagi importer.

Dalam praktek di lapangan sangat memudahkan proses pemasaran produk kayu di pasar Uni Eropa dan memiliki nilai tambah dibandingkan produk kayu yang tidak memiliki lisensi FLEGT/FLEGT, "wood is really the most convenient way of importing legal wood products into the EU," ujarnya.

Dari segi kepabeanan, Ms. Christiane Verlent menyampaikan, dengan lisensi FLEGT, menyederhanakan tahapan dan mempercepat waktu penanganan kayu dan produk kayu impor saat masuk ke wilayah kepabeanan/immediate release. "Pihak kepabeanan telah beberapa kali melakukan training mengenai skema lisensi FLEGT bagi petugas kepabeanan," ujarnya. (ZG/B012)

Editor: B Kunto Wibisono

Produk Kayu Lapis dari PT. Kayu Lapis Indonesia, salah satu klien MHI

3rd HIGH LEVEL MARKET DIALOGUE – 2013

THE NEW ERA OF INDONESIAN LEGAL TIMBER

TO MEET THE GLOBAL MARKET

AUSTRALIA - CHINA - EUROPE – JAPAN - USA

 

August 21st, 2013 – Sultan Hotel, Jakarta – INDONESIA

 

In the last decade the Indonesian forestry sector and timber industry have struggled to overcome illegal logging, with its associated cost to the industry and to the economy, as well as to the environment and the people living in and around the forest. Also timber products manufactured from illegally sourced timber undermine the competitive position of the country’s timber sector in international markets, and contribute to depress timber prices worldwide (Senaca Creek, 2004).

Yet Indonesia has also led tropical timber producing countries in its political commitment, international agreements, enforcement on the ground and development of practical instruments to eliminate illegal timber from Indonesia. This has resulted in reports of a significant drop in levels of illegal logging in Indonesia (Chatham House, 2010).

More recently international markets have started to introduce legislation to prohibit illegal timber imports to the US, the EU and now Australia combining with voluntary measures such as purchasing policies and certification. The US Lacey Act has been on the statute books since May 2008 and is building up a series of cases; the most recent of which (Gibson Guitars, August 2012) indicates the challenges ahead for buyers, and therefore their suppliers such as producers in Indonesia. The EU legislation came into effect on the 3rd March 2013 and is having a similar effect on buyers with importers moving away from high-risk suppliers (ITTO MIS, 1-15th March 2013).

Breaking news this year is the finalization of Australian Illegal Logging Prohibition Act at the end of 2012, for which brand new guidance has just been published (31st May 2013). Whilst it is already an offence to import illegal timber, due diligence measures will be required by all importers from 30th November 2014. Other consuming countries in the region are actively considering what measures they should take in the light of these developments and as part of their G8, APEC and Bali Declaration commitments.

In anticipation of these market changes the Indonesian government has developed a multi-stakeholder Timber Legality Assurance System known as the SVLK that now covers nearly half of the country’s Production Forests and 650 companies. Together with new trade legislation signed in October 2012, the SVLK will ensure only verified legal timber is exported from Indonesia. The SVLK and the associated V-Legal licensing system have been designed in accordance with international standards of legality verification and should provide assurance to importers of Indonesian forest products who are nervous of their exposure to risk under the new market legislation or simply want to ensure they do not trade in illegal timber. Witnessed by the EU Ambassador to Indonesia, 17 companies began to use V-Legal documents (FLEGT License) on timber consignments during a shipment test under the SVLK to 6 countries in Europe.

The EU is one of the main export destinations for timber products from Indonesia and partly in response to calls from Indonesia it developed the EU Timber Regulation which contains specific recognition of timber produced under timber trade deals with producer countries known as Voluntary Partnership Agreement (VPA). Indonesia and the EU concluded the technical content of such an agreement in May 2011, and when it comes into force (hopefully later in 2013), there will be specific recognition of the SVLK as “zero risk” under the EUTR.

Although Indonesia and the EU have just carried out a VPA shipment test, it is now apparent that the EUTR has come into force before the VPA is fully operational. Indonesia and the EU therefore need to “mind the gap” and ensure that Indonesia’s efforts to reduce the risk of illegal timber going to Europe are fully appreciated by importers. In addition, there is still work to ensure that small and medium-sized enterprises understand and properly implement the SVLK as well as local government.

 

Thus, although there has been much progress to report, there are still a number of key questions for the industry, and hence the overall justification for this 3rd High Level Market Dialogue. The key questions are:

1. How will the due diligence requirements of the Australian Illegal Logging Prohibition Act and the EU Timber Regulation work in practice?

2. How will Indonesia SVLK timber be “rated” by importers from Australia, China, the EU, Japan and the US?

3. What are the implications for the Indonesian industry and policy-makers?

4. How can Indonesia capitalize on to buy semenax in the growth opportunities emerging from all this hard work, especially for small and medium-sized enterprises and with respect to green buildings and climate change?

To answer these questions high-level speakers from both Indonesia and its partner trading countries will gather in Jakarta on 21st August 2013 for a series of presentations and interactive dialogue.

Specific Objectives

The primary objectives of this HLMD are to update Indonesian industry on market developments for legal timber and improve understanding of the SVLK/V-Legal, Australian Illegal Logging Prohibition Act, the EUTR and green building. It is also an opportunity to look at implementation issues and the implications on industry and look at the economic aspects of the new era of legal timber trade. There will be an opportunity for dialogue through panel discussion as well as networking in the sector.

Reasons to Participate

  1. Learn how the V-legal shipment test went and what exporters need to do
  2. Learn how the SVLK is rolling out in Indonesia and the VPA with the EU
  3. Understand how best to help your buyers comply with the Australian Illegal Logging Prohibition Act and the EUTR
  4. Explore possible new business both with buyers and producers, but also looking at establishing 100% SVLK timber industrial zones
  5. Understand new opportunities in wooden building
  6. Dialogue on policy options to improve the contribution of forest sector SME’s to growth

Business leaders and policy makers will have the opportunity to discuss how the new legislation and regulations will be applied and how these will boost Indonesia’s timber products export putting the Indonesian timber sector back on a growth track.

 

The debate is also expected to address such questions as:

1. Will the application of the EU Timber Regulation and the associated FLEGT license be sufficient to satisfy the requirements of the Lacey Act, Japan’s Timber Purchasing Policy Konyuho, the Australian Illegal Logging Prohibition Act and the requirements of other markets?

2. How can collaboration between regulators in the market place be enhanced?

3. What are the plans for enforcement of the V-Legal process and documentation by the Government of Indonesia?

4. How can Indonesia and its trading partners take full advantage of the changed landscape to increase trade and cooperation?

5. What is the potential demand for Indonesian verified legal timber products in the main markets?

6. Is there an opportunity for global markets to agree on a single legality standard?

7. What is the situation in the countries with which Indonesia timber product exporters compete and how ready are they to supply verified legal timber products to international markets?

8. Are we ready to welcome “using wood to save forests”?

 

 

Participants

The Third HLMD is expected to attract 200 – 250 participants. Participants will include representatives from the Indonesian government (e.g. Ministries of Trade, Forestry, Industry, Finance and Co-operatives) and Parliament Under Secretary of State for International Development of UK, a representative from Australia’s Department of Agriculture, Fisheries and Forestry (DAFF) as well as the EU Trade Commissioner. Overseas speakers from Japan, China, Europe, US and Australia will also present.

In attendance will be representatives from the Indonesian Chamber of Commerce and Industry, the National Standardization Agency / National Accreditation Committee, the Indonesian Exporters Association (GPEI), Forestry Sector Associations (such as MPI, ISWA, ASMINDO, APHI, APKI, APKINDO), IUPHHK / IT Forest License Holders), primary and secondary product manufacturers (IUIPHHK, Advanced IUI), timber legality verification bodies, SFM assessment bodies, academics and representatives from international agencies, community groups, timber product manufacturers national and international like, ITTO, RAFT, ETTF, Global Timber Forum, EFI FLEGT ASIA, Forest Trends, WRI, IWPA, TDA, ATIF, NGOs as well as overseas buyers.

Time and Place

Discussions will be held on Wednesday, August 21st, 2013, at The Sultan Hotel, Senayan, Jakarta, Indonesia starting at 08.00 until 17:30. It is planned that the event will be opened by the Minister of Forestry of the Republic of Indonesia.

The Indonesian Exporters Association (GPEI) in collaboration with PT. Mutu Hijau Indonesia (MHI), will host the event for the third time.

 

we ask whether you are interested and available to participate inthe event and request that you provide your confirmation before August10th, 2013 to:
Robianto Koestomo at This email address is being protected from spambots. You need JavaScript enabled to view it.
We apologize that we are not able to cover travel and accommodation expenses for participants, but if you would like to reserve accommodation at the meeting venue, we can help you to make the reservation. In any case please fill the Attendance Form as per attached.
 
For your attention and participation, we would like to thank you.

Alamat Kami

PT. Mutu Hijau Indonesia

Gedung Manggala Wanabakti Blok IV Lt. 9 wing C room 931 C

Jl. Gatot Subroto, Senayan, Jakarta- 10270

Telp. 021-57853706-7, Fax. 021-57853708

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.