Curbs on logging levels have reduced Sarawak’s revenues from timber producers by about 25%.
The government owned forest organisaton Sarawak Forestry said that state income from the forestry sector had been between M$1.08-1.2bn a year a few years ago. This is now down to between M$700-800m.
According to Elbson Marajan, general manager of SF’s new business unit, the downturn was due to Sarawak’s efforts to make its forestry sector more sustainable. This has included reducing the annual log harvest in permanent forest estates from 12 million m3 to 9.2 million m3.
Mr Marajan said that Sarawak had to find new ways of raising income from its forest resource as in recent years this had accounted for 40% of the state’s revenues.
