|
Economical costs of deforestation: Illegal logging costs global economy a fortune
17/Sep/2006: According to a report presented at the World Bank’s annual meeting at Singapore, illegal logging of forests around the world is costing the global economy ten billion USD every year.
The report urged the countries facing the problem of illegal logging to strengthen their law enforcement capacity and to amend their laws on everything from money laundering to tax evasion to reduce illegal logging and to achieve sustainable economic growth.
The report listed 17 countries where illegal logging thrived from 2000 to until 2004 and nearly two-thirds of the 17 countries listed in the report had illegal logging rates over 50%. In countries like Indonesia, Peru, Bolivia & Papua New Guinea the illegal logging rates were more than 80%. Katherine Sierra, World Bank’s vice president for sustainable development said that more than 90% of the 1.2 billion people living in extreme poverty worldwide are dependent on forests, in one way or another for their livelihoods and good governance of forests is essential for protecting the livelihoods of these people. Deforestation and illegal logging are already wrecking havoc on the livelihoods of these people.
The report criticized the governments of many countries listed in the report, for not being able to control illegal logging and to prosecute the loggers. Gerhard Dieterle, World Bank’s forests adviser, said that forest laws must be reformed to punish the offenders and to protect the interests of those people, whose livelihoods are dependent on the forests. According to this report, illegal logging on public land causes an estimated loss of US $10 billion every year in revenues and in loss of assets. Tax evasion and loss of royalties on legally sanctioned logging is costing the governments in these countries another US $5 billion every year.
12% of the global softwood exports and 17% of hardwood exports are believed to come from illegal logging. In its annual meeting the World Bank announced a new initiative in bringing together the legislators from the G-8 countries, China, India and timber producing countries like Indonesia and DR Congo, to draw up a series of recommendations on how to curb illegal logging and to improve the transparency in timber trading. The recommendations drawn up by this group of legislators will be presented to the World Bank in 2008.
Kesavan Siva
|
 Eco
Features
Eco
Guides
Health
& Lifestyle
Mail
This Page
Link
To Us
Bookmark
Archives
 Recent Articles
Cows contribute to global warming!
New treatment for acne scars
Researchers develop a novel treatment for dementia
Ovulation influence women’s lifestyle
Fighting global warming could benefit world economies
|
