Page 24 - 4. Pre-Course Reading-Training on Forestry Audit 2019
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Auditing Forests: Guidance for Supreme Audit Institutions

          The exhibit below documents instances of illegal logging in three different countries.


            Indonesia                         Cameroon                          Baltic States
            After carrying out land clearing, the land   Forest logging in the Dja Reserve is a   In 2004, 9.5 million cubic meters of round
            and the remaining tree roots are usually   serious  problem  due  to  the  reduction   wood were imported to Sweden. Most of
            burned by the private sector, whether   of wild fruits for local people and large   this volume was consumed by Swedish
            domestic or foreign holders. As a result,   mammals,  and  the  intensification  of   pulp  and  paper  industries.  The  vast
            widely  burning  fires  occur  mostly  in   commercial hunting in the Reserve. Ani-   majority of this wood comes from the Baltic
            plantation areas. The negative impact of     mals are being hunted for sale, primarily   States and NW Russia. Today, problems
            the  palm  oil  sector  has  produced  a   in towns but also in the forest sites. More   associated  with  illegal  logging,  other
            higher risk of ‘forest fires’, as occurred in     than  70  percent  of  the  plant  species   forest  crimes  and  other  unsustainable
            the  1990s.  Forest  burning  in  1997   logged in the Dja Region are scattered   forestry practices are very acute in these
            deliberately burned 550,000 ha forest   mostly  by  animals,  which  shows  the     countries.  Estimates  from  NW  Russia
            land in Sumatra (Riau and Jambi) and    importance of wildlife in the forest rege-   show that 27% of logged timber might
            Kalimantan (East and Central Kaliman-  neration.  Timber  logging  also  has  a   have an illegal origin – and, alarmingly,
            tan). About 46 percent of the hotspots   negative impact on the medicinal value     the figure is probably even higher in the
            appeared on satellite images on Sep-  of the Dja forest, where about 80 percent     region supplying Swedish industry.
    24      tember 28, 1997, were in lands granted   of  medicinal  plants  used  by  the  local
            for plantations.                  people  are  composed  of  ligneous   Estimates of the scale of the problem in
                                              species,  with  trees  (50%)  contributing   Estonia point to 50%, and in Latvia 20%.
            Source: Siscawati (2006)          the major proportion.             These problems are widely considered as
                                                                                a major impediment to the development of
                                              Source: Lagarde (2008)            a more sustainable forestry in the regions,
                                                                                especially amongst private forest owners
                                                                                in the Baltic States. The strong increase
                                                                                in demand for timber in the Baltic States
                                                                                has also pushed logging levels to very
                                                                                unsustainable levels in both Estonia and
                                                                                Latvia, and has increased the import of
                                                                                round  wood  from  especially  Russia  to
                                                                                these countries.
                                                                                Source: Taiga Rescue Network (2005)



          Biodiversity and Ecosystem Loss                      Disasters
          Human activities are the main cause of biodiversity loss, for example:    Natural disaster can exhaust goods and chattels and in a specific
          change in land use and transformation caused by forestry become   scale are harmful to a specific community function.
          threats to biodiversity and as a consequences, there is a decline in
          distribution, size, and genetic diversity of species.
                                                               Conflict
                                                               As  with  competition  for  a  finite  resource  anywhere,  there  is
          Forest fires
                                                               always a risk of conflicting interests between different stake-
          Forest fires may be caused by human activities, such as land   holders over how the forest is managed. Common examples
          clearing using slashing and burning. It is becoming a serious   of  this  include  conflict  involving  groups  claiming  traditional
          problem for many countries. For example, in Indonesia, forests   ownership of land where a company is operating with a legal
          fires are often the unintended result of small-scale farmers and   permit.  Or,  landowner  hostility  over  regulations  telling  them
          companies using fire to clear land for agriculture.   what they can or cannot do on their land.
                                                               Revenue loss
          Illegal Logging                                      where government revenue is derived from taxes and levies on
                                                               forest activities – often to fund forest rehabilitation activities – there
          Illegal Logging risk described as forestry practices or activities   is always the risk of impropriety in the way taxes are collected
          connected with wood harvesting, processing and trade that do   and the amounts paid. This may be particularly true in developing
          not conform to law.
                                                               countries still seeking to establish good governance practices.

          Illegal use of land
                                                               Livelihood loss
          One example of this is a company or group of people occupying
          an area of forest without a license or permission from the relevant   Loss of livelihood is faced by communities surrounding forests
                                                               that are economically dependent on those forests.
          authority.
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