Producers: Total log ban raises wood prices

The executive order that imposed a logging moratorium nationwide spurred a 30-percent price hike for primary wood such as lumber and plywood, the Philippine Wood Producers Association (PWPA) on Tuesday said. “The indefinite log ban created a perception of scarcity that drove up prices," PWPA executive vice president Alfonso Keh Jr. explained in a briefing with reporters in Quezon City. An owner of one of the biggest saw mills in the Philippines, Keh said the price of a one-inch or five-millimeter plywood board rose to P334 from P280 two weeks ago, before the Palace imposed Executive Order (EO) 23 on Feb. 3. China’s “aggressive buying" of Philippine wood compounds the scarcity, according to the association official. Wood producers said the scarcity of lumber has raised wood prices as they were forced to import wood to sustain their operations. GMA News Online tried to reach Environment Secretary Ramon Paje, but as of this posting his phone was just ringing. Not against EO 23, but... Maila Vasquez, the association’s deputy director, said the over 1,000 members of the wood industry are not against the EO “but would like to see the law going through its destined path of implementation." She said the group is waiting for the EO’s implementing rules and regulations that now remain to be drafted by the newly formed anti-illegal logging task force. “We remain keen that the government will see for themselves that our members adhere to sustainable management practices and this might lift the moratorium or at least allow responsible companies to operate again," Vasquez said. The association said a third of the country’s annual timber consumption of three million cubic meters comes from local production. Another third comes from imports while the remaining portion comes from dubious sources, the association added. The Wood Producers Association comprises 56 regular members and 727 associate members, including large wood processors, holders of integrated forest management agreements, wood traders, and providers of related hardware, materials, and services. — With Paterno Esmaquel II/VS GMA News