From: rich@pencil.cs.missouri.edu (Rich Winkel)
Subject: Burma: Deforestation in Ethnic Mon Areas
Followup-To: alt.activism.d
Originator: rich@pencil.cs.missouri.edu
Organization: PACH
Date: Tue, 29 Sep 1992 00:32:21 GMT

/** reg.seasia: 204.0 **/
** Topic: Burma: Deforestation in Ethnic Mon **
** Written 12:59 am  Sep 27, 1992 by burma in cdp:reg.seasia **
From B.U.R.M.A, Bangkok Base, burmese interest group. July Issue

              Deforestation in Ethnic Mon Areas

Background on Thai Logging Companies

One of Burma's ethnic groups, the Mon, have been facing, the fear of 
serious deforestation in their area due not only to extended logging 
extraction periods but also expanded logging areas in contracts signed 
between some of thailand;s logging companies and SLORC. Five thai 
companies which have become quite notorious in Mon areas are Tanakit Timber 
Ltd. Mae Sod Forestry Co. Ltd. Ranong Victoria Point, Chom Sin Co and 
Pathunthani. Some of the shares in these companies are apparently also 
owned high ranking Thai military officials.

The ethnic Mon area upset about the raping of their forestry by Thai 
companies who signed contracts with SLORC since ear1989. the contracts are 
basically for two years extraction and should have ended by the end of 1991. 
Each of the companies have to deposit US$50,000 for the contracts and the 
security deposit is put under the favor of the forestry department of Burma.

However, due to tremendous profits, contracts for one to two years 
extensions have been reached between the Thai companies and SLORC.

Rate of Extraction -

The Mae Sod Forestry Co. not only signed a new expanded concession which 
covers and estimated 23,000 acres on November 13, 1991 for a term of one 
year extraction but was also granted an extension of one more year in their 
old concession area. mae Sod Forestry hopes to extract 20,000 Hoppus tons 
from both concession areas.

All the rest of the companies, except Chom Sin Co. have inked contracts 
covering two more years extraction which the SLORC. Pathunthani is the most 
skillful and experienced in the business and has extracted 20,000 Hoppus 
tons up to now but Chom Sin co. has last about thai Baht 600,000 in the 
extraction work and has suspended operations due to to their lack of skill 
and experience in the business. Since 1989, the five Thai companies have 
already extracted at least 270,000 Hoppus tones from the ethnic Mon area.

Following the old two-year extraction contracts in 1989, all the thai 
companies expected to extract about 15,000 Hoppus tons but in reality each 
of the companies could extract at least 18,000 tons per year. the net 
extraction period is only in the dry season from October to may and the 
rest of the period is monsoon season during which the extraction is 
temporarily suspended because of the heavy rains and the extreme difficulty 
for transportation in the jungle.

SLORC's sale system

According to the old sale contract, SLORC divided teak wood quality into grade
No. 1 and No. 2. The rest of the woods are group A (hardwood) , and group B
and C and D (softer woods). The sale prices ranged from the grade No.1 teak
at US $1,400 /ton to US $2,100/ton and US $140/ton to US $210/ton for grade 
No. 2. For other wood, price ranges from group A at about US $100/ton,
group B at US $45/ton, group C at US $39/ton and group D at US $34/ton.
Under the recent new sales contracts, SLORC raised the prices by 30%
for all grades of logs extracted by the Thai companies.
** End of text from cdp:reg.seasia **
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