The new Rosita plant started turning less valuable rainforest trees into plywood, to be trucked out to Managua. It was already processing trees felled by contract teams elsewhere in the forest before the road to the concession area was even complete. The plywood was sold domestically, with plans to expand to other Central American markets. But the low-quality plywood was likely seen as a holdover until the precious mahogany and cedar of the Cerro Wakambay concession area could be exploited. Meanwhile, the local Mayangna community of Fenicia was relocated to accommodate the plant.
Residents say they have received only the money.
In September 1996, National Police and army troops enforced the move from Old Fenicia, residents say. Another was fired. We are menaced by men with guns. They say we have no right to go there. The 200 employees at the plant, mostly mestizos, were much less than the 2500 initially promised to Rosita municipal authorities.