Myanmar’s Forestry Minister, Khin Maung Yi, was quoted by the state-owned newspaper “The New Light of Myanmar” as saying the priority of the administration regarding timber extraction will be forest protection, only the minimum harvest to meet demand will be permitted. Source: Tropical Timber Market Report
He added that the export of logs has been banned since 2014 and logging in Bago Yoma has been suspended for 10 years.
It was earlier announced that logging during the financial year 2021-2022 will be suspended.
With regard to the development of the wood-based industry in the country the Minister said the focus will be on value-added wood products and the Forest Department and the private sector should work together to achieve this and expand export markets.
However, some NGOs are urging a boycott of timber from Myanmar since the income derived from exports will support the military.
Regarding the one-year logging ban for 2021-2022 the website of Myanma Timber Enterprise (MTE) uploaded the official notification from the Ministry dated 27 April 2021. Initially, MTE had targeted to harvest 6,000 tons of teak logs and 220,000 tons of other hardwood logs.
The frequent suspension of monthly log tender sales as result of anti-covid19 preventive measures and the decline in milling has resulted in a build-up of log stocks. According to exporters the suspension of export licenses for sawnwood has not yet been revoked and they are waiting for their licenses.
However, even if the licenses are issued the challenge now for exporters is the availability of containers. The cost of a 20ft container for the route to Europe has surged to around US$6,000. Last year the cost was just US$1,800 per container.