JATIM JPIK POSITION STATEMENT: About the Ministry of Trade’s Plan to Erase SVLK for the Wood Industry

JATIM JPIK POSITION STATEMENT: About the Ministry of Trade’s Plan to Erase SVLK for the Wood Industry

East Java Province was ranked first in Indonesia as the region with the largest number of primary wood industry distributions (IUIPHHK) and advanced wood industries (furniture and furniture) with both export and domestic bases. Besides having the potential, East Java is very strategic for the timber trade business because it has the ports of Gresik, Surabaya and Pasuruan. Export of wood products to European Union countries and other countries through Tanjung Perak Port.

The Timber Legality Verification System (SVLK) is a policy issued in 2009 by the Ministry of Forestry of the Republic of Indonesia which aims to eradicate illegal logging and illegal trading and to improve forest governance in Indonesia. This system is built on the initiative of the parties, namely NGOs, civil society, entrepreneurs, university experts and the government as well as those who care about forest sustainability. In connection with the planned revision of the Ministry of Trade Regulation (Permendag) Number 66 of 2015, the Independent Forestry Monitoring Network (JPIK) of East Java Province which consists of environmental and forestry activist organizations [Center for Environmental Education (PPLH) MANGKUBUMI, ECOTON, INSPIRASI, KJPL, Telapak Jatim, Pedepokan Wonosalam Lestari and Nol Sampah], stated the following attitude:

  1. Refusing Permendag 66/2015 and its revised plan to abolish the validity period of the Export Declaration (DE) and the abolition of SVLK for the downstream timber industry (15 product classifications, Harmonized System / HS Code), the Permendag draft significantly harmed the system formulated by the parties in the context of eradicating illegal logging and illegal trading and increasing the competitiveness of Indonesian wood products on the international market.
  2. The Ministry of Trade’s plan to make the Export Declaration (DE) as a substitute for SVLK and the elimination of SVLK for the downstream timber industry will reopen the opportunities for illegal logging and illegal trading.
  3. In East Java Province there are still illegal trade practices of wood such as log (round), sawn timber and processed wood whose size / crossing exceeds the export provisions. The elimination of SVLK for downstream industries will have the effect of increasing opportunities for companies to conduct illegal trade.
  4. The Ministry of Trade immediately enacted full SVLK implementation as of January 1, 2016, and immediately implemented a joint agreement between the Government of Indonesia and the European Union (FLEGT VPA).
  5. Urge the President of the Republic of Indonesia Mr. Ir Joko Widodo to strengthen the implementation of the Timber Legality Verification System (SVLK) by implementing SVLK in full as of 1 January 2016
  6. SVLK is a system that functions to ensure the origin of wood resources, is obtained from sustainable forests and fulfills legal aspects as well as to improve forestry governance, so SVLK is not solely for export purposes.
    Gresik, October 18, 2015

The Forestry Independent Monitoring Network (JPIK) of East Java Province

Contact Information Person:

Muhammad Ichwan (081-335174892),
Prigi Arisandi (081-75033042)