Tuesday, February 17, 2009

Timber and pulp industry in Malaysia

”Crown Shyness” phenomena at FRIM, Kepong

I have just completed a brief review on the timber and pulp industry in Malaysia. It’s a waste not to share it. Being one of the Megadiversity countries, 59.5% of Malaysia is protected forest area. Our country is one of the top exporters of timber products. However, half of the country's pulp consumption is imported (Roda & Rathi, 2006). The paper industry is relying heavily on the imports of raw material. Malaysia is still struggling to achieve self-sufficiency in pulp and paper.

Why does a country with vast amount of timber failed to support its own pulp supply? There is obviously a competitive advantage in the timber industry in terms of world market prices, job employment and economic contribution to the country. The government has plans to encourage the involvement of private forest plantation to supply pulp material. The focus is mainly on Sabah and Sarawak as these two states can allocate lands for these projects. The projects will be accompanied by new mill projects that will be located within the plantations. The two main species given attention are Rubber wood and Acacia hybrid.

Oil palm plantation is often favoured over forest plantation while timber production is often prioritized over pulp production. These problems will still exist even by introduction of fast-growing species like Acacia hybrid. Perhaps encouraging farmers to plant pulp-producing trees as side income is an attractive option especially in Peninsular Malaysia. This method is practiced in neighbouring Thailand using Eucalyptus sp.

The National Timber Policy (NATIP) has been officially launched today. And I look forward to the changes it can bring to our country.

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