PART I THE SITUATION AND RECENT DEVELOPMENTS IN THE FOREST SECTOR dustry with supplies from plantations. In most other countries where the domestic IGURE 1 demand is high, however, Industrial plantation age-class structure by region, 1995 plantation-grown timber supplies and must be supplemented by Plantation area(million ha) imported timber. While the private sector has CIS and Baltic states played a major role in plantation velopment in develop countries, most plantations in South America developing countries have been North and Central America established by the government. Oceania For various reasons, government Asia plantations have generally been Africa investment, low-intensity regimes. In some developing countries, however, the private sector (inchuding both individual landowners and industries. often 011-1516-2021-2526-30 50>50 in partnership) is becoming Age class byears) more involved in forest lantations. This development has been determined by a Source: FAO data in Brown(in prep. number of factors, includi changes in land tenure and more liberal policies and legislation. Brazil, India, developed codes of practice for forest harvesting Indonesia, Malaysia and Thailand are some of the call for the use of environmentally sound timber countries where the private sector is playing a lead harvesting practices or RIL and substantial work role in plantation development. Financi has been done on testing and using RIL in the field. questions, including profitability and accessibility Although many countries have initiated of funds for investment, are of major importance. research, training and implementation of RIL, it Economic viability and risk issues are particularly has still not been widely accepted. The critical, both where large areas of plantations are environmental benefits of improved harvesting already controlled by the private sector and where methods over traditional methods are clear; RIL governments are offering to sell off their can reduce environmental damage associated with plantations under privatization schemes- as is the felling and skidding practices, extraordinarily large case in such diverse countries as Australia, Brazil, felling gaps or the excessive use of forest land for Chile, Indonesia, Malaysia, New Zealand and infrastructure. It can also reduce stand damage South africa. See the state ofthe World's Forests 1999 for more details. Environmentally sound forest harvesting practices Codes of practice for forest harvesting have been prepared for The emphasis on sustainable forest management has use at the global level (FAO, 1996) and at the regional level for resulted in greater attention to environmentally Asia and the Pacific(FAO, 1999a). Aregional code is being lanned for Africa, and national codes have been prepared for sound timber harvesting practices, often referred to Fiji(1990),Vanuatu(1997), Guyana(1998)and South Africa as reduced impact logging (RIL). Recently (1999): a code for China is currently in preparation.PART I THE SITUATION AND RECENT DEVELOPMENTS IN THE FOREST SECTOR 9 developed codes of practice for forest harvesting6 call for the use of environmentally sound timber harvesting practices or RIL, and substantial work has been done on testing and using RIL in the field. Although many countries have initiated research, training and implementation of RIL, it has still not been widely accepted. The environmental benefits of improved harvesting methods over traditional methods are clear; RIL can reduce environmental damage associated with felling and skidding practices, extraordinarily large felling gaps or the excessive use of forest land for infrastructure. It can also reduce stand damage 5 See the State of the World’s Forests 1999 for more details. 6 Codes of practice for forest harvesting have been prepared for use at the global level (FAO, 1996) and at the regional level for Asia and the Pacific (FAO, 1999a). A regional code is being planned for Africa, and national codes have been prepared for Fiji (1990), Vanuatu (1997), Guyana (1998) and South Africa (1999); a code for China is currently in preparation. Source: FAO data in Brown (in prep.). industry with supplies from plantations. In most other countries where the domestic demand is high, however, plantation-grown timber supplies are inadequate to meet demand and must be supplemented by imported timber. While the private sector has played a major role in plantation development in developed countries, most plantations in developing countries have been established by the government. For various reasons, government plantations have generally been managed according to low￾investment, low-intensity regimes. In some developing countries, however, the private sector (including both individual landowners and industries, often in partnership) is becoming more involved in forest plantations. This development has been determined by a number of factors, including changes in land tenure and more liberal policies and legislation. Brazil, India, Indonesia, Malaysia and Thailand are some of the countries where the private sector is playing a lead role in plantation development. Financial questions, including profitability and accessibility of funds for investment, are of major importance. Economic viability and risk issues are particularly critical, both where large areas of plantations are already controlled by the private sector and where governments are offering to sell off their plantations under privatization schemes – as is the case in such diverse countries as Australia, Brazil, Chile, Indonesia, Malaysia, New Zealand and South Africa. Environmentally sound forest harvesting practices The emphasis on sustainable forest management has resulted in greater attention to environmentally sound timber harvesting practices, often referred to as reduced impact logging (RIL).5 Recently FIGURE 1 Industrial plantation age-class structure by region, 1995 0-5 6-10 11-15 16-20 21-25 26-30 31-35 36-40 41-45 46-50 >50 0 50 10 15 20 25 Africa Asia Oceania North and Central America South America Europe CIS and Baltic states Plantation area (million ha) Age class (years)