27 May 2005

Crackdown on illegal logging in Indonesia's Papua hits local furniture firms

9:11 am on 27 May 2005

A three-month crackdown on illegal logging by the Indonesian government in the province of Papua has led to local timber companies going bust and local people forced out of jobs.

Before the operation to wipe out the felling of merbau - or kwila - timber began, furniture companies in Indonesia had capacities far larger than that legally produced in the country.

Up to 30 per cent of furniture companies have shut down or folded up business for good since February.

Other industries that rely on wood or wood pulp now don't have the resources to carry on trading.

The government move has led to a rise in unemployment among Papuans.