Dear Editor,
In the Stabroek News of September 6, we read of numerous charges for anyone who ventures into the timber industry. Can these experts advise what cost cubic would apply when all these utilization fees, royalties, land use, levies, commissions (?) are paid? This is before any work is done.
We are blind to the fact that our forest is very poor. It grows on very poor soil, hence the tree that we consider large is small. This means our concessionaires have to build more extraction paths and roads to extract an equal amount of timber as our international competitors, who work far more beneficially forested land, yet their scale of rates is held up to show what we should pay.
Some years ago three large ocean-going pontoons each took a load of mixed hardwood from the forest behind Makouria. This was to check its suitability to make pulp. Apparently a small percentage of hardwood pulp mixed with softwood pulp makes a high quality paper. Our hardwood made very suitable pulp, so the company (Litton Industries) approached the Guyana Government and it was agreed that ownership would be 50/50. When the government was approached for their 50%, they advised that our 50% was represented by the trees. Very reasonable, but we never got our pulp plant in Guyana. So we may charge what we like, but will we have an industry?
We have a rich forest, the lungs of the world. We can sell our oxygen to the green economy – this is fine, we already have Norway. Look at what we get from Norway, the money flows. But does it? There seems to be constipation, a blockage! It does not flow. To depend on the green economy is a very dangerous move. Any major problems up north will upset any international financial agreements.
But to get back to reality: These charges are because we offer good roads, housing, electricity, deep water access, and all the services that a company needs, so they must pay.
Is this true? Let’s go back to the pulp mill at Makouria.
Yours faithfully,
L J P Willems
