aimin wang sustainable forestry program officer global environmental institute april 26 nd 2007
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"Regulating Chinese Forest-related Enterprises" Encouraging the Chinese Government to Take an Active Role in Sustainable Forest Resource Use Abroad. Aimin Wang Sustainable Forestry Program Officer Global Environmental Institute April 26 nd 2007. Content. Project background

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aimin wang sustainable forestry program officer global environmental institute april 26 nd 2007

"Regulating Chinese Forest-related Enterprises" Encouraging the Chinese Government to Take an Active Role in Sustainable Forest Resource Use Abroad

Aimin Wang

Sustainable Forestry Program OfficerGlobal Environmental Institute

April 26nd 2007

content
Content
  • Project background
  • Progress and activities
  • Conclusions and suggestions
chinese resource strategies oversea

Background

Chinese Resource Strategies Oversea
  • Shortage of natural resources: petroleum, minerals, food, and wood
  • How should these overseas resources be used?
    • Sustain a peaceful and harmonious world
    • Import and encourage China’s “Going Out” Policy
  • China should take responsibility for the practices of China’s businesses
  • Increased economic boycotts:anti-dumping, trade barriers and trade protectionism
chinese timber supply and demand
Chinese Timber Supply and Demand
  • China is becoming one of the main wood consuming and processing countries
  • China’s wood resources:
    • For its population, China has only 20% of the world’s average per person forest area
    • Wood consumption per person in China is only 35% of the world average.
  • National forest protection policy:Six national forest programs since 1998
  • Over 50% of wood demand in China is met by importing wood from overseas
chinese forest issues overseas
Chinese Forest Issues Overseas
  • Enterprises’ “Going Out”:Illegal logging and illegal importing (Southeast and Northeast Asia)
  • Negative impact on China’s international image and the reputations of China’s enterprises
  • The issue remains at the NGO and bilateral stage. China needs to take a more active role
  • Options:

Passive sanctions vs.self-discipline by enterprises

Short term actions vs. long term management

resource use and csr
Resource Use and CSR
  • Sustainable resource use must be encouraged through Compensation Concession Agreements: Public products, altruism, CSR
  • Corporate social and environmental responsibility must be encouraged. It doesn’t happen on its own.
  • Options: government supervision and social pressure
  • International experience: regulation, incentives, CSR
project objectives
Project Objectives
  • Analyze Chinese forest enterprises’ exploitation of overseas resources, research international experience and strategies for these issues
  • Investigate strategies for sustainable development of forest resources and encouraging sustainable enterprises
  • Analyze government policy, especially management and enterprise standards of China’s “Going Out” policy
  • Explore models based on cooperation between government and enterprises
activities
Activities
  • Background research
  • Study tour:Cambodia, Myanmar, Thailand
  • Draft report and policy suggestions: Diplomacy, legislation, guideline, financing and regional forums
  • Workshops: research, consultation and training
conclusions
Conclusions
  • Research has focused on Cambodia, Myanmar, Thailand
  • Illegal logging was rampant. It threatened forest health and timber resources.
  • Chinese enterprises have limited knowledge of local legislation and conventions, especially those relating to land use.
  • These countries are taking new interest on environment and biodiversity issues
  • Enterprises want a formal competition environment
  • Opportunities exist for bilateral cooperation
research conclusions
Research Conclusions

Strengthening supervision and regulation of Chinese enterprises:

  • Complete the “Guidelines for Sustainable Forests” and the “Management and Trade Guidelines”. The “Silvilculture Guidelines” is complete.
  • Research and write Enterprise CSR Report
  • Conduct trainings, require certifications, and establish a system of regulating who can enter these markets
  • Government should encourage sustainable practices and reward compliant companies through incentives such as financial support
slide11

About CSR

Conservation Concession Agreement

  • The focus of the project:
  • 1.The conflict between biodiversity conservation and
  • community livelihoods
  • 2. The conflict between biodiversity conservation and
  • development initiatives of enterprises
slide12

Model Framework

1.Two agreements:

A) Between GEI and Nature Reserves

B) Between GEI and Farmers

2.A general finance model

Government matching fund

GEI

Hydropower station compensation

Conservation & Development Fund

Conservation

Rural development

Profit

GEI Socially responsible enterprises

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