The forestry law 8 years later

Application of the law and development go hand in hand

Interview: engineer francisco kempff, forestry superintendent the forestry system is unprecedented

The forestry law is environmentalist

We need to strengthen law 1700 through municipalities

Bolivia is privileged because of its tropical forests

Eighth anniversary of the forestry law

Natural regeneration is more efficient than artificial reforestation

Forestry businessmen contribute to the success of law 1700

Autonomous system would favor forestry sector

Forestry sector progress based on current regulations
 

Forestry system aids native peoples

 

The approval of Forestry Law 1700, on 12 July 1996, closed a long and complex series of debates and confrontations, which began with the first draft law that was approved in the House of Representatives.

This first draft, promoted by two Santa Cruz congressmen, was conceived without the support of a forestry policy, and sought to punish lumbermen and confiscate their forestry resources, applying an impossibly high tax burdens on forestry. It was an absurd proposal that failed to consider principles of conservation or sustainable use, legal security and other essential elements to making sustainable forestry development possible. With this project, business activity would have been uneconomic, and the forests would have been in danger of vanishing.

Starting from there, after five years of prolonged debate and confrontation, Forestry Law 1700 was approved. Fortunately, almost nothing was left of the project initially approved by the House of Representatives. The participation of the BOLFOR Project, of then-President of the Republic Gonzalo Sánchez de Lozada and of Senators Oswaldo Monasterio and Alex Arteaga, rechanneled the content and technical and judicial debate, generating a new draft law that was finally approved.

The eight years of Law 1700 has had both positive and negative results. We believe the most important is the concept of an independent and technical institutional framework, immune to political pressure. The sustainable use or management of the forests and forestry lands, where rights have been assigned, especially in concessions and private properties, is a tangible reality. World leadership in international certification of good management can be unquestionably verified. The democratization of formal access to the forests is another of the country's achievements of extraordinary value. The technical information—generated without cost to the state—on forestry wealth, through inventories and censuses of species, allows us to state that the system has had positive results, even at this early date.

However, it is also evident that the system is at risk, due to three basic reasons: 1) because of structural errors in the law itself, especially in the part referring to legal security of the lands and forestry rights; 2) because of the weakness of the state, and its institutional crisis, and 3) because of a lack of an integrated policy that promotes the country’s forestry development.

Legal security of the lands and forestry rights is definitively the cancer of the new system. Law 1700 is extremely theoretical in the manner it conceives this legal security of lands and forestry rights. There is an unfortunate legal and institutional weakness in defending and granting legal security. Because of this, private forestry land ownership is the last alternative that the country’s forests have to assure their conservation. It has been widely verified that the state lacks the capacity—and less, the will—to protect government lands. Therefore, if we don't grant businessmen the judicial instruments to protect forestry lands through private ownership, we're decreeing their loss to the country.

To make the situation of legal insecurity even worse, those responsible for the law’s application and execution have not been able to—and in many cases, simply have not wanted to—confront this evil with responsibility and courage. The state's weakness, its institutional crisis and lack of political dedication, are putting the country's forests and forestry rights at true risk.

As occurs with many laws, the authorities don't comply with, nor enforce, important parts of Law 1700. This pending subject needs an urgent solution that must be undertaken by all those concerned.

Another aspect of vital importance for the existence and plans of the new forestry system is the need to assign rights, and to subject to sustainable management the country’s 28 million hectares of lands suitable for forestry to be used as a strategy to protect this resource.

The success or failure of Law 1700 should also be measured by the number of hectares that have assigned rights and regulated sustainable management. Otherwise, the risk of destruction of these lands is imminent. There is a high-priority need to strengthen the Forestry Superintendence, the only distinguished public entity within the forestry framework, and to revise its role and powers.

Finally, it is indispensable to design and apply a policy that makes integrated forestry development possible. The sustainable use of forestry resources achieved to date needs to be completed with actions that include financing, good roads, more industries with modern technology, qualified human resources, internal and external markets in expansion, research and the parallel development of forestry plantations.

If this is done, the country’s enormous forestry potential could generate more than two hundred thousand jobs, and one billion dollars in exports. It could become a reality, in the short, rather than the long term, and give sustainable opportunities for endless progress—the thing we most need to pull ourselves out of poverty.
 

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As David Hume said, societies move forward under the dictum of pacta sunt servanda (“pacts must be honored"). "Where it doesn't, barbarism, whose poisoned fruit is underdevelopment, continues to reign" (Mariano Grondona, journalist of La Nación Line).

That is to say, the countries that honor their legislation will undergo development.

Unlike several other Latin American countries, Chile has had a forestry law since 1925, which may have some weaknesses, but works. The secret? Several factors, but a prominent one is that the Chileans honor their laws.

In fact, the Latin American countries considered to have the lowest corruption indices are Chile and Uruguay, as reported by an IPC survey.

According to INFOR–Chile reports, that country's forestry exports were approximately $2.5 billion in 2003, with forest that covers barely 15 million hectares. Bolivia, on the other hand, has 53 million hectares of forest--and its exports were $100 million in 2003.

On the other hand, Bolivia’s internationally recognized advances in sustainable forestry management, imposed by the current Forestry Law, opens the door for Bolivians to develop their economic potential. This depends on progress that, from the experiences of other countries, needs a judicial framework that is honored and applied by those who govern and those who are governed.

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How important is Forestry Law 1700?

The Forestry Law orients us towards sustainable management of our natural resources, showing us that the forests belong to the current and following generations. The forests are a loan that we have from future generations. It is the responsibility of all Bolivians to look after their conservation through sustainable management.

To the extent we achieve sustainable forest management, we may have access to forestry resources (economically speaking), to a source of relaxation and scientific discovery—which is still to be explored in the country. It will also allow us to have an adequate quality of life, based on the environmental services our forests provide.

What strengths do you identify in this law?

First, I must stress that every law is good. The strengths of this law include the guarantee of sustainable management for all Bolivians, and the incorporation of values expressed in the inclusion of Private Property, Local Social Groups and Native Community Lands. This is an important social factor that allows all of us to use the forest resources.

And, we have advanced in the use of a forestry census, for example, that analyzes the forest, providing information on what the forest has, what we will use, authorize, and what the companies can offer to the market.

What weaknesses do you identify in this law?

There are weaknesses, such as the lack of prompt response by law enforcement when it is required (regarding invasion of forestry lands). This is not a role of the Forestry Superintendent: it depends on the highest departmental public authority. Regrettably, it does not depend yet on the Departmental Prefect, but on an order from the Ministries of Government and of Defense, whose procedures generally take too long a response time. This bureaucracy gives the invaders time to burn or clear the forest, to the detriment of sustainable forest management and legal security.

Many times, the problem is not the law content, but the application of its execution by the officials. Although the law assures the forestry owner or concessionaire’s right, conflicts arise from the informality, with land invaders, with the so-called "landless." I say "so-called" because it is shameful to see in the tax registry that they have homes in Montero, Mineros, Yacuiba, etc. These are people with identity cards from those towns, which proves that they are neither natives nor residents, as they argue.

Do you believe Forestry Law 1700 can be improved?

I’m in favor of no modifications to Law 1700, because of our current situation, where there are many conflicting interests in land titles. It would not be healthy at this time for the nation’s forestry system. Nothing is written in stone, but it is necessary to live a few more years with the law.

This law is appropriately conceived, the part of the regulation is optimum. What we should revise are the technical norms, because when preparing the Forestry Law, we did not have the experience we have accumulated today. We are proud of this experience, because the Bolivian forestry system is not a copy—it’s a creation which all Bolivians should be proud of. It's unprecedented.

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The object of sustainable forestry management is to achieve a balance of three points: environmental, social and economic. These are also the basic pillars of Forestry Law 1700. However, the balance is tipped toward the environmental component, impeding the equilibrium the forestry actors desire. "The Forestry Law is environmentalist, and meets social aspects, but the economic component still needs to be worked on," according to the General Manager of the forestry company INFORCASA, Engineer Carlos Gagliardi.

“The creation of Law 1700 implied changing the businessmen’s way of working. They had to diversify and invest, because, before this law, they could use just the wood species they wanted.

“Currently, they must use the species that are within the perimeter of their Triple A, i.e., the current model grants free use of a 20th part (5%) of a forestry area per year, and the species within this subdivision or block can be marketed.”

According to Engineer Gagliardi, these changes were very difficult for the forestry businessmen, but they managed to adapt, and are moving forward.

"In spite of these weaknesses, the overall law is positive. It meets its goal of protecting natural resources and regulating forestry matters. The problem is application of the law, the lack of legal security and of government authority. These problems have been exacerbated throughout several governments," the businessman added.

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"Forestry Law 1700 is extremely important, and its improvement begins with strengthening the municipal cells through forestry development plans and programs," said the Hon. Yafel Felippe Roca, municipal mayor of Santa Rosa, Sara Province.

Santa Rosa del Sara is a forestry municipality 90 km northeast of Santa Cruz. Its main economic activity is the sustainable use of wood resources. This municipality is strengthening the productive chain of wood through a Strategic Development Plan, with the help of Prodisa Belga, and the support of the area's UOB, in addition to executing projects with the direct actors of the forestry sector who are developing a Municipal Forestry Policy. There are several other activities aimed at developing the municipality’s forestry sector.

"That is the seriousness that the municipalities and the government should give forestry resources, and we hope to be successful in this ambitious undertaking (of planned projects), so that we obtain a multiplying effect that spreads to other municipalities that have this resource... God willing, it is not too late," added Mr. Roca.

The mayor indicates that a strength of Law 1700 is the social involvement of the ASLs (Local Social Groups), native people who are the most excluded actors in the forestry sector. They now have the opportunity to unite and access the right of use, under forestry concession, and are aware that the indiscriminate use of forests will be reflected in the poverty of future generations, degrading their quality of life, and result in unforeseen environmental catastrophes.

Mayor Roca stated that the distribution of the economic resources collected from Forestry Rentals are being underutilized, affecting the municipalities (the main actors). "The government should see Bolivia’s forestry sector as a pillar of economic and environmental development, creating incentives for investment, and providing legal security to avoid the continuous invasion of lands in our area.

"Additionally, the Superintendent of Forestry is losing the offenders’ respect, because, to date, there are no strong sanctions for those who break the law. And in most cases, the damage to the forest and environment is irreversible."

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"After eight years of Forestry Law N° 1700, we can state that the sector has had some radical and favorable changes. However, we well know that there are many tasks and challenges still facing us," said the Vice-Minister of Natural Resources and Environment, Carlos René Valenzuela.

He stressed the Forestry System's results to date: “The forestry system has advanced with time. There are over 7 million hectares under sustainable forestry management (MFS). We have international forestry sector recognition for our voluntary forestry certification of almost 1.5 million hectares of tropical forests. We’ve incorporated different social sectors into forestry use (Forestry Businessmen, Local Social Groups, Native Community Lands, Communal Owners and Individual Owners). Institutional stability was achieved with creation of the Forestry Superintendence as a regulating and inspection organ. These, plus other great achievements, give Bolivia a strong worldwide image regarding forestry resources, their management and legislation.

“A strategic element of Bolivia’s economic development is its 28 million hectares in permanent forestry production,” Valenzuela affirmed.

The Vice Minister highlighted the positive advances of the forestry sector, and its current potential to add to the country’s progress. “We firmly believe the Bolivian state should consider this situation (of forestry potential) as a strategic element of economic development, through integral and sustainable use of its resources without altering the ecosystem, and assuring environmental quality.

“Because of this economic potential, and the environmental and social benefits that the forests can provide, the government decided to support their development. The government's challenge is to generate the conditions needed to develop the sector, starting with the complete and diversified use of its resources. Our basic principle is prioritizing the country’s forestry activity, with productive transformation as a strategic element of the national economy, encouraging measures that promote development of the productive forestry sector,” stated Dr. Valenzuela.

The Vice Minister added that there have been significant advances in these eight years. “We know there are gaps in the current regulations—legal insecurity, among others—that endanger the forestry system because of misinterpretation of the norm. The government will prioritize these problems, and look for a satisfactory solution, because forestry should be one of the priorities on the Bolivian state's agenda, and forestry resources should be considered a strategic resource for the country’s sustainable development."

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Based on my experience in law, I am convinced that the first need for our people’s rapid development is that we all learn to scrupulously respect legal rights, and solve our conflicts through institutional channels. Spain is an example of this: no one doubts that before 1978, Spain was practically an underdeveloped country, just as no one doubts that Spain today is a leader within Europe’s modern community. And no one should doubt that a substantial reason for the historic milestone in Spain’s history is the Moncloa Pact and the new Spanish Constitution, which was adopted and has been respected.

Thus, the first point: Bolivia can become a developed country in only a couple of decades, if it has institutional, legal and political stability, and, therefore, social peace.

The second point: proof that we are correct about the first point is the Bolivian Forestry Sector. Thanks to the relative clarity and stability of the rules in the Nation’s Forestry System (RFN), instituted by Law 1700 of 12 July 1996, Bolivia became the world leader in internationally-certified humid tropical forests. This success would be even greater if all the cast of administrative tools established by the RFN had functioned hand-in-hand.

Third point: legal security. Without legal security there is no reason to speak of any investment system, nor of sustainability. Law 1700 offered everything it could offer, politically constrained to the sole possibility of surface forestry concession, and not considering ownership of the surface: administrative evacuation in 72 hours of everyone who, without legal title, invades forestry lands or illegally uses their resources. The underlying problem is that the Nation’s Forestry System is a 5-star hotel in a 1-star village, and that the task is not more stars for the RFN, but more stars for the village. In few words, Bolivia is failing the RFN, because, in general, the country has governability problems, and extreme institutional weakness, to the point that the police or the army can only give the aid prescribed by law if the person or company whose land is invaded covers the expenses for transport, camp and food.

Conclusion: looking at Law’ 1700’s 8-year balance sheet, the conclusion is obvious. If we want to continue having permanently productive forestry lands in Bolivia, the time has come to play the forestry property card—under special law. Otherwise, with the trend of land invasion and irregular deforestation, Bolivia will be like a sheep skinned alive in only 20 years.

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Natural regeneration guarantees conservation and production of Bolivia’s tropical forests

Bolivia's law establishes that reforestation should be natural. The system to guarantee this reproduction is sustainable forestry management, which forces businessmen, native people, campesinos and all forest users to divide their forestry area into 20 parts, and use only one part per year. Thus, the cycle will be repeated every 20 years, providing time for regrowth, and for young trees to mature and be used.

International statistics on forestry use indicate that natural reforestation can more than replace extraction by the timber companies, according to Engineer Carlos Gagliardi of the forestry company INFORCASA.

In the Amazon forest, the flora has an environment favorable to tree reproduction. "When a mature tree is extracted, this allows light to reach the ground, and the seeds of the harvested tree to grow. A managed forest (the use of only mature trees) produces more than an untouched forest, or one that remains intact for years," is the opinion of the experienced Engineer Pablo Gil of Empresa La Chonta. His company investigates and monitors blocks (in the charge of the Bolivian Institute of Forestry Investigation-IBIF) that are providing important data for the conservation of tropical forests in Bolivia.

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"The model is complete and is advancing, because of the professionalism, decisions, and commitment of Bolivian forestry businessmen"

Neither the implications of the change of forestry legislation in 1996, nor the crisis that hit the country so hard in recent years, resulting in decreased forestry sector exports (even closing some companies) prevented the sector from advancing in application of the new forestry system under Law 1700. In these circumstances, businessmen played a decisive role, and Bolivia's most organized economic sector is the forestry sector. The model (forestry system) is now complete and is going forward, propelled by the professionalism, commitment and responsibility of the Bolivian forestry businessmen," stated Bolivia’s Engineer Erwin Aguilera Antunez—the First Forestry Superintendent.

The creation of Law 1700 provides for deep changes in terms of access to natural resources, and introduction of strict procedures for the use of forests. Engineer Aguilera says this means economic investment, and time; and demands new knowledge—which has been, and is being, acquired.

"However, there are weaknesses in the law: such as the near absence of the non-wood products that are part of the Amazon forest. These include Brazil nuts, rubber, asaí, etc. Law 1700 did not provide adequate legal dispositions to guarantee the use of these non-wood resources. Therefore, it's necessary to revaluate the topic," said Engineer Aguilera. He suggested that this point could be part of a supplementary legislation, and above all, part of a state policy.

"After 8 years of Law 1700, we have accumulated experiences that allow us to think of adjustments to norms and procedures." Engineer Aguilera emphasized that the Forestry Law can be revalued, strengthening it with reassignment of the Forestry Superintendence's responsibilities, taking charge only of regulation and forestry control. "We would have to analyze the topic of granting rights," he said. "Another point is the forestry user’s responsibility for sustainable use, which, from this stage until the sale of products demands heavy investment of him. If his return on investment is too low at some point, this can risk sustainable management—the most important thing," according to the former Forestry Superintendent.

Engineer Aguilera said that, "at this stage, we Bolivians should make every effort to ensure our stability, improve legal security, and search for efficient incentives for forestry activity. And, in our communication with the public, we must constantly work to try to unite the different social sectors. The model needs a process of social agreement, where the forestry producers (who have advanced quite a bit) meet with agricultural producers, cattlemen, ecotourism businessmen, communities or municipalities, etc., so that a new social and economic outlook regarding renewable natural resources is formed in the country.”

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"An autonomous system would help make more efficient public offices which are interested in conservation and protection of forestry resources. This would include city halls and prefectures, which should have an important role in legal security, stimulating forestry activity and use of this resource," said former Forestry Superintendent Engineer Erwin Aguilera Antunez.

Regarding Bolivia's need for forestry use in a sustainable manner that is compatible with society, Engineer Aguilera said "we must work with a different focus, to make it possible to define adequate and beneficial public policies, and, in each region, we should take advantage of the municipalities and the prefectures, which are the working branches closest to the actual work."

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The advances of the Forestry Law's eight years are concentrated in: 1) sustainable use of forests; 2) internationally-recognized voluntary forestry certification (the greatest achievement); 3) democratization of access to forestry resources through recognition of rights of traditional forest users, who had been marginalized previously, that is to say, the Local Social Groups (ASL) and the Native Community Lands (TCO); 4) the creation of the forestry concession modality, which means granting the right to use forests for 40 years (depending on a forestry audit every five years to keep the right valid) provides stability and legal security; 5) recognition of the private owner’s right to sustainable use of forestry rights; 6) strengthening the municipalities’ economy; and 7) decrease of the level of conflict in forestry matters.

Other forestry law progress includes: 1) creation of the Forestry Superintendence, which is an autonomous office dedicated to preserving the forestry actors’ rights; 2) having introduced specific norms that prohibit the conversion of forestry land to other uses (such as agriculture or cattle-raising) in lands of major forestry use; and 3) finally, considering the companies’ forestry professionals as public assistants, giving them civil and penal responsibility for their reports.
 

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The main economic activity of the 29 families living in the Cururú community is wood extraction. They have been applying forestry management plans since approval of Forestry Law 1700 (1996). "This law gives us the option to work with our forest in the TCO Guarayos. It recognizes us as one of the native people, and aids us in every way," assured Vacilio Yamba Moizapa, Forestry Coordinator of the Cururú community.

The Cururú community, located in Guarayos Province of Santa Cruz Department, harvests 900 to 1000 hectares per annum. This year, they approved the harvest of 4,220 m3 of wood, according to the forestry management technical file that they apply under the rules of Law 1700.

Mr. Yamba tells us that, since promulgation of Law 1700, there are more jobs, and that the community is trying to work as a company. "In our organization, we have 7 management plans. We're looking for ways to improve ourselves, because the law protects us."

Another of the benefits identified by the community leader is that, with forestry management, forests will endure over time. Already, in fact, some of the timber theft, and hunting, have been eliminated, and the community can see that it is on the road of progress for its future.

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