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Indonesia jumps ahead of Australia on pulp mills

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[ BRUCE LLOY D MediaJDEPUTY LEADER, ΝΑΊ IONAL PARTY OK AUSTRALIA SHADOW MINISTER FOR PRIMARY INDUSTRYINDONESIA JUMPS AHEAD OF AUSTRALIA ON PULP MILLSJAKARTA: While Australia dithers over the establishment of up tothree new pulp mills, Indonesia will have seven additional mills by the turn of the century, according to National Party Deputy Leader and Shadow Minister for Primary Industry, Bruce Lloyd.Mr Lloyd in Indonesia with Senator Fred Chaney, Shadow Minister for the Environment, had discussions with the Indonesian Ministers for Forestry, Agriculture and Population and the Environment.They also met the leading environmental group, Wahli, and visited the major forestary areas of East Kalimantan (Borneo).Mr Lloyd said Indonesian Government policy is to require the new pulp mills to use only plantation timber by the year 2000, and to also dramatically increase the percentage of sawn timber (plywood) from plantations."The Minister for Forestry also stated that Government policy is to reduce selective logging in rain forests, assist the development of plantation forestry by using the royalties collected from logging, and slow down and stop the slash and burn migratory agricultural practice."Slash and burn agriculture is their biggest problem, followed by illegal forestry practices. The Government is clamping down on the latter and cancelling licences."Mr Lloyd said Indonesian policy was to value add to forest products initially by replacing log exports with plywood and veneer and in the future for conversion to furniture or pulp and paper.The Shadow Ministers spent two days flying over much of East Kalimantan by helicopter and light plane and visiting forestry and plantation mills as well as plywood and veneer operations.The visit also took in a gold and a coal mine being developed by CRA, a leading Australian mining company.Mr Lloyd said eucalyptus and acacia are two of the major varieties being used for plantations and sustainable forestry is beinc established on a 10 year rotation for chips and pulp and 20 years foi plywood.He said cotton and wheat are Australia's major agricultural exports to Indonesia and the rapid growth of the textile industry means bright future for cotton, and leather."The removal of restrictions on imports for fruit and meat alsc creates opportunities for these products," Mr Lloyd said.ends 2 7 / 6 / 9 1 [Parliament House, Canberra, A.C.T., 2(>00 For further information phone 062/774193I