Liberia's Forestry Development Authority Ignored Timber Export Moratorium

• Jiuzhou International Liberia Limited, a Chinese company, exported camwood to China despite a moratorium on NTFPs.
• The export occurred outside the legal system for timber trade, or LiberTrace, a system for verifying tax payment and community benefits that was part of the now-cancelled EU-Liberia Voluntary Partnership Agreement.
• The FDA's failure to enforce the moratorium raises questions about the effectiveness of Liberian regulations on timber exports.
• Companies involved in timber exports may be at risk of reputational damage and potential fines or penalties if they do not comply with Liberian regulations.

This export is particularly noteworthy as it occurred outside the legal system for timber trade, or LiberTrace, a system for verifying tax payment and community benefits that was part of the now-cancelled EU-Liberia Voluntary Partnership Agreement.

In a move that raises concerns about non-compliance with Liberian regulations on timber exports, Jiuzhou International Liberia Limited, a Chinese company, was permitted to ship logs despite the existence of a moratorium against such shipment. According to official records, the company exported 320 pieces of camwood to China in January, valued at over US$13,000 and passed through the Freeport of Monrovia. This export is particularly noteworthy as it occurred outside the legal system for timber trade, or LiberTrace, a system for verifying tax payment and community benefits that was part of the now-cancelled EU-Liberia Voluntary Partnership Agreement. The Forestry Development Authority's records show that Jiuzhou's exports were made possible despite a moratorium on non-timber forest products (NTFPs), including camwood, which was placed in 2021 and retained by the FDA board of directors in a July 2024 meeting.

The Liberian government has implemented regulations to govern the timber trade, with the Forestry Development Authority (FDA) responsible for enforcing these rules. The FDA placed a moratorium on NTFPs, including camwood, in 2021, which was retained by the board of directors in July 2024. However, despite this moratorium, Jiuzhou International Liberia Limited was able to export camwood to China without adhering to the legal system for timber trade. The FDA's failure to enforce the moratorium raises questions about the effectiveness of Liberian regulations on timber exports and the potential for non-compliance by companies involved in such activities.

The export of camwood by Jiuzhou International Liberia Limited highlights the need for greater enforcement of Liberian regulations on timber exports. The lack of compliance with these regulations puts companies at risk of reputational damage and potential fines or penalties. Furthermore, the underground market for NTFPs, including camwood, raises concerns about deforestation and the lack of benefits for communities that host these products. As a result, lawyers and compliance officers should be aware of the potential for non-compliance with Liberian regulations on timber exports and take steps to ensure their companies are in compliance.

Lawyers and compliance officers should be aware of the potential for non-compliance with Liberian regulations on timber exports, particularly given the lack of enforcement of the moratorium on NTFPs. This could lead to reputational risk and potential fines or penalties for companies involved in such activities.

Source: Original reporting via The DayLight