US Dollar Exchange Rates of 15th
October 2011
China Yuan 6.3760
Report from China
Development objectives in the Twelfth Five-Year Plan
China¡¯s Twelfth Five-year Plan sets out economic and
environmental objectives for the period of the plan. The
plan states that the national economy is expected to grow
at an annual rate of 7 percent over the next five years and
GDP will exceed RMB 55 trillion by 2015.
For 2011, the objectives is for GDP to increase by about 8
percent, CPI to rise by about 4 percent, employment will
increase by 9 million and registered unemployment will
not exceed 4.6 percent in urban areas.
In terms of forestry the objective is to achieve a forest
cover of 208 million ha. to raise the forest cover to 21.66
percent.
In terms of growing stock, this is expected to rise to 14.3
billion cubic metres. ¡®Greening¡¯ in urban areas is expected
to expand by almost 40 percent. In addition some 50
million ha. of improved grassland will be established.
In the plan the share of non fossil energy in primary
energy will rise by over 11 percent and carbon dioxide
emissions will fall by between by 8-10 percent.
Timber production further reduced in Heilongjiang
Province and Inner Mongolia
Being the largest two state-owned forest areas in China,
Heilongjiang Province and the Inner Mongolia
Autonomous Region have been major timber producing
regions for a long time.
However, due to over-logging for many years the
resources have declined and the forest environment has
deteriorated in these regions.
To improve this situation these two provinces are going to
further reduce timber harvesting during the second phase
of Natural Forest Protection Programme (2011-2020).
The plan in Heilongjiang Province is to reduce timber
cutting from 6.33 million cu.m to 1.54 million cu.m in
major state-owned forest areas over the next three years; to
improve the environment and to reduce the number of
forest farms.
This, says the plan, will involve relocating around 120,000
people so as to reduce forest destruction through human
activities.
The plan indicates that the state will invest a total of RMB
77.5 billion for the duration of the plan (7.75 billion yuan
each year) to support major state-owned forest areas.
By 2020 it is anticipated that forested areas in major stateowned
forest regions will reach 15.5 million ha., up 3
percent from 2010; the growing stock will increase to
1,550 million cu.m, (up 21 percent) and the forest cover
will increase by almost 2.5%.
It has been reported that since implementation of first
phase of Natural Forest Protection Programme, timber
cutting was reduced by 50.6 million cu.m; 142,000 ha. of
forest were planted and 42,000 ha of agricultural land was
converted back to forest.
The second phase of Natural Forest Protection Programme
in Inner Mongolia is being carried out in the Forest
Industrial Group of Inner Mongolia, the Eighth Bureau of
Lingnan and the middle and up reaches of the Yellow
River.
During the period of Twelfth Five-year Plan, average
annual timber cutting in Forest Industrial Group and the
Eighth Bureau will be reduced by almost 50 percent from
2.43 million cu.m to 1.23 million cu.m. Commercial
timber harvesting will be banned along the middle and up
reaches of the Yellow River.
Through implementation of the second phase of the
Natural Forest Protection Programme, 100,000 jobs will
be created in the project area and it is intended that
workers¡¯ income and social security coverage will come
close to the national average.
By 2020, the forest area will increase to 2 million ha and
the growing stock will increase to 70 million cu.m.
Estimates of the forest carbon stock achieved through
implementation of the plan are 26.5 million metric tons.
Since the Natural Forest Protection Programme started 13
years ago in Inner Mongolia for the forest area has
increased by 3 million ha and the growing stock has also
increased.
Mudenjiang City is the biggest timber distribution centre
Situated in east of Heilongjiang Province and on the
border with the Far East region of Russia, Mudenjiang
City manages 32,500 sq.km. of forests which produce
around 2 million cubic metres of logs annually. In
addition, around 8 million cubic metres of imported logs
from Russia pass through distribution centres in this city
every year.
In Heilongjiang Province there are now about 1,600 timber
processing enterprises with an output value of RMB 15
billion accounting for 40% of the total output value of the
wood industries.
Furniture, wood-based panel and wood products for
building and interior decoration are manufactured in this
city and are exported to twenty eight countries in Europe,
America and Southeast Asia.
Redwood Branch of the Chinese Forest Product
Industry Association Set Up
A "Hongmu¡± (Chinese redwood) Branch of the Forest
Products Industry Branch of the Chinese Forest Products
Industry Association has now been established.
Redwood, is a generic term covering timbers used for
traditional Chinese furniture such as rosewood and the
recently introduced alternatives such as mahogany, padauk
and black walnut.
The main tasks of the branch include providing services in
policy, standard, information, consultation and training;
serving as a link between enterprises and markets;
analysing developments in the industry and contributing to
the healthy development of the redwood sector.
Professionals believe that the founding of the Redwood
Branch will promote the healthy development of redwood
industry through economic and technical exchanges.
It is learnt that the Redwood Branch will be attached to
Research Institute of Wood Industry, in the Chinese
Academy of Forestry.
New flooring production line in Changchun, Jinlin Province
The Jinqiao Flooring Group, Forest Industrial Corporation
of Jilin Province has commissioned a new plant in the
Lanjia Industrial Park, Changchun.
This park is home to probably the largest flooring plant in
China as the annual production is around 3 million sq.m of
wood composite flooring and 7 million sq.m of laminate
flooring.
Analysts report that by the end of Twelfth Five-year Plan,
output of wood composite flooring in this park will reach
7 million sq.m up from the 3.5 million sq.m during the
Eleventh Five-year Plan.
Lithuanian export duty on timber
Please note that we suspect the figures stated in our
previous report for total log exports from Lithuania to
China were exaggerated by an industry source in
Lithuania.
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