While working definitions of  deforestation  and the absolute rate and area of deforestation is 

contested, often with emotionally charged and politically motivated debate worldwide, 

deforestation continues relatively unabated across all regions.  Deforestation takes many forms; 

some temporary, some irreversible.  Human behavior at multiple levels is the major cause of 

deforestation.  The proximate agents responsible for deforestation range from corporate entities 

to slash and burn farmers.  Blaming these agents for the resultant deforestation contributes little 

to identifying the multiple web of causalities that ultimately create the problem, and often 

stimulates inappropriate government responses that exacerbate the problems (NRMP Report 

No. 58).   

Resources management decisions made by the diverse users of forests and by forest land 

agents are driven primarily by socio economic incentives and disincentives.  These are created 

through a combination of misguided development and regulatory policies and disregard 

enforcement of other policies.  With increasing resources consumption exerting demands on the 

forests of the Outer Islands, coupled with national and international competition for investment 

opportunities, the future of Indonesia s natural production forests depends on implementing 

appropriate forest policies with equitable distribution of the costs and benefits these policies 

impart (NRMP Report No. 58). 

Currently, an array of regulations mandate practices for the exploitation of natural production 

forests.  The GOI have recognized the immediate threats to these forests; namely, actions of 

large scale concessionaires, transmigration sites, industrial plantations and slash and burn 

cultivation.  The GOI have developed a diversity of policy instruments aimed to address 

biodiversity and watershed conservation, reforestation, waste reduction, value added output, 

employment absorption and community development for forest villagers.  If the health of 

Indonesia s forests corresponded directly to the number of forest management and forest 

industry regulations, there would be few resources management problems.  Tragically, as a 

result of these accumulated regulations and political interests, there is less forest (NRMP Report 

No. 58).   

Given the inability of forest policies to achieve their stated goals, some individuals maintain that 

forest management and industry regulations are fundamentally sound but enforcement is weak, 

and thus increased numbers of well trained foresters are needed.  Although shortcomings of 

enforcement and human resources development undeniably contribute to the problem, the 

underlying cause of deforestation rests more with the nature of the policies themselves.  Often 

well intended policies designed for other objectives create unintended outcomes and fuel rather 

than restrain deforestation (NRMP Report No. 58).   

Certainly not all forest policies can be described as well intended.  However, focusing criticism 

on examples of powerful individuals from the private sector exerting influence over forest sector 

decisions runs the risk of ignoring the problems of misconceived, albeit well intended, policies.  

These policies may be pervasive and restrictive on the sector as a whole, and risk reinforcing 

the general government perception that all policies are sound and simply require improved 

implementation or enforcement (NRMP Report No. 58).   

Current natural forest yields cannot be sustained.  However, the ability to increase the net value 

of forest utilization over time will depend on revising forest use objectives.  This revision would 

intend to reduce annual harvest volume and area quotas, to create appropriate incentives to 

adopt sustainable utilization practices, and to incorporate a diversity of goods and services in 

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