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DR Congo to cancel two-thirds of logging contracts due to corruption mongabay.com October 8, 2008
As reported by Reuters, Environment Minister Jose Endundu told journalists Monday that DRC would likely cancel 110 out 156 logging contracts signed mostly during the country's civil war (1998-2003) or under the corrupt regime that followed. Companies will have 15 days to appeal. Three companies — a subsidiary of Germany's Danzer Group; Portugal's Sodefor; and Safbois, an American-Belgian conglomerate — are reported to account for two-thirds of concessions in the country.
Endundu said that while the cancellation of logging contracts will reduce the area under concession from 22 million hectares to seven million, annual timber exports could climb from 200,000 cubic meters to 700,000 cubic meters. DR Congo is also looking to expand the area of forest under protection, for which it hopes to secure compensation through emerging markets for forest carbon.
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