Money Inhttps://www.igc.org/ran/info_center/factsheets/04f.html
MONEY IN THE RAINFOREST
The destruction of the rainforests is one of the most pressing
environmental issues of our time. Even though we live far away from
them and most of us have never visited them, many of us contribute
to their destruction through our buying habits. More importantly, our
own government and transnational corporations are often involved in
the destruction, either directly or by financing ill-advised
"development." The destruction of the rainforests should remind us of
the unbalanced excesses of our society's consumption and an urgent
need to live more lightly on the Earth.
International Development Banks
Before "development" (e.g. logging, mining, oil drilling and clearing
large tracts of land for cattle ranches) can occur, the necessary
infrastructure must be put in place. Highways must be cut through the
virgin rainforest in order to gain access to mineral rich areas. Dams
that drown vast areas must be constructed to generate the power
needed by industry and for the workers brought in to run the new
operations.
The capital to finance these huge projects comes primarily from
multinational corporations and international lending agencies such as
the World Bank, whose policies were, until recently, anathema to the
preservation of the forests and indigenous peoples. Although certain
corporations and international financial institutions have recently
become more sensitive to ecological issues and human rights, these
gains have been the result of environmental activism and public
opinion.
The US is the primary financial contributor to the World Bank, and
therefore has the largest bloc of votes. As a voter and taxpayer, you
can apply effective pressure, through writing letters to the senators
and representatives on the committees of Congress, which vote on
US World Bank policy positions (the Foreign Relations Committee in
the Senate and the Foreign Affairs Committee in the House).
As the 1994 elected Congrees repeatedly demonstrated by its
attempts to dismantle 25 years of environmental legislation, the
battle against economic and political forces that assault the
environment is far from won. Moreover, the economic issues seem
to be poorly understood by most people, even those who are
concerned with the fate of the world's forests.
US Consumption
Although Americans represent only 5% of the world's population, we
consume at least 30% of the world's mineral and energy resources.
Europeans live just as well using about half the energy and resources
per capita. In order to waste less and slow the destruction of the
planet, we must change the way we live. We can make changes step
by step: become aware of what we are consuming; buy locally
produced, non-processed, non-packaged foods whenever possible;
invest in socially responsible local development; conserve energy;
drive less; and recycle. Paper, aluminum and tin are products that in
many cases come directly from the rainforests.
Corporations in the Rainforest
Transnational corporations in tropical countries contribute directly and
indirectly to the destruction of the rainforests, along with wealthy
nationals as well. Many of the big banks are there with their fingers
deep in the pie. The impact of extracting products and resources from
a rainforest ranges from minimal to devastating. Some items, such as
Brazil nuts and rubber, can only be harvested from a thriving forest
system. At the other extreme, timber extraction by clear-cutting and
open-pit mining of ores result in wholesale environmental destruction.
Because the list of corporations and products involved is so long,
changes in our lifestyle are necessary. For instance, avoid canned
goods or, at least, recycle the cans. Buy products made of bamboo
or rattan and support enterprises that help sustain rainforests.
Timber
The history of US based transnational company involvement in
tropical logging has not been a particularly successful one. Direct
ownership and management of rainforest timber concessions has
been far more extensive in the past than it is at present. Only a
handful of US corporations currently log in tropical areas.
Georgia-Pacific is responsible for clear-cutting in tropical countries
which also has a history of union busting and price fixing in the United
States.
Most tropical timber imported into the US is in the form of plywood
and paneling, produced in Indonesia, Malaysia, Taiwan and other
Southeast Asian countries. These products are bought from state-run
or domestic manufacturers. RAN has been working with the Forest
Stewardship Council to certify logging on sustainably managed second
growth forests in tropical countries, but until that program is
operational, do not buy teak, mahogany, rosewood, ebony, iroko or
other tropical woods.
Wood-pulp and Wood-chip products
Until recently, the tropical rainforests have not been exploited
extensively for wood-pulp production to make paper and related
products, because of the difficulty of using tropical hardwoods for
such purposes.
Now, however, "whole-tree utilization" (turning magnificent forest
giants into wood-chips) is becoming increasingly popular. Japanese
corporations have pioneered wood-chipping in Papua, New Guinea.
The resulting pulp, produced in Japan, is used to manufacture
disposable cardboard packaging.
Large tracts of rainforest are in danger of being replaced by
monocultural plantations of fast-growing, non-indigenous trees such
as eucalyptus for paper-pulp production. Brazil may become one of
the world's largest paper-pulp producers by the end of the century,
almost certainly at the expense of rainforests. Most US based
corporations involved in paper in the tropics, such as Kimberly Clark
and St. Regis, are importing pulp for finished goods, and are not
directly involved in pulp production. One US company, Scott Paper, is
involved with developing plantations for pulp in the tropics. However,
most of the paper companies are either present in the tropics or are
importing products from them. Be frugal with paper products: Use
tote bags instead of paper packaging; copy materials on both sides of
a sheet of paper (and complain if the machine does not have such a
"duplex" setting; recycle.
Oil
Exploration and production of oil represents one of the greatest
threats to large areas of rainforest. The western perimeter of the
Amazon basin is experiencing heavy penetration, degradation,
pollution and incursion into tribal territories by oil companies. Many
rainforest regions have been, or soon will be, affected: Conoco Inc.,
Occidental, and British Petroleum, for example, have been active in
the Yasuni National Park in Ecuador; Chevron is exploring in the
southern highlands of Papua New Guinea; Shell is also in Nigeria; and
Exxon is involved in Columbia. By writing letters and speaking out
whenever appropriate, put pressure on oil companies to be
environmentally responsible. Also, use public transportation, carpool,
walk or bicycle as much as possible. We desperately need to develop
and implement alternative energy and transportation systems.
Beef
The clearing of rainforest land for cattle pasture is one of the largest
destroyers of rainforest, especially in Central America and Brazil. This
beef, cheaper than domestic meat, is imported into the US and used
in processed beef products like hamburgers, luncheon meats, pet
food, baby food, sausage and frozen dinners. Campbell's Soup uses
rainforest beef. Burger King backed down on its use of rainforest beef
after a Rainforest Action Network boycott.
Unfortunately, once the beef is passed by USDA inspectors, it loses
any label of country of origin. As a result, it is almost impossible to
trace. The safest bet is to avoid all processed beef; as 300 million
pounds are imported each year from Central America alone, it is likely
that some will show up in many corporations' products from time to
time.
If you divest or boycott these companies or others, be sure to let
them know. Get addresses from the sides of packages, or from a
good corporate directory (see "Sources and ideas for further reading"
below).
Finally, you can contact us at Rainforest Action Network for more
information on the "Hamburger Connection," on tropical timber, or
about other rainforest issues. We'll also be happy to send you
information about other ways to get involved. Each of us can make a
difference.
Often there aren't simple answers to the problem of ecological
destruction - no single bad guy, no easy target. But whatever the
issue, one thing we can always change is our own actions. And with
the rainforests, as in so many other areas, many of our choices and
activities have consequences well beyond our own lives.
Sources and ideas for further reading:
Ackerman, Diane. The Rarest of the Rare: Vanishing Animals. 1995.
Timeless World. New York. Random House.
Bevis, William W. Borneo Log: The Struggle for Sarawak's Forests.
1995. Seattle. University of Washington Press.
Caufield, Catherine. In the Rainforest. 1991. Chicago. University of
Chicago Press.
Dalton, Stephen. Vanishing Paradise: The Tropical Rainforest. 1990.
Woodstock, New York. Overlook Press.
Devall, Bill ed. Clearcut: The Trajedy of Industrial Forestry. 1993.
San Francisco. Sierra Club Books & Earth Island Press.
Draffan, George. Wasting the Earth: A Directory of Multinational
Corporate Activities. 1993. Seattle. Institute on Trade Policy Task
Force on Multinational Corporations.
Head, Suzanne and Heinzman, Robert. Lessons of the Rainforest.
1990. San Francisco. Sierra Club Books.
Lowe, Janet. The Secret Empire: How 25 Multinationals Rule the
World. 1992. Homewood, IL. Business One Irwin.
MacEachern, Diane. Save Our Planet: 750 Everyday Ways You Can
Help Cleanup The Earth. 1995. New York. Dell Publishing.
Nichol, John. The Mighty Rainforest. 1994. Newton Abbot. David
and Charles Press.
Ridgeway, James. Who Owns the Earth. 1980. New York. Collier
Books.
Written and Compiled by Thomas Wolski
Edited by William Velton 7/96
© 1996 Rainforest Action Network