Reform the logging industry

PAUL OOSTING

“The CFMEU’s campaign will help to place increased scrutiny on the native forest logging industry and highlight the financial risks and massive community opposition to Gunns’ proposed Tamar Valley pulp mill,” he added.

The Wilderness Society today welcomed greater scrutiny over the involvement of the financial sector in
financing the native forest logging industry and is calling on the banking sector to get active in reforming the
logging industry to help make it truly environmentally, socially and economically compliant.

The CFMEU and Timber Communities Australia (TCA) today held a protest at ANZ branches to pressure
the bank into declaring its support for the environmentally unsound industry.

In May 2008, ANZ released a public statement saying it would not fund Gunns’ proposed Tamar Valley pulp
mill. The Wilderness Society, GetUp! and BankTrack referenced this commitment in recent newspaper
advertisements which featured in the Financial Times and The Australian. The advertisements, which
highlighted the pitfalls of the pulp mill as an investment, were funded by members of the public concerned
by Gunns’ persistent attack on Tasmania’s public forests, among the most important carbon stores in
Australia.

“Investing in the destruction of Tasmania’s native forests, which are some of the biggest carbon banks in the
world, is financially unsound. All banks need to reassess their involvement in logging companies involved in
these practices,” said Paul Oosting, pulp mill campaigner for the Wilderness Society.

“Customers of banks such as the ANZ do not want their money being used to drive climate change, poison
native wildlife and destroy Tasmania’s world-class and irreplaceable native forests. Not only are these
practices socially and environmentally unsound they are high-risk and financially unprofitable in the longterm,”
said Mr Oosting.

“The CFMEU’s campaign will help to place increased scrutiny on the native forest logging industry and
highlight the financial risks and massive community opposition to Gunns’ proposed Tamar Valley pulp
mill,” he added.

Recently two ANZ customers involved in forestry based Managed Investment Schemes (MIS), Great
Southern Plantations and Timbercorp, have gone into receivership. Gunns Ltd. has also been a major
investor in MIS and is an ANZ customer.

“The collapse of the MIS sector should be a wake up call to investors: the timber industry needs serious
reform. We hope that today’s protest by the CFMEU will encourage the ANZ and others banks to get active
in reforming the logging industry,” said Mr Oosting.

“The logging industry must be environmentally sustainable and financially viable in order for it to adapt to
modern times. Currently it is neither and the banking sector needs to play a leading role in bringing about
that reform,” concluded Mr Oosting.