Forest plantations in Chile, a model to avoid!

The forestry development model that has been implemented in Chile over the last 40 years is often depicted as a success because of the economic growth generated. It is currently rated second only to mining in terms of its contribution to the country’s Gross Domestic Product. However, a close analysis of the model shows a high degree of concentration of property in the sector, along with numerous negative environmental and social consequences.

Given the possibility of further expansion of this model at the national level, as well as interest in replicating the model in other countries, it is important to analyse the Chilean experience in more detail. Who are the beneficiaries? And who are affected by the many negative consequences generated by the industry, particularly with regard to our indigenous peoples?

Since the beginning of the last quarter of the twentieth century, forestry in Chile has received strong support from the state and, intended or not, this has contributed to the concentration of economic benefits in just a few hands. Indeed, one of the key factors in the expansion of forestry was the State’s contribution to promoting it through Decree-Law N° 701 on Forest Plantations, an instrument that has subsidised and created tax breaks for plantation establishment since 1974. This policy contributed decisively to both the expansion of pine and eucalyptus monocultures, and the concentration of this activity.

Thus, during the first stage of implementation of this regulation—that is, up until 1997— more than 94% of the plantations being subsidised belonged to large and medium enterprises and only 5.8% to small businesses owners.[1] Subsequent amendments to the decree did attempt to reverse this trend, but looked at in the round over 40 years, it is still clear that 70% of the profits have gone to large and medium enterprises. As a result, just three holdings are now receiving more than 70% of the profits generated by the exports in this sector, and the same groups are owners of more than 67% of the plantations.[2]

Growth in the forest industry and related exports has not been translated into social benefits. One of the arguments used in favour of forestry is employment generation, but the industry has tended towards producing and exporting low added value products, which limits its demand for labour. The overall analysis shows that the sector occupies an area of more than three million hectares of land, which are now covered with pine and eucalyptus plantations, while the jobs generated number fewer than 130,000—just 1.64% of the national total and just one job for every 23 hectares of plantations. In addition, a sustained reduction in the number of jobs per hectare, combined with low salaries and job instability,[3][4] has also been identified.

The main problems associated with forestry expansion are experienced by peasant communities and indigenous peoples in general, and the Mapuche people in particular, who have been displaced and are unable to maintain their traditional economies, ancestral practices and ways of life, due to the various negative impacts of forest plantations and associated industries on ecosystems.

Biodiversity loss

Studies done by research institutions consider the Chilean model of forestry development to be the main factor underlying the loss of native forests in Chile[5] and thus, of biodiversity loss. This is because it is estimated that the growth of plantations has been achieved mainly through the substitution and replacement of native forests. This causes deterioration of the quality of life of rural communities and the Mapuche people, who have traditionally extracted various non-wood products that are part of their diet from the forest, including seeds, fruits, various species of fungi, and plants that are used in their traditional medicine. In addition, a breakdown of ecosystem balance is observed in natural food chains in the forests, and there are reports of more frequent deaths of livestock and poultry because of a rising number of attacks by predators.

It is also important to note that the temperate forests of Chile have been classified as stress points in terms of conservation, both for their high level of biodiversity and their degree of endemism. They are among the most threatened eco-regions in the world.[6]

Pollution, cultural erosion, water shortages

Pesticides used in forest plantations pollute soil and water, preventing subsequent food production using those resources. Communities also report damage with respect to beekeeping. Moreover, pulp mills linked to forestry pollute water, soil and air, causing the death of birds, fish and algae, and crop losses in the territories as a result of acid rain (which is formed by the gases released from processing plants coming in to contact with mist or rain). These conditions directly affect indigenous communities’ agricultural and livestock activities and prevent traditional uses of forest related to their ancestral medicine and religion. They also have direct impacts on people’s health, and various cases of respiratory problems and cancer have been reported. Clear-cut harvests leave the soil exposed to the action of rain, causing soil erosion and increasing the risk of landslides, which has been reported as one of the greatest fears of the communities in the region of Bio-bío.

This activity also creates social problems, as changes in land ownership in favour of forestry companies have generated migration and the relocation of families and even entire communities, who subsequently have little or no adaptation to their new environment. This encourages the migration of young people from the countryside to the city, in search of greater opportunities for personal and economic development, and accentuates the cultural erosion and loss of ancestral knowledge and practices.

Perhaps the most pressing and immediate concern, however, is the high rate of water extraction from aquifers, which is a direct result of the expansion of tree plantations. This has led to a dramatic decline in water resources, a situation that is particularly acute in the summer period, even in regions with annual average rainfall of 1,200 mm. Due to this, regional governments have been forced to supply water to communities by shipping it in in trucks. However, this supply is limited and only meets the needs of human consumption. There are therefore severe impacts on animal breeding, crop production, and the propagation of native species for medicinal use and for forest conservation and restoration. This makes plantation forestry the main threat to cultural and ecosystem conservation from peasant and indigenous communities’ perspective, and problems related to this have been the cause of escalating conflict with the Mapuche people communities in Chile in 2015 and 2016. They continue to demand the return of their land, respect for their dignity and recognition of their rights to self-determination and to maintain their traditional lifestyles.

National and international policies urgently require a change, in light of research showing that tree monocultures are not sustainable, in such a way as to curb replacement and encourage the recovery and restoration of native forests and ensure the conservation of our indigenous peoples’ cultures, which have been intimately linked to the forests throughout history.

Notes:
[1] AGRARIA, 2005. “Informe final Evaluación de Impacto Programa Bonificación Forestal D.L. 701”. Ministerio de Agricultura, Conaf. Santiago, Chile. 226 pp. Available through: Dirección de Presupuesto, Gobierno de Chile on line website.
http://www.dipres.gob.cl/574/articles-141195_informe_final.pdf. Accessed April 23, 2016
[2] Frêne, C., Núñez , A .2010. “Hacia un nuevo modelo forestal en Chile”. Revista Bosque Nativo 47, 25-35. Available through: Revista Bosque Nativo on line website.
http://www.bosquenativo.cl/descargas/Revista_Bosque_Nativo/RBN_47_art_op2web.pdf. Accessed April 23, 2016
[3] Espinoza, M., Riquelme, V., Rojas, I., Yanes, H. 2008. “Precarización del empleo, ¿un mal moderno?” en Temas laborales N°5. Dirección del trabajo, Chile. Available through: Dirección del Trabajo, Gobierno de Chile on line website
[4] OLCA. 2013. “Cultura local y modelo forestal: Una transición forzosa: El Caso Carahue”. Investigación del Observatorio Latinoamericano de Conflictos Ambientales. Septiembre de 2013. 23 pp. Available through: Observatorio Latinoamericano de Conflictos Ambientales on line web site.
http://olca.cl/oca/informes/Cultura-Local-y-Modelo-Forestal.pdf. Accessed April 20, 2016
[5] Aguayo, M.; Pauchard, A.; Azócar, G.; Parra, O., 2009. Revista chilena de historia natural. “Cambio del uso del suelo en el centro sur de Chile a fines del siglo XX. Entendiendo la dinámica espacial y temporal del paisaje”. Available through: Scientific Electronic Library on Line Chile website. http://www.scielo.cl/scielo.php?pid=S0716-078X2009000300004&script=sci_arttext . Accessed July 31, 2015
[6] Echeverría,C., David, C., Salas, J., Rey-Benayas, J.M., Lara, A., Newton, A. 2006. “Rapid deforestation and fragmentation of Chilean Temperate Forests”. Biological Conservation 130: 481-494. Available through: Universidad de Concepción on line web site.
http://www2.udec.cl/~crisecheverria/PUBLICATION_files/Biol_Cons.pdf. Accessed April 20, 2016

By Carolina Lagos, Colectivo Viento Sur, Chile