LIBREVILLE: Tropical timber is piling up at Gabon's main port as the country's logging industry reels from a corruption scandal that brought down the vice president and ushered in a veteran environmentalist to oversee its forestry.
Wood is big money in the central African nation, which is almost 80 percent covered by forests. The timber industry accounts for 17,000 jobs and 60 percent of non-oil related GDP.
But at the port of Owendo on the Libreville peninsula, exports have stagnated for months and warehouses are overflowing.
The trouble began in late February, when customs officials discovered huge quantities of kevazingo, a precious and banned hardwood, in two Chinese-owned depots at Owendo.
Nearly 5,000 cubic metres (176,000 cubic feet) were seized, worth around $8 million, some of it disguised in containers bearing the stamp of the forestry ministry.
Several suspects were arrested, but the plot thickened in April, when 353 of the confiscated containers mysteriously disappeared from the port.
The ensuing scandal, dubbed kevazingogate, led to the government sacking the vice president, the forestry minister and several senior civil servants.
The minister was replaced last month by British-born Lee White — an environmental campaigner who has lived for years in Gabon, battling to conserve its forests and wildlife.
The scandal has "heavily affected people working in Gabon's timber industry, without differentiating between those who cheat and those who play by the rules," said Philippe Fievez, head of French timber company Rougier in Gabon, which has been present in the country since colonial times.
He said the company had been able to export wood for just three of the first six months of the year and at the height of the crisis had had to temporarily lay off 400 of its 1,400 employees.
"It's going to take us between six and nine months to return to normal."
After the stash of kevazingo, also called bubinga, was found in late February, the team responsible for checking cargo loaded onto ships at ports was suspended, accused of complicity in a smuggling plot.
The following month, timber exports ground to a halt.
"A month later, the team was replaced, allowing exports to resume," said Fievez.
But then the containers vanished in April, and several top executives were suspended and the fallout reached the highest reaches of power.
Francoise Van de Ven, secretary-general of the forestry industry association UFIGA, said, "our companies have been unable to export since early May — we are talking about a considerable loss of profits".
White, the new forestry minister, "immediately took on the case" after his appointment in mid-June and exports "have just resumed," she said.
But the scandal has inflicted "significant" reputational damage, she admitted.
Exports were also hit by a damning report issued by British NGO the Environmental Investigation Agency (EIA) in March that pointed the finger at a Chinese group, Dejia, which has widespread logging interests in the Congo Basin.
The report laid out the apparent ease with which officials took bribes to cover up the fraudulent activities of some loggers, and within weeks of its release the government suspended Dejia's licence at two logging sites.
Benjamin Feng of the Chinese company KHLL Forestry said that now "buyers have the impression there is a risk of purchasing illegal timber when buying wood from Gabon".
"We have about 1,500 cubic metres (53,000 cu. feet) of azobe wood ready to go to Europe, but my Dutch buyer is hesitating, asking me: 'What proves that your wood is legal?'."
"I can prove it, I have all the papers, but the image has been tarnished," he said.
Rougier's Fievez tried to look on the bright side.
"At least the scandal had the merit of pointing out the bad practices of some loggers — now everyone plays by the same rules."
Gabon's timber industry reeling after corruption scandal
Gabon's timber industry reeling after corruption scandal
- The scandal has "heavily affected people working in Gabon's timber industry
Saudi Arabia committed to green technologies, energy minister says
Dubai: Saudi Arabia is focused on the production of green molecules, said Prince Abdelaziz bin Salman Al Saud, the Kingdom’s minister of energy.
“Our plans are clear to everyone, we are focusing on the molecule,” the prince said at a World Economic Forum meeting in Riyadh. “Being environmentally conscious is our human duty, whatever we do today should not endanger any aspirations of future generations.”
In a session focused on green molecules such as biofuels, hydrogen, and their derivatives, experts discussed various countries’ plans on how to move forward with the production of green molecules.
For his part, Prince Abdelaziz said he believed the concept should be color agnostic, because the molecule business has to do with how we produce clean energy, and that has no color.
“There is a carbon footprint that we need to manage and mitigate. I think stigmatizing things might narrow our choices rather than expand (them). We believe, as Saudis, that we require all the sources of energy, be it nuclear, hydrocarbon-based, or synthetic fuels. We are open to choices.”
The prince also said the kingdom is “libertarian” in its business approach, willing to share the expertise with other countries and that it is already in business with some European states.
“While the technology remains challenging, we continue to work on it to make it accessible and affordable to all,” he said.
The United Arab Emirate’s Minister of Energy and Infrastructure Suhail Al Mazrouei said that, as in Saudi Arabia, leaders in the UAE are aware of the need to invest in new energy.
“The region has become important in tackling problems and coming up with solutions,” Al Mazrouei said. “Clean energy is something we decided to venture into 17 years ago as we were thinking about what is going to happen when we export the last barrel of oil.”
Echoing the prince’s remarks, Al Mazrouei said consumers should not be limited to those considered ready simply because they can afford the price.
“We are working on the technology to make it accessible to all,” he said.
Amani Abou Zeid, commissioner for infrastructure and energy of the African Union, said that Africa has different levels of development and needs and expressed the need for alternative power options.
“Overall we are still electrified in only 49 percent of the continent, so more than half of the population doesn’t have electricity. Africa can’t afford to discard any solution at this point.”
Patrick Pouyanne, chairman and CEO of TotalEnergies SE, alongside Shrikant Vaidya, chairman of India’s Oil Corporation, and Erasmo Carlos Battistella, CEO of Be8, reiterated the importance of accessibility and affordability when producing green molecules.
Despite the positives from those countries engaged in the production of green molecules, such as job creation, there is still a long way to go.
Prince Abdelaziz said: “I think we should be conscious of the fact that the challenge is big, we are still talking about artificial intelligence, the component of the electrification, and what is required for it; the world will require clean molecules (and) it is our hope that we all work together to ensure this happens.”
IsDB annual meeting sees signing of several deals
RIYADH: The 2024 annual meeting of the Islamic Development Bank Group saw the signing of several agreements, boosting the telecommunications sector in its member countries.
The Islamic Corporation for the Insurance of Investment and Export Credit, known as ICIEC, which specializes in providing Shariah-compliant insurance services and is a member of the IsDB, announced the inking of a memorandum of understanding with Huawei Technologies Ltd., the Saudi Press Agency reported.
The memorandum was signed by ICIEC CEO Osama Al-Qaisi and the chief operations officer of Huawei Technologies, Silas Zhang.
Under the agreement, ICIEC continues its collaboration with Huawei to enhance the telecommunications infrastructure and leverage advanced communication technology in IsDB member countries.
According to SPA, ICIEC will provide insurance solutions to support the provision of advanced communication network equipment and offer training to key telecommunications operators in member countries.
Al-Qaisi emphasized that the MoU with Huawei represents a significant roadmap toward supporting the enhancement of vital communication framework in member countries through the integration of advanced technology, extensive expertise, and distinguished insurance solutions offered by ICIEC.
He stated: “We are laying the foundation for strong growth and a qualitative leap in the telecommunications sector in member countries, where this collaboration rises to the level of partnership, enabling member countries to harness their full potential to establish a better and more innovative communications sector.”
The ICIEC also signed a MoU with the Federation of Contractors in Islamic Countries, known as FOCIC.
It was signed by Al-Qaisi, and FOCIC President Zakaria Abdul Rahman Al-Abdul Qadir on the sidelines of the IsDB event.
Al-Qaisi explained that the memorandum stems from the institution’s commitment to enhancing understanding and implementation of Islamic insurance in all member countries, aiming to establish a comprehensive framework for cooperation in the areas of knowledge exchange and technical capabilities in the insurance and contracting sectors.
Digital advancements propelling Saudi Arabia toward Vision 2030 goals: top official
RIYADH: Digital advancements in Saudi Arabia have significantly enhanced efficiency across key sectors, reducing the need for physical visits to government departments and leading to considerable savings, said a top official.
Addressing the annual meetings of the Islamic Development Bank Group, Ahmed Al-Suwaiyan, governor of the Digital Government Authority, highlighted major improvements made through digitalization as part of Saudi Arabia’s Vision 2030 initiatives aimed at enhancing basic services.
He underscored the tangible benefits of increased productivity and decreased expenses for governments, citizens, and businesses.
“In Saudi Arabia, as part of the various programs and objectives of Vision 2030 for basic services, whether it is the issuance or renewal of national IDs, driving licenses, or even passports, before digitalization, it took more than four hours, including the waiting time at government departments,” said Al-Suwaiyan.
Today, he added, it actually takes less than two minutes without the need to visit the government department, requiring only three clicks.
“This has actually made us save more than 160 million trips and more than SR23 million annually,” said Al-Suwaiyan.
He emphasized that “this is the value that we are talking about,” highlighting how increasing productivity and reducing costs benefit not only governments but also citizens and enterprises through digitization.
The governor emphasized how digital transformation has influenced each pillar of the Vision 2030 goals, enabling swift advancements within the Kingdom.
“I would like to speak about Vision 2030, where digital transformation is a key enabler that we can see cross-cutting all the different sectors and all objectives in the development of Vision 2030. If we talk about a “vibrant society,” we can see a clear link with the participation and engagement for every citizen. And the same goes for a thriving economy,” he said.
The official further expressed that merely adopting digitization to do so is not the goal. Instead, the authorities’ efforts are simply a “means” to create a more efficient society.
In the Kingdom’s justice sector, a similar transformation has occurred with the establishment of fully operational virtual courts, where 95 percent of all hearings are conducted online.
However, the primary focus is not solely on the implementation of virtual courts, but rather on achieving specific outcomes.
One notable outcome has been the significant reduction in the time taken for case processing, with the average duration decreasing from 217 days to just 30 days, from the opening of the case to the issuance of the resolution.
This reduction in processing time exemplifies the tangible value derived from digital transformation efforts.
IsDB chief vows to support private sector in member states
RIYADH: Since its establishment over 30 years ago, the Islamic Development Bank has supported its member states with $151 million in the form of investments and trade deals, said the top executive of the bank.
In his opening remarks at the 12th Private Sector Forum held on the sidelines of the 18th IsDB annual meetings in Riyadh on Sunday, the bank’s president, Mohammed Sulaiman Al-Jasser, said the financial institution has pumped in over $108 billion to support development projects in member states since its inception.
Speaking about the event, the IsDB chief said it offers potential investors an opportunity to network, exchange experiences, establish partnerships, and launch trade initiatives.
Al-Jasser said it is “a very good opportunity” to explore different opportunities and services provided by various IsDB institutions to support the private sector’s development.
He said the IsDB’s body to support the private sector in its member countries has initiated 451 projects worth $6.9 billion across various sectors such as the financial sector, agriculture, and energy.
“It has different investment operations in 50 countries. In 2023, it focused on supporting small and medium enterprises in member states,” Al-Jasser said.
He said the International Islamic Trade Finance Corp. was established in 2008 and has been supporting member states since then with financing facilities. “In 2023 alone, it issues loans worth over $75 million.”
The IsDB president said the bank strongly believed in supporting the private sector in member states.
Al-Jasser went on to say that the IsDB has “also signed many agreements and conventions to make use of the opportunities in the field of investment and trade” in member states.
The annual meetings coincide with IsDB’s golden jubilee, as the institution celebrates 50 years of promoting economic and social development in 57 member countries, under the slogan ‘Taking pride in our past, shaping our future: authenticity, solidarity, and prosperity’ that reflects the bank’s legacy and future goals.
Finance ministers, financial institutions’ representatives, Islamic finance experts, private sector, and non-governmental organizations are participating in the meetings.
Among the annual meetings’ prominent events are the Governors’ Roundtable, the 18th IsDB Global Forum on Islamic Finance, the IsDB Group Private Sector Forum 2024, the Philanthropy Forum, and the Future Vision Symposium, reported SPA.
Discussions address pressing issues such as multidimensional poverty, South-South cooperation, and financing the Sustainable Development Goals.
Meanwhile, the CEOs of the bank’s entities will meet in a strategic session titled ‘Unlocking Economic Potential’ which reflects IsDB’s commitment to promoting economic growth.
Mawani announces first container shipment from Jubail Commercial Port to Riyadh Dry Port
RIYADH: Saudi sea and rail transport links are set to be enhanced with the commencement of the first container shipment from Jubail Commercial Port to Riyadh Dry Port.
This voyage was made possible through collaborative efforts between the Saudi Ports Authority, known as Mawani, the Tax and Customs Authority, Saudi Railway Co., and Mediterranean Shipping Co., according to a statement.
Moreover, the containers were transported through the railway connecting Jubail Commercial Port and the East Railway network, carrying a load of 78 receptacles. The maximum cargo capacity for one trip on the railway is 140 standard containers.
This move falls within the framework of cooperation between Mawani and other concerned parties, especially SAR, which contributes to achieving integration in transporting crates, bulk materials, and general goods by connecting ports using trains.
This comes with the SAR networks linking the Riyadh Dry Port with King Abdulaziz Port in Dammam, King Fahd Industrial Port in Jubail, Jubail Commercial Port, and Ras Al-Khair Port.
This development adds a competitive advantage for these terminals and supports the growth of ship loading and unloading services.
“The launch of the first container shipment from the Jubail Commercial Port via railways to the Riyadh Dry Port and linking the ports to train networks will contribute to enhancing integration between sea and rail transport modes, raising the efficiency of logistical operations, developing the efficiency of exports and imports, and enhancing the competitiveness of the ports to consolidate the Kingdom’s position as a global logistics center in accordance with Saudi Vision 2030,” Minister of Transport and Logistics Saleh Al-Jasser said in a post on X.
