Barama Violations

The audit team found there were nine major violations by Barama
Sunday, February 11th 2007
Dear Editor,

The Guyanese people are not surprised that the PR Dept of the State of Barama within Guyana sees that its interests are threatened and has therefore put its Public Relations Dept in full gear. In response, all Guyanese (especially the knowledgeable and the brilliant ones in the Diaspora) have a responsibility to examine the issues and see that Guyanese interests are fairly represented. There are a lot more formidable Guyanese out there who are better equipped than the courageous few and I to speak out on Guyana's behalf. In addition, our high school kids should examine and discuss these issues. They should learn about what is going on in their own country.

The Accreditation Services International GmbH (ASI) was the company that did the audit to see if Barama was in compliance with the Principles of Forestry Stewardship Council (FSC). Please visit:

http://www.accreditation-services.com/Public Summaries.htm then go to the third document ASI - Forest Managment Audit - Guyana - SGS 2006.pdf

We are interested in: ASI-ACCREDITATION SERVICES INTERNATIONAL GmbH, FSC Annual Surveillance of SGS for 2006, Forest Management Audit to Barama Co Ltd (BCL), Guyana (SGS-FM/COC-2493) Date of audit: 20 to 25 November 2006 (Public Summary).

The ASI team found that there were 9 major violations, 7 minor violations, and 4 observations of non-conformities. What did the ASI team conclude and recommend?

The answer is: "The certified company (Barama) could not demonstrate compliance with FSC certification requirements at the time of the ASI surveillance audit. This lack of appropriate evaluation against FSC certification requirements has resulted in systematic major nonconformities which had not been addressed."

"Based on the findings of this audit, the ASI audit team proposes a number of major CARs (Corrective Action Requested) which will need to be addressed by SGS within the timeframe specified. Failure to demonstrate compliance with all the major nonconformities within the specified timeframe will result in a report to FSC Executive Director recommending disciplinary measures."

What are these major violations? Essentially, the same issues that Barama said were out of date and were dealt with a long time ago. (Incidentally, my letter was too long to catalogue all the ills of State of Barama in one letter. Therefore one letter was up to 1997 and 2003 findings, and the other 2003 and 2004 findings.) Barama ignored the facts that contradict their game plan. Barama even ignored the shock of His Excellency President Jagdeo, on learning about the worker's wages being very low. This same Govt. that gave Barama the best business award for making no profit is now publicly and contemptuously ignored. Now the same 'best' company loses its FSC certification!

Some of the Violations of the State of Barama according to the ASI audit:

Stakeholder's comments 1: "Contract signed between the Akawini and Saint Monica communities and Interior Wood Products Incorporated (IWPI). IWPI is working for BCL (Barama Corporation limited) and has just been created to cover BCL's activities. The community is very unhappy and is being cheated by the company."

ASI's response to comments 1: "SGS investigated this issue during this annual surveillance audit, and ASI followed SGS in their investigations. SGS and ASI went to visit the Akawini and Saint Monica communities and interviewed some of their representatives. The comments received were confirmed during this visit and SGS committed to take appropriate measures to address the situation. ASI proposes CAR.SGS.FM.2006.06 to address this issue."

This means that Barama was in effect operating a shell company, IWPI. In this way it can harvest timber outside its own vast concessions. It also runs contrary to Barama's 4th and 10th premises (SN and KN 18th Jan, 2007) that the "Barama Company respects the rights of Amerindian Communities.." and "Amerindian Concerns about Barama… were effectively settled a long time ago." In effect, the State of Barama shows contempt for the State of Guyana.

Stakeholder's comments 2: "BCL has been fined for lack of payment of the 2% export tax in the export of logs coming from areas outside its own concession."

ASI's response to comments 2: "SGS investigated the issue during this audit and ASI followed SGS in their investigation. SGS and ASI went to visit the Guyana Forestry Commission (GFC) and to interview the Forestry Commissioner. The Forestry Commissioner confirmed this issue, that is being addressed officially by the GFC and that currently is being resolved."

The 'best' and 'award-wining' Company has been caught not paying its taxes and was fined. If the ordinary citizen is caught cheating on his taxes, he/she goes to jail. No Executive of Barama has been charged. Barama's premises 6 and 7 (SN and KN letters) of "Barama Commitment to Corporate reasonability" and "good management of its concession forests" are at best self-deception or questionable. Since when is it corporate responsibility/ reasonability to not pay taxes?

Stakeholder's comments 3: "National legislation does not allow subcontracting, and BCL is currently doing so by having harvesting contracts with other holders of State Forest Permissions (SFPs)."

ASI's response to comments 3: "ASI could not investigate this issue in details. See section below for ASI's response on SGS stakeholder consultation process. ASI proposes CAR.SGS.FM.2006.03 to address this issue."

Barama (by subtracting to other SFPs) shows that it can ignore the laws of Guyana with impunity knowing that there are no serious consequences or penalties for violations. The State of Barama within the State of Guyana shows who really wields power.

Yours faithfully,

Seelochan Beharry
StabroekNews