logoBC
Yaoundé - 26 November 2020 -
Public management

Cameroon: Vietnamese wood exporters hid over XAF170 bln of export revenues from the state in 2014-2017, report claims

Cameroon: Vietnamese wood exporters hid over XAF170 bln of export revenues from the state in 2014-2017, report claims
  • Comments   -   Monday, 16 November 2020 18:47

(Business in Cameroon) - In a report titled "TAINTED TIMBER, TARNISHED TEMPLES: How the Cameroon-Vietnam Timber Trade Hurts the Cameroonian People and Forests," two NGOs (Environmental Investigation Agency and Centre pour l'Environnement et le Développement-CED) reveal the nefarious consequences of Vietnamese companies’ logging operations in Cameroon.

“The Cameroon-Vietnam timber trade has minimally contributed to Cameroon’s revenues since financial transactions are often conducted underground, cash-based, and misdeclared. Between 2014 and 2017, exporters from Cameroon reported US$308 million less than importers in Vietnam,” the report reveals.  

This means that over the 3-year period, Vietnamese wood exporters operating in Cameroon exported over XAF170 billion of raw timber (which constitutes the bulk of wood exports from Cameroon to Vietnam, according to the report) leaving no trail. As those hidden transactions are not showing in companies’ turnover, they could not be included in the tax collected by Cameroonian authorities.

According to the authors of the above-mentioned report, this practice is not the only malpractice carried out by Vietnamese loggers operating in Cameroon. "The exploding Cameroon-Vietnam timber trade relies on shocking schemes and illegal activities," such as “Widespread Violation of Export Law,” “Illegal Harvest and Disregard for National Parks” and “Laundering Operations Covered by Paperwork.”

To meet the requirements of Vietnamese authorities, trading companies have focused their efforts on obtaining Cameroonian paperwork while disregarding the actual origin of the timber placed on the Vietnamese market,” the report explains.

In just a few years, Vietnam has become the second-largest market for Cameroonian timber (after China), while Cameroon has become the largest supplier of tropical logs to Vietnam (accounting for 25 percent of the logs imported between 2016 and 2019, in value). In Vietnam, Cameroonian logs have replaced the Southeast Asian species that previously filled the market,” thanks to those unorthodox practices, it continues.

Brice R. Mbodiam

cameroon-loses-over-xaf63-2-bln-to-corporate-tax-abuses-every-year-the-report-estimates
“The State of Tax Justice 2020: Tax Justice in the time of COVID-19. ” This is the title of a report recently published by three NGOs (the Global Alliance...
cameroon-minpmeesa-organizes-workshop-to-improve-the-marketability-of-artisan-products
On November 19, 2020, in Yaoundé, the Minister of SMEs, Social Economy, and Handicrafts (Minpmeesa), Achille Bassilékin III, chaired a workshop aimed at...
piccini-opposes-the-auction-of-containers-it-left-at-olembe-stadium
In a statement issued on November 24, 2020, the Italian company Piccini (withdrawn from the construction of the Olembé stadium) opposed the auctioning of...
cameroon-unlawful-use-of-fm-broadcast-bands-threatens-air-navigation-the-minpostel-indicates
On November 23, 2020, in Yaoundé, (at the opening of the 23rd, 24th, and 25th ordinary sessions of the Inter-ministerial Committee for the Assignment of...

Mags frontpage


Business in Cameroon n93: November 2020

Cashew, Cameroon’s new source of revenues


Covid 19 : “Making the team’s health a priority”


Investir au Cameroun n103 Novembre 2020

L’anacarde, la nouvelle source de recettes du Cameroun


Covid 19 : « La santé des équipes avant tout »