China has been on a Commodity Buying Spree over the last 4-5 Years spending around $30 Billion Dollars last year alone.Timber has been no exception has China’s Massive State Owned Companies are taking control of this commodity through Buyouts and Takeovers.Unexplored Africa has seen Massive Investments by Chinese Firms as the Chinese administration is not too picky about the Human Rights and End Use of its Money.The Continent’s Resources are mostly virgin in nature compared to the rest of the world and offers rich pickings.Shenyang Group’s buyout of GEB,Gabon’s 3rd largest Timber Company is a continuation of this policy.Earlier another Chinese firm had bought over 2 major Timber Firms.This has given China Control over Gabon’s massive forests which it is exploiting to extract Timber and Iron Ore
China’s Shengyang Group has finalized its purchase of French timber firm GEB in Gabon, completing a Chinese takeover of an industry once controlled by firms from former colonial power France.According to the deal, Shengyang will now control 1.47 million hectares of Gabonese forest and inherit the firm’s forestry equipment. Neither of the firms made any statement during the signing ceremony.
Marc Ona Essangui, a respected Gabonese campaigner who won an environmental prize last year for his work challenging Chinese plans to open an iron ore mine in the jungle, expressed concern about the environmental impact of the deals.”By the time it is noticed, it will be too late to repair the damage,” he said.
Chinese Investment Raises Environmental Concerns
Chinese Firms are not exactly renowned for their Environmental Credentials and the weak regulations in African Countries does not give them an incentive to be so.Concerns were raised about the impact of a Chinese Ore Mine in the forests of Gabon.With lax oversight and easily corruptible officials,the Damage is already Done before it can be Stopped.Africa countries in general are ruled by Undemocratic, Corrupt rulers which are willing to go along with Environmental Degradation in return for Bribes.