Za Zemiata (For the Earth), Bulgaria - FERN, Belgium – EarthLink, Germany - Worldforests, Scotland - Environmental Investigation Agency (EIA), UK - British Russian Eco-cultural Network, UK - International Rivers Network, USA/Brazil - ETK, Hungary - Robin Wood, Germany  - Global Witness – BUND, Germany - Pro REGENWALD, Germany - Friends of the Earth, Finland - EURONATURA, Portugal - CEE Bankwatch Network - Campagna per la Riforma della Banca Mondiale, Italy - Ecoprojects Foundation, Bulgaria - Friends of the Earth, Czech Republic - Estonian Green Movement-FoE, Estonia - Center for Environmental Public Advocacy, Slovak Republic - World Rainforest Movement - Friends of the Earth International– CED (Centre pour l'Environnement et le Développement), Cameroon - Friends of the Earth, France - Finnish ECA Reform Campaign, Finland – Milieudefensie/ Friends of the Earth Netherlands – ARA, Germany -  urgewald, Germany

 

Please reply to: Barbara Happe, urgewald eV,

Prenzlauer Allee 230, 10405 Berlin, Germany

Fax: +49 30 44  33 91 33, email: barbara@urgewald.de

 

European Investment Bank

President Philippe Maystadt

Fax: +352 43 79 44 74

100 boulevard Konrad Adenauer

 

L-2950 Luxembourg                                                                                                     July 18, 2003

 

 

Dear Mr. Maystadt,                                                                                                       

 

The undersigning NGOs are very concerned about the possible EIB funding of the Veracel pulp mill in the Brazilian state of Bahia. This letter provides you with information on the potential risks of the new pulp mill due to its negative impacts on people and nature. We urge you not to approve finance for this project.

 

This joint venture of Aracruz Cellulose and Stora Enso would be the largest single line bleached eucalyptus pulp mill in the world. A lot of environmental and social problems already existing in the region, will be increased with the construction of another large pulp factory. Aracruz is already one of the world’s largest producers of bleached eucalyptus pulp (2 million tons/year) and, unfortunately, is well-known for causing land rights conflicts, occupying a large area of fertile agricultural lands in the state of Espírito Santo and Bahia, preventing the land reform process and exacerbating the land concentration issue. We would like to illustrate this by drawing your attention to the following facts:

 

Ø      Last year, a parliamentarian commission was established in order to investigate irregularities in the licensing process of the new third factory of Aracruz in Espírito Santo (1). In May this year, a public hearing was held by the Brazilian Human Rights Commission of the National Parliament dealing with the problems caused by eucalyptus plantations in Espírito Santo (2). During the meetings of the parliamentarian commission and also of the public hearing, witnesses accused Aracruz of excessive pesticide use and described how eucalyptus plantations have threatened or destroyed small-scale agriculture and neglected workers conditions and rights. Other witnesses described how Aracruz has occupied the lands of local afrobrazilian “quilombolas” as well as of the Guarani Indians. As result of the public hearing in the National Parliament, a working group was established investigating the problems associated with Aracruz’s plantations.

Ø      In 1999, Aracruz applied for a certification for sustainable forestry from the Forest Stewardship Council (FSC), the only independent third party certification scheme. But due to serious mistakes of certifier SCS during the consultation process of local communities and other actors before doing the field work, and due to a lack of transparency on the part of Aracruz by denying information to civil society on the areas to be planted (maps, management documents, aims of certification, etc.), the field work of SCS was not realized without any further communication on behalf of SCS or Aracruz towards the regional civil society groups (3). This is an indication of the extent of Aracruz plantation management’s failure to guarantee sustainable, environmentally and socially responsible forestry.

Ø      Aracruz has also received negative publicity for its long conflict with the Tupinikim and Guarani indigenous peoples in Espírito Santo. The company is still occupying around 10500 ha lands with its eucalyptus plantations, which are recognized as indigenous lands in governmental studies, realized by the FUNAI (National Federal Government Foundation for Indigenous Issues) in the period 1994-1998. Only parts of the indigenous lands have been given back to the Tupinikim and Guarani after years of struggle (4).

Ø      Thousands of families have been removed from the areas occupied by Aracruz in the 70s. Several thousands of these people received no compensation (5)

Ø      The fast-growing eucalyptus plantations on Aracruz’s land have already caused serious environmental impacts on water, soil and biodiversity. Previous studies show how drinking water has been polluted and streams and soil have dried out as a result of the large-scale plantations. Through the use of enormous quantities of chemical fertilizers, pesticides and agro toxics for growing the non-native eucalyptus, Aracruz is responsible for polluting the soil, groundwater and streams, and affecting the health of local communities that depend on the local water sources for their drinking waters and workers that deal daily with the chemical products. (6)

 

Due to these facts and the negative experiences with Aracruz in the past, a broad coalition of NGOs, indigenous peoples, peasants, fisherfolk, academics and many others who are opposed to the further expansion of eucalyptus plantations have formed the “Alert against the Green Desert Movement” in Espírito Santo, Bahia, Minas Gerais and Rio de Janeiro States, that is now also struggling against the construction of the Veracel pulp mill in Bahia.

 

The proposed Veracel pulp mill in Bahia will increase the already existing social and environmental problems in the region. The proposed 900000 tons per year - mill will increase the demand for eucalyptus. Aracruz already depends on pulp from Veracel in Bahia to feed its own mills in Espírito Santo. The proposed project will have much more negative than positive effects on the regional local economy, because large-scale monoculture plantations have serious consequences and add to the unsolved problems concerning the violation of land rights, the land concentration process, the displacement of small scale agricultural use, loss of native “mata atlantica” forest, unsustainable development and environmental pollution.

Besides this, it is also important to note that almost 95 percent of the pulp from Veracel’s pulp mill will be exported. Monoculture tree plantations in Brazil serve only the interests of multinational companies and the global “needs” of the pulp and paper industry at the cost of sustainable regional development. The Veracel project also ignores political pressure within Brazil for genuine land reform and food crops production. Veracel is thus threatening the livelihoods of local communities and farmers in the region.

 

Due to the above-mentioned socially and environmentally negative impacts of large-scale eucalyptus plantations we, again, strongly urge you not to approve finance for the Veracel pulp mill.

 

Please, find attached a Declaration from the 2nd National Meeting of the „Alert against the Green Desert“ Network, a Brazilian movement struggling against the expansion of large-scale monoculture eucalyptus tree plantations in their regions in the Southeast and Northeast of Brazil. 

 

 

Yours faithfully,

 

 

Barbara Happe – Urgewald, Germany

 

Anelia Stefanova - Za Zemiata (For the Earth), Bulgaria

Berenice Muraille – FERN, Belgium

Bernhard Henselmann – EarthLink, Germany

Bill Ritchie, Worldforests, Scotland

Dave Currey – Environmental Investigation Agency (EIA), UK

Feja Mira Lesniewska - British Russian Eco-cultural Network, UK

Glenn Switkes - International Rivers Network, USA/Brazil

Ivona Malbasic - ETK, Hungary

Jens Wieting Robin Wood, Germany

Jon Buckrell - Global Witness

Klemens Laschefski – BUND, Sprecher für den Regenwald

László Maráz, Pro REGENWALD, Germany

Leo Stranius - Friends of the Earth, Finland

Luís Galrão - EURONATURA, Portugal

Magda Stoczkiewicz - CEE Bankwatch Network

Martin Koehler - Campagna per la Riforma della Banca Mondiale, Italy

Mika-Petri Lauronen / Maan ystävät - Friends of the Earth, Finland

Milena Bokova - TIME - Ecoprojects Foundation, Bulgaria

Pavel Pribyl - Hnuti DUHA/Friends of the Earth, Czech Republic

Peep Mardiste - Estonian Green Movement-FoE, Estonia

Peter Mihok - Center for Environmental Public Advocacy, Slovak Republic

Ricardo Carrere - World Rainforest Movement

Ricardo Navarro - Friends of the Earth International

Samuel Nguiffo – CED (Centre pour l'Environnement et le Développement), Cameroon

Sebatien Godinot - Friends of the Earth, France

Tove Selin - Finnish ECA Reform Campaign, Finland

Willemijn Nagel – Milieudefensie/Friends of the Earth Netherlands

Wolfgang Kuhlmann – ARA, Germany

 

References cited:

(1)    Jornal do Brazil (National daily newspaper from Rio de Janeiro). Título: O Conflito Ambiental (title: the environmental conflict). Subtítulo: Grande exportadora e beneficiária de incentivos fiscais, a Aracruz Celulose enfrenta uma CPI e vetos à expansão em três estados. (subtitle: big exporter and beneficiary of fiscal incentives, Aracruz Celulose, faces a CPI – parliamentary investigative commission – and vetos to expansion in three states). Alberto Komatsu, 14/04/2002

(2)    Correio Brasiliense (National daily newspaper from Brasília). Título: Questão de Justiça (title: matter of justice). Subtítulo: Governo investiga denúncias contra Grupo Aracruz no Espírito Santo. Ambientalistas acusam a empresa de envenenar terras com agrotóxico, desviar o curso de rios e córregos e de se apropriar de terras indígenas. (subtitle: the government investigates denunciations against the Aracruz Group in the Espírito  Santo state. Environmentalists accuse the company of poisoning lands with agrotoxins, detouring the course of rivers and streams and taking possession of indigenous lands). 13/05/2003

(3)    Internet page http://www.wrm.org.uy Plantations Campaign. Documents on certification: Aracruz certification. Accessed on 07/07/2003.

(4)    Despacho do Ministro da Justiça Iris Rezende. (Act of the Minister of Justice Iris Rezende). Processes no. 08620.1352/97 and 08620.1353/97, published in the National State Gazette (DOU) of 06/03/1998

(5)    Report on the Violation of Economic, Social, Cultural and Environmental Rights through the monoculture of eucalyptus: Aracruz Cellulose and the Espírito Santo state. FASE (Federation of Organizations for Social and Educational Assistance). Rio de Janeiro, 13/08/2002.

(6)   Master Degree thesis of Simone Raquel Batista Ferreira about Socio-Environmental Impacts of eucalyptus cultivation in the north of Espírito Santo called: Da Fartura à Escassez: a agroindustria de celulose e o fim dos territórios comunais no Extremo Norte do Espírito Santo (from abundance to shortage: the cellulose agro-industry and the end of the communal territories in the Extreme North of the Espírito  Santo state) – Federal University of São Paulo (USP),.2002.