Implementation of Timber Legality Verification System (SVLK) Policy Post Free Certification Costs in the Small-Scale Timber Products Industry in North Luwu Regency

Abstract

The Government implements the SVLK to ensure that all wood products circulating and traded in Indonesia have a credible legal status. In large-scale industries, the implementation of the SVLK system has progressed quite well. In contrast, small-scale industries have various obstacles, such as the cost of certification. In 2019 the Government facilitated the Micro, Small and Medium Enterprises (MSMEs) Industry by providing free certification. However, after the SVLK certification fee was waived, the South Sulawesi Provincial Forestry Service data stated that in North Luwu Regency, only a small number of industries already had Timber Legality Certificates (S-LK) because they were still experiencing some obstacles in its implementation. This study aims to identify the actors involved and their power relations in the SVLK certification process, analyze the response of small-scale timber forest product business license holders to the SVLK certification-free incentive policy, and analyze the factors driving and inhibiting SVLK implementation in Luwu Regency. North. This research was carried out in North Luwu Regency, and the object of the study was a timber forest product utilization business unit. The method used is descriptive qualitative and quantitative by using the FGD (Focus Group Discussion) approach. The results of this study indicate that the SVLK in North Luwu Regency has not been responded to well by business actors because the timber trade is locally originating from Community Forests and does not provide added value, so they consider SVLK unnecessary.