Study Human Rights And Biharis In Bangladesh Politics Essay

Study Human Rights And Biharis In Bangladesh Politics Essay Refugee problem is an uprising problem in the concurrent world. The Refugee can be made by many ways. The truth is that nobody wants to be a Refugee. But the circumstance made them to become Refugee. These circumstances are sometime created by human beings and sometime it happens by the act of NATURE. The Human Rights of Refugee people are violating in many ways. Sometimes it is seems that Refugee people are not more then a group of people without foods, shelter, clothing and many other necessary things. This make their life same as living in hell. Bangladesh achieved independence from Pakistan in 1971. After liberation war, a considerable number of non-Bengali citizens in Bangladesh, identified as the Biharis who opposed the liberation of Bangladesh, sought to go to Pakistan but could not do so due to complication in the repatriation process. These people are called Stranded Pakistanis or the Bihari Community.  [1]  According to one report, the community is comprised of over 300,000 yet it is not recognized with a clearly defined identity.  [2]  They have been living in 66 squalid camps with poor facilities scattered in several areas of Bangladesh for more than three decades.  [3]  Although they are residing in refugee camps, the United Nations High Commissioner for Refugees (UNHCR) does not recognize them as refugees. Therefore, they are deprived of the benefits and opportunities extended to the refugees by the UNHCR. Therefore, the stranded Biharis in Bangladesh face multiple problems. The main object of this paper is to observe the status of the Bihari people in Bangladesh, highlight the socio-political impact of their statelessness. The central view of the paper is that the Bihari community in Bangladesh is an artificial minority and they are deprived of Human Rights because they are considered as they are not part of Bangladesh, but yet living there as unwanted refugees. The unresolved status of the Biharis is a result of intentional procrastination and political indecision on the part of both Bangladesh and Pakistan. The analysis of the Biharis Human Rights problem is divided into two following sections. The first section discusses the background to the Biharis problem and their political status in Bangladesh. The second section discusses the socio-political conditions of the Bihari community in Bangladesh. Ill focus three of Rights according to Martha C.Nussbaums CENTRAL HUMAN FUNCTIONAL CAPABILITIES, these three rights are 1. Rights of Bodily health,2. Affili ation, 3.Play. And here the present Human Rights situation of Biharis will be cleared in our eyes. 2.Meaning of the term Artificial Minority: The term artificial minority requires an explanation. The term minority is defined in a number of ways. According to the American Heritage Dictionary of the English Language, a minority is an ethnic, religious, or other group having a distinctive presence with little power or representation relative to other groups within a society. Here is another meaning of Minority  [4]   1) a. The smaller in number of two groups forming a whole. b. A group or party having fewer than a controlling number of votes. 2) a. A racial, religious, political, national, or other group thought to be different from the larger group of which it is part. b. A group having little power or representation relative to other groups within a society. c. A member of one of these groups. 3) Law. The state or period of being under legal age:  still in her minority. In municipal and international legal systems, minority denotes a particular meaning. The term minority was first legally defined by the Sub Commission on Prevention of Discrimination and Protection of Minorities in 1977 in Article 27 of International Covenant of Civil Political Rights (ICCPR) of 1966. The article notes: Minorities are considered to be a group numerically inferior to the rest of the population of the state, in a non-dominant position, whose members being citizens of a state, possess ethnic beliefs or linguistic characteristics differing from the rest of the population and show if only implicitly, a sense of solidarity directly towards preserving their culture, traditions, religions or language. According to this definition, the shield of minorities is linked to the criteria of Citizenship/nationality, which is usually supported by legal definitions in charters and covenants. Scrutiny of these definitions shows that the term minority is a combination of five elements: (1) number, (2) subordinate status, (3) ethnic or religious or linguistic traits, (4) a will/wish to safeguard or preserve or strengthen the patterns of lifestyle, and (5) in some cases citizenship. The Bihari society in Bangladesh also has the minority distinctiveness outlined in the definitions provided earlier. They are ethnically different as they speak in different language. Internally they maintain Bihari cultural values in their social life. Due to these characteristics, they maintain a special ethnic identity despite practicing the religion of the Bengali majority. Yet, the Bihari community in Bangladesh is not considered a minority group. The Biharis have been given a peculiar status which is artificial, that makes them neither refugees nor minorities. It is artificial because it is a product of an historical legacy of 1947, and of a political context of 1971, which made them live in artificially designated areas (camps) under international agreement. Yet they are factually a minority because they are insignificant in number. This arrangement separated them from the rest of the society and gave them an artificial identity. 3. Theoretical Overview: *Definition of Refugee: Those who flee their own countries looking for of protection abroad do so specifically because their human rights are at risk in their own country. To decide that an individual has a well-founded fear of persecution is in effect to conclude that one or more of his or her basic human rights are not being respected.( It is hard to define that violation of which rights may led a man or a group of people to become Refugee. Sometime violation of Political rights, sometime social rights, sometime want of basic needs may make them Refugee). Similarly, to determine that groups of people fleeing conflict or serious disturbances of the public order are prima facie refugees is in most cases to acknowledge that they are victims of violations of human rights or humanitarian law. According to the general definition contained in the 1951 Convention, a refugee is a person who: As a result of events occurring before 1 January 1951 and owing to well-founded fear of being persecuted is outside his country of nationality (The 1951 dateline originated in the wish of Governments, at the time the Convention was adopted, to limit their obligations to refugee situations that were known to exist at that time, or to those which might subsequently arise from events that had already occurred) The   Convention Relating to the Status of Refugees, 1951 as amended by the 1966 Protocol, denoted the definition of Refugee as,-A person who, owing to well-founded fear of being persecuted for reasons of race, religion, nationality, membership of a particular social group or political opinion, is outside the country of his nationality and is unable or, owing to such fear, is unwilling to avail himself of the protection of that country; or who, not having a nationality and being outside the country of his former habitual residence, is unable or, owing to such fear, is unwilling to return to it. According to the Convention Governing the Specific Aspects of Refugee Problems in Africa,1969 the definition of Refugee isà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. à ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. the term refugee  [5]  shall mean every person who, owing to well-founded fear of being persecuted for reasons of race, religion, nationality, membership of a particular social group or political opinion, is outside the country of his nationality and is unable or, owing to such fear, is unwilling to avail himself of the protection of that country, or who, not having a nationality and being outside the country of his former habitual residence as a result of such events is unable or, owing to such fear, is unwilling to return to it. à ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. refugee  [6]  shall also apply to every person who, owing to external aggression, occupation, foreign domination or events seriously disturbing public order in either part or the whole of his country of origin or nationality, is compelled to leave his place of habitual residence in order to seek refuge in another place outside his country of origin or nationality. The Organization of American States, 1985 view A Refugee as- Persons who have fled their country because their lives, safety or freedom have been threatened by generalized violence, foreign aggression, internal conflicts, massive violations of human rights or other circumstances which have seriously disturbed public order. Many states give priority to refugees in the acceptance of applicants for immigration and on that basis, qualification as a refugee is essential. In  Ward v Canada, Canadas Supreme Court spoke of that: rationale underlying the international refugee protection regime, for this permeates the interpretation of the various terms requiring examination.   International refugee law was formulated to serve as a back up to the protection one expects from the state of which an individual is a national.   It was meant to come into play only in situations when that protection is unavailable, and then only in certain situations.   The international community intended that persecuted individuals be required to approach their home state for protection before the responsibility of other states becomes engaged. as surrogate or substitute protection, activated only upon failure of national protection. In that decision, the Court also clarified that the state from which refugee status was being sought, needed not to be complicit in the alleged persecution or the well-founded fear What exactly must a claimant do to establish fear of persecution? The test is bipartite: (1) the claimant must subjectively fear persecution; and (2) this fear must be well-founded in an objective sense. In summary, it is apparent that the refugee have to be outside his or her country of origin, and the fact of having fled, of having crossed an international frontier, is an basic part of the quality of refugee, understood in its ordinary sense. However, it is not necessary to have fled because of fear of persecution, or even actually to have been persecuted. The fear of persecution looks to the future, and can materialize during an individuals absence from their home country, for example, because of prime political change. * Human Rights; In view of Nussbaum: Martha C. Nussbaum  [7]  in her well renowned book, Women and human Development, The Capabilities Approach she has described some rights which are important for a human to live as a human in a society. The most important feature of her theory is the central human functional capabilities. These are as following: CENTRAL HUMAN FUNCTIONAL CAPABILITIES  [8]   1. Life. 2. Bodily Health. 3. Bodily Integrity. 4. Senses, Imagination, and Thought. 5. Emotions. 6. Practical Reason. 7.  Affiliation. 8. Other Species 9. Play. 10.  Control over ones environment.  (A)  Political: (B)  Material: To discuss the situation of Biharis well only focus on the three of these rights. These are 1. Life. 2. Bodily Health. 3. Affiliation. 4. Historical Back ground : During the Partition of British-India in 1947, around one million Urdu speaking Muslims from the present day Indian provinces of Bihar, West Bengal, Assam, Orissa, Nagaland, Manipur, Tripura ,Sikkim, Uttar Pradesh, Madhya Pradesh and Rajasthan moved to East Pakistan, which later became Bangladesh.  [9]  Their movement to East Pakistan was occurred in the wake of communal brutality during and in the consequences of the partition (for example, 30,000 Muslims were killed in the Great Bihar Killing in October-November 1947) and to preserve their Islamic way of life.  [10]  , About a million of them migrated to the eastern wing of Pakistan (East Pakistan)  [11]  . They also saw Hijrat (migration) as an escape from the possibility of living in a Hindu majority India.  [12]  To their disappointment, when they arrived in East Pakistan, leaving behind their possessions, their familiar environment and professions, they felt divided in the new society in terms of language, custo ms, traditions and culture. Although speakers of Pakistans official language, Urdu, they found themselves as a minority in the majority Bengali-speaking East Pakistan. These differences resulted in the Biharis identifying with West Pakistan whose dominance over the Pakistani state assured them of receiving greater privileges from the Central Government. While Bengalis were overwhelmingly employed in the agricultural sector, the Biharis, as full citizens of Pakistan, came to be occupied in the industrial sector, small business, trade and commerce. The Bihari community never assimilated with the local people and maintained alliance with the West Pakistani regime against the interest of the Bengali people. They supported the adoption of Urdu as the official language in East Pakistan, where the language of the majority was Bengali, and opposed the Bengalis language movement in 1952. They also supported the issues of United Pakistan in the national and provincial elections in 1970.  [13]  During 1971 Bangladeshi war of independence, the Biharis as Urdu-speaking people of non-Bengali origin, collaborated with the West Pakistani regime and opposed the Bangladeshi freedom movement. When Bangladesh finally achieved freedom, Bihari people wanted to go to West Pakistan, but could not do so at once due to complication in repatriation process. This situation left them abandoned in Bangladesh. They were promised of repatriation to Pakistan, but this promise was never fully materialized. 5. VIOLATION OF HUMAN RIGHTS IN VARIOUS SPHERE * Identity crisis of the Biharis in Bangladesh: The stranded Biharis in Bangladesh are suffering from identity crisis. In Bangladesh, they have three different statuses, according to their present stand. First, they are considered as foreign (Pakistanis) that are stranded. They have been temporarily accommodated in refugee camps, but they are not regarded as refugees in the conventional sense. According to the Article 6(A) (1) of the Statute of UNHCR and Article 1(A) (2) of the Refugee Convention 1951, a refugee is a person who belongs to the following three criteria: (a) The person is outside the country of his nationality, or in the case of Stateless persons, outside the country of habitual residence; (b) The person lacks natural protection; and (c) The person fears persecution. All these three criteria are apparently applicable to the Biharis in Bangladesh. However, According to the cessation clauses of the 1951 Convention and the UNHCR Statutes of 1950, a person shall stop being a refugee if, among others: (1) h/she has voluntarily re-established him/herself in the country which h/she left or outside which h/she remained owing to fear of persecution, The case of the Bihari Muslims is covered by this clause. Because, firstly, they voluntarily migrated to East Pakistan in 1947 from India; and secondly, in Pakistan they enjoyed protection by the state and were full-fledged citizens after 1951 according to Section 3(d) of the Pakistan Citizenship Act, which reads: At the commencement of this Act every person shall be deemed to be a citizen of Pakistan who before the commencement of this Act migrated to the territories now included in Pakistan from any territory in the Indo-Pakistan sub-continent outside those territories with the intention of residing permanently in those territories. Many of the people of Biharis who are over 40 years old like to address themselves as a Pakistani. Because the voted for Pakistan (In the election held in 1970). They fought for Pakistan,( During the liberation war held in 1971).And they believe that they have more similarity between Pakistanis than Bangladesh. Therefore, the case of the Biharis was not viewed a refugee situation after the partition of 1947, as they were changed and naturalized in their newly demarcated territories. The question of the Biharis becoming refugees had arisen when Bangladesh became independent from Pakistan. All of a sudden, these people became stateless as they identified themselves as Pakistanis. On the one hand, they were not refugees as they were not displaced from their place of residence, and on the other hand, they were stranded outside of their country where their status remained unrecognized. Secondly, these complexities have given rendered the Biharis in Bangladesh a peculiar status, which can be called artificial minority, which gave them second type of identity. The term was discussed before. According to these definition, the protection of minorities is linked to the criteria of Citizenship/Nationality, which is usually supported by legal definitions in charters and covenants. According to the Council of European Commission for Democracy Through Law (CDL) a minority is: A group which is smaller in number than the rest of the population of a State, whose members have ethnic, religious or linguistic features different from those of the rest of the population, and are guided, if only implicitly, by the will to safeguard their culture, traditions, religion or language. Any group coming within the terms of this definition shall be treated as an ethnic, religious or linguistic minority.  [14]   In this definition, the requirement of citizenship has been omitted because citizenship should not be a requirement for basic human rights. The Bihari community in Bangladesh also has the minority characteristics outlined in the definitions provided earlier. They are ethnically different as they speak in different language. Internally they maintain Bihari cultural values in social life. Due to these characteristics, they maintain a different ethnic identity despite practicing the religion of the Bengali majority. Yet, the Bihari community in Bangladesh is not considered a minority group. The Biharis have been given a peculiar status, which is artificial, that makes them neither refugees nor minorities. Thirdly and Finally, The Biharis are considered as the citizen of Bangladesh. Because according to the existing citizen laws  [15]  of Bangladesh The people who are residing in Bangladesh from 26th March, 1971 will be considered as the citizen of Bangladesh. But before the election of 29th December,2008 no Biharis were considered as eligible for voting. Because the Biharis were thought as non-citizen in all the sphere of the government. After a historic judgment the High Court of Bangladesh has declare them as eligible for the voting.  [16]   As noted earlier, due to their crisis of identity, the Bihari people are deprived of both citizenship privileges as well as refugee benefits from the international community. The consequence is that they have to shoulder the impact of this unwanted and unresolved identity in their social, political and economic life. Here we can see that Bihari people have no socio-political identity except an ethnic recognition. The actual identity of these people should be as BANGLADESH As per the Nationality laws of Bangladesh. Martha Nussbaum said about this matter in her capabilities approach in number  [17]  7,  Affiliation.  . .Being able to live for and in relation to others, to recognize and show concern for other human beings, to engage in various forms of social interaction; being able to imagine the situation of another and to have compassion for that situation; having the capability for both justice and friendship. . . . Being able to be treated as a dignified being whose worth is equal to that of others. If we compare this term with the situation of These Biharis well find that here all of these are violated. So, it is necessary right now to define the political and social identity of these Bihari people. ** Population of Biharis: Over population and population density are two primary problems in the refugee camps. Since 1971 the community people has almost doubled in number due to high birth rate in the camps.  [18]  According to a survey report in 1992, the demographic figure of this community was 238,093 in 66 different camps throughout Bangladesh (Table 1). The number of residents has farther risen over time and that created extreme population density, as the number of camps remained unchanged since their construction in 1972.  [19]  Presently, it is reported that the demographic figure is approximately 300,000 people.  [20]  However, no proper survey has been done recently. The following map shows the geographical distribution of the Bihari camps in Bangladesh. The living conditions in these overcrowded camps are very squalid. Families of seven to ten members share a small eight by ten feet living space.  [21]  Being frustrated with the camp life, sometimes the Bihari people escape from th e camp and try to integrate themselves within the local community. Among them, very few are fortunate enough to survive and ultimately become able to give their children education. In most cases, they fail to survive by themselves and eventually return to the camps due to their inability to adjust to the social and economic conditions. Here we can see how these people are deprived from an important human functional capabilities mentioned by Nussbaum. The second human capability  [22]  is Bodily health . . .  Being able to have good health, including reproductive health; being adequately nourished . . . ; being able to have adequate shelter . . However, living in such densely cannot ensure these rights. Yes, it is true that Bangladesh is a over populated country. In addition, almost everywhere, the density is same, but at least the government can give them a chance to live as other people of Bangladesh. ***Health ,Sanitation and Medical Care The living atmosphere of the camps is very awful. It is unhealthy, dirty, damp and unhygienic. The camp authorities are neither able nor serious to maintain a healthy sanitation facility. The drainage system is tremendously poor, which causes water logging very easily. Therefore, contagious diseases especially diarrhea and dengue are very common. This condition exists in other camps throughout the country. The municipalities/City Corporation cleaners never enter the camps to clear the garbage. It is only when the camp-dwellers drop their garbage in the dustbins outside the camp, that the City Corporation cleaners will take them out. In addition, the entire camp people share a few common bathrooms and toilets, which are very few compared to the number of people .  [23]   Most of the time they need to queue to get their turn. Furthermore, both male and female alike share the same facility, which creates problems for the females. There is no privacy for the females either in toilet or shower facilities. At night, when young ladies need to visit toilet, they take their parents or someone else as their guard. Most of the toilets are without shade, and people need to stand in line for their turn. In the shower rooms, women sometimes have to wait for hours to take bath in groups of three or four. Moreover, there is an sensitive scarcity of safe drinking water in every camp. Deep tube well is the key source of water in camps, but there is also acute shortage of tube well in every camp. Therefore, water born diseases, like cholera, typhoid and skin disease are endemic. The medical assistance for the Refugee people is too poor.. There is only one medical clinic (Al-Falah Model Clinic) in the camp of Dhaka, which is poorly equipped. Moreover, in some cases, camps do not have a single medical clinic. As a result, infant mortality due to lack of medical care is quite common. Three out of every five newborns die before reaching the age five. Likewise, reserve to proper medical facilities make women vulnerable to unsafe delivery, chronic diseases like polio, Sexually Transmitted Diseases (STD) and other health problems. Many women die every year without getting proper medical care. As these people are very poor, they cannot afford to take medical facilities from other government and private institutions. Here we can see that the first condition of human capabilities  [24]  Life. . .   Being able to live to the end of a human life of normal length . . . ; not dying prematurely . . . is very not in work for these camp living people. 6. Some Proposal: From the overall study about vulnerable situation of Biharis and The Central Human Capabilities, I think that following steps should be taken and must be implemented as early as possible. The government of Bangladesh must give the recognition of Biharis. Moreover, at the same time government should take some initial that can ensure the social and political freedom of Biharis. Moreover, Beharis are the citizen of Bangladesh as per the citizen laws of Bangladesh and the historical background of Biharis reveals them as the citizen of Bangladesh. Therefore, the main thing is that they should be treated as same as a usual citizen of Bangladesh. The camps must be removed and the status of the Biharis as Refugee should be eliminate. They should given the same opportunities as a people of Bangladesh. In addition, as they are an underdeveloped community, they should given some priority in every sphere of life. The Biharis must be allowed to move freely and to settle anywhere of Bangladesh. Moreover, the person who wants to go to Pakistan for that they think that they are citizen of Pakistan, the movement must be also allowed and the proper diplomatic and political steps should be taken with honesty. The health and medical facilities should be increased and the people must be provided with the basic lessons of health and hygiene. And the education facilities also needed to be available for the Behari people.. The safe drinking facilities must be increased so that the safe water is available for every one in the camp. 7. Conclusion:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  In  Women and Human Development, Martha Nussbaum attempts to move the theoretical terrain on which international development policy is currently situated. In doing so, she constructs a universalistic feminist philosophy based on central human capabilities that, if met, would provide the minimum threshold essential for the progress of all people. In place of cultural relativism and aggregated conceptions of the good put forward by utilitarian economics, Nussbaum proposes a set of interconnected and indivisible capabilities, conceived as human rights, which offer moral guidance for the development of political principles that can be translated into constitutional guarantees. The capabilities provide individuals with opportunities for functioning, for making self-defined choices possible.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Nussbaums chief objective is to place these spheres of choice beyond the whim of majoritarian politics by translating them into constitutional guarantees. For her, the political goal of justice, of meeting the threshold for each capability, supersedes libertyoutweighing and morally constraining choices that conflict with the central principle of political liberalism: do no harm to others. Ensuring equal access to the central capabilities, she argues, should constrain all economic choices  [25]  Individual and collective choices that result in differential access to the capabilities, she argues, ineluctably violate this governing principle.     Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Because the exercise of certain types of functioning in childhood are an essential precondition to developing a mature adult capability, Nussbaum argues that the state has a compelling interest in any treatment of children that has a long-term impact on these capabilities  [26]  Thus, it is imperative that children be given genuine opportunities to exercise capabilities that are vital to their functioning as future citizens.     Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  In addition to material prerequisites, actual functi

Maturation in Bless Me, Ultima Essay -- essays research papers

In Bless Me, Ultima, Rudolfo Anaya defends the assertion, â€Å"for in much wisdom there is much grief, and increase of knowledge is increase of sorrow,† from Ecclesiastes. Tony endures many trials throughout the novel, therefore increasing his knowledge of life but also increasing his grief and sorrow. After witnessing Lupito’s death, Tony realizes that people are not always what they appear to be. Tony also begins to question his religion because of trials in the novel, some of which include Lucas’ cure and the sighting of the golden carp. In his trek during the blizzard, Tony learns of his brother’s sinful doings and he witnesses the death of a good man. Tony gains much knowledge in these scenes, but, unfortunately, with this knowledge comes grief. Lupito’s death marks the first scene in the novel in which Tony’s grief is a direct consequence of his knowledge. Tony’s naivetà © causes him to take people at their face value, not realizing that they may not be as they seem. Narciso is the town drunk, yet he is the only man on the bridge that maintains his common sense. â€Å"’I...

Indonesian Economy: Asia Pulp and Paper

Indonesian Economy Asia Pulp and Paper A short strategy analysis of APP mission , vision and strategy Indonesian Economy Asia Pulp and Paper A short strategy analysis of APP mission , vision and strategy Summary Introduction2 I. company overview3 II. APP’s financials, environment issues and mattel4 1. APP’s financials 2. Environment issues 3. Mattel III. The challenges and recomanded strategy7 1. The challeges 2. Recommandations IV. APP, a company to watch9 Conclusion10 References Introduction Corporate governance refers to the control of the firm, its ownership structure, and the disclosure quality. It was widely discussed in relation to the Asian crisis in 1997-98, because poor firm performance was assumed to be related to bad corporate governance . In particular, the East Asian economic model was said to reveal a â€Å"crony capitalism†, with the presence of numerous family-controlled groups, a high ownership concentration, a weak public governance, and poor monitoring of bank loans . The group Asia Pulp & Paper (APP) expanded impressively in the 1990s and became the largest pulp and paper producer in Asia outside Japan, and one of the top ten producers in the world. It attracted investors from all over the world in a context of â€Å"Asian miracle†, and because the giant pulp mills built in Indonesia were assumed to produce at the lowest cost in the world . Surprisingly, the group announced a debt standstill on $13 billion in 2001, the largest default for a private group in an emerging country At the same time, it was revealed that the industrial capacities had expanded at a much faster pace than the forest plantations, thus representing a high risk that operations would not be sustainable. Available studies showed the apparent lack of rationality in the decisions of the group, and the critical situation it faces from both financial and wood supply points of view. However, another explanation would be more convincing, which is based on the very rational behaviour of the ultimate owners of the group. This rationality being related to their ability: to increase their control of the decisions and accounts compared to their direct financial investments, to finance the expansion mainly with debts in order to reduce their own risks and to maximize their short-term profits, ,to benefit from a lax public governance context and a free access to natural forests for supplying fiber to the pulp mills. APP's trajectory has not been clean of obstacles , so with the tools provided by the theory strategy and organizational management we ‘re going to try to find the  «Ã‚  good  » way to manage that company . This is important because APP's default has attracted much attention so far, and the resolution of the case will impact on the willingness of foreigners to invest back in Indonesia. I. Company overview Asia Pulp and Paper (APP) has its roots in 1972, when the company Tjiwi Kimia was founded by Eka Tjipta Widjaja as a small caustic soda manufacturer. In 1978, Tjiwi Kimia commenced paper production of 12,000 tons/year. In December 1976, Indah Kiat was formed as a joint venture between CV Berkat (an Indonesian company), Chung Hwa Pulp Corporation and Yuen Foong Yu Paper Manufacturing Company Ltd. from Taiwan. In April 1979 Indah Kiat Tangerang mill’s Paper Machine 1 and 2 started with a production of 100 tons/day of wood free paper. By March 1984 Indah Kiat Perawang mill’s Pulp Machine 1 started producing bleached hardwood kraft pulp with an initial capacity of 250 tons/day. In May 1986 Sinar Mas Group acquired 67% of Indah Kiat’s total shares. Chung Hwa and Yuen Foong Yu had 23% and 10% shares respectively. In 1987 the first cast coating machine installed at Tjiwi Kimia, and in April 1990 Tjiwi Kimia was listed on the Jakarta and Surabaya Stock Exchange. In 1991 Tjiwi Kimia’s PM 9 started operation with an annual capacity of 207,000 tons. The following year Indah Kiat acquired PT Sinar Dunia Makmur, a manufacturer of industrial paper located in Serang with a 2. roduction capacity of 900 tons/day. jiwi Kimia commissioned the Carbonless Paper Plant in March 1993, an experiment The company Pindo Deli under control of APP in Feb. 1994, and by 1997 its paper machine #8 and #9 would both have begin operation with production capacity of 240,000 tons per year. In 1998, paper machine #11 started tissue production in Pindo Deli with annual production capacity of 400,000 tons started to operate. APP-China began investing in China in 1992, with an emp hasis on the Yangtze and Pearl River Deltas. APP-China's pulp and paper mills now include Ningbo Zhonghua, Goldeast Paper, Ningbo Asia, Gold Huasheng, Gold Hongye, and Hainan Jinhai Pulp and Paper. APP-China was registered in Singapore in October 1994. APP-China employs over 37,000 people and created 5,000 new jobs in 2009 II. APP’S Financials, Environment issues and Mattel 1. APP’s financials Growth of the pulp and paper industry in Indonesia mainly came from leverage, which drove returns on equity ever higher. International financial institutions had played a central role in supplying the finances for APP. Its assets totaled US$17. billion, of which shareholders had financed 25 per cent (the most important shareholders being the Widjaja family, and the American fund managers, Franklin Templeton Investments and Capital Group), bondholders 38 per cent and banks 20 per cent. Over 300 international financial institutions, including many leading financial institutions (e. g. , investment banks in the U. S. , The Neth erlands, Switzerland and Germany) and export credit agencies were among those heavily involved in providing and guaranteeing this finance over the 10 years prior to 2001. Among the private financial institutions were Barclays Bank, NatWest, Morgan Stanley Dean Witter, Credit Suisse First Boston, Goldman Sachs, Franklin Templeton, Capital Group, Merrill Lynch, Bank of America, Deutsche Bank, ABN Amro and Bank of China. The use of financial â€Å"mark-up† practices – that is, the artificial inflation of the cost of an investment project – had allowed some pulp and paper products to secure much larger amounts of financing for their projects than they actually needed. In fact, financial institutions queued up to invest in the Indonesian pulp and paper companies because they perceived that they had a competitive advantage due to their access to cheap raw material resources. The situation turned difficult for APP in April 2001 when it announced that it had failed to include a US$220 million loss on two currency swap contracts in its financial statements, quickly followed by an official announcement that earlier financial statements for 1997 to 1999 â€Å"should not be relied upon†. A confidential 2,000-page report from KPMG released in July 2001 listed questionable transactions and accounting entries made in 1999 and 2000 by APP’s four Indonesian entities, and noted $1. 6 billion in provisions for doubtful debts, reclassification of receivables as well as a $672 million in derivative losses from various APP units. Other transactions, including $457 million in guarantees for non-APP companies, brought the total amount in the â€Å"questionable† category to $4. 41 billion. 2. Environment issues APP-China invested over 300 million RMB in environmental conservation facilities and activities in 2009 alone, and had invested over 5 billion RMB in environmental protection by 2009. APP-China inn 2009 also achieved 100% treatment of its solid waste from its six major pulp and paper mills. APP-China was honored in 2009 with the â€Å"Award of Contribution to Low Carbon Business (Multinational Corporation)† at the first meeting of the Low Carbon Forum hosted by the National Committee of the Chinese People's Political Consultatative Committee (CPPCC) and the China Association for Science and Technology. APP-China also received the â€Å"Green China Campaign-2009 Scientific Development of Forest Plantation Special Award† by the China Green Foundation and the State Bureau of Forestry, Center for Economic Development Research. Further, APP-China received the â€Å"2009 Scientific Forest Plantation Development Award† by the China Green Times. In November 2007, Forest Stewardship Council (FSC) decided to rescind the rights of APP to use their logo, following pressure from other FSC Stakeholders, and a new policy approach by FSC Board of Directors. A investigation published in March 2008 by an environmental coalition called Eyes on the Forest showed evidence of a new road built by APP, heading through the Kampar peninsula, one of the world's largest contiguous tropical peat swamp forests, with more carbon per hectare than any other ecosystem on Earth. The investigation found tracks on the new road of the critically endangered Sumatran Tiger, whose wild population has been reduced to less than 500 individuals. APP claimed that it was building this state-of-the-art, paved highway for the benefit of the local communities, though satellite imagery shows that the road does not go anywhere near the two settlements. 3. Mattel On June 8, 2011, Greenpeace launched â€Å"Barbie, It's Over†, an international campaign criticising Mattel's use of Asia Pulp & Paper's products in its packaging, particularly in its line of Barbie products. Within two days of the campaign's start, Mattel ordered its packaging suppliers to stop buying from Asia Pulp & Paper pending an investigation into Greenpeace's deforestation allegations, and further ordered its suppliers to report on how they source materials. Asia Pulp ; Paper welcomed Mattel's response, believing that Mattel's investigation would conclude that its â€Å"packaging materials are more than 95% recycled paper sourced from around the world. † On October 5, 2011, Greenpeace announced that Mattel stated that it would no longer purchase pulp and paper products from Asia Pulp ; Paper due to the effects that its logging practices had on the Sumatran tiger population III. Challenges and recommanded strategy 1. The challenges The Strategy Group has identified many significant challenges facing the ndustry, including: * loss of demand for its products due to the consequences of the global financial crisis in late 2008 and early 2009 * increased consumer and business use of digital communications, resulting in a slowing of the growth in consumption of paper-based communication, including newspapers * increased competition from cheaper imports, often using fibre from unsustainable sources, resulting in an uneven international pl aying field * projected shortages in available wood-based fibre to provide feedstock for existing pulp and paper facilities, especially due to limits on timber plantation establishment * escalating costs of key industry inputs, especially electricity, and limitations on the ability of the industry to capitalise on its innate energy generation capability * level of investment has been low—those mills lacking investment are facing closure while others which have continued or increased investment have become automated and more efficient * he growth of China, India and other emerging economies such as Indonesia, which is significantly altering the traditional supply and demand dynamics for paper products * the low level of R;D by Australia’s pulp and paper companies affecting the level of innovation and international competitiveness they can achieve * government and community responses to climate change, affecting all industries in Asia, including the pulp and paper indust ry 2. Recommandations Recommendations can be grouped into four major themes: innovation, investment, sustainability and productivity. The first recommendation is fundamental to the entire strategy and stretches across all four themes. It deals with the government’s commitment to the long-term viability of the pulp and paper industry in Asia and its workers. Asian Government( China, Japan, Singapour,indnesia) make a clear public statement supporting the value and long-term viability of the Asian pulp and paper industry, recognising the industry’s commitment to good environmental outcomes and its key role in the provision of economic and social opportunities for thousands of Asian, many in vulnerable regional communities. Innovation A Pulp and Paper Industry Innovation Council shloud be established and appropriately funded to build a culture of innovation in the industry. The Innovation Council will recognise Asian’s competitive strengths in fibre production, product innovation and renewable energy, and focus on long-term issues facing the industry. Investment The asian Government establish a plantation investment model that delivers the re-establishment and expansion of timber plantations to underpin existing processing industries or led to the creation of new processing industries in asia . Sustainability The Australian Government work with industry to support internationally recognised forest certification schemes (including the Indonesian Forestry Standard, the Programme for the Endorsement of Forest Certification and the Forest Stewardship Council’s certification scheme) that provide for legal and sustainable forest management which ensures transparency, accountability and global and local consistency of application. Productivity Noting the significant price increases associated with the exercise of generator market power in the National Electricity Market, the Ministerial Council on Energy should accelerate efforts to improve competition in the wholesale electricity market, including by increasing penalties and developing rule changes to limit the exercise of generator market power. The Asian Government should support workforce planning and development initiatives that underpin future economic opportunities for the pulp and paper industry and its workforce. IV. APP, a compa ny to watch APP is a company more in the news than not, and for some good reasons; it has a well known plan to be the Number 1 pulp and paper company in the world; it operates in one of the â€Å"hottest† regions, Indonesia, when it comes to the NGOs focus on deforestation and climate change; it has a strategy of organic growth that includes the installation of the biggest and very best and in pulp and paper technology: and a strategy of acquisitive growth that will probably put it firmly in the RISI headline news stakes even more regularly next year. With its bold mission to be the number 1, APP is going to have yet another tough year in 2011 as it comes under even closer scrutiny regarding its forestry and plantation operations in Indonesia. Indeed 2010 saw a ramping up of NGO activity aimed against the company, particularly from Greenpeace, in which it published a series of reports highlighting alleged environmental transgressions, as well as naming some of the major brands around the world that were buying the company's products. APP in return commissioned a series of independent reports, including one by former Greenpeace founder Dr Patrick Moore, refuting the allegations. But perhaps the real reason this company is one of our Five to Watch for next year is its seemingly unstoppable progress, with new expansions in both pulp and paper too numerous to mention, including the start up of the world's biggest fine paper machine located on Hainan Island, China. One of the main areas of interest is where all the fine paper that APP is producing is going to go as duties have now been imposed in both the US and Europe on fine paper coming in from China. Duties are also now being talked about in Brazil and India as anti-dumping fears in those countries come to the fore. Another major development on the horizon is APP's aggressive acquisition strategy abroad through its subsidiary Paper Excellence based in Holland which has already seen it buy up four pulp mills, two in France and two in Canada. Could we see APP making an acquisition of a major European or US pulp or paper company in 2011? Conclusion APP’s trajectory since the early 1990s has been very impressive for several reasons. Focusing at first on Indonesia to develop a pulp and paper empire in order to become one of the top ten producers in the world, the group achieved its objective owing to very lax attitudes on the part of investors both from Indonesia and abroad. The context of the early and mid 1990s, with the so-called ‘Asian miracle’ and the Indonesian government’s official policy of pushing industries with a clear export-oriented stance, and the availability of huge forest areas for conversion, permitted the extraordinarily fast expansion of APP’s capacity. This expansion has been mainly based on debts, either through bond issuance or bank loans. In conclusion, Asia Pulp & Paper seems to illustrate the theories saying that the divergence between ownership and control through pyramid structures corresponds to poor corporate governance and leads to lower firm performance. References â€Å"Why a ‘Green' Logo May Mean Little,† Wall Street Journal, 30 Oct 2007 * New APP Logging Road Threatens One of World’s Biggest Carbon-Storing Forests, Tigers; Eyes on the Forest, March 2008 * Logging Road Threatens Rare Peat Dome, Tigers * People's Daily Online – Forestry authorities charges Singaporean paper giant with illegal logging * Asia Times Online  :: Southeast Asia news and business from Indonesia, Philippines, Thailand, Malaysia and Vietnam * a b FSC rules in upheaval after green groups level accusations at APP | printweek. com | Latest Print Industry News, Jobs, Features, Product Reviews, Used Printing and Packaging Machinery * FT. com / Home UK / UK – The usefulness of scholarships and tigers * Ethical Corporation: Archive – APP decision a â€Å"landmark† for China’s environmentalists * http://www. rainforest-alliance. rg/forestry/documents/app. pdf * wikipedia * APP ‘ s Annual report 2010 , from www. freereport. com * http://www. ppimagazine. com/ppiissue/ ————â₠¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€Ã¢â‚¬â€œ [ 1 ]. Sumatran Tiger incident  : During late July 2011 Greenpeace revealed images and footage on their website that showed a critically endangered Sumatran tiger. This tiger had become trapped by an animal snare at the edge of an APP concession, and had been there for at least seven days, without food or water. Attempts to tranquilise and rescue the tiger failed due to its poor condition of health. APP denied any responsibility, despite reports to the contrary.

Children From Five Different Countries Essay - 1933 Words

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