Pulp and paper industry in Indonesia

The modern industry began in 1922 with the establishment of a paper mill during the Dutch colonial period and expanded rapidly between 1970 and the late 1990s to fulfil domestic demand and later as an export sector.

The industry controls around 10 million hectares of land as part of pulp plantations, with a major environmental footprint and accusations of violence.

[3] It focused on manufacturing security paper for official documents, and the site was chosen due to its access to freshwater.

[5] After 1984, the government switched to an export-oriented policy for pulp and paper production, granting concessions of forest land to producers and providing financial incentives such as tax breaks and subsidies.

[12] Conversion of forests and peatlands to pulp plantations in the country peaked in 2004 when over 200 thousand hectares were converted.

WALHI has accused the two groups of engaging in covert violence and intimidation tactics as part of land grab campaigns against smallholders.