PNG Opportunity Fund Management (PFM) is committed to helping Papua New Guinea (PNG) translate strong economic growth and political stability into improved development outcomes in line with United Nation’s Millennium Development Goals. PNG forestry industry situation is best described in The International Tropical Timber Organization’s 2005 report into the status of tropical forest management:
“Two-thirds of PNG is under forest cover and the official timber harvest is well below the estimated national sustainable timber yield. On average, each citizen has rights over about 6.4 hectares of forest. However, the majority of people still live in extreme poverty. The challenges are substantial if [Sustainable Forestry Management] is to be achieved. Key among them would appear to be: reducing the social and cultural disruption of logging; increasing the benefits to local development of forest management; and increasing the allocation of resources to the monitoring of logging activities and the implementation of forest policies at the national level.”
An integrated forestry free trade zone is proposed to pave the way for sustainable economic development in the project area.
The project market value is $5 billion; total revenue is estimated to be approximately US$ 2.6 billion and EBITA more than US$ 1.08 billion. PFM will contribute to humanitarian programs; total estimated contribution to social benefits is projected to exceed US$ 390 million in the long run.