Production Forests, Traditional Community Forests, and the Right to Profits

The Minister of Forestry has recently issuedRegulation No. P.07/Menhut-II/2005(the “Regulation”) repealing an earlier Minister of Forestry and Plantations Decision,No. 317/KPTS-II/1999(the “Decision”), to ensure uniformity and compliance with the most recent law and regulations in this sector. The repeal is necessary as Decision No.317/KPTS-II/1999 was in conflict withLaw No. 41 of 1999on Forestry (“Forestry Law”) and GovernmentRegulation No. 34 of 2002on Forest Management (“Forest Management Regulation”).