In the 1980s and 1990s Borneo underwent a remarkable transition. Its forests were levelled at a rate unparalleled in human history. Borneo's rainforests went to industrialized countries like Japan and the United States in the form of garden furniture, paper pulp and chopsticks. Initially most of the timber was taken from the Malaysian part of the island in the northern states of Sabah and Sarawak. Later forests in the southern part of Borneo, an area belonging to Indonesia and known as Kalimantan, became the primary source for tropical timber. Today the forests of Borneo are but a shadow of those of legend and those that remain are highly threatened by the emerging biofuels market, specifically, oil palm.
Oil palm is the most productive oil seed in the world. A single hectare of oil palm may yield 5,000 kilograms of crude oil, or nearly 6,000 liters of crude, making the crop remarkably profitable when grown in large plantations, one study that looked at 10,000 hectare-plantations suggests an internal rate of return of 26 percent annually. As such,