Abstract

Finland is currently undergoing a fundamental structural transformation in the forestry sector, with factories closing in the Global North and production being shifted to the Global South (see also Carrere & Lohmann 1996; Cossalter & Pye-Smith 2003). This is accompanied by Finnish mass movements protesting unemployment and demanding corporate social responsibility (CSR) from theforest industry. The difficult domestic situation, however, seems to overshadow the circumstances of the new production regions in the South. What do we actually know about the impacts of the Finnish forestry sector in those societies? The branches of global forest companies may be located in regions that are experiencing various societal conflicts – like in the case of indigenous communities in northeastern Brazil, where the question of land ownership remains unsolved. The aim of our paper is to bring out the perspective of these traditional communities and the legitimacy problems of the Finnish forest industry in Brazil. We also scrutinize the corporate tactics by which companies seek to gain societal acceptability in the region. These range from social programs and campaigns to violent confrontations, even to attempts to deconstruct the identities of indigenous communities. Our general argument is that while companies have outlined their CSR policies in theory, the situation in actual practice is quite different. Companies often fail to take into account the prevailing socioeconomic conditions in the region and some of the more marginal stakeholders like indigenous peoples, who obviously have no economic importance to the company