Central government ministries and Yunnan authorities are negotiating over ways to save 100 square kilometres of ancient forest that is home to about 200 endangered snub-nosed monkeys.
Local authorities in Deqin county, Yunnan, are demanding financial assistance from the central Government or they will proceed with a logging plan to clear the forest.
Liang Congjie , president of China's only officially registered private environmental group, the Friends of Nature in China, has been campaigning against the logging plan.
But he stressed that the group was not opposed to Deqin authorities and wanted to help them find a solution to the problem.
It is understood that the Deqin authorities want to use the timber revenue to pay off its eight million yuan (HK$7.4 million) deficit.
Mr Liang and other environmentalists have written to the central Government to voice their concern about the logging plan and have tried to raise public attention through the media.
It is believed that both Vice-Premier Jiang Chunyun and State Councillor Song Jian also believe the forest logging plan should not go ahead but government departments have yet to agree on a solution.
