Financial and marketing strategies for sustainable development of dipterocarp forests and poverty reduction in forest dwelling communities in India

Surayya, Teki (2005) Financial and marketing strategies for sustainable development of dipterocarp forests and poverty reduction in forest dwelling communities in India. [Conference or Proceeding]

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Abstract

Sustainable management of natural forest is indeed a current global concern, as forests are indispensable for all. The forests contributed both economic (timber and nontimber products) and non-economic (oxygen, rain, carbon sequestering, etc.) benefits. In India 100 million people live in or near forest. Almost all are poor and depend on forest (mainly on NTFPs) for their livelihoods. Out of necessity they use unsustainable methods of harvesting NTFPs, cattle grazing etc., these and other biotic and economic pressures cause serious depletion of forest. Pressure on forest could be reduced by promoting community/farm/agro-forestry, regenerating/reclaiming the degraded forests, increasing public awareness. Till recently only timber was considered important contribution of forests. During the recent past NTFPs management is also considered equally important for sustainable forest management as 25 percent to 55 per cent of forest dwellers’livelihood comes from NTFPs trade. This accounts for about 20% of consumer price due to lack of NTFPs value addition at primary level. Studies in India reveal that only one forest division out of nine surveyed has posted fiscal surplus. This is because of non-accounting of intangible forest benefits. And only 21% of total price spread of selected timber species accounted for farmers, due to ill marketing practices in timber industry, the same is the case with forest department. Forest organization can be sustainably managed if it has good financial and marketing managements. Aggressive promotion of timber contributes substantial economies in short-term, but long-term sustenance of forest will be threatened. Thus one has to develop strategies that will fetch enough revenues without over-harvesting timber. Developing forest based economies, demanding compensation under carbon trading covenant, automobile green tax, public education, niche and IT enabled marketing can supply funds for sustainable dipterocarps forests. Therefore this paper aims at discussing marketing and financial strategies that would generate revenues without aggressively promoting the timber sale, for sustainable development of forest and forest dependents.

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