Rural development potential of Community Forestry in Nepal B. B. K. Chhetri, J.F. Lund and Ø. J. Nielsen  March 2010
Introduction : Nepal, forests and poverty <ul><li>Population: 25.8 million (2006) </li></ul><ul><li>31 % people live below...
Community Forestry in Nepal <ul><ul><li>World leader in CF </li></ul></ul><ul><ul><li>30 years of experience in CF managem...
Rationale .. <ul><ul><li>The significance and potential of CF fund in local community development is poorly documented. </...
Research questions <ul><li>What is the real rural development potential of community forestry in Nepal – as evaluated by C...
<ul><li>Area: 3,610 Sq km </li></ul><ul><li>Climate: sub-tropical to alpine  </li></ul><ul><li>Altitude:  228 m to 8,163 m...
Data <ul><li>Data collected from minutes, bills, vouchers, operational plans etc of 41  randomly  selected CFUGs of Gorkha...
Two models:  one for income and the other for expenditure General form of income model is The  transformed  model: Econome...
Result:  Average annual income and expenditure <ul><ul><li>Age of CFUGs ranges  from 4 to 18 years -472 observations </li>...
Result : Income sources of CFUGs <ul><li>Wood income </li></ul><ul><ul><li>Timber inside  </li></ul></ul><ul><ul><li>Green...
Result:  overall expenditure <ul><li>Community development (47.4%) </li></ul><ul><ul><li>School, road, electricity, commun...
Result:   Income model output * p < 0.1 ** p < 0.05 *** p < 0.01 Dependent variable: CFUGs income (Rs) -2.43 -26.65** -2.4...
Result:  investment model output * p < 0.1   ** p < 0.05 *** p < 0.01 Dependent variable: Investment of CF income in commu...
Conclusion <ul><li>The income and expenditure distributions are highly skewed towards a few well off CFUGs  </li></ul><ul>...
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Rural development potential of community forestry in Nepal

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B. B. K. Chhetri, J.F. Lund and Ø. J. Nielsen

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Taking stock of smallholders and community forestry
Montpellier France
March 24-26, 2010

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Rural development potential of community forestry in Nepal

  1. 1. Rural development potential of Community Forestry in Nepal B. B. K. Chhetri, J.F. Lund and Ø. J. Nielsen March 2010
  2. 2. Introduction : Nepal, forests and poverty <ul><li>Population: 25.8 million (2006) </li></ul><ul><li>31 % people live below the poverty line </li></ul><ul><li>Total land area: </li></ul><ul><li>147,181 sq.km (~14.7 million ha) </li></ul><ul><ul><li>a) Himalayan region (35%) </li></ul></ul><ul><ul><li>b) Hill region (42%) </li></ul></ul><ul><ul><li>c) Terai region (23%) </li></ul></ul><ul><li>Forest area (’000 ha): 4268 (29 %) </li></ul><ul><li>Shrub land (’000 ha): 560 (10.6%) </li></ul>Source: CBS ( 2005)
  3. 3. Community Forestry in Nepal <ul><ul><li>World leader in CF </li></ul></ul><ul><ul><li>30 years of experience in CF management </li></ul></ul><ul><ul><li>Over 15,000 groups managing 1.2 million Ha of forest land, involving about 8 million people </li></ul></ul><ul><ul><li>Forest condition is claimed improving at least in the hills. </li></ul></ul><ul><ul><li>Social mobilization and income generation for rural development </li></ul></ul>
  4. 4. Rationale .. <ul><ul><li>The significance and potential of CF fund in local community development is poorly documented. </li></ul></ul><ul><ul><li>The trend of CF income and expenditure pattern over time is not explored. </li></ul></ul>
  5. 5. Research questions <ul><li>What is the real rural development potential of community forestry in Nepal – as evaluated by CFUG income levels and expenditure patterns? </li></ul><ul><li>What structural and governance related factors affect the rural development potential of community forestry in Nepal? </li></ul>
  6. 6. <ul><li>Area: 3,610 Sq km </li></ul><ul><li>Climate: sub-tropical to alpine </li></ul><ul><li>Altitude: 228 m to 8,163 m </li></ul><ul><li>Annual average rainfall: 1,492 mm </li></ul><ul><li>One municpality and 66 VDCs </li></ul><ul><li>Population 288,134 (in 2001)and literacy rate: Around 60% </li></ul><ul><li>404 CFUGs managing 18,765 ha of forest land (2008) </li></ul>Study area: Gorkha District
  7. 7. Data <ul><li>Data collected from minutes, bills, vouchers, operational plans etc of 41 randomly selected CFUGs of Gorkha District, Nepal. </li></ul><ul><li>The selected CFUGs vary widely in terms of their size, age, market accessibility, forest types and condition, size and sources of common funds etc. </li></ul>
  8. 8. Two models: one for income and the other for expenditure General form of income model is The transformed model: Econometric models: Where, the partial effect of different independent variables is estimated by
  9. 9. Result: Average annual income and expenditure <ul><ul><li>Age of CFUGs ranges from 4 to 18 years -472 observations </li></ul></ul><ul><ul><li>Group Size ranges from 14 to 552 and the average is 102 </li></ul></ul><ul><ul><li>Average annual cash income per group: </li></ul></ul><ul><ul><li>Rs 25,141 (=US$326) </li></ul></ul><ul><ul><li>Average annual expenditure per group: Rs 18,094 (=US$235 ) </li></ul></ul>
  10. 10. Result : Income sources of CFUGs <ul><li>Wood income </li></ul><ul><ul><li>Timber inside </li></ul></ul><ul><ul><li>Green fuelwood </li></ul></ul><ul><ul><li>Dry fuelwood </li></ul></ul><ul><ul><li>Timber outside </li></ul></ul><ul><li>Users support </li></ul><ul><ul><li>Membership fee </li></ul></ul><ul><ul><li>Penalty </li></ul></ul><ul><ul><li>Cash support </li></ul></ul><ul><ul><li>Labor support </li></ul></ul>
  11. 11. Result: overall expenditure <ul><li>Community development (47.4%) </li></ul><ul><ul><li>School, road, electricity, community buildings, temple community dev. Scholarship and others. </li></ul></ul><ul><li>Forest conservation (44.6%) </li></ul><ul><ul><li>Watcher, silvicultural activities, plantation and training. </li></ul></ul><ul><li>Office administration (8%) </li></ul><ul><ul><li>stationary, meeting assembly cost, travel, ranger visit, FECOFUN fee, and others. </li></ul></ul>
  12. 12. Result: Income model output * p < 0.1 ** p < 0.05 *** p < 0.01 Dependent variable: CFUGs income (Rs) -2.43 -26.65** -2.43 -26.65** -2.43 -26.65** Distance 1.31 0.55 0.05 0.09 0.27 0.52 Silviculture 5.33 84.47*** 5.33 84.47*** 5.33 84.47*** Group 1.27 211.26 1.06 69.64 1.10 74.52 Area_nsp 2.36 141.21** 2.44 115.00** 1.74 75.93* Area_sp -0.17 -19.74 1.89 381.34* 1.83 706.04* Age z-value Coef. z-value Coef. z-value Coef. Model III: Area_25 Model II: Area_50 Model I: Area_75 Independent variables
  13. 13. Result: investment model output * p < 0.1 ** p < 0.05 *** p < 0.01 Dependent variable: Investment of CF income in community development relative to total investment -2.20 -0.037** -2.20 -0.037** -2.20 -0.037** Infrastructure -0.25 -0.008 -0.25 -0.008 -0.25 -0.008 Eth_het 1.26 0.003 1.26 0.003 1.26 0.003 Edu_ch -2.02 -0.042** -2.02 -0.042** -2.02 -0.042** Ward -0.85 -0.014 -0.64 -0.010 1.81 0.026* Audit 1.82 0.007* 1.54 0.006 -1.60 -0.006 Ec_meet -2.48 -0.059** -2.48 -0.059** -2.48 -0.059** Woman_p -0.32 -0.004 -0.03 0.000 3.15 0.035*** Dalit_r -2.51 -0.027** -2.83 -0.029*** -6.54 -0.051*** Monitoring (,0000) 8.29 0.062*** 8.26 0.061*** 7.91 0.058*** Income (,0000) 1.20 0.003 1.12 0.002 -0.13 0.000 Age z-value Coef. z-value Coef. z-value Coef. Model III:Income_25 Model II:Income_50 Model I:Income_75 Independent variables
  14. 14. Conclusion <ul><li>The income and expenditure distributions are highly skewed towards a few well off CFUGs </li></ul><ul><li>CFUG income is dependent on Sal or Chir Pine areas, group size, and market access. </li></ul><ul><li>Income, Dalit representation in executive committee, and audits of accounts appear to have a positive influence on rural development whereas the effect of paid watchers and administrative heterogeneity is negative. </li></ul><ul><li>The optimal CFUG size might be larger than what has been promoted in the past. </li></ul>
  15. 15. Thank You!!!!!

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