Omar Pidani Forest Management  Department,  Haluoleo (State) University, Indonesia  Farmers’ Motivation to Adopt Teak Tree...
<ul><li>Teak: been cultivated for hundreds of years </li></ul><ul><li>Significant Demand </li></ul><ul><ul><li>Export mark...
<ul><li>Farmers socio-economic conditions </li></ul><ul><ul><li>Low Income </li></ul></ul><ul><ul><li>Limited livelihood A...
<ul><li>Livelihood Strategies (Scherr, 1995) </li></ul><ul><ul><li>a farmer will always try to maximize his/her  utility o...
<ul><li>Qualitative research method </li></ul><ul><li>Semi-Structure / In-depth Interview </li></ul><ul><li>Questionnaire ...
<ul><li>Est. 2004 </li></ul><ul><li>Aimed for a ‘Social Forestry (SF)’ program launched in 2003 </li></ul><ul><li>Members:...
<ul><li>Granted FSC-SLIMF Certification in 2005, the first in Indonesia  </li></ul>The Case Study: Hutan Jaya Lestari Coop...
<ul><li>Members Increased  (as of Dec 2008):  755 farmers, 6 sub-districts,  managed area increases:  847 hectares </li></...
Case Study Location
Results Perceived Benefits of Teak Tree Growing Direct  Indirect  Enabling Incentives provided through the Cooperative Tec...
<ul><li>Perceived Benefits </li></ul><ul><ul><li>higher teak timber market price </li></ul></ul><ul><ul><ul><li>“ price of...
<ul><ul><li>increases in the value of land planted with teak </li></ul></ul><ul><ul><ul><li>“ If I grew my parcel with tea...
<ul><li>Enabling Incentives Provided by the Cooperative </li></ul><ul><ul><li>Seeds & seedling subsidies </li></ul></ul><u...
<ul><ul><li>“ even if you have got the SKSHH document (timber legal verification document) to accompany your timber, you s...
<ul><li>Findings in this study confirm previous theories about farmers’ tree integration into farming land. </li></ul><ul>...
 
 
Terima Kasih
Upcoming SlideShare
Loading in...5
×

Farmers' Motivation to Adopt Teak Tree Growing in Southeast Sulawesi, Indonesia

781

Published on

Small-scale teak tree growing has been widely adopted by farmers in the tropics for subsistence and commercial purposes. In Indonesia, demand for teak timber produced from private land is considerably high and promises potential for future expansion. Yet because little is understood about the factors that motivate farmers to integrate teak into their farming system, the promotion of teak tree growing is often ineffective.

This research sought to understand factors that motivate farmers to grow teak trees and it took as a case study the Hutan Jaya Lestari Cooperative (Koperasi Hutan Jaya Lestari-KHJL) in South Konawe District of Southeast Sulawesi Province, Indonesia, which is the first cooperative in Indonesia granted Forest Certification Council (FSC) Certification in 2005 and has been promoted nationally and internationally as a working example of community tree growing management.

The study found that the motivations for farmer members of the KHJL to grow teak are generally a combination of the attractiveness of teak tree growing and incentives and benefits provided by the KHJL. The attractiveness of teak tree growing comprises of direct factors such as higher market price for its timber, the presence of an established market, its role as a means of de-facto saving, its ease of planting and establishing, and indirect factors such as its potential to increase land value, to secure land ownership and to improve environmental conditions. Incentives provided by the KHJL include seed and seedling subsidies, technical and financial support for harvesting and transporting timber from teak farms, and timber marketing facilitation, loan facilities, and dividend/benefit sharing. Benefits of becoming a member of the KHJL consist of simplified timber marketing procedures, potential to secure land ownership, and potential access to additional land offered under the People Plantation Forest program.

Published in: Business, Technology
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
781
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
16
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide
  • - By private company as well as local farmers; been naturalized in Java and other regions such as Sulawesi and Nusa Tenggara regions .
  • These constraints have been effectively hindering farmers from expanding more commercial trees such as teak, yet in reality they tend to keep teak on their farm even in a small insignificant number. The question then is what motivates this? In other word, what are some of the minimal pre-conditions for farmers to retain teak on their land?
  • Farmers' Motivation to Adopt Teak Tree Growing in Southeast Sulawesi, Indonesia

    1. 1. Omar Pidani Forest Management Department, Haluoleo (State) University, Indonesia Farmers’ Motivation to Adopt Teak Tree Growing: A Case Study in South Konawe District, Indonesia
    2. 2. <ul><li>Teak: been cultivated for hundreds of years </li></ul><ul><li>Significant Demand </li></ul><ul><ul><li>Export market : 35,000 cubic meters per annum </li></ul></ul><ul><ul><li>Domestic demand: 8.2 Million cubic meter per annum (ITTO, 2006) </li></ul></ul><ul><li>Domestic teak supply: only 2.7 Million cu per annum (ITTO, 2006) </li></ul><ul><li>Excess domestic demand : 5 million m3 </li></ul><ul><li>State-owned Perum Perhutani Plantations ( 1.3 million ha) produce only 600,000 - 700,000 m 3 of teak logs per annum (Suhendi, 2005; Midgley, 2007) – incl. outsourced timber </li></ul><ul><li>Market opportunity for small-scale teak timber production: approx, 1.2 million ha; estimated at 23.8 million m3 of standing stock (Nawir and Manalu, 2006) </li></ul>Introduction
    3. 3. <ul><li>Farmers socio-economic conditions </li></ul><ul><ul><li>Low Income </li></ul></ul><ul><ul><li>Limited livelihood Alternative </li></ul></ul><ul><ul><li>Small landholding size </li></ul></ul><ul><li>Insecure land ownership </li></ul><ul><li>Complex Licensing Procedures </li></ul><ul><ul><li>High transaction/transport* costs; </li></ul></ul><ul><ul><li>Insecure investment </li></ul></ul><ul><li>Limited market Information </li></ul><ul><li>Poor Road Construction </li></ul>Constraints to Commercial Teak Tree Growing in Indonesia
    4. 4. <ul><li>Livelihood Strategies (Scherr, 1995) </li></ul><ul><ul><li>a farmer will always try to maximize his/her utility or welfare, by taking into consideration multiple livelihood objectives and resources to which he/she has access on, including lands, trees, labor, cash and on- and off-farm occupations </li></ul></ul><ul><li>Induced Innovations ( Hayami and Ruttan, 1971) </li></ul><ul><ul><li>innovation is a dynamic response to changes in resource endowments and demand. </li></ul></ul><ul><li>Risk Management (Byron, 2001) </li></ul><ul><ul><li>farmer act to continuously reduce critical risk factors to her/his investment in order to fulfill livelihood objectives. </li></ul></ul>Theoretical Framework
    5. 5. <ul><li>Qualitative research method </li></ul><ul><li>Semi-Structure / In-depth Interview </li></ul><ul><li>Questionnaire (open ended questions) </li></ul><ul><ul><li>Farmers and farm characteristics </li></ul></ul><ul><ul><li>Teak tree growing experiences </li></ul></ul><ul><ul><li>What hinder and motivates them to grow teak </li></ul></ul><ul><ul><li>The role of the external parties in teak growing </li></ul></ul><ul><li>Farmers, Government Officers (Provincial/Districts), the Cooperative Board and Facilitators (local NGO-JAUH & the Tropical Forest Trust) </li></ul><ul><li>18 Interviews (during 1 st field trip), 12 follow up interviews (5 phone interviews) </li></ul><ul><li>Average one hour duration (Indonesian/Tolakinese Lang.), some were two to three hours (due to subtle answers) </li></ul><ul><li>Venue was chosen by farmers </li></ul><ul><li>Direct observation (2004-2006) </li></ul>Methodology
    6. 6. <ul><li>Est. 2004 </li></ul><ul><li>Aimed for a ‘Social Forestry (SF)’ program launched in 2003 </li></ul><ul><li>Members: 186 farmers, 4 sub-districts in S.Konawe </li></ul><ul><li>District, Indonesia </li></ul><ul><li>Total area: 159 ha </li></ul><ul><li>Consists of farmers, mostly teak tree growers </li></ul>The Case Study: Hutan Jaya Lestari Cooperative (KHJL)
    7. 7. <ul><li>Granted FSC-SLIMF Certification in 2005, the first in Indonesia </li></ul>The Case Study: Hutan Jaya Lestari Cooperative (KHJL)
    8. 8. <ul><li>Members Increased (as of Dec 2008): 755 farmers, 6 sub-districts, managed area increases: 847 hectares </li></ul><ul><li>Average annual production: 350 m3 (cutting volume), annual turnover: US$160,000 (FSC, 2008) </li></ul><ul><li>In 2008: Granted a Community Plantation Forest (CPF) Concession </li></ul><ul><ul><li>To manage 4,639 Ha of Production Forests (Indonesian Ministry of Forestry Decree No.435/2008) </li></ul></ul><ul><ul><li>CPF Concession lasts for 100 yrs </li></ul></ul><ul><li>In October 2010: Obtain FSC-COC (SW-FM/ COC-001511 as) valid until 2015 </li></ul>The Case Study: Hutan Jaya Lestari Cooperative (KHJL)
    9. 9. Case Study Location
    10. 10. Results Perceived Benefits of Teak Tree Growing Direct Indirect Enabling Incentives provided through the Cooperative Technical Incentive Financial Incentive Legal Incentive An established market Higher teak timber market price De-facto bank account Ease of planting & establishment Increasing land value the potential for securing land ownership Potential for environmental improvement Tech. support in tree planting Seed & seedling subsidies Simpler timber marketing procedures Timber marketing and transporting facilitation Expectation for additional land Loan Facilities Financial support for harvesting & transporting timber Dividend and Benefit Sharing
    11. 11. <ul><li>Perceived Benefits </li></ul><ul><ul><li>higher teak timber market price </li></ul></ul><ul><ul><ul><li>“ price of teak logs and sawn timber are always higher than those of mixed forest timbers” </li></ul></ul></ul><ul><ul><ul><li>“ if teak timber is sold to the cooperative the price can be much higher than the market price” </li></ul></ul></ul><ul><ul><li>an established market (both for log and sawn teak) </li></ul></ul><ul><ul><ul><li>“ If I plant teak I don’t need to worry, either the Papalele comes to me or I can sell them to the local furniture or sawmill ” </li></ul></ul></ul><ul><ul><li>de-facto “bank account” </li></ul></ul><ul><ul><ul><li>“ simpanan masa depan” (future savings), “deposito” (deposit), “tabungan” (bank account) and many others. </li></ul></ul></ul><ul><ul><ul><li>“ teak ca be sold not only for its trunk but also for almost all of its parts “ </li></ul></ul></ul><ul><ul><li>ease of planting and establishment </li></ul></ul><ul><ul><ul><li>“ I just put the seeds on the ground and it will grow easily” </li></ul></ul></ul><ul><ul><ul><li>“ I only need to do weeding for one or two years and it will grow up effectively [able to compete with other natural regrowth] and I can do something else ” </li></ul></ul></ul><ul><ul><ul><li>“ if there’s a fire, teak will survive” </li></ul></ul></ul>Results
    12. 12. <ul><ul><li>increases in the value of land planted with teak </li></ul></ul><ul><ul><ul><li>“ If I grew my parcel with teak, it will increase the price of the land eventually” </li></ul></ul></ul><ul><ul><li>the potential for securing land ownership </li></ul></ul><ul><ul><ul><li>“ I don’t have the land certificate, but if I plant it with teak I can apply for a the girik and use it for SPPT [tax payment receipt]” </li></ul></ul></ul><ul><ul><li>the potential for improving surrounding environmental conditions </li></ul></ul><ul><ul><ul><li>“ I used to cut one block of teak at once, and there is no more water left in my well . I knew then that I need to spare some trees surround my well if I want the water remains” </li></ul></ul></ul>Results
    13. 13. <ul><li>Enabling Incentives Provided by the Cooperative </li></ul><ul><ul><li>Seeds & seedling subsidies </li></ul></ul><ul><ul><ul><li>“ it’s really difficult to get the seeds, now that the cooperative provides us with the good quality seedling with cheaper price I will take the chance and make my own nursery” </li></ul></ul></ul><ul><ul><li>Technical support in teak planting </li></ul></ul><ul><ul><li>“ we have one officer from the KHJL in our village who has been teaching us how to plant and prune” </li></ul></ul><ul><ul><li>Simpler timber marketing procedure </li></ul></ul><ul><ul><li>“ it’s easier now to sell our teak. I don’t have to be bother with the IPKTM our self, we already got one under the cooperative for all of us” </li></ul></ul><ul><ul><li>Timber marketing and transporting facilitation </li></ul></ul><ul><ul><li>“ even with what they called legal processes are inseparable from bribes; if they can they will hold your permit as long as possible and there is no way for you to accelerate the processes but to bribe the officers” </li></ul></ul>Results
    14. 14. <ul><ul><li>“ even if you have got the SKSHH document (timber legal verification document) to accompany your timber, you still experience the police stopping your truck, asking you to unload your timber to be reinspected while the ship has about one minute to go” </li></ul></ul><ul><ul><li>Financial support for harvesting and transporting timber </li></ul></ul><ul><ul><ul><li>“ skidding, loading and transporting teak cost us too much. The Papalele used to deal with all of these but in return of giving us lower price for our teak” </li></ul></ul></ul><ul><ul><li>Loan facilities </li></ul></ul><ul><ul><li>“ if I need immediate case the cooperative can give me down payment for my mature tea. It’s somehow better then selling one tree with lower price to the papalele” </li></ul></ul><ul><ul><li>Dividend and benefit sharing </li></ul></ul><ul><li>Expectation of access to additional land (or support the cooperative) </li></ul><ul><ul><li>“ I join the KHJL and plant teak the they give me, I hope they can give me some more land when they win the social forestry program” </li></ul></ul>Results
    15. 15. <ul><li>Findings in this study confirm previous theories about farmers’ tree integration into farming land. </li></ul><ul><li>Factors that motivate farmers in this case study to grow teak are combination perceived benefits that are associated with teak tree growing venture, provision of enabling incentives through strategic partnership that continuously minimises constraints for teak tree growing and expectation to additional lands. </li></ul><ul><li>Successful promotion of teak tree growing in the future needs to: </li></ul><ul><ul><li>take into account the socio-economic and ecological dynamics on farm level. </li></ul></ul><ul><ul><li>encourage partnership that builds and strengthens community institutions and constantly minimises legal, technical, capital and market constraints to tree growing ventures </li></ul></ul>Conclusion/Recommendation
    16. 18. Terima Kasih
    1. A particular slide catching your eye?

      Clipping is a handy way to collect important slides you want to go back to later.

    ×