Contribution of ntfps to livelihood of local people case study of hoa binh province

ACKNOWLEDGEMENT First and foremost I offer my sincerest gratitude to my supervisor, PhD Le Dinh Hai for his patience, motivation, and immense knowledge His guidance helped me in all the time of research and writing of this thesis I could not have imagined having a better supervisor and mentor for my thesis Besides, I also thanks to Faculty of forestry and Environmental Management, VietNam Forestry University for the support of my study and related research My sincere thanks also to all of the representatives of the state agencies in Thuong Tien commune, Kim Boi district, Hoa Binh province, who fully co-operated in the collection of information Last but not least, I would like to thank my parents and my friends for supporting me, without their support this report would have been impossible Despite all efforts to make to make the study free from errors, there may be errors still left unnoticed for what the researcher take all the responsibilities personally I am very glad to receive suggestions from teachers to make my thesis better I sincerely pay my thanks to them! Hanoi, October 2015 Student Le Duc Tung TABLE OF CONTENT Chapter Introduction 1.1 Background to study 1.2 Research objectives 1.2.1 Goal 1.2.2 Specific objectives Chapter Literature Review and Theoretical Framework 2.1 Key relevant concepts 2.1.1 Defining NTFPs 2.1.2 Defining Livelihoods 2.2 Links between NTFPs and livelihoods 2.2.1 Income from NTFPs 2.2.2 The contribution of NTFPs to subsistence income of household 2.3 NTFP values and valuation 11 2.3.1 NTFP values 11 2.3.2 Valuation techniques for NTFPs 13 2.3.3 The Indirect Opportunity Cost (IOC) method and estimation of NTFP extraction value 15 Chapter Research Methodology 17 3.1 Study scope 17 3.1.1 Content 17 3.1.2 Time 17 3.1.3 Method to choose location for studies 17 3.2 Overview of research site 18 3.2.1 Biophysical characteristics 18 3.3 Land use 19 3.4 Forest resources and its utilization 19 3.5 Research methodology 19 3.5.1 Methods of data collection 19 3.5.2 Data analyses 21 Chapter Results and Discussion 23 4.1 NTFPs and livelihoods of forest-dependent people in Thuong Tien commune 23 4.1.1 Proportion of households extracted NTFPs in Thuong Tien commune 23 4.1.2 Indirect value of NTFPs extraction 24 4.1.3 Direct value of NTFPs - contribution to case income of household 25 4.1.4 NTFPs contribute significantly to the livelihoods of forest-dependent people 28 4.2 Attitude and reaction of local people to NTFPs 28 Chapter Conclusion and recommendations 32 5.1 Conclusion 32 5.2 Recommendations 32 REFERENCES 33 LIST OF TABLES Table 2.1 Overview of categorized NTFPs Table 2.2 Forest outputs and rural livelihoods Table 2.3 NTFP values and valuation techniques 14 Table 3.1 Land-use situation of Thuong Tien commune (2014) 19 Table 3.2 Sampling design in Thuong Tien commune 21 Table 4.1 Characteristics of surveyed households by villages 23 Table 4.2 Proportion of households collecting NTFPs at village level 23 Table 4.3 Calculation of annual economic value of NTFP extraction per household 25 Table 4.4 Descriptive of cash income structure of total surveyed households (n=60) 26 Table 4.5 Cash income sources by villages 27 Table 4.6 Reaction of different types of household in the case that government would not allow households to collect NTFPs in natural forests managed bycommune 29 Table 4.7 Reaction of different types of household in the case that income working elsewhere that is greater than the income you receive from NTFPs would you no longer collect NTFPs 31 LIST OF FIGURE Figure 2.1 DFID‟s sustainable livelihood framework Figure 2.2 A conceptual framework of the relationship between NTFPs and household livelihood Figure 3.1 The IOC method for calculating extraction value of NTFPs 22 Figure 4.1 Cash income structure on average of households in Thuong Tien commune 26 Figure 4.2 Cash income share on average of households in Bai Rong and Luon village 28 ABBREVIATIONS CIFOR The Center for International Forestry Research CVM Contingent Valuation Method DFID The Department for International Development FAO Food and Agricultural Organization IDS Institute of Development Studies IOC Indirect Opportunity Cost NTFPs Non-Timber Forest Products NWFPs Non-Wood Forest Products VND Vietnam Dong ABSTRACT Non-timber forest products NTFP (NTFPs) contribute significantly to the livelihoods of rural households in remote areas This study was conducted for the purpose of income surveys as well as the contribution of NTFPs to the families living in the protected area Thuong Tien - Kim Boi - Hoa Binh Using survey data from 60 households in two villages belonging to the group has different income (wealthier households, medium, and poor) Research shows income from non-timber products accounted for 37% of the total income of the people here The goal of the report is the study of relationships and interactions between NTFPs and livelihoods of people living around the protected area Thuong Tien The indirect opportunity cost (IOC) method was applied to provide an indirect estimate the economic value of NTFPs extraction by households In results show the impact of non-timber forest products to households living in the area Since then propose solutions to protect forests and improving the livelihoods of people living around protected areas Chapter Introduction 1.1 Background to study Forests is natural resources extremely valuable of all countries in the world The forest has great significance for the environment and human life Forests not only meet the demand for wood, food and medicinal plants but also work climate control, to make flow equable, limit erosion and runoff Forests also have an important role in developing the economy, improving the lives of people especially for people living around forest areas Therefore resources from forest huge impact on the livelihood of the people, the peoples living around forest areas Historically, non-timber forest products (NTFPs) have usually been considered to be of little importance, a status reflected in their designation as „minor‟ forest products (Arnold & Perez 2001) However, in the past twenty years, increasing interest in NTFPs has been expressed not only by scientists but also by development practitioners and conservationists, who consider the use of NTFPs as a means of forest conservation due to the relatively small ecological impact of their exploitation (Ros-Tonen 2000; Arnold & Perez 2001) Simultaneously, the socio- economic situation of local forest users may be improved through commercializing specific NTFPs (De Beer & McDermott 1996; Ros-Tonen 2000; Arnold & Perez 2001), as some NTFPs, such as rattan, have a high market value and may contribute substantially to the improvement of local rural livelihoods NTFPs also have cultural meanings and are important in the preservation of local communities‟ indigenous knowledge (Wetterwald et al 2004) Thuong Tien is a mountainous communes in Kim Boi district, formed and stable development about 56 years Nature reserve Thuong Tien recognized in 1986, covers an area of 1,500 hectares, Thuong Tien commune, Kim Boi district, Hoa Binh province The topography of the nature conservation area is quite complex, including hills with moderate slopes, sometimes higher than 1,000 m Nature reserve Thuong Tien mainly limestone forest The vegetation is evergreen vegetation type tropical rain has affected Soil quality is suitable for the growth and development of many crops, is great potential for economic development from the forests Richness of forest resources is huge potential for investment and development to improve life quality of the human This is opportunities for incomegeneration through the development of NTFPs for rural livelihoods have also been addressed (Wetterwald et al 2004) However, most research has addressed important ecological and biological aspect of NTFPs, while research on the relationship between NTFPs and livelihoods of rural households is still limited Several research issues are relevant Although NTFPs are a major source of income, they have not been quantified in measurements of household economy In addition, people obtain direct and indirect benefits from NTFPs in terms of livelihoods, but their benefits have not been quantified and the role of NTFPs has not been examined Therefore, it seemed timely to conduct research on the contribution of NTFPs to the livelihoods of forest-dependent people in area 1.2 Research objectives 1.2.1 Goal The goal of the research is to improve local livelihood and to protect forest resources in Thuong Tien commune, Kim Boi district, Hoa Binh province 1.2.2 Specific objectives - To systemize the theoretical and methodology of NTFPs valuations; - To quantify the direct and indirect economic values of NTFPs to household income of local people in Thuong Tien commune; - To provide a basis for policy advice in sustainable use of NTFPs for poverty reduction in Thuong Tien commune Chapter Literature Review and Theoretical Framework 2.1 Key relevant concepts 2.1.1 Defining NTFPs What are NTFPs? This debate has raged since the term was coined by De Beer and McDermott (1989), who proposed that “the term „NTFPs‟ encompasses all biological materials other than timber, which are extracted from forest for human use” More recently, a survey conducted by CIFOR and Profound found that, although 76 percent of respondents agreed with the De Beer and McDermott definition, there were also substantial reservations and disagreements (Belcher 2003) There are many alternative terms such as „wild products‟, „natural products‟, „non-timber forest and grassland products‟, and „non-wood forest products‟, that are used more or less as synonyms, each with its proponents (Belcher 2003) It is thus clear that at every meeting where NTFPs are discussed there will be debate about the terminology and definition (Belcher 2003:163) NTFPs can be more closely defined as “all tangible animal and plant products other than industrial timber, which can be collected from forests for subsistence and for trade” (Ros- Tonen 2000:196) In this definition, NTFPs refer only to products from natural forest systems, whether modified by human intervention or not These comprise such diverse products as game, starchy foods, nuts, spices, leaves for wrapping food, medicinal herbs, Smallwood for handicraft and tools, fibers, ornamental plants, essential oils, latex for rubber and rattans (De Beer & McDermott 1996) Sizer (1996) even includes ecotourism among NTFPs; however, it is generally considered to be a forest service, which is a separate category of forest output The FAO has been a strong proponent of developing a clear and consistent definition, and itself has elected to use the term „non-wood forest products‟ or „NWFPs‟, described by Chandresekharan (1992), as “including all goods of biological origin, as well as services, agricultural production, animal husbandry activities, and forest plantation because they have much potential about land, labour, knowledge and financial capital Table 4.6 Reaction of different types of household in the case that government would not allow households to collect NTFPs in natural forests managed bycommune Rich household Activities (n=10) Number of households Moderate Poor household household (n=10) (n=10) % Number of households % Number of households % Development of Agricultural cultivation 80 30 10 100 90 60 20 20 40 - - 50 70 90 - - - - 30 30 10 - - and animal husbandry Investment in education for their children in order to get good jobs in the future Participating in working in overseas like Malaysia as hired jobs Development of forest plantation Don‟t know what to Small businesses and services In contrast, most of poor households answered that they not know what to do, only small number of poor households thought that they will invest to develop agricultural production, animal husbandry activities Currently, their livelihoods depend mainly on collecting NTFPs from natural forests They never thought to other jobs to ensure their daily life They thought that forest resources are inexhaustible In addition, some rich and 29 moderate households thought that they will pay attention to off-farm activities such as doing small business and services, investing for education of their children to get good jobs in the future In short, it can be concluded that wealthier household will be more easily adaptive and managed in the case of uncertaintyand risky occur than poor households Interestingly, all of three types of household wealth ranking answered that they will no longer collect NTFPs for cash income from community forests if working elsewhere that is greater than the income you receive from NTFPs would you no longer collect NTFPs (Table 4.7) The first reason is that collecting NTFPs is very hard work Community forests where people often go to collect NTFP are very far and difficult to access Also, it is hard to transport NTFPs from forests to households Normally, people transport by themselves without any vehicles The second reason is that main sources of wealthier households come from other activities such as animal husbandry, pension and salary, and forest plantation rather than NTFPs However, there is large number of rich and moderate households who answered that they will collect NTFPs from their allocated forests when they have time and when they take care of their allocated forests They said that collecting NTFPs is also one of silvicultural measures of taking care of forests Almost of surveyed households answered that they will collect NTFPs for purposes of household uses such as fuel-wood for cooking, medical plants for disease treatment, and bamboos for house building and making household tools 30 Table 4.7 Reaction of different types of household in the case that income working elsewhere that is greater than the income you receive from NTFPs would you no longer collect NTFPs Rich household Parameter (n=10) Number of household Moderate Poor household household (n=10) (n=10) % Number of household % Number of household % No longer collect NTFPs for cash income in 90 10 100 80 80 70 - - 10 100 90 10 100 community forests Collect NTFPs for cash income from allocated forests of household Collect NTFPs for household uses (fuel-wood, medicines ) (Source: Household Survey) 31 Chapter Conclusion and recommendations 5.1 Conclusion This research showed that NTFPs contribute significantly to the livelihoods of forestdependent people Firstly, the proportion of forest-dependent households who collect NTFPs for their livelihoods is very high (98%) and NTFPs constitute the large single share (37%) in the total cash income of households In addition, NTFPs contribute significantly not only to household cash income, but also to household subsistence income The economic value of NTFP extraction (7,409,000VND) includes the cash income value and subsistence income This research showed that when poor households depend heavily on one kind of product, such as NTFPs, they are very vulnerable if that product fails to grow or drops in value In contrast, wealthier households seem to be able to choose a diversified strategy, relying on animal husbandry, off-farm activities, forest plantations, and working for the government These diverse income sources may reduce their vulnerability for them to unforeseen risks and uncertainty 5.2 Recommendations Through the analysis results showed that people with low incomes often depend on NTFPs than those with higher incomes The heavy reliance on non-timber harvest would cause forest degradation So I want to propose some solutions to improve the livelihoods of the people living around protected areas and limit the deterioration of the natural forest The need to create more off-farm jobs that offer the poor greater income potential than NTFP collection and agricultural production If rural households, especially poor households have more income from other economic activities, they will no longer collect NTFPs Therefore, the Vietnamese government should establish policies that promote non-farm development that can allow the rural poor to move to new jobs To raise the level of awareness of people in non-agricultural sectors Facilitate and support resources to low-income people working in other fields 32 REFERENCES Wetterwald, O., Zingerli, C and Sorg, J.P., 2004 „Non-timber forest products in Nam Dong District, Central Vietnam: ecological and economic prospects‟, Forest Policy and Forest Economics, Swiss Federal Institute of Technology, Zurich Chambers, R., and Conway, G., 1992 Sustainable rural livelihood: practical concepts for the 21st century, IDS Discussion Paper 296, Brighton: IDS Ros-Tonen, M.A.F., 2000 „The role of non-timber forest products in sustainable tropical forest management‟, The Tropenbos Foundation, 58(2000): 196-201 Angelsen, A and Wunder, S., 2001 Exploring the poverty-forest link: key concepts, issues and research implications Arnold, J.E.M., 1998 „Forestry and sustainable livelihoods‟ in D., Carney (ed), Sustainable Rural Livelihoods: What Contributions Can We Make? Department for International Development, London: 155-166 Belcher, B.M and Kusters, K., 2004 (Eds) Forest products, livelihoods and conservation: case studies of non-timber forest product systems, volume 1-Asia, Centre for International Forestry Research (CIFOR), Bogor, Indonesia Belcher, B.M., 2003 „What isn‟t an NTFP? International Forestry Review, 5(2): 161-168 De Beer, J., Ha, C.C and Tran, Q.T., 2000 NTFP project: non-timber forest products sub-sector analysis Vietnam, Mission Report Prepared for IUCN and NTFP-RC, Hanoi Olsen, C.S., 1998 „The Trade in Medicinal and Aromatic plants from Central Nepal to Northern India‟, Economic Botany, 52(3): 279-292 Wollenberg, E., 1996 An Evaluation of Methodologies Used in Time Allocation Research pp 127-145 in Poats, S., Scmink, M and Spring, A (eds.) Gender Issues in Farming Systems Research and Extension, Westview Press, Boulde 33 Wollenberg, E., 1996 An Evaluation of Methodologies Used in Time Allocation Research pp 127-145 in Poats, S., Scmink, M and Spring, A (eds.) Gender Issues in Farming Systems Research and Extension, Westview Press, Boulder Carney, D., 1999 Approaches to Sustainable Livelihoods for the Rural Poor, Department for International Development (DFID), London FAO, 1997 Non-wood Forest Products, Forestry Information Notes Handout August 1997 FAO, 2001 State of the World Forests, Food and Agricultural Organisation, Rome FAO, 2002 Non-Wood Forest Products in 15 Countries of Tropical Asia: An overview, FAO, Bangkok FAO, 2005 An Information Bulletin on Non-Wood Forest Products, Non-wood News, 12 (2005) 34 HOUSEHOLD SURVEY QUESTIONNAIRE (Kim Boi District - Hoa Binh Province) I General Information Commune: Village: Head of Household Age: Education: ……………………………………………… ……………………………………………… Sex: Male Female Ethnic: 0=male; 1=female 1=Muong; 2=Kinh; = Dzao Interviewee (if different from head of household) Age:…………… Sex: Male □ Female □ 0=male; 1=female Relationship with head of household (see note):…………… Type of house Brick =1 Wood =2 Temporary=3 Type of household Poor=1 Average=2 Rich=3 Interviewer Date: Please state the total members in your household No Relation Age Sex (0 = male; Main Salary Years of 1=female) occupation (VND/month) education Note: Relation: Head Wife Son/daughter Parents Parents in law Grandson/daughter 7.Brother/sister 35 Son/daughter in law Other relative 0.Not related Main occupation: 1=Wage labour; 2= Agricultural work; 3= Student; 4=Unemployed; 5= Commuting wage labour II Current economic situation of household Present land holding of household Types of land Unit Area Class Note Acquired year Note Agricultural land Forest land Aquaculture land Residential land Home garden Rent land Other land Total Wealth indicators Items Quantity Estimated value House Tractor Motorcycle Bicycle Harrow/Plow Electricity fan Radio TV etc Buffalo Horse Cow Pig 36 Chicken/Duck etc Wooden Furniture Jewels Other items Production and Revenues of household Production activities I Cultivation Paddy Rice Products Amount - Fifth-month crop - Winter crop Other cereals crops - Sweet potato - Maize - Bean - Peanut Upland fields - Cassava - Upland rice II Fruit trees Litchi/longan Banana Objective Area 37 Price Value of use III Industrial crops Sugar cane Tea IV Animal husbandry Buffalo Cow Pig Poultry (Chicken, etc) V Forestry Plantation Forest tending Forest protection NTFPs collecting* VI Off-farm activities Small business Other services VII Other activities Pension/salary Other 38 Note: *Calculating value of NTFPs collecting: Average number of people collecting NTFPs/household x Revenue/working-day/person x Average number of working days/month x Average number of months collecting NTFPs/year? Expenditures of household annum Expenditure A Amount Agricultural production I Cultivation Paddy rice - Seed - Fertilizer - Pesticide - Hire labour (if any) - Other expenditure Other cereal crops - Seed - Fertilizer - Pesticide - Hire labour (if any) - Other expenditure II Animal husbandry Buffalo - Investment cost for buffalo calf - Food - Medicines - Hire labour (if any) - Other expenditure Cow - Investment cost for calf - Food - Medicines - Hire labour (if any) - Other expenditure 39 Price Value Note Pig - Investment cost for piglet - Food - Medicines - Hire labour (if any) - Other expenditure Poultry - Investment cost for chick, ect - Food - Medicines - Other expenditure Other III Upland fields - Seed - Fertilizer - Pesticide - Hire labour (if any) - Other expenditure B Fruit-trees - seedlings - Fertilizer - Pesticide - Hire labour (if any) - Other expenditure C Industrial crops - seedlings - Fertilizer - Pesticide - Hire labour (if any) - Other expenditure D I Forestry Plantation - Seeds/seedlings - Fertilizer 40 - Pesticide - Hire labour (if any) - Other expenditure II Forest tending Fertilizer Pesticide Hire labour (if any) Other expenditure III Forest protection Hire labour (if any) Tools IV Timber exploitation Tools (Knife, etc.) Transportation Other V NTFPs collecting Tools (Knife, etc.) Transportation E Off-farm activities Small business Other services F Other production activities G Expenditure for education H Expenditure for food I Other expenditure 41 III Collecting NTFPs of household Please give name of NTFPs collected in the forests and rank their importance or values NTFPs Rank to 10 - Bamboo - Bamboo shoots - Mushrooms - Fuel-wood - Medicines - Vegetables How far is it to natural forests (where your family collects NTFPs) from your house? Km Please state number of adults in your family involved in collecting NTFPs from natural forest: ……………… Please state average hours of productive labour per day per adult in your family: ……… Please state yearly working days per adult in your family: ……………………………… Please state relative amount of time spent on NTFPs extraction per day in your family (%):……… Please fill the answers from question 2-6 in the following table Item Unit Distance from your house to natural forest (where your Km family collects NTFPs Number of adults in your household involved in NTFPs People collection Hours of productive labour per day per adult Hours Yearly working days per adult Working days Relative amount of time spent on NTFPs extraction % 42 Amount If the government would not allow you to collect NTFPs in natural forests managed by commune, what will you in order to ensure your living? (Multiple responses allowed) Small businesses and services Development of Agricultural cultivation and animal husbandry Investment in education for their children in order to get good jobs in the future Participating in working in overseas like Malaysia as hired jobs Development of forest plantation Don‟t know what to If you were able to earn income working elsewhere that is greater than the income you receive from NTFPs would you no longer collect NTFPs? (Multiple responses allowed) No longer collect NTFPs for cash income in community forests Collect NTFPs for cash income from allocated forests of household Collect NTFPs for household uses (fuel-wood, medicines ) Interviewee’s Signature 43