Sustainable Forest Management in Asia: The Role of Governments, Public Policy, and Regional Coordination Donald G. HODGES1 and Pracha KOONNATHAMDEE2 Abstract Illegal logging and unsustainable harvest levels are major causes of deforestation in developing countries. Timber importing countries have benefited from the harvests through access to large volumes of valuable timber at discounted prices, but at the expense of the environment, governance, and forest-dependent communities in the exporting countries. Moreover, forests contain not only timber, but non-timber values such as ecological and societal services as well. Sustainable Forest Management (SFM) offers one alternative to maintain the sustainability of forests and the multiple goods and services they produce. This study investigates the current condition of Asian forests under the SFM framework, including the extent of forest resources, biological diversity, forest health and vitality, productive and protective functions of forest resources, and socio-economic influences. The paper also explores institutional and policy factors that may affect sustainable forestry. Because of the economic characteristics of forests, specifically the global and local public good nature of forests with positive spillover effects, public policy should serve all stakeholders‟ needs, not only forest industry. Therefore, decentralization and public participation with good governance and information flow are required to support sustainable forest policy, as are market and trade policies that encourage conservation. Pressing problems for forestland such as conversion of forests to agriculture, forest fragmentation, increased demand for biomass and wood necessitate prompt action by all stakeholders at the local, national and regional levels. Keyword: Forest Economics, Forest Policy, Institutions
1
Professor, Department of Forestry, Wildlife, and Fisheries and Director, Natural Resource Policy Center, The University of Tennessee, 274 Ellington Plant Sci. Bldg. Knoxville, Tennessee 379964563, USA Phone: 865-974-7126 Fax: 865-974-4714 E-mail:
[email protected] 2 Graduate Research Assistant, Department of Forestry, Wildlife, and Fisheries, The University of Tennessee, 274 Ellington Plant Sci. Bldg. Knoxville, Tennessee 37996-4563, USA Phone: 865974-7126 Fax: 865-974-4714 E-mail:
[email protected]
I. INTRODUCTION Forests currently comprise approximately 4 billion hectares, or 30 percent, of the global land base and provide food, shelter, fuel, and other goods and services to a large portion of the world‟s population. According to a recent report of the World Bank (2006), approximately 1 billion „extremely poor‟ people depend on the forests for part of their livelihood, with 350 million heavily dependent on forests. Forests face a number of significant threats globally, including illegal logging and overharvesting, increased loss of area from native and invasive forests pests and diseases, little or no incentives for protection due to weak or nonexistent ownership rights, and overuse from expanding populations. Illegal logging and overharvesting can be extremely significant, particularly in areas with poorly defined property rights or where the majority of forests are characterized as common property resources. Illegal logging on public lands alone results in a loss of assets and revenue of approximately US$10 billion annually and a US$ 5 billion in lost taxes and royalties (Illegallogging.com) To ensure that the services and values provided by forests are maintained for current and future users, a global effort was initiated in the late 1980s to encourage the sustainable management of the world‟s forests. Sustainable Forest Management (SFM) received a significant push through the 1992 United Nations Conference on Environment and Development (UNCED) and has since become the primary tool for encouraging forest management globally. The Food and Agricultural Organization (2008a) of the United Nations states that SFM “…aims to ensure that the goods and services derived from the forest meet present-day needs while at the same time securing their continued availability and contribution to long-term development….”. Thus, forest management decisions made at a country-specific or regional level must be based on both short-term and long-term consequences of the proposed actions. This paper reports on an assessment of the current status of SFM in ten countries of East and Southeast Asia. Specifically, we describe the basic economic concepts associated with SFM, review the structure of SFM monitoring and assessment procedures, summarize some basic data related to SFM on a regional and country-specific basis, and offer some general recommendations for advancing SFM in the region. II. WHAT IS SFM A. Economic Concepts and Characteristics of Forests Forests are natural resources of critical economic importance. In addition to traditional wood products, forests provide a plethora of benefits (both market and non-market goods) that include a range of ecosystem services, biodiversity reserves, climate change protection or carbon sequestration, and outdoor recreation opportunities (Hanley, et al. 2007; Kant and Nautiyal. 1996). Forests are diverse and complex. They range from plantation forests which are often managed as intensively as agricultural crops to natural forests comprised of several interdependent species of trees, plants, and animals. Forests possess characteristics of both renewable and nonrenewable resources. Plantation forests, for example, can be treated as a renewable resource since they can be harvested and regenerated frequently. Conversely, the unique characteristics and values of
old growth forests or natural forests are better treated as nonrenewable resources in that the destruction of such forests could mean the loss of non-replenishable assets (Hanley, et al. 2007). Therefore, forests must be analyzed separately from other renewable resources. The mixed characteristics of forests create difficulties in forest management and policy implementation, especially for sustainability. Forests hold several characteristics of market failure: externalities, public goods, common property resources, and hidden information. Forests provide positive externalities at the local level such as preventing flooding and soil erosion, and improving water quality. Carbon sequestration or climate change mitigation offers one example of a positive global externality (Kant and Berry. 2005). Ownership rights are the key to some market failure components, particularly with externalities and public goods (Coase. 1960). Due to the difficulties of revealing market failure components and of well-defined property rights, forests may end up with the second best theory requiring both horizontal and vertical bargaining and institutional aspects (Koonnathamdee. 2008). In the last two decades, people have realized that “trees are not forests and forests are much more than trees” (Kant. 2004). This simple sentence contains at least three economic implications. First, forests are not only timber and forest products. As a consequence, sustained yield timber management (SYTM) is economically inefficient because it ignores biodiversity values and other ecosystem aspects. In addition, timber and forest products could be sustained (in timber yield) only in plantation forests, but not natural forests. Under SYTM, natural forests may be valued only by land, timber, and forest products, but not the true value of nature. Consequently, natural forests could be changed into forest plantations or agricultural or residential areas as a worst case, eliminating biodiversity and ecosystem services permanently3. Second, the invisible hand of the market often does not work in the context of forests, resulting in market failure. In general, market failure occurs (1) when people cannot define property rights clearly; (2) when we cannot transfer rights freely; (3) when we cannot exclude others from using the good; or (4) when we cannot protect our rights to use the good (Hanley, et al. 2001; Hanley, et al. 2007). As a result, free exchange does not lead to socially desirable outcomes. Since everyone „owns‟ the right to clean air, good climates, and biodiversity, no one owns the right (Gordon. 1954). In this context, it is impossible for people to trade forest products and services freely. In addition, the market system is incomplete especially for the problem of missing markets. Third, not only different levels in terms of local and global of forests, but also different areas with the same levels have different impacts on communities. Forest management and policy should incorporate these issues. Therefore, a single forest management model cannot be globally applied to all forests. These three economic implications are consistent to the economic concepts of sustainable forest management (SFM), which is defined in the next section.
3
Evidence abounds relative to this problem, no matter where developed or developing countries e.g. „cut and run‟, „slash and burn‟, and illegal logging. In the case of plantation forests, the hot issue in many areas is urban sprawl creating burden to related communities.
B. FAO, ITTO, UN Concepts The concept of SFM arises primarily from the notion of sustainable development that has gained increasing recognition worldwide since the late 1980s (Wang. 2004). SFM has evolved through several international efforts in global development, including the 1992 United Nations Conference on Environment and Development (UNCED) or Agenda 21 held in Rio de Janeiro, Brazil, the Intergovernmental Panel on Forests (IPF) during 1995–1997, the Intergovernmental Forum on Forests (IFF) during 1997–2000, and the United Nations Forum on Forests (UNFF) in 2001. The broad concept of Sustainable Forest Management from UNCED was generally called “Forest Principles”. The guiding objective of the principles is to contribute to the management, conservation, and sustainable development of all types of forests and to provide for their multiple and complementary functions and uses. It is worth noting Principle 2b4 which identifies that “Forest resources and forest lands should be sustainably managed to meet the social, economic, ecological, cultural and spiritual needs of present and future generations…” (FAO. 2003). A globally agreed-upon definition of SFM was developed in 2003. From the International Conference on the Contribution of Criteria and Indicators for Sustainable Forest Management (CICI-2003) in Guatemala, SFM comprises seven common thematic areas: (1) extent of forest resources, (2) biological diversity, (3) forest health and vitality, (4) productive functions of forest resources, (5) protective functions of forest resources, (6) socio-economic functions and (7) legal, policy and institutional framework (FAO. 2003). Although the degree of implementation of criteria and indicators at the national level varies considerably, the concept of SFM has influenced many initiatives at various levels. It has led to the revision of forest policies and legislation and has been mainstreamed by local, national, and international forestry organizations (FAO. 2003). Therefore, the concept of SFM incorporates multiple stakeholders at multiple levels, from local to global. In addition, SFM deals with ecologically sound practices to maintain forest ecosystem integrity, productivity, resilience, and biodiversity (FAO. 2003; Kotwal, et al. 2008; Wang and Wilson. 2007). SFM contains multiple equilibria (Kant. 2003), interdisciplinary, heterogeneous, less hierarchical, and more socially accountable (Kant. 2007; Wang. 2004). C. Criteria and indicators Over the last decade, sustainability of forest resources and ecosystems has become a worldwide concern. Consequently, many national and international initiatives have been launched to promote SFM. The most comprehensive and far reaching efforts thus far have been the development of criteria and indicators (C&I) for SFM. C&I are tools that can be used to collect and organize information in a manner that is useful in conceptualizing, evaluating, communicating, and implementing SFM. The pioneer work on C&I was 4
In addition, Principle 2b discusses forest resources as forest products and services including wood and wood products, water, food, fodder, medicine, fuel, shelter, employment, recreation, habitats for wildlife, landscape diversity, carbon sinks and reservoirs, and other forest products.
presented by the International Tropical Timber Organizations (ITTO) discussing “Criteria for the Measurement of Sustainable Tropical Forest Management.” By 1995, the Ministerial Conference on the Protection of Forest in Europe (MCPFE) and the Montréal Process had adopted comparable sets of national level criteria and indicators for sustainable management of temperate and boreal forests. The C&I have been revised and discussed numerous times since their initial development. Today, 150 countries are engaged in one or more regional and international C&I processes (The Montréal Process. 2007). Table 1 presents the current of criteria and indicators by organizations. Table 1 Criteria and number of indicators for ITTO/FAO and Montréal Process Criterion 1 Criterion 2
ITTO/FAO (2002 and 2004) Extent of forest resources Biological diversity
Criterion 3
Forest health and vitality
Criterion 4
Production functions of forest resources
Criterion 5
Protective functions of forest resources
Criterion 6
Socioeconomic functions
Criterion 7 Indicators
Legal, policy and institutional framework 57
Montréal Process (2007) Conservation of biological diversity Maintenance of productive capacity of forest ecosystems Maintenance of forest ecosystem health and vitality Conservation and maintenance of soil and water resources Maintenance of forest contribution to global carbon cycles Maintenance and enhancement of long-term multiple socio- economic benefits to meet the needs of societies Legal, policy and institutional framework 64
Source: The Montréal Process (2007) and ITTO (2005)
III. CURRENT SITUATION OF ASIAN FORESTS UNDER SFM The question that has frequently been asked is “Are we progressing towards sustainable forest management?” This is the question that constituted the basis of the Global Forest Resources Assessment 2005 developed by the Food and Agriculture Organization of the United Nations (FAO). For the first time, an attempt has been made to present trends more broadly, covering six of the seven thematic elements (criteria) of sustainable forest management. The results are not definitive. Overall progress toward sustainable forest management since 1990 on the global, regional, and sub-regional scales has shown many positive trends, but several negative trends persist. While intensive forest plantation and conservation efforts are on the rise, in some regions primary forests continue to become degraded or converted to agriculture at alarming rates. Table 2 summarizes these trends for selected variables in Asia, and highlights the mixed progress over the last 15 years. Forest area was stable during the study period (572 million hectares versus 574 million), decreasing by only 0.03 percent annually. This was due largely to large-scale afforestation efforts during the last 7-8 years, particularly in China. Forest health deteriorated, but forest fires, pests, and disease affected a relatively small proportion of the total forest area. The rapid decrease in primary forest are is cause for concern, while the increase in areas designated for conservation of biodiversity and for protective purposes is encouraging (FAO. 2006).
Table 2 Trends towards sustainable forest management in Asia Thematic element Extent of forest resources
Biological diversity
Forest health and vitality
Productive functions of forest resources
Protective functions of forest resources Socio-economic functions
Data availability
1990–2005 Annual change rate (%)
1990–2005 Annual change
Unit
Area of forest2 Area of other wooded land2 Growing stock of forests3 Carbon stock per hectare in forest biomass2
H M H
-0.03 -0.36 -0.58
-194 -697 -286
1 000 ha 1 000 ha million m³
H
-0.15
-1
tonnes/ha
Area of primary forest3 Area of forest designated primarily for conservation of biological diversity1 Total forest area excluding area of productive forest plantations2
H
-1.52
-1 510
1 000 ha
H
1.31
848
1 000 ha
H
-0.23
-1 224
1 000 ha
Area of forest affected by fire3 Area of forest affected by insects, diseases and other disturbances2
H
1.15
127
1 000 ha
M
0.30
35
1 000 ha
H
-0.30
-774
1 000 ha
H M H M
2.90 0.51 -1.49 3.71
1 033 95 -6 116 160 796
1 000 ha million m³ 1 000 m³ tonnes
H
1.94
2 325
1 000 ha
H
0.99
187
1 000 ha
Value of total wood removals3 Value of total NWFP removals1
H
-2.27
-452
million US$
L
1.4
191
Total employment3 Area of forest under private ownership1 Area of forest designated primarily for social services1
H
-1.15
-100
million US$ 1 000 pers. yrs
H
0.66
179
1 000 ha
Trends in FRA 2005 variables or derivatives
Area of forest designated primarily for production2 Area of productive forest plantations1 Commercial growing stock1 Total wood removals3 Total NWFP removals1 Area of forest designated primarily for protection1 Area of protective forest plantations1
H 1.18 39 1 000 ha Source: FAO 2006 Note: 1, 2, and 3 represent positive change (greater than 0.5%), no major change (between -0.5%0.5%), and negative change (less than -0.5%) respectively. H, M, and L represent High (reporting countries represent 75–100% of total forest area), Medium (reporting countries represent 50–75% of total forest area), and Low (reporting countries represent 25–50% of total forest area) respectively.
A.
Country-Specific Data This study was focused on ten selected countries in East and Southeast Asia including China, Japan, Cambodia, Indonesia, Malaysia, Myanmar, Philippines, Thailand, and Viet Nam. The countries presented the range of geographic and socio-economic conditions in the region, and therefore the various forest management challenges and opportunities of the area. Country data including forest information discussed in this section is presented in Appendix. The ten countries forest area totaled 424.9 million hectares, or 30.29 % of the total land area. Applying SFM criteria and indicators proposed by ITTO and FAO, in general, our selected countries exhibited progress toward forest sustainability. Extent of forest resources. Forest area was relatively stable, in the 15-year period, decreasing at an annual rate of 96,533 ha or -0.34 percent. Due to increased plantation activity, particularly in China, a net loss of forests of about 796,000 ha per year in the 1990s was reversed into an annual net gain of 1.3 million hectares during the period. The three largest annual net losses of forested acres occurred in Indonesia, Myanmar, and Philippines, but the largest rates of deforestation were reported for the Philippines, Indonesia, and Cambodia. Growing stock decreased by approximately 331 million m3/year higher than the amount of all of Asia, which decreased by about 290 million m3/year. Thus, while the extent of forest resources in the selected countries remained relatively stable over the past 15 years, growing stock declined substantially. Given the increased importance of plantations in forested area, this trend is not surprising. That is, native forests with large growing stock volumes have been replaced in many cases by fast growing plantations that to date have little or no current volume. Over the next few decades, growing stock volume on the plantation acres will increase substantially, potentially recovering the losses exhibited by current data. Conversely, several countries exhibited positive trends, including China, Japan, and Viet Nam. Biological diversity. The area of primary forest decreased at the alarming rate of 1.5 million hectares per year during the last 15 years, due largely to large losses in Indonesia (more than 1.4 million hectares per year). The decrease was not due solely to deforestation (both legal and illegal logging), however. Alteration of forests through selective logging and other forms of human intervention, which resulted in a subsequent classification of such forests as modified natural forest (in Cambodia and Viet Nam). On average, approximately 11 percent of the forest area is currently designated primarily for conservation of biological diversity, representing an average annual decrease of 158,642 ha since 1990. For this theme, the countries were mostly unchanged in the extent of primary forest. Only Japan exhibited a positive trend, while Indonesia, Cambodia, and Viet Nam experienced the greatest losses.
Forest health and vitality. The area was most affected fire, with this being a significant concern in Myanmar. Data for the extent of forest affected by insects, diseases, and other disturbances were generally quite weak, but China could benefit substantially from forest insect protection. Productive functions of forest resources. The forest area designated primarily for the production of wood and non-wood forest products in 2005 totaled 322.7 million hectares, or 76% of the total forest area of the study area. The forests with productive functions in the ten countries are likely to decrease at rates similar to that of the reduction in total forest area. Yet the area of productive forest plantations increased by an average of about 1 million hectares. Additionally, the area of productive forest plantations increased by 1.6 million hectares per year in the last five years, which is the largest increase of any region. China has promoted plantation forests during the last two decades. Productive forest plantations in China increased by 545,800 ha/year in the 1990s, and the annual change rate almost tripled between 2000 and 2005. Because of a logging ban in China and more stringent policies in Indonesia, total wood removals have decreased significantly during this period. China is now a net importer of major wood products, which includes the amount imported from outside the region. Illegal removals and informal collection of fuelwood are not included in the data, however. The damage resulting from illegal logging mostly is underestimated. Based on data from plantations, most countries in the study have exhibited positive trends, except Philippines, Malaysia, and Indonesia. Protective functions of forest resources. As stated in FRA 2005, the countries in the region exhibited positive trends in this thematic element. Both the area of forest designated for protective purposes and the area of forest plantations managed for this purpose increased, reflecting a greater attention to the role that forests play in the conservation of soil and water and other protective functions. Socio-economic functions. The total value of wood removals decreased, while the value of NWFPs increased during the last 15 years. Current total values per ha in Japan and Malaysia exceed 100 US$. Viet Nam was the only country in the study in which NWFPs exceeded reported wood values. Woodfuel is produced and utilized in domestic markets with a decreasing utilization rate. Employment also declined, while the area of forest under private ownership and areas designated for recreation, education, and other social services increased. It is worthy to note, however, that a general reduction in employment does not mean a reduction in forest sector importance. Conclusions. Progress toward SFM over the last 15 years was mixed in the countries examined. Forest area remained relatively constant, owing to large-scale afforestation efforts during the last decade. Except for China and Viet Nam, the countries must increase their efforts to maintain forest area or find an optimal level. Forest health deteriorated, but forest fires, pests, and diseases were still affecting a relatively small proportion
of the total forest area. Based on the availability of data, China needs to extend research in forest insects and their biology. The rapid decrease in the area of primary forest is a significant area of special concern, while the increase in area designated for conservation of biological diversity and protective functions is encouraging. B.
Trade Almost 80 percent of the world supply of tropical timber exports originates in the Asia-Pacific region. Today, much of what is called tropical forestry is simply logging the tropical forest. It is this consideration that accounts for the dominance of the Asia-Pacific region, which includes Malaysia, Indonesia, the Philippines, and the island of New Guinea, as a tropical wood supplier (Sedjo. 2007). Trade values in forest products are not insignificant. The level of imports of two countries, China and Japan, results in the ten countries examined are net importers in most major forest products as a group. However, country-specific data reveal that Indonesia, Laos, Malaysia, and Myanmar are net exporter countries. Malaysia is a major exporter of industrial roundwood and sawnwood. C.
Forest Ownerships and General Characteristics Against SFM The major problems of tropical forests, including the countries in this study, are illegal logging, forest land conversion to agriculture, forest fragmentation, and a lack of forest management and extension. In fact, if the land is not used for non-forested purposes, tropical forests usually regenerate in a short time, although the species may differ from those harvested. Rapid reforestation is particularly true where the harvests consist of the selective harvesting of desired species. These major forest problems are not only by design but by default. As stated in the previous section, forests contain characteristics of market failures. Well-defined property rights and law enforcement are one of the solutions toward sustainable forests. Our data reveal that the majority of forests, except in Japan, are publicly owned (Table 3), mostly under the direct control of central governments. Therefore, most countries are more likely to have common property resource problems such as forest degradation, illegal logging, deforestation, and illegal forest land conversion to arable lands. Those problems confound any policies designed to enhance sustainable forestry, especially for countries with limited budgets to maintain primary forests, with a lack of good governance and selective enforcements, and with corruption. Because SFM requires evaluating the economic, environment, and social aspects of forest use, the relationship between forest resource tenure and forest management (specifically the implications for poverty alleviation) should not be ignored. Without tenure security, the contribution of forestry to poverty alleviation or sustainable livelihoods will be limited (FAO. 2007). This is a reason that some countries have well-established traditions of community forestry, joint forest management, and private forestry. The scale of these schemes remains limited, however. Some countries (most notably China and Viet Nam) have begun to transfer ownership rights to private households, and
Malaysia is experimenting with granting long-term agreements (100 years) to private companies in Malaysia (FAO 2006). One recent phenomenon that is increasing pressure on the forest sector is energy generation, including forest land conversion to energy crops and utilizing forest biomass for bioenergy. The promotion of alternative energy goals will directly conflict with conservation policy, particularly as it relates to sustainability of forests and biodiversity. This design problem should be corrected by including stakeholder participation to identify an optimal policy. Table 3 Ownership of forest and other wooded land 2000 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Total area (1 000 ha) 11 541 177 001 97 852 24 876 16 532 21 591 34 554 7 949 14 814 11 725
Forest Public Private (%) (%) 100 0 100 100 0 41.9 58.1 100 93.4 100 89.5 86.8 56.1
0 6.6 0 10.5 13.2 17.7
Other (%) 0 0 0-
Total area (1 000 ha) 298 97 683 -
0 0 0 26.1
4 053 10 629 3 292 1 816
Other wooded land Public Private (%) (%) 100 0 100 100 100 -
0 0 -
Source: FAO 2006
VI.
FUTURE SFM NEEDS IN ASIA The results of our analysis suggest that some aspects of SFM are progressing well in the ten countries examined, but significant issues remain. Overcoming these issues will require a combination of local, national, and regional remedies. A primary barrier to more effective SFM efforts in the region is a result of the market failures described above. Poorly defined property rights and the common pool attributes of forests in some areas result in little incentive to manage resources wisely. This is particularly true in the case of primary forests, where a large component of the total economic value is not captured by a typical logging operation, nor are the costs of the negative externalities borne by the parties involved. Overcoming these issues will require a concerted effort by local and national governments to ensure that the required property rights are transferred to individuals or local communities who will have a stake in the benefits the arise from sound forest management and bear the costs of poor decisions, and thus have an incentive to improve forest conditions. Unfortunately, the forestry sector if often slow to adapt to change, both in the region examined and globally. Instead, governments around the globe tend to react to shocks in extreme ways (e.g., logging bans), which further weakens tenure rights and can exacerbate the problems (FRA 2005). The difficulty in achieving a goal of expanded and well-defined ownership rights will vary by country, due in large measure to the extent the structures exist to permit the change. Table 4 provides the percentile scores for the ten countries on a number
Other (%) 0 0 0 -
of Governance Indicators, as defined by the World Bank (2008). Those countries that possess political stability, can control corruption, and possess effective laws and regulations, for example, will be more effective in reducing the negative effects of common property resources. In fact, comparing the relative ranking from the Governance Indicators to the SFM indicators reveals that the institutional conditions (the SFM criteria not examined explicitly in the analysis) are closely linked to the effectiveness of the SFM efforts of the countries.
Table 4 Percentile Rankings from World Governance Indicators, The World Bank Country
Political
Control of
Rule
Voice and
Government
Regulatory
Stability
Corruption
of Law
Accountability
Effectiveness
Quality
Cambodia
28.8
8.2
13.8
24
20.9
30.6
China
32.2
30.9
42.4
5.8
61.1
45.6
Indonesia
14.9
27.1
27.1
42.8
41.7
43.7
Japan Lao People’s Democratic Republic Malaysia
84.6
84.5
90
75.5
89.1
83.5
42.8
13
17.1
6.3
21.3
15.0
52.4
62.3
65.2
31.3
82.9
67.0
Myanmar
12.5
1.4
5.2
0.5
2.4
1.5
Philippines
10.1
22.2
33.8
43.3
56.4
50.5
Thailand
16.8
44
52.9
29.8
61.6
56.3
Vietnam
56.3
28
38.6
6.7
41.2
35.9
Source: Kaufmann D., A. Kraay, and M. Mastruzzi 2008: Governance Matters VII: Governance Indicators for 1996-2007 Note: The governance indicators presented here aggregate the views on the quality of governance provided by a large number of enterprise, citizen and expert survey respondents in industrial and developing countries. These data are gathered from a number of survey institutes, think tanks, non-governmental organizations, and international organizations. The aggregate indicators do not reflect the official views of the World Bank, its Executive Directors, or the countries they represent. The WGI are not used by the World Bank Group to allocate resources or for any other official purpose.
Good governance can have a substantial impact on illegal logging as well. Specifically, regulatory quality, control of corruption, and rule of law are critical determinants of the ability of a government to control timber harvesting. As Brack (2007) notes, a critical need in combating illegal logging is a “focus on the implementation of laws and international agreements not just their introduction and negotiation….”. That is, the capacity to enforce the laws once they are enacted is critical, and this cannot occur if the state does not have the ability or desire to avoid the pitfalls of selective enforcement or concessions due to conflicting objectives. Another major impediment to enhanced SFM in the region, and globally, is the lack of capacity among individuals, local communities, and sub-national governments to implement sustainable forestry practices. That is, poor management is not due to a conscious effort to degrade the resource, but instead the result of limited knowledge and capacity (FRA 2005) to manage and use the forest wisely. Thus, local and national governments, regional organizations, and NGOs must continue to provide funds and resources required to provide the
necessary training and assistance to ensure that forest owners and users are able to sustainably manage their forests. This need will become more significant as decentralized authority and ownership become more prevalent. The needs extend well beyond forest management expertise. For SFM to be successful, local communities and leaders also must be well versed in community and economic development and collaborative governance. This will entail continued expansion of existing and improved community forestry enterprises. Finally, regional coordination among the countries is essential for the ecological and economic well-being of the region and its citizens. While it can be argued that this is true of all endeavors, it is particularly true for SFM where forest management and use decisions in one country can affect the demands on the forests of neighboring countries substantially. Regional approaches aimed at coordinating SFM efforts of often diverse national governments will be most effective if they are focused on assessing the regional effects and identifying mitigation needs where necessary.
REFERENCES Brack, Duncan. (2007). Illegal Logging. Energy, Environment and Development Programme EEDP/LOG BP 07/01. Chatham House 4 p. Coase, R.H. (1960). The Problem of Social Cost. Journal of Law and Economics. 3: 1-44. FAO. (2003). Intenational Conference on the Contribution of Criteria and Indicators for Sustainable Forest management: The Way Forward (CICI2003). Guatemala City, Guatemala. FAO. (2003). Trade and Sustainable forest Management - Impacts and Interactions. FAO. (2006). Global Forest Resources Assessment. Rome. FAO. (2007). Tenure Security for better Forestry. Rome, Italy. FAO. (2008a). Promoting Sustainable Management of Forests and Woodlands. http://www.fao.org/forestry/sfm/en/. Accessed 10/10/2008. FAO. (2008b). FAOSTAT. Gordon, H.S. 1954. The Economic Theory of a Common-Property Resource: The Fishery. The Journal of Political Economy. 62(2): 124-142. Hanley, N., Shogren, J.F., and White, B. (2001). Introduction to environmental economics. Oxford ; New York: Oxford University Press. Hanley, N., Shogren, J.F., and White, B. (2007). Environmental Economics : in Theory and Practice. Basingstoke [England] ; New York: Palgrave Macmillan. ITTO. (2005). Revised ITTO criteria and indicators for the sustainable management of tropical forests including reporting format ITTO Policy Development Series No 15. Kant, S. 2003. Extending the Boundaries of Forest Economics. Forest Policy and Economics. 5(1): 39-56. Kant, S. 2004. Economics of Sustainable Forest Management. Forest Policy and Economics. 6(3-4): 197-203. Kant, S. 2007. Economic Perspectives and Analyses of Multiple Forest Values and Sustainable Forest Management. Forest Policy and Economics. 9(7): 733-740. Kant, S., and Berry, R.A., Eds. (2005). Economics, Sustainability, and Natural Resources: Economics of Sustainable Forest Management. Dordrecht: Springer. Kant, S., and Nautiyal, J.C. 1996. Forests and economic welfare. Journal of Economic Studies. 23(2): 31. Koonnathamdee, P. (2008). Beyond the Forestland Ownership: A Challenge of Sustainable Forest Management in the South. Paper presented at Southern Forest Economics Workers (SOFEW) 2008 Annual Meeting in Savannah, GA. March 9-11, 2008. Kotwal, P.C., Omprakash, M.D., Gairola, S., and Dugaya, D. 2008. Ecological indicators: Imperative to sustainable forest management. Ecological Indicators. 8(1): 104-107.
Sedjo, R.A. (2007). Tropical Forest Management Systems as Economic and Sustainable. In P.N. Nemetz (Ed.), Sustainable Resource Management: Reality or Illusion? 284-296. Northamton, MA: Edward Elgar. The Montréal Process. (2007). Criteria and Indicators for the Conservation and Sustainable Management of Temperate and Boreal Forests. The World Bank (2008a). Country Governance Indicators. http://info.worldbank. org/governance/wgi/index.asp. Accessed 10/12/2008. The World Bank. (2008b). World Development Indicators. Wang, S. 2004. One hundred faces of sustainable forest management. Forest Policy and Economics. 6(3-4): 205-213. Wang, S., and Wilson, B. 2007. Pluralism in the economics of sustainable forest management. Forest Policy and Economics. 9(7): 743-750.
APPENDIX (Tables in this appendix are derived from FRA 2005 unless source) A1 Basic data on countries and areas Land Area Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Total (1 000)
1000 ha 17 652 932 742 181 157 36 450
14 446 1 319 983 225 630 127 771
23 080 32 855 65 755 29 817 51 089 32 549
5 860 26 550 48 783 87 892 63 832 85 140
Population Annual Density Growth (per km2) Rate 81.8 1.7 141.5 0.6 124.5 1.2 350.5 0.0 25.4 80.8 74.2 294.8 124.9 274.6
GDP
79.1 57.8 49.7 33.7
1 802.0 5 344.8 3 728.0 33 525.1
Annual Growth Rate 10.3 11.9 6.3 2.1
70.3 30.6 68.1 35.8 67.0 72.6
2 139.6 13 379.7 .. 3 409.6 8 137.6 2 599.8
7.1 5.7 .. 7.3 4.8 8.5
Rural (%)
1.7 1.7 0.8 1.9 0.6 1.2
Per capita PPP (US$)
Source: The World Bank 2008b A2 Change in extent of forest and other wooded land 1990-2005 Forest Country
Area (1 000 ha) 1990 2000 2005
1000ha/year %
Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Other wooded land Area (1 000 ha) 1990 2000 2005
Annual Change rate 1990-2000 2000-2005 1000ha/year %
12 946
11 541
10 447
-140
-1.1
-219
-2
335
298
270
157 141
177 001
197 290
1 986
1.2
4 058
2.2
101 498
97 683
87 615
116 567
97 852
88 495
-1 872
-1.7
-1 871
-2
-
-
-
24 950
24 876
24 868
-7
n.s.
-2
n.s.
-
-
-
17 314
16 532
16 142
-78
-0.5
-78
-0.5
2 875
4 053
4 643
22 376
21 591
20 890
-78
-0.4
-140
-0.7
-
-
-
39 219
34 554
32 222
-466
-1.3
-466
-1.4
10 219
10 629
10 834
10 574
7 949
7 162
-262
-2.8
-157
-2.1
2 230
3 292
3 611
15 965
14 814
14 520
-115
-0.7
-59
-0.4
-
-
-
9 363
11 725
12 931
236
2.3
241
2
0
1 816
2 259
A3 Designated functions of forest – primary function 2005 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Total forest area (1 000 ha) 10 447 197 290 88 495 24 868 16 142 20 890 32 222 7 162 14 520 12 931
% of total forest whose primary function is designated as: Social Multiple None or Production Protection Conservation service purpose unknown 32.3 3.9 21.3 0.9 3.9 37.8 58 31.3 2.7 1.2 6.8 53.9 27.5 18.6 0 0 0 0 100 0 21.6 56.6 77 75 13.8 39.8
54.7 18.2 4.7 11 7.6 45.5
23.5 5.4 15.2 12 58.3 14.7
0.2 -
19.8 3.2 1.1 -
2 19.3 -
A4 Characteristics of forest 2005 (1 000 ha) Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Total area 10 447 197 290 88 495 24 868
Primary 322 11 632 48 702 4 591
Modified natural 10 066 114 322 9 955
16 142 20 890 32 222 7 162 14 520 12 931
1 490 3 820 829 6 451 85
14 428 31 373 5 713 4 970 10 151
Forest Seminatural 0 39 957 36 394 -
Productive plantation 59 28 530 3 399 -
Protective plantation 2 839 10 321
223 1 573 696 304 1 997 1 792
1 153 316 1 102 903
15 497 -
A5 Change in extent of primary forest 1990–2005 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Area of primary forest (1 000 ha) 1990 2000 2005 766 456 322 11 632 11 632 11 632 70 419 55 941 48 702 3 764 4 054 4 591
1990 5.9 7.4 60.4 15.1
2000 4 6.6 57.2 16.3
2005 3.1 5.9 55 18.5
1 490 3 820 829 6 451 384
8.6 17.1 7.8 40.4 4.1
9 17.7 10.4 43.5 1.6
9.2 18.3 11.6 44.4 0.7
1 490 3 820 829 6 451 187
1 490 3 820 829 6 451 85
Annual change rate (ha/year) 1990-2000 2000-2005 -31 000 -26 800 0 0 -1 447 800 -1 447 800 29 000 107 400
% of total forest area
0 0 0 0 -19 700
0 0 0 0 -20 400
A6 Change in extent of forest plantations 1990–2005 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Area of forest plantations (1 000 ha) 1990 2000 2005 67 72 59 18 466 23 924 31 369 2 209 3 002 3 399 10 287 10 331 10 321
1990 0.5 11.8 1.9 41.2
2000 0.6 13.5 3.1 41.5
2005 0.6 15.9 3.8 41.5
4 1 956 394 1 780 2 640 967
n.s. 8.7 1 16.8 16.5 10.3
0.6 7.7 2 10.7 20.8 17.5
1.4 7.5 2.6 8.7 21.3 20.8
99 1 659 696 852 3 077 2 050
224 1 573 849 620 3 099 2 695
% of total forest area
Annual change rate (ha/year) 1990-2000 2000-2005 500 -2 600 545 800 1 489 000 79 300 79 400 4 400 -2 000 9 500 -29 700 30 200 -92 800 43 700 108 300
25 000 -17 200 30 600 -46 400 4 400 129 000
A7 Growing stock in forest and other wooded land 2005 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Area (1 000 ha) 10 447 197 290 88 495 24 868 16 142 20 890 32 222 7 162 14 520 12 931
Forest Growing stock By area Total Commercial m3/ha (million m3) (%) 96 998 40 67 13 255 91.8 59 5 216 171 4 249 59 251 85 174 41 66
957 5 242 2 740 1 248 599 850
Other wooded land Total growing Area stock (1 000 ha) (million m3)
74 17.8 4.3 59.9 8.5
270 87 615 -
993 -
4 643 10 834 3 611 2 259
32 -
A8 Annual change in growing stock 1990–2005 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Growing stock (1 000 m³/year) 1990-2000 2000-2005 -14 900 -22 200 186 560 181 400 -542 000 -561 200 74 200 79 200 -4 600 -4 600 24 500 6 800 -9 200 -14 200 -44 300 -26 800 -4 800 -2 400 13 570 11 183
Growing stock per hectare(m³/ha/year) 1990-2000 2000-2005 -0.11 -0.11 0.31 -0.52 -3.33 -4.61 3.02 3.19 n.s. n.s. 1.94 1.94 0.73 0.74 0.13 0.08 n.s. n.s. -0.26 -0.4
A9 Biomass stock in forest and other wooded land 2005 (million tonnes) Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Aboveground biomass 1 904 9 271 8 867 3 052 2 342 5 661 5 109 1 566 1 129 1 893
Forest Belowground biomass 628 2 920 2 926 733 632 1 359 1 226 376 305 455
Dead wood 279 1 836 1 297 -
Total 2 811 14 027 13 090 -
Aboveground biomass 577 -
327 1 053 697 214 158 258
3 301 8 073 7 032 2 156 1 592 2 606
78 -
Other Wooded land Belowground Dead biomass wood 219 138 21 -
11 -
Total 934 110 -
A10 Carbon stock in forest and other wooded land 2005 (million tonnes) Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
In above-ground biomass 952 4 636 4 434 1 526 1 171 2 831 2 555 783 564 947
Carbon in forest In below-ground In dead biomass wood 314 139 1 460 918 1 463 649 366 316 164 679 526 613 348 188 107 152 79 227 129
In litter 21 179 34 68 15 27
In soil 623
A11 Disturbances affecting forest and other wooded land 2000 (1 000 ha) Country
Total area
Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
11 541 177 001 97 852 24 876 16 532 21 591 34 554 7 949 14 814 11 725
Fire
Forest Area affected annually by Insects disease
51 122 2 100 1 6 500 6 150 -
6 191 0 0 n.s. -
other
883 0 0 1 -
820 0 27 3 -
A12 Composition of growing stock and diversity of tree species 2000 Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Growing stock composition (% of total growing stock) 3 most 10 most common species common species 29 64 19.9 26.8 54.7 67.6 30.4 29.6 11.2 28.8 7.2
39.3 63.3 19.5 53 18.5
No. of native tree species
No. of tree species in IUCN red list
862 2 500 1 327
Critically endangered 10 34 122 67
1 457 2 650 2 000 3 000 800
5 50 13 46 30 25
Endangered
Vulnerable
13 45 57 43
9 96 76 87
7 99 12 35 21 36
8 403 12 134 37 85
A13 Removals of wood products 1990–2005 (1 000 m³ o.b.) Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
1990 total
2000 total
Total
3 250 159 081 26 560 31 130
3 192 144 775 24 409 18 843
135 435 11 257 22 334
2005 Industrial roundwood 88 808 11 178 22 334
6 965 53 739 39 084 2 721 710 35 505
7 424 28 289 40 708 759 54 27 219
7 424 24 014 43 060 541 49 23 735
682 20 600 3 880 403 41 2 500
Fuelwood
% of growing stock 2005
46 628 79 -
1 0.2 0.5
6 742 3 414 39 180 138 8 21 235
0.8 0.5 1.6 n.s. n.s. 2.8
A14 Value of wood and non-wood forest products removals 2005 Value(1 000 US$) Country Cambodia China Indonesia Japan Lao People’s Democratic Republic Malaysia Myanmar Philippines Thailand Viet Nam
Industrial roundwood 4 946 290 2 159 679 2 864 500 40 931 2 081 000 838 479 60 272 46 91 579
Fuelwood
NWFPs
Total
Total value per ha (US$)
20 226 69 000 51 415 722 13 77 788
21 586 34 506 11 761 289 507
21 586 4 946 290 2 159 679 2 899 006 61 157 2 150 000 901 655 60 994 59 458 874
2 25 24 117 4 103 28 9 n.s. 35
