Incentives for Joint Forest Management in India: Analytical Methods and Case Studies

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Author: Ian Hill

ISBN-10: 082134143X

ISBN-13: 9780821341438

Category: Asia - International Business

Joint Forest Management (JFM) has emerged as an important intervention in the management of India's forest resources. This report sets out an analytical method for examining the costs and benefits of JFM arrangements. Two pilot case studies in which the method was used demonstrate interesting outcomes regarding incentives for various groups to participate. The main objective of this study is to develop a better understanding of the incentives for communities to participate in JFM.

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The study examines the economic and financial incentives for forest users in India to participate in Joint Forest Management (JFM) arrangements - forest resource management by government forest departments and local communities. An analytical method is developed and applied to two case studies of communities managing a mixed teak forest system and a sal coppice forest system The analytical results show that: a) economic returns to JFM are considerable in both forest systems; b) there is an increase in revenues from the forest to the communities but a theoretical loss to forest departments; c) income flows into the communities increase significantly, partially offset in the sal coppice system by declining income from collection of non-timber forest products (NTFPs); d) JFM benefits are not always distributed equally, resulting in collectors of firewood and some NTFPs losing, though overall gains are sufficient to compensate losers. Benefit realization is dependent on an enabling environment consisting of complex institutional and social conditions, in particular the village forest committee, the regulatory framework and sharing arrangements, and the regional economic and marketing context. The two case studies point to significant economic and financial benefits to communities, and the need for specific measures to safeguard the interests of those who may lose as a result of unequal distribution of the benefits.