Forest Sector A Birds Eye View

Presented By: Ashutosh Nanda

Road Map… Forestry Sector over View

Status of World Forestry

Indian Forestry Sector

Industries in Forestry Sector And Problems

Institutions in Forest Sector

Policy in forest Sector

Problems in Forestry Sector

Solution for the Identified Problems

What We Mean By Forest…

A forest is a type of ecosystem in which there is high density

of trees occupying a relatively large area of land.

An ecosystem is an ecological unit consisting of a biotic

community (an assemblage of plant, animal, and other living

organisms) together with its abiotic environment (such as

soil, rocks, water, temperature, slope of the land, etc.

What We Mean By Forestry???

The practice of creating, managing, using, and conserving forests for human and animal benefit.(FSI)

The science and art of cultivating, maintaining, and developing forests for scientific management of a forest land.(FRI)

Forestry, the management of forest lands for wood, water, wildlife, forage, and recreation.

(Sir Dietrich Brandis Father of Tropical Forestry/S.S. Negi)

Classification of Forest :

• Depending on Vegetation• Depending on Density• Depending on Altitude• Depending on Seasonality• Depending on Legal Status• Depending on Climatic Condition• Depending on Age Class• Depending on Geographical Distribution

FRI Classify forest in to 16 types for various Management Practices

Forest is a property of State and Centre

Importance of Forest

• Tangible BenefitsRevenue generation

Employment opportunity

Livelihood Generation- Food/Medicine/Resin/Gum etc

• Intangibles BenefitsEnvironmental sustainability

Reducing Green house Effect

Global Warming

Rainfall

recreational,

aesthetic, and spiritual benefits for millions of people.

So We Need To conserve Forest

World Forest Cover, 1990-2005Continent Total Forest Cover

  1990 2000 2005

Million Hectares

Africa 699 656 635

Asia 574 567 572

Europe 989 998 1,001

North and Central America

711 708 706

Oceania 213 208 206

South America 891 853 832

TOTAL WORLD 4,077 3,989 3,952

Source: Compiled by Earth Policy Institute from U.N. Food and Agriculture Organization, Global Forest Resources Assessment 2005 (Rome: 2006), www.fao.org/forestry/site/32038/en

1990 2000 2005

TOTAL WORLD 4,077 3,989 3,952

3,890

3,910

3,930

3,950

3,970

3,990

4,010

4,030

4,050

4,070

4,077

3,989

3,952

Total world forest cover

Mil

lio

n h

ecto

r

1990 2000 2005

TOTAL WORLD 4,077 3,989 3,952

4,077

3,989

3,952

Total world forest cover

Mill

ion

hect

or

Change in World Forest Cover, 1990-2005Continent Forest Cover Annual Change in Forest Cover

  1990 2000 2005 1990-20002000-2005

1990-2005

Million Hectares Million Hectares

Africa 699 656 635 -4.4 -4.0 -4.3

Asia 574 567 572 -0.8 1.0 -0.2

Europe 989 998 1,001 0.9 0.7 0.8

North and Central America

711 708 706 -0.3 -0.3 -0.3

Oceania 213 208 206 -0.4 -0.4 -0.4

South America 891 853 832 -3.8 -4.3 -4.0

TOTAL WORLD 4,077 3,989 3,952 -8.9 -7.3 -8.4

Source: Compiled by Earth Policy Institute from U.N. Food and Agriculture Organization, Global Forest Resources Assessment 2005 (Rome: 2006),

www.fao.org/forestry/site/32038/en.

Region/Country Percentage of forest cover to land area (1995)

Per capita forest(ha)

World 26.6 0.64

Asia 16.4 0.1

Africa 17.7 0.7

Europe 41.3 1.3

China 14.3 0.1

Pakistan 2.3 0.01

Nepal 33.7 0.2

Bangladesh 7.8 0.02

Sri Lanka 27.8 0.1

Indonesia 60.6 0.6

Malaysia 47.1 0.8

Philippines 22.7 0.1

Japan 66.8 0.2

USA 23.2 0.8

India 15.7 0.06

Source: State of World Forest,FAO,1999.

Different Cause for Changing in forest Cover

• Logging

• Encroachments

• Mining/ Energy

• Heavy Biotic

pressure

• Land Clearing for

Ag/Settlement

• Over Grazing Data from WRI/WCMC/WWF, 1997

Data from FAO, 1997 http://earthwatch.unep.ch/emergingissues/forests/forestloss.php

Extent of forest and other wooded land

FRA 2005 categories

Area (1000 hectares)1990 2000 2005

Forest 63,939 67,554 67,701

Other wooded land 5,894 4,732 4,110

Forest and other wooded land

69,833 72,286 71,811

Other land 227,486 225,033 225,508which with tree cover

815 815 815

Total land area 297,319 297,319 297,319Inland water bodies

31,407 31,407 31,407

Total area of country

328,726 328,726 328,726

Indian Forestry Sector

Data source: FAO, Global Forest Resources Assessment 2005.

Data source: FAO, Global Forest Resources Assessment 2005.

Biomass stock in forest

FRA 2005 categoriesBiomass (million metric tones oven-dry weight)Forest1990 2000 2005

Above-ground biomass 3,801 4,062 4,093

Below-ground biomass 1,007 1,076 1,085

Total living biomass 4,808 5,138 5,178Dead wood 529 565 570Total 5,337 5,703 5,748

Growing stock in forest and other wooded land

FRA 2005 categories

Volume (million cubic meters over bark)

Forest

1990 2000 2005

Growing stock in forest and other wooded land

4,363 4,662 4,698

Commercial growing stock 1,745 1,865 1,879

FORESTRY IN INDIA

Data source: FAO, Global Forest Resources Assessment 2005.

Utilization

Timber

Hard WoodSoft Wood

Various Forest based industries paper/pulp/Sports/MusicalInstrument/Plywood/Match Box/Boat/Railways /fuel wood etc…

Non Timber

Various Plant Part other than Wood

Gum/Resin/oil/fruits/flowers/

fodder/seeds/leafs/ medicine/food etc...

Paper industry overview

Indian Paper Industry account 1.6% of worlds Production

Paper industry in India is the 15th largest paper industry in the world

Current Demand for Paper and Pulp 2008 is 6 million tone

The first paper mill in India was set up at Sreerampur, West Bengal, in the year

1812.

In 1951, there were 17 paper mills, and today there are about 515 units engaged

in the manufacture of paper and paperboards and newsprint in India.

. The output of the Indian Paper Industry is around six million tons per annum

with a turn over of about of Rs. 15000 crores

contributing over Rs. 2500 crores annually to the exchequer by way of various

fiscal duties and taxes

employs nearly 300000 people directly and 1000000 people indirectly

http://www.ipma.co.in/paper_industry_overview.asp

PROCESS OF PULP PRODUCTION

2000 2005 2010 20150

1

2

3

4

5

6

7

8

9

4.11

5.04

6.3

7.98

2.56 2.763.15 3.32

1.55

2.28

3.14

4.66

Demand and Production Graph India for Paper

Demand

Production

Shortfall

Mill

ion

tonn

e

Source:http://ies.lbl.gov/iespubs/41843.pdf

1980 1994 2000 2005 20100

1000

2000

3000

4000

5000

6000

7000

8000

9000

3455

8006 88

26

8458

8152

Asia Import Status of Wood Pulp

Asia

00

0 M

etri

c to

nn

e

Data from WRI/WCMC/WWF, 1997

Key problems faced by paper industry

cost of production and cost efficiency

inadequate availability of raw materials,

power cost

Policy level difficulties

concentration of mills in one particular area.

Problems due to Paper Industry

Contaminated Sediments, Fish & Ducks

Continuing Toxic Pollution

Conventional Air Pollution

Energy Consumption

Solid Waste

Deforestation

Corruption of Democracy

http://www.ipma.co.in/percentage_share.asp

Initiative taken By Paper Industry

• AP Paper Mills($40 million investment in support to process improvements at the pulp mill)

• Ballarpur Industries Limited (BILT):

($15 million investment,30000 farmers)

• JK Paper MiLL

($26 Million investment, 40000 farmers)

• ITC Paper

(23000 farmers)

Initiative By IFC

• IFC has approved more than $120 million in financing to India’s four leading pulp and paper companies

• Part-time employment for over 120,000 farmers • Increasing farmers’ income by 25-50 percent • 60 percent of the country’s farm forestry programs • Thousands of direct and indirect jobs • Fuel wood for local use

• Providing Technology for minimum waste during manufacturing

Policy Reforms in Paper Industry• Encourage small farmers to plant fast-growing trees on

unproductive land( Farm Forestry with PPP)

• Coordination with Different Research and ImplimentaionBody

• Change in Policy( Industrial Plantation)

• The industry is also seeking permit duty free imports of new & second hand machinery/equipment for Technology Up gradation.

• Right now, an estimated 55-million begasse is available, but currently we are using only 8%. Begasse can be introduced in replace of using bamboo, rice or white straw.

Present Norms

NTFP Conceptually NTFP (Non – Timber Forest Products) refers

to all biological materials other than timber extracted from natural forests for human and animal use.

It includes plant tissue used for fiber, building material, medicine, edible leaves, roots, flower, fruit, seed, nuts, honey, resin, glue, lac etc. and has both consumptive and exchange value.

Prior to national Forest Policy (NFP), 1988, NTFPs were popularly know as Minor Forest Products (MFP) that was centered around Kendu leaves (Bidi Patta) and few other product

( Saxena, N.C., Policy and Legal Reforms for Poor in India, UNDP, New Delhi)

Statistics…. In India there are 162 No of NTFP recognized and out of them 64

species are regularly traded

In India, the contribution of NTFP and eco-tourism to the Forestry Sector’s gross value (of Rs 259.85 billion) is 16%(MOFE)

It is claimed that 1.6 million person years of employment in India are from NTFP while the forestry sector in total provides 2.3 million person years of employment. (Shiva & Mathur, 1998)

All India average value of NTFP to be Rs 1671.54 per hectare and Rs. 41.89 billions as the estimate of gross value of NTFPs harvested on average in India {Chopra (2006)}

Western Tamil Nadu found income from different NTFPs to be Rs. 2720 per hectare (Sekhar et al., 1993)

Trade Potential

Commercial NTFPs are estimated to generate Rs. 3 billion (US$ 100million) annually in India.

It exports a large number of NTFP to other countries earning foreign exchange revenue to the tune of Rs. 10 billion (US $ 384 million) annually

India holds monopoly in world trade over some of the NTFPs as Karaya gum, myrobalans and Sandalwood chips and dust

The export of NTFP has grown by 20-25% over the past few years

In 2006-07, India earned Rs 39.7 billion from export of NTFP and their valued added extracts. (Ganguli, 2007)

Gross value : A Comparaison

Year Industrial Wood

In Lakh

Fuel-wood

In Lakh

Carbon

Sequestration

NTFP

In Lakh

1999 2706.393 16985.75 732.089 to

2825.886

4188.85

Source :MOSPI

Some Examples…

A bundle of 50 Sal(Shorea robusta) leaf plates which is procured at source in Orissa, India, at less than Rs.12 (US $ 0.3), is exported from Kolkata at Rs.932 (US $ 23).Satapathy (2001)

The Sal resin procured at Rs.20 (USD 0.50) per kg is sold at Rs.80 (USD 2.00) per kg.

Delhi price for dried jatamansi rhizome was US$2.26 per kilogram, gatherers in Humla, Nepal received just US$0.36 per kilogram (16%). (Hyman, )

There were at least four levels of intermediaries between the gatherers and Indian processing companies

NTFP Policies

NTFP-based forest management (National Forest Policy, 1988, Government of India, JFM )

NTFP rights

(1990 circular on Joint Forest Management (JFM)

{The Panchayat (Extension to the Scheduled Areas) Act, 1996 }

Decentralizing and devolving NTFP trade (2000 Forest policy)

Problems…

NTFP market has been highly unstable

Dominance of traders and unethical trade practices

Imperfection in flow of market information,

Lack of processing and storage facilities,

Absence of market regulations and marketing Channel etc

Effective Monitoring and Rules for NTFP Trading

Primary collectors deal in the market at individual level with

small quantities of products putting them at disadvantage

Possible Solutions For NTFP

Creating Proper Institutional Framework and Collective Action through proper Marketing

Channel

LAMPsCooperativeSHGCIG JLG

State Managed???Community Managed???

Example: ORMAS in Orissa Rajas Sangh in Rajasthan Lamps in West Bengal MP State NTFP Federation TDCC TRIFED

Successful Case Studies and Models

Nepal Model of Forest management Vasundhara Model of Collective Action Seva Mandirs approach through FPC Jan Chetena initiative at sirohi District

Institutional Framework

Ministry of Forest And Environment

FRI

Subordinate Office

BSI

Statutory Bodies

Animal Welfare Board of India (AWBI)Central Pollution Control Board (CPCB)Central Zoo Authority (CZA)NAEB

NATIONAL AFFORESTATION AND ECO-DEVELOPMENT

BOARD NAEB, set up in August 1992responsible for promoting afforestation,tree planting, ecological

restoration and eco-development activities in the country

National Afforestation Programme (NAP) Scheme: At A Glance

Integrated Afforestation and Eco-development Project Scheme(IAEPS)

Area Oriented Fuel wood and Fodder Project Scheme (AOFFPS),

Conservation of Non-Timber Forest Produce including Medicinal Plants

(NTFPS)

Association of ST and Rural Poor in Regeneration of Degraded Forests

(ASTRPS)

Samnavit Gram Vanikaran Samridhi Yojana (SGVSY)

Operation of NAEBimplemented through a 2-tier structure of Forest Development Agency (FDA) at the forest division level and Joint Forest Management Committee (JFMC).

FDAs are registered under the Societies Registration Act. JFMCs are registered either with the Forest Department or under Statutory provisions.

The structure of FDAs and JFMCs also caters to the gender concerns, whereby women membership to the extent of 50% has been made mandatory in these bodies. Members of Schedule Castes and Schedule Tribes are the focus group in JFMCs.

Activities undertaken so far715 FDAs have been operationalised so far at a cost of Rs. 1,514.79 Crores to treat a total area of 9.23 lakh ha.

so far 19 jhum projects have been sanctioned in NE States and in Orissa in 2008-09.Year No. of new FDA

projects operationalised

No.of JFMCs Project Area Release (Rs. Crores)

2002-03 237 8209 405631 151.26

2003-04 231 7850 283272 207.98

2004-05 105 3474 107963 233.002005-06 (up to 31.3.2006)

95 2,391 55,232 248.58

http://209.85.175.132/search?q=cache:XB4UU616P8oJ:envfor.nic.in/naeb/welcome.html+NAEB&cd=1&hl=en&ct=clnk&gl=in

Other Projects JBIC/JICA: Orissa Forestry Sector Development Project

World Bank Forestry Project in the states Like

• Uttarpradesh• West bengel• AP(Andhra Pradesh Community Forest

Management Project (APCFMP)

• Tamil Nadu

VARIOUS FOREST ACTS IN INDIA

1927 1971(Wildlife Protection Act) 1980(Forest Conservation Act) 1988( Forest Policy)

2006(Forest Rights Act) Title rights - i.e. ownership Use rights Relief and development rights Forest management rights

Opposition to the Act

TV Advertisements Against Act

Criticisms of the Act by Forest Rights Supporters

Eligibility Criteria

Section 4(2) of the Act

CURRENT DEBATE

Ownership : JFM Vs CFM(Forest Act 2006)

Forest Cover: Actual Forest Vs Recorded Forest

Regulation : MSP vs. Price Discovery

NTFP Products : Nationalized product( Tendu Leaves) Vs Other

Policy : Industrial Plantation Vs Community Forestry

Solution To shifting Cultivation????

Thank You