Abstract
It is all very well for conservationists and foresters to recognize the need to reforest degraded lands but this does not mean that the owners of such lands will necessarily feel inclined to do so. Some may while others will not. Much will depend on their circumstances and especially whether they believe they have secure tenure over the land they are using. But a key influence is also likely to be their perception of the profitability of reforestation. Are timber trees likely to be more profitable than alternatives such as annual crops or other tree crops? And can they afford the time delay before there is any financial return from their trees? Commercial tree-growing is a relatively new land use for many farmers and some might conclude that the risks and opportunity costs of tree growing are simply too high. On the other hand, there is widespread empirical evidence showing that some private landowners do find tree-growing is worth doing. There are probably several reasons for this:
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Anyonge C, Rochetko JM (2003) Farm-level timber production: orienting farmers towards the market. Unasylva 54:48–56
Bertomeu M (2006) Financial evaluation of smallholder timber-based agroforestry systems in Claveria, Northern Mindanao, the Philippines. Small-scale For Econ Manage Policy 5:57–81
Bertomeu M (2008) Can smallholder tree farmers help revive the timber industry in deforested tropical countries? A case study from southern Philippines. In: Snelder DJ, Lasco RD (eds) Smallholder tree growing for rural development and environmental services. Springer, Berlin, pp 177–191
Bui HB, Harrison S, Lamb D, Brown S (2005) An evaluation of the small-scale sawmilling and timber processing industry in Northern Vietnam and the need for planting particular indigenous species. Small-scale For Econ Manage Policy 4:85–100
Byron N (1991) Cost benefit analysis and community forestry projects. In: Gilmour DA, Fisher RJ (eds) Villagers, forests and foresters: the philosophy, Process and practice of community forestry in Nepal. Sahayogi Press, Kathmandu, pp 163–180
Cacho O, Hean R, Ginoga K, Wise R, Djaenudin D, Lugina M, Wulan Y, Subarudi LB, van Noordwijk M, Khasanah N (2008) Economic potential of land-use change and forestry for carbon sequestration and poverty reduction. Australian Center for International Agricultural Research, Canberra, Australia
Center for International Economics (1999) Paper, Prices and Politics: an Evaluation of Swedish Support to the Bai Bang Project in Vietnam, Report 99/3. Swedish International Development Cooperation Agency, Stockholm
Fauzi PA, Noor MM (2002) Financial analysis. In: Krishnapillay BA (ed) Manual for forest plantation establishment in malaysia. Forest Research Institute of Malaysia, Kuala Lumpur, Malaysia, pp 137–162
Gole C, Burton M, Williams KJ, Clayton H, Faith DP, White B, Huggett A, Margules C (2005) Auction for landscape recovery. WWF, Sydney [http://www.uwa.edu.au/__data/page/12817/ALR_Final_Report.pdf]
Hansen PK, Sodarak H, Savathvong S (2007) Teak production by shifting cultivators in northern Lao P.D.R. In: Cairns M (ed) Voices from the forest. Resources for the Future, Washington, pp 414–424
Harrison S (2003) Property rights issues in small-scale forestry in the Philippines. Ann Trop Res 25:77–87
Harrison S, Lamb D, Hieu PS (in press) The economics of alternative smallholder silvicultural decisions in northern Vietnam. Small Scale Forestry (in press)
Herbohn J, Harrison S (2005) Improving financial returns to smallholder tree farmers in the Philippines: issues and way forward. In: Suh J, Harrison S, Herbohn J, Mangaoang E, Vanclay J (eds) ACIAR smallholder forestry project ASEM/2003/052 improving financial returns to smallholder tree farmers in the philippines proceedings from the ACIAR project planning workshop held in Ormoc City, the Philippines, The University of Queensland, Ormoc City, the Philippines, 15–17 Feb 2005.
Hines D (1995) Financial viability of smallholder reforestation in Vietnam. United Nations Development Program, Hanoi
Huang M, Upadhyaya SK (2007) Watershed payment for ecological services in Asia. Sustainable Agriculture and Natural Resource Management Collaborative Research Support Program, Working Paper No 06–07, Virginia Polytechnic Institute and State University, Blacksburg
ITTO (2007) Annual Review and Assessment of the World Timber Situation. Document GI-7/07. International Tropical Timbers Organisation, Yokohama
Jack BK, Leimona B, Ferraro PJ (2009) A revealed preference approach to estimating supply curves for ecosystem services: use of auctions to set payments for soil erosion control in Indonesia. Conserv Biol 23:359–367
Le TP, Nguyen VD, Nguyen NQ, Phan LV, Morrison E, Vermeulen S (2004) Making the most of market chains: challenges for small-scale farmers and traders in Upland Vietnam. International Institute for Environment and Development, London
Lee YF (2008) Financial analyses of forest plantations. In: Lee YF, Mohammad A, Chung AYC (eds) A guide to plantation forestry in sabah sabah forest record No 16. Sabah Forestry Department, Sandakan, pp 115–120
Leslie AJ (1987) A second look at natural management systems in tropical mixed forests. Unasylva 39:46–58
Leslie AJ (2005) What will we want from the forests? ITTO Trop Forest Update 15:14–16
Maguire L, Justus J (2008) Why intrinsic value is a poor basis for conservation decisions. Biotropica 58:910–911
Mangaoang E, Herbohn J, Harrison S, Cedamon E (2005) Overcoming problems with tree registration and log transport permits for smallholder tree farmers in Leyte. In: Suh J, Harrison S, Herbohn J, Mangaoang E, Vanclay J (eds) ACIAR smallholder forestry project ASEM/2003/052 improving financial returns to smallholder tree farmers in the philippines proceedings from the ACIAR project planning workshop, Ormoc City, the Philippines, 15–17 Feb 2005
McCauley DJ (2006) Selling out on nature. Nature 443:27–28
McElwee P (2001) Fuelwood harvesting and use in Cam Xuyen District, Ha Tinh Province. Forest Science Institute of Vietnam, Hanoi
Mercer DE, Soussan J (1992) Fuelwood problems and solutions: policy options. In: Sharma N, Rowe R (eds) Managing the world’s forests: looking for balance between conservation and development. Kendall/Hunt Publishing, Falls Church, VA, pp 177–214
Midgely S, Blyth M, Mountlamai K, Midgely D, Brown A (2007) Towards improving profitability of teak in integrated smallholder farming systems in Northern Laos. Australian Center for International Agricultural Research, Canberra, Australia
Morris J, Hicks E, Ingles A, Ketphanh S (2004) Linking poverty reduction with forest conservation: case studies from Laos. International Union for the Conservation of Nature, Bangkok, Thailand
Nguyen QT (2004) Agroforestry household system. In: Buurman J, McCarty A, Robertson S (eds) Developing Vietnam: studies in rural and sustainable development. Centre for the Study of Transition and Development, Institute of Social Studies, The Hague, The Netherlands, pp 229–266
Nguyen TP (2009) The role of the government in developing and implementing the policy on payments for forest environmental services in Vietnam. Ministry of Agriculture and Rural Development, Forest Sector Support Partnership Newsletter, pp 5–6
Pagiola S, Ramirez E, Gobbi J, de Haan C, Ibrahim M, Murguerito E, Ruiz JP (2007) Paying for the environmental services of silvopastoral pratices in Nicaragua. Ecol Econ 64:374–385
Pang K (ed) (2009) Prospects for Garahu in Sabah, The current state of plantation forestry in Malaysia: a special focus on Sabah Held 18–20 November 2009. Forestry Department Headquarters, Sandakan
Pasicolan PN, de Haes HAU, Sajise PE (1997) Farm forestry: an alternative to government driven reforestation in the Philippines. For Ecol Manage 99:261–274
Pasicolan PN, Macandog DM (2007) Gmelina boom, farmers’ doom: tree growers’ risks, coping strategies and options. In: Harrison SR, Bosch A, Herbohn J (eds) Improving the triple botton line from small-scale forestry proceedings of IUFRO 3.08 conference. University of Queensland, Brisbane, Ormoc City, Leyte, the Philippines, pp 313–318
Peters J, Nguyen CT, Nguyen TBT (2009) The pilot payment for forest environmental services in Lan Dong province. Ministry of Agriculture and Rural Development, Forest Sector Support Partnership Newsletter 26:11–13
Roder W, Keoboualapha B, Manivanh V (1995) Teak (Tectona grandis), fruit trees and other perennials used by hill farmers of northern Laos. Agroforest Syst 29:47–60
Stoneham G, Chaudhri V, Ha A, Strappazzon L (2003) Auctions for conservation contracts: an empirical examination of Victoria’s Bush Tender trial. Austr J Agric Resour Econ 47:477–500
Suyanto S, Leimona B, Permana RP, Chandler FJC (2005) Review of the development environmental services market in Indonesia. World Agroforestry Center, Bogor
Thomas S, Dargusch P, Harrison, Herbohn J (2010) Why are there so few afforestation and reforestation Clean Development Mechanism projects? Land Use Policy 27:880–887
Tomich TP, Kuusipalo J, Menz K, Byron N (1997) Imperata economics and policy. Agroforest Syst 36:233–261
Venn TJ, Harrison SR, Herbohn J (2000) Relative financial performance of Australian and traditional timber species in the Philippines. In: Harrison SR, Herbohn J (eds) Socio-economic evaluation of the potential for Australian tree species. Philippines Australian Center for International Agricultural Research, Canberra, pp 93–110
Wunder S (2005) Payments for ecological services: some nuts and bolts. Center for International Forestry Research, Bogor, Indonesia
Wunder S, Engel S, Pagiola S (2008) Taking stock: a comparative analysis of payments for environmental services programs in developed and developing countries. Ecol Econ 65:834–852
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2011 Springer Science+Business Media B.V.
About this chapter
Cite this chapter
Lamb, D. (2011). Plantation Finances. In: Regreening the Bare Hills. World Forests, vol 8. Springer, Dordrecht. https://doi.org/10.1007/978-90-481-9870-2_9
Download citation
DOI: https://doi.org/10.1007/978-90-481-9870-2_9
Published:
Publisher Name: Springer, Dordrecht
Print ISBN: 978-90-481-9869-6
Online ISBN: 978-90-481-9870-2
eBook Packages: Biomedical and Life SciencesBiomedical and Life Sciences (R0)