Appendix 6.1 Africa

Appendix 6.2 Asia - Continental

Appendix 6.3 Asia - Insular and the Pacific

Appendix 6.4 Latin America

Appendix 6.5 Donors/Development Assistance Agencies

SOCIO-ECONOMIC BENEFITS

Many socio-economic problems relate to the use, development, and management of non-wood forest products (NWFPs). The theme paper clearly examines these and helps to ensure that NWFPs and their development are firmly placed in the context of livelihood systems, rather than viewing their development as merely a process of identifying products, developing markets, and improving processing technologies. The following group report starts from the discussion section of Arnold's paper, which highlights "four sets of issues that appear to be of particular importance", and examines these from an African perspective. Many of the following suggestions represent merely a shift in emphasis. In identifying key issues for Africa, the following are key factors:

• Communal land ownership and widespread common property regimes are the norm.

• Colonial and post-independence governments have undermined traditional and social structures. There have been great changes in decision-making structures, making strategies for local and community management of forest resources difficult.

• A larger proportion of Africa's population lives in rural areas compared to other regions. Subsistence uses of NWFPs remain very important. Declines in agricultural productivity have led to the increased importance of other activities, including those based on NWFPs.

• Poverty is endemic, and the related issues highlighted in Arnold's paper are particularly important. There is also the need to examine the macro-economic framework related to poverty.

• Insecurity and risk, both economic and environmental, are perennial problems. NWFPs play important roles in people's strategies to cope with these risks.

• Much of Africa has woodlands and savannas under sub-humid and semi-arid conditions; thus we must beware of generalising findings from more humid regions.

• Africa possesses widespread and important systems based on grazing/pastoral and wildlife systems, which hold unique opportunities and constraints related to NWFPs.

• Africa faces widespread weaknesses in institutions and infrastructure.

Issues that Require Attention

Recognition of the Full Range of Benefits and Values of Forests and Trees, and not Exclusive Focus on Income Generation Potential

Addressing this would require documentation and valuation of subsistence use (including use of NWFPs for risk aversion), cultural and spiritual values, and ecotourism/recreation values. We need to understand the processes involved in the despiritualisation and deculturalisation of people. An analysis of related downstream economic activities (e.g. leather, meat, and bone industries ultimately derived from forage) and their attributable linkage to resource base should be incorporated in any valuation.

Current analyses of value of NWFPs still tend to view people as mere links in a technological process. We should increasingly empower local communities through participatory methodologies.

More attention needs to be focused on the methodological and conceptual framework for valuation, and ways to develop inventories of NWFP resources.

Equitable Access to NWFP resources

Arnold's paper (Appendix 4.1.1) discusses the need to identify the beneficiaries of commercialisation, stressing the need to identify differences based on wealth status and gender. The Group further recognised the need to identify inequities that arise due to ethnic and rural-urban divisions. For example, development of NWFPs in Botswana could benefit the Bakalagadi, to the disadvantage of the San!; many other examples of conflicts exist between pastoralists and settled farmers.

Diminishing Access to Supplies

We should not only recognise logging and agricultural expansion as driving forces determining NWFP supply, but be aware that in Africa, droughts cause cyclical patterns of supply.

In the face of diminishing resource supplies, increasing amounts of NWFPs are derived from on-farm sources. While this is also true in sub-humid and semi-arid systems, it occurs to a lesser extent than in humid systems.

Tenure and Control

Due to the predominance of common property regimes in much of Africa, this set of issues contains some of the most important ones to be considered in developing NWFPs. The relationship between commercialisation and its potential negative impacts needs to be explored, as the breakdown may often lead to uncontrolled extraction, and an emerging conflict between extraction and conservation.

The theme paper generalises that breakdown of common property regimes often leads to privatisation of the resource, with much of NWFP production then taking place on-farm or in bush-fallow. While the privatisation trend may occur, the sustainable level of supply from on-farm sources is probably lower in semi-arid and sub-humid systems. Furthermore, the trend to privatise is not universal: several cases document a renewed interest in community management. For example, communities in Ghana have attempted to reassert their control over forest patches outside government forests; likewise, communities in some wildlife areas have developed strong institutional arrangements to control wildlife resource.

Regulation and Support

Much of Arnold's paper looks at regulation and support mechanisms to improve the income-generating capacity of NWFPs. The Group agreed that such mechanisms have to be considered to ensure the sustainability of NWFPs for subsistence and risk aversion.

At a broader level, it is necessary to understand the macro-economic framework within which NWFPs are utilised and commercialised, including:

• land policies and their relationship to tenure regimes;

• economic policies, such as Structural Adjustment, which can result in rapid changes in the utilisation of NWFPs due to, for example, removal of subsidies and trade barriers, or changing exchange rates;

• international policies that influence trade (e.g. CITES ban on trade in ivory, and EU beef policy resulting in changes in West African cattle systems) and commodity pricing.

PROCESSING AND MARKETING

A number of elements that need stressing in the African context include, among others, the following:

• NWFPs play a very important role in the subsistence economy, so when discussing the development of NWFPs we should not concentrate on income-generating activities.

• NWFPs are largely traded in the informal sector, so our discussion and recommendations should not be focused on national and international trade in the formal sector.

• African governments have dominated the national and international markets, but this situation is changing rapidly, creating new opportunities and constraints.

• Markets are very changeable (e.g. in relation to international pressures and problems of supply during droughts). Risk-aversion strategies for markets are required.

• Wildlife is a major sub-sector in Africa; wildlife could provide substantial benefits to local people and forestry institutions.

Information Needs

• Information on harvesting and processing techniques that ensure high-quality products and cost-effectiveness must reach producers.

• Marketing information needs to reach producers, so they can integrate their activities into the marketing chain and gain leverage with other links in the marketing chain. It is especially important to have this information to take full advantage of "green consumerism". It is important that marketing efforts are not confined to existing products but that these efforts are coupled with a continuous product and market exploration process. Market information should reflect local business aims, and not only the interests of third-party institutions.

• The statistical base on NWFP trade at all levels (including international standards and the effect of international trade agreements and fluctuations) and production needs to be improved and communicated to producer groups.

• There is an urgent requirement to document indigenous technical practices (e.g. the many fermentation techniques that are largely unknown by technocrats).

• Intellectual property rights (IPR) with regards to traditional uses of plants and traditional processing techniques need to be protected.

Financial and Infrastructural Requirements

• Simple tools can have major positive effects on efficiency of harvesting and processing, and thus can relieve labour bottlenecks, especially for women.

• The availability of credit is a major constraint to small-scale producers, traders, and processors. Governments need to review policies so as to provide financial support to this sectors.

• NWFPs must be recognized as a sub-sector in its own right. And, economic instruments, for example, should be placed on the same level as those for other agricultural commodities.

• Policy development needs to take place within the sub-sectors of wildlife and tourism, so as to ensure that benefit reach the local people.

Research

• Techniques and tools for post-harvesting and processing need to be developed to ensure high-quality products, and to capture value at the local level. The latter is of greater priority.

• Storage techniques require more attention as a risk-averting strategy.

• Our knowledge of the informal sector needs to be expanded so that we can identify support mechanisms.

• We need to establish criteria for assessing the performance of the marketing system. Three sets of criteria are suggested, those related to: i) efficiency (the ability of markets to match supply and demand); ii) equity (the need to ensure a symmetric distribution of information among market participants); and iii) progressiveness (i.e. Are market participants changing marketing practices?).

Adding Value Locally

• The need to ensure continuity of supply;

• The need for an organisation to be identified that can facilitate value addition;

• The need to establish pilot-scale processing facilities (e.g. through national institutions and UNIDO) and to encourage local entrepreneurship.

RESOURCE MANAGEMENT AND ENVIRONMENT

The African continent has seen a steady decline of its forest cover. An estimated 4.1 million ha of forest (about 0.7 percent of the land area) disappeared just in the period 1981-90. This rapid decline of all forest types will have serious implications on strategies for sustainable management and development of NWFPs.

Environmental Aspects

Key Problems and Recommendations

• The environmental role of NWFPs in the forest ecosystem has been largely ignored by foresters and researchers.

• Methodologies for natural resource accounting are poorly developed and problematic, but they are still important tools to assist decision-makers in the natural resource sector. The valuation of NWFPs is particularly important as it more closely reflects the value of forests to communities and the national economies.

• Where particularly important habitats for rare or heavily exploited NWFPs share international boundaries, regional cooperation in their management and protection is needed.

Resource Management and Development

• Tenure and usufruct rights are necessary ingredients for local people's sustainable management of the NWFP resource. Governments need to demonstrate greater commitment to tenure reforms which encourage people's participation in NWFP management.

• A comprehensive national strategy for the management and development of NWFPs appropriately covering resource inventory, harvesting and processing, utilization and marketing, research and extension support, training and institutional arrangements is an urgent need. This is an issue to be raised by FAO at the Rome Ministerial Meeting and to the Commission on Sustainable Development.

• Local communities must be fully involved in planning and implementing strategies to manage their NWFP resources on a sustainable basis.

• Existing conventional forest management systems should draw lessons from indigenous management experiences in developing management systems to sustain NWFPs.

• NWFP inventories are a critical tool for sustainable management. These inventories should be designed to meet specific management objectives.

• Forest inventories to monitor growth and conditions of the NWFP resource are needed. While this may involve national survey teams, it also must involve local NWFP users.

• Because of the fragility of arid ecosystems, regular ecosystem monitoring should be an essential part of NWFP management practice in these areas.

• Forest user communities should be supported to inventory and assess the NWFP resources which they use and manage. Experience in Ghana has shown that communities can survey their resources and this process engenders a strong sense of stewardship.

• Communities should be encouraged to share the costs and benefits of managing NWFP resources, alongside government or other management agencies. Experience in Morocco has demonstrated that this can be a successful way of sustaining NWFPs.

• NWFP supplies have to be understood in terms of the interface between agriculture and forestry. In West Africa, for example, the bush fallow has been the major source of most commonly exploited NWFPs. Degradation of fallow land as a result of fire, reduced fallow length, and new weed species are all having major impacts on NWFP supplies, and causing forests to be more heavily exploited for subsistence uses of NWFPs.

• There is urgent need for research to develop new harvesting technologies, especially where the whole plant is destroyed to extract a particular product.

• Research should document the ethno-pharmacology of African plants at national and regional levels.

• The Group suggests that a manual be prepared on NWFPs of the countries of Africa. This manual should contain data on species distribution, bio-data, domestication potentials, traditional and commercial values, processing technologies, markets and management of the resource. A special section should include methodologies for motivating communities to develop their own strategies to utilize and manage their forest resources on a sustainable basis.

• Medicinal plants should be screened for their active ingredients and to verify their pharmacological properties.

• Domestication strategies for locally-important NWFPs should build from the existing experiments and initiatives of farmers.

• Low-cost innovative domestication strategies should be encouraged. For example, in Botswana, a nation-wide search for superior varieties of indigenous fruit trees was carried out through a school competition programme.

• Methods need to be developed for increasing and sustaining widely exploited NWFP resources through enrichment of secondary forests and timber plantations. This offers an intermediate strategy between management of NWFPs in natural forests and domestication in farming systems.

• Local NGOs should play a critical role in advocating government policy reforms to promote sustainable NWFP management and development. International NGOs should support this process.

• National industrialization policies and programmes should include development of NWFP-based industries.

• Some widely exploited NWFPs are of regional importance (e.g. cork). Domestication and semi-domestication can be encouraged to maintain the source species throughout its range.

INSTITUTIONAL CONSIDERATIONS

It is essential that African institutions involved in R&D be strong and can act flexibly in response to changes in international markets, natural disasters, dramatic developments in the macro-economic environment and changing needs of local communities.

The Group also notes that progress in NWFP development has been slow and uneven. Very poor linkages exist between researchers, policy-makers, managers and communities.

Policy and Legislation

• Policies are fragmented, sometime contradictory, not enabling and often inflexible. The Group recognized that some of the objectives in the promotion of NWFPs are difficult to conciliate: objectives such as promoting community participation, ensuring conservation objectives and encouraging entrepreneurship.

• There is a need to look forward, with the benefits gained from hindsight and lessons learned from successful experiences as well as failures. For example, there has been spectacular progress with certain resource management schemes and products (e.g. wildlife in Southern Africa). But it is found that too little analysis is made of their past successes and failures. Greater attention to policy analysis and research is needed.

• There has been international interference in national policies (e.g. CITES policies and global research policies). It is recommended that greater attention be given to the development of national policies (e.g. Science policies, Forestry policies), well focused to national needs and not to suit the agenda of donors.

Research and Development

The nations of Africa need strong research organisations, but instead they are characterized by understaffing, unmotivated personnel and high turnover. The fundamental problem is poor salaries and low research budgets. National governments and donors need to come up with creative mechanisms to ensure that good scientists remain within national research institutions and can devote themselves fully to their work. The Group recommended that research budgets be derived partly from export earnings of forest products, fixed on a percentage basis; also a percentage of the budgets of development projects could be earmarked for applied and adaptive research to directly support development activities.

Training

Regarding training, the Group recommended that national training policies be developed, to ensure an appropriate mix of skills. Wherever possible this training should be done in-country or within the region.

Cultural and Spiritual Heritage

There has been a despiritualisation of African culture. Africa now has a new cadre of scientists with little links to realities in rural areas and to African heritage. The number of African anthropologists are limited, to be able to impregnate social valves in the scientific and technical realm. A number of reorientations and adjustments are needed which are relevant to the development of local resources, products and benefits responding to real needs of societies. Hence, i) researchers should maintain strong linkages with real life and conditions at field level; ii) local knowledge, craft/skills and values should be incorporated in science and development.

Political Will

The Group noted a general lack of political will to implement policies that are widely accepted as socially just and environmentally friendly. The Group recommended that i) scientists provide more easily-accessible information materials to politicians; ii) that all aspects of development and research be depoliticised; iii) scientists, especially those heading research institutions endeavour to better reach politicians to promote their support to research agendas and programmes; and iv) donor agencies devise mechanisms to ensure that their activities are politically correct, and well focused on the real needs of societies.

Institutional Frameworks

• The Group recommended that more attention be given to supporting the activities of NGOs, as they may be well placed to ensure communication at grassroots level and liaison with all sections of society.

• Research centres should be "deconcentrated" so that scientists are in closer contact with rural realities.

• The Group recommended that some institutions experienced in selected domains be identified and co-opted as regional resource centres (e.g. Veld Products Research in Botswana). Also it recommended that learned societies, such as the African Academy of Sciences, be given greater support. Such regional institutions could assist in providing information on regional issues such as development opportunities and markets; networking; providing resource persons; conducting research and acting as a conduit for funding. The present efforts to support forestry research and related networking in Africa should be accelerated.

• Governments need to be supported in key areas, viz. improved information dissemination, effective trade negotiation and the development of key policy options to promote NWFPs.

SOCIO-ECONOMIC BENEFITS

An adequate database does not exist on socio-economic benefits of non-wood forest products (NWFPs) in the region. There is a need to develop a system of collecting information on resource extent, quality, uses, and values.

Government policy needs to be reoriented towards sustainable management of NWFP resources by:

• properly accounting for the contribution of NWFPs in national economies (GDP);

• enhancing the budgetary, investment, and pricing mechanisms in the area of NWFPs;

• granting local organisations (e.g. user groups, cooperatives) a greater say in management of the resource.

Equity

• collectors/producers;

• intermediaries;

• processors;

• end-users including related institutions.

Producers/Collectors

• Primary collectors are not getting due share of the total benefits accruing from the NWFPs.

• Government initiatives are inadequate or counterproductive.

• Organise communities in user groups and/or cooperatives through active government agency or NGO support.

• Revise policies to assure access rights to the poor and marginalized groups through user groups or cooperatives.

• Provide information on resource inventory, management alternatives, market facilities, and price information to the producers/collectors.

• Facilitate development of appropriate post-harvest technologies.

• Organise/develop primary processing and packaging near the production/harvesting areas, especially in inaccessible mountain areas.

• Develop information systems for biological monitoring and ecological sustainability of NWFP resources.

• Protect the rights and interest of women and disadvantaged groups in managing the NWFPs.

Intermediaries

• Middlemen and other agents are taking disproportionate share of benefits and there is a perception that they exploit the collectors.

• Identify types of intermediaries and their roles at different levels.

• Create transparency in their dealings.

• Weaken/restrict trade monopolies through actions by government and NGOs.

Processors

• Availability and choice of technology is poorly understood.

• Emphasise employment generation and achieving livelihood security.

• Use cost-effectiveness criteria in selecting appropriate technologies.

• Encourage final processors to invest in R&D support in field-level resource development.

• Develop mechanisms for re-investing part of the revenue earned from NWFP-based enterprises in biodiversity/resource conservation.

End-Users and Related Agencies

• Unstable market prices and inadequate information.

• Develop inter- and intra-state coordination to develop NWFP market and share information.

• Encourage national and international donor agencies to transfer appropriate technology for NWFP processing.

• Provide adequate market and price information to capture the real cost and values of NWFPs.

Sustainability

• The major issue is that the current NWFP management approach is product-oriented rather than resource-oriented.

• Biological criteria of sustainable management of NWFPs for multiple use values need to be adopted.

• Socio-economic basis of sustainable use of resources needs analysis and better understanding.

• Ex situ conservation and domestication should be promoted wherever needed to achieve biodiversity conservation and sustainable management.

Tenurial Issues

• Tenurial rights and access to resources are not well defined and ownership rights are not available to the forest based communities.

• Benefit from biodiversity prospecting by interest groups does not flow equitably.

• Review existing tenurial, access, use, and biodiversity prospecting rights and modify them as appropriate to benefit the communities and lead to sustainable use of resources.

Government Regulations

• Generally current regulations including movement of NWFPs are complicated and do not support community-initiated NWFPs development.

• Government policies need to be reviewed and improved to address this issue.

PROCESSING AND MARKETING

Primary production, processing, marketing and trade are interlinked activities. There are variations in methods of processing and approaches to marketing and trade in the region. There are also large inter- and intra-regional markets for NWFPs.

In general, processing and marketing activities are not very organised. Primary producers are not receiving due benefits.

Information and technology flow among the three stages - gathering/collection, processing, and end use - are not adequately developed.

Inadequate policy environment affects the processing, marketing, and trade of NWFPs.

Key issues identified and initiatives proposed are the following:

Processing

• Lack of effective organisations of collectors to gain access to knowledge about resource stocks, processes, and markets with which they could enhance their bargaining power.

• Lack of quality control and certification for NWFPs at the primary producer level.

• Lack of investment capital, financial support and incentives.

• Inadequate processing technologies for multiple products.

• Develop mechanisms/agencies/institutions at appropriate levels for:

• Processing facilities to be developed near raw material sources.

Markets and Trade

• Inadequate product promotion and marketing practices.

• Fluctuations in national and international markets, and risks and uncertainties associated with NWFPs marketing at those levels.

• Lack of an early warning system on threats of synthetic substitutes entering markets.

• Inadequate marketing skills and lack of strategies for human resource development.

• Create database on markets and disseminate the information appropriately.

• Action by government agencies, NGOs and others to increase awareness of product values, uses, quality standards, and environmental implications through national and international trade fairs, publicity and other means.

• Strengthen R&D infrastructure to face the possible developments in synthetics and NWFP substitutes.

• Facilitate maintenance of raw material sources in order to ensure sustainable and stable supply, depending on types of NWFPs.

• Promote product diversification.

• Strengthen appropriate organisations to support capacity-development at all levels.

RESOURCE MANAGEMENT AND ENVIRONMENT

Almost all forests in continental Asia are being utilised at varying levels of intensity. Changes in forest management will therefore have implications on community welfare and sustainability.

Resource management for NWFPs should first be oriented toward meeting local needs; once these are met, commercial prospects can be explored. For large-scale commercial use, the focus needs to be ex situ cultivation.

The objective of NWFP resource management should be sustained multiple use; and management systems should be geared toward this objective.

Wildlife-based NWFPs are relatively less important in this region. However wilderness-based services such as ecotourism and biodiversity prospecting remain important and have considerable development potential.

Unprecedented pressures on forest resources, caused due to growing population, often lead to over-harvesting and unsustainable uses. Experience has shown that resource management through participatory approaches can greatly help integrated and sustainable management of NWFP resources.

Key issues identified and proposed initiative are given below:

Resource Assessment

• Methodologies for assessing NWFP resources are not fully developed and have been applied to only a few commercially important species.

• Assessment methods are expensive and time-consuming, and trained human resources and financial resources are lacking.

• There are gaps between assessments of resources at different spatial and temporal levels and scales.

• Prioritize NWFP resources for assessment based on community perceptions, biological potentials, and market demand.

• Develop, standardize and disseminate methodologies/techniques in appropriate packages for rapid assessment.

• Develop cost-effective assessment methods, suitable curricula and training capabilities for human resource development.

• Encourage coordination among researchers/institutions working on different spatial and temporal scales through the use of modern techniques such as geographic information system (GIS).

Resource Management

• Management of NWFP resources is not incorporated in existing resource management systems, which are biased toward timber. As a result, management know-how for sustainable utilisation of NWFPs has not been adequately developed.

• Existing management systems do not adequately incorporate indigenous resource management knowledge and skills.

• Research in the fields of natural regeneration, management, and harvesting of NWFPs is inadequate.

• Suitable training materials, courses, and out-reach mechanisms are lacking.

• There are no mechanisms for resolving conflicts between competing users of NWFPs.

• There is not enough ex situ cultivation to meet growing demands for NWFPs in cases where demand outstrips forest-based supply.

• Risks in investment on ex situ production and export of NWFPs due to changing government policies and risks associated with monoculture plantations

• Lack of regional coordination in prioritization and utilisation of NWFP species

• Incorporate NWFP management in existing management plans and make use of the indigenous knowledge-base in future plans.

• Develop and strengthen participatory approaches for resource management through involvement of stakeholders.

• Commit financial resources for upgrading research and training facilities in existing institutions.

• Incorporate NWFP species in current and future forest plantations with a view to support local needs.

• Review government policies and make them responsive to the risks associated with ex situ cultivation with appropriate incentives.

• Facilitate networking, information dissemination, and technology transfer through international agencies such as FAO, and bilateral arrangements.

Environmental Dimensions

• Depletion of natural stocks, and degradation of eco-systems due to over-exploitation of NWFPs.

• Lack of understanding of social and economic variables that lead to judicious and injudicious use of NWFPs.

• Lack of government policy initiatives and funding for sustainable development of NWFPs.

• Lack or inadequacy of indicators to assess environmental impact of NWFP harvesting.

• Facilitate provision of extension support through government organisations and NGOs to raise awareness of environmental and economic benefits of sustainable use of NWFPs.

• Provide training on improved methods of pre- and post-harvest technologies for NWFPs.

• Facilitate micro-level planning through forest resource managers with active participation of stakeholders.

• Initiate comprehensive case studies for improved understanding of the social, cultural and economic variables vis-à-vis use of NWFPs.

• Re-orient government policies and programmes to support environmentally sound NWFP resource management.

• Encourage research institutions to develop indicators for environmental monitoring and strategies for impact assessment of NWFP harvesting.

• Designate core protected areas and buffer zones for conservation of biodiversity in all ecological regions.

INSTITUTIONAL CONSIDERATIONS

In most of Continental Asia, policies, instruments for their implementation, and related institutions are not conducive to sustainable utilisation of NWFPs. A fundamental re-orientation in policies, strategies, instruments, and institutions from the highest to the lowest level is needed to address the many issues raised.

Legal and socio-economic dimensions of NWFP development need to be incorporated in this re-orientation.

Research, education, training and extension need to be integrated in formulating policies and building institutions at operational levels. Action-oriented research needs special emphasis.

NWFPs need to be recognized as one element of an overall strategy for rural community development. Spatial priorities need to be set for NWFP development, emphasising marginalized regions (e.g. mountains and areas inhabited by ethnic minorities).

Key issues identified and initiatives proposed are as follows:

Institutional Aspects

• Lack of clear national policies on utilisation, conservation and management of NWFPs.

• Existing legislation and regulations are not conducive to NWFP development.

• Lack of response in existing institutions to current needs in NWFP development related to research, training and extension.

• Lack of coordination among agencies involved with NWFP development.

• Lack of region- and area-specific strategies and guidelines for field implementation of favourable NWFP development policies.

• Lack of complementary policies to strengthen human resource development in NWFP activities.

• Lack of clear policies regarding devolution of authority, and tenurial and usufruct rights of indigenous groups regarding management and utilisation of NWFP resources.

• Clear national policies need to be formulated through broader participation of relevant professionals, NGOs and other interest groups.

• Enact/evolve support legislation, regulations, strategies, and mechanisms for ensuring devolution of tenurial and usufruct rights to indigenous groups and local communities.

• Enhance planning/programming capability at different levels, with adequate budgetary support for NWFP development.

• Develop mechanisms for coordinating different sectoral agencies and their policies through establishment of an appropriate nodal agency, which will also ensure coordination at regional and international levels.

• Government-run institutions related to NWFP development must encourage a multidisciplinary approach.

• The capability of facilitating institutions (e.g. financial, credit, extension, training, and marketing) needs to be enhanced.

• Government policies and strategies should clearly stipulate an enhanced role for NGOs and local community groups in NWFP development, and provide a conducive policy and legal framework to facilitate this.

• Make it mandatory for the private sector to contribute a portion of revenue from NWFP processing and marketing to sustainable management of NWFP resources.

• Encourage the private sector to develop NWFP-related research and development.

• Encourage the private sector to provide information regarding production and marketing of NWFPs.

• Encourage the private sector to undertake ex situ cultivation of high-demand NWFPs through provision of economic incentives.

• Institutionalize participation of community groups through formation of user groups in the harvesting/collecting process of NWFPs.

• Encourage local-level cooperative arrangements in collection, primary processing, and marketing, in a manner that makes their operations transparent.

• Government and NGOs should educate and train community groups to practice restraint in resource use to conserve NWFP resources.

• Provide NGOs with capability to better support communities in NWFP development through:

Defining Non-Wood Forest Products

Recognizing the urgent need to incorporate NWFPs in the System of National Accounts, and that no definition can be complete and perfect in a dynamic and diverse context, the Group proposes the following definition:

Interest groups and agencies may adopt other definitions as appropriate to their context and requirements.

Regarding a classification system, the Group suggests that the framework proposed in the related theme paper by Chandrasekharan may be adopted with provision for periodic revisions.

SOCIO-ECONOMIC BENEFITS

The Group recognised that the non-wood forest products (NWFPs) sector is comprised of two major sub-sectors:

• subsistence;

• commercial exploitation and trade.

It is not uncommon to have a combination of both subsistence and commercial exploitation for a particular product.

Two major issues of concern for these sub-sectors are resource sustainability for both subsistence and commercial exploitation and, equitable sharing of returns from commercial activities associated with NWFPs production and trade.

The overriding issue underlying many of the equity distribution and resource-related problems associated with the NWFPs sector is the low involvement of households and local communities in decision-making about resource utilisation.

While some of the identified issues discussed below may appear superficially to be outside the socio-economic aspects of NWFPs, the Group felt that these issues affected the socio-economic environment of the communities involved. Key Issues

• Equitable distribution of returns. Local communities are not being adequately compensated for their efforts. In the chain, resource collectors and primary processors were the most disadvantaged groups in any commercial dealing and were being grossly underpaid for their products. Profits accruing to NWFP industries were not being shared adequately with resource gatherers or local communities.

• Resource sustainability. Local communities are experiencing an increasing scarcity of their natural resources. Resource availability for both subsistence and commercial exploitation is being jeopardised due to shortcomings in resource management.

• Community involvement in decision-making. While it is extremely important to involve farmers and grassroots groups in any decision-making process concerning the management and utilisation of the forest resource and in benefits sharing, such involvement hardly exists.

• Tenure. Controls imposed by governments as resource owners are often too restrictive and do not adequately ensure the livelihood of communities. Often there is confusion about tenure. Local communities assume they own the land while the government claims legal ownership.

• Government regulations. Existing legislation regarding resource utilisation is too restrictive on households and local communities. There are notable omissions in legislation with regard to protection of communities in trade.

• Forest harvesting and management. There are often conflicts between local communities and governments over product harvesting and prioritisation of the product mix. For example, the government objective may be to optimise wood harvests, while communities may depend heavily on NWFPs for survival and their livelihood.

• Rationalising exploitation. In most situations there is lack of rationalisation of NWFP exploitation for subsistence vs. commercial purposes. It is important that only surpluses be traded.

• Market orientation. Development efforts for NWFPs must take cognisance of marketability. Too often, communities are faced with excess supply because NWFP programmes have been production oriented. In such cases, the communities' energy would have been better invested in other activities.

• Inter-sectoral collaboration. There is insufficient coordination and cooperation among all parties that have decision-making powers over land use, resource utilisation, processing and trade. Local communities often suffer as a result, and are mostly inadequately consulted.

• Equitable distribution of returns. Gain a better appreciation of what is to be more equitably distributed. Enhance the knowledge base on quality grades, prices, processing, and trading structures for particular products. Educate collectors/producers on product value and processing options.

• Resource sustainability. Sustainably manage the resource base. Domesticate the important NWFP plant species. Pursue enrichment planting.

• Community involvement in decision-making. Increase empowerment to local communities in resource use decisions. Participatory development of curricula and training materials for NWFP activities.

• Tenure. Governments should recognise and reconcile customary tenure rights over all NWFP resources.

• Government regulations. Review and revise legislation to enable local communities to realise improved earnings. Undertake education programmes on legislation.

• Forest harvesting and management. Determine/design an optimum combination of wood and non-wood utilisation from ecological and local community perspectives.

• Rationalising exploitation. Develop long-term management plans for NWFPs together with local communities.

• Market orientation. Provide market orientation to initiatives for developing NWFPs. Provide access to market knowledge and information.

• Inter-sectoral collaboration. Enhance coordination, consultation and networking in the management and utilisation of NWFP resources.

PROCESSING AND MARKETING

Most NWFP activities occur in the rural communities sub-sector, and are generally confined to collecting or harvesting. There is now a desire and willingness to involve these local communities increasingly in processing, wherever appropriate. Obstacles to this are that producers are often widely scattered, and most do not have marketing skills. Local communities are generally price takers and have little influence in the marketing of their products.

Often there is a lack of clear policy, strategies and guidelines for developing NWFP processing industries.

Processing

• Information. Information about appropriate processing technologies is difficult to obtain.

• Policy. There are often no policies, strategies or guidelines governing the processing of NWFPs. Maximum value adding should be carried out locally, both at rural and country level, wherever appropriate.

• Investment environment. It is important that a conducive environment is created at both the rural and country levels in order to promote investments in local processing.

• Information. Promote exchange and transfer of appropriate technology. Provide primary producers with relevant information and appropriate technology.

• Policy. Promote local downstream processing.

• Investment environment. Create a conducive investment environment to promote local processing. Provide appropriate financing mechanisms locally. Incorporate NWFP initiatives as part of regional development planning exercises.

Marketing and Trade

• Policy. There is a general lack of clear policy, strategies and guidelines for NWFPs marketing.

• Information. Information about the extent, volume and prices is almost non-existent or difficult to obtain. It is especially important to have this marketing information to take full advantage of emerging "green consumerism". Marketing efforts should not be confined to existing products but should be coupled with a continuous process of product development and market exploration.

• Marketing structures. Collective or cooperative marketing institutions are poorly developed.

• Infrastructure. The infrastructure for marketing and trade needs to be upgraded in order to support marketing and trade initiatives. This is critical to increase development of NWFP service industry components, e.g. eco-tourism. In marketing of perishable products, access to appropriate storage and freighting is important.

• Trade:

• Policy. Formulate and implement marketing policies and strategies that promote development of NWFPs.

• Information. Establish databases, trade and market intelligence networks at local, national and international levels. Initiate market research programmes for both informal and formal sectors. Disseminate marketing information at all levels. Initiate a continual programme of market exploration for existing products that are currently being traded and for other products that have trade potential.

• Marketing structures. Explore options for establishing institutions that could assume collective marketing responsibilities. Promote cooperative marketing efforts to cater to needs of rural communities. Shorten the market chain to bypass middlemen as much as possible.

• Infrastructure. Increase investment in infrastructure development to promote marketing and trade initiatives.

• Trade. Promote national, international and regional cooperation on trade and sustainable management on a single-product basis. NWFP trade should be promoted by regional institutions such as ASEAN, which should enhance activities to promote trade by and among its member countries. The procedure for including any species in the CITES list of endangered species should be reviewed to consider the positions of affected countries. Develop clear definitions for products and ensure that producers understand the products.

RESOURCE MANAGEMENT AND ENVIRONMENT

• Weak coverage of NWFPs in curricula.

• Increased migration of rural people into forest areas places added pressure on NWFPs, and creates unsustainable practices.

• Research results (including meeting/consultation outcomes) are not translated into applicable languages and formats (e.g. practical field manuals and inventory).

• Existing research does not accommodate documentation of existing local knowledge of NWFPs. There is a need to incorporate more traditional knowledge into management planning, and to empower and assist local people to use their existing knowledge in developing local management plans.

• Need for government's orientation towards participatory planning to be strengthened and implemented.

• Tenure issues need clarification in many areas.

• Certain NWFP species face depletion or extinction.

• Traditional knowledge related to NWFPs is being lost.

• Need to undertake Environmental Impact Assessments, to ensure scientific management. Unsustainable logging practices in some areas threaten social, environmental and economic sustainability of NWFPs.

• Increase the emphasis on NWFPs in curricula at all levels of forestry education and training, and develop training/information materials for teaching aspects related to NWFPs.

• Enhance livelihood opportunities in settlement areas and intensify family planning in rural areas. Ensure that transmigration programmes include programmes to protect and sustainably manage NWFPs.

• Each country should: develop a plan for preparing field manuals on sustainable management of selected NWFPs, for extension in local languages; encourage regional cooperation in the dissemination of field manuals; and improve dissemination of abstracts/bibliographies of existing publications, updated on a regular basis (by FAO and other international organisations).

• Improve documentation of existing knowledge and research. Establish and strengthen networks to share the knowledge/information on NWFPs. Expand inventories and research on the biology and ecology of NWFPs to include plants, animals and their habitats. Involve local people in NWFP resource management planning and implementation. Increase the number and skills of forestry extension staff in participatory planning and decision making.

• Increase training of all resource managers to improve awareness of participatory methods.

• Develop and implement conflict resolution and consensus mechanisms to resolve and clarify tenure/access/collection rights.

• Employ conservation measures including enrichment planting and protection of wildlife and introduce techniques suitable for local conditions.

• Facilitate transfer of traditional knowledge from older generations before it is lost; enrich information on traditional knowledge at the local level through strengthened extension efforts; and provide intellectual property rights to acknowledge and compensate local knowledge related to NWFPs.

• Internalize procedures for environmental impact assessment in developing management plans. Initiate country programmes on management and sustainable development of NWFP and mobilize funding agencies and expertise (e.g. FAO and other UN agencies) to assist in this.

INSTITUTIONAL CONSIDERATIONS

• Unclear identification of responsibilities for NWFPs (including management support, research, regulation), and inadequate attention and focus given to NWFPs by forestry organisations.

• Poor coordination among organisations working on NWFPs, leading to reduced benefits to local producers.

• Inadequate legal framework concerning NWFP development and management.

• Inadequate finances for management and research and development of NWFPs.

• Inadequate technical support for NWFP development.

• Inadequate involvement of local people and NGOs in NWFP research.

• Inadequate institutional support for technology transfer to local producers.

• Lack of a centralized database on NWFPs and lack of access to data.

• Lack of policy-makers' awareness of and commitment to NWFP activities.

• Inadequate numbers and skills of researchers and resource managers with NWFP orientation.

• Lack of strong of community-based organisations (CBOs) in forest communities.

• Lack of recognition of ownership/rights (access, use, etc.) and tenure issues.

• Inadequate definition and classification of NWFPs.

• Government agencies should clearly identify organisational unit(s) responsible for NWFPs and provide adequate supports to empower them.

• Establish a national council or committee to promote coordination. Establish producer associations at product level, as appropriate.

• Review and amend legislation and policy pertaining to NWFP development.

• Create mechanisms to re-invest a portion of revenue generated from NWFP activities back into financing NWFP development.

• Develop and conduct education and training programmes for relevant aspects of NWFP development at all levels.

• Involve local people in participatory research (e.g. data collection and problem identification). Ensure local people and NGOs have access to research findings.

• Strengthen extension activities to provide technical assistance to primary producers.

• Establish database centres at appropriate levels and disseminate information periodically.

• Convince policy-makers of the importance of NWFPs through workshops, seminars and electronic mass media.

• Incorporate NWFPs in curricula (at all levels), including relevant continuing education for resource managers, researchers, and extension workers.

• Support CBO's activities, especially among forest dwellers.

• Clarify the status of existing customary laws in relation to overall national legal system and develop mechanism to inform the local people concerned.

• Develop a universally applicable definition and classification of NWFPs.

SOCIO-ECONOMIC BENEFITS

The socio-economic importance of non-wood forest products (NWFPs) lies in the actual and potential values of these products in satisfying the livelihood needs of the people, in particular, of local and indigenous communities. Key Issues

• NWFPs and their economic, biological, social, and cultural values are neglected by policy-makers and development planners. These products rarely figure in official national statistics, and do not appear at all in national land-use policies. National institutions lack capacity for generating knowledge on NWFPs and their socio-economic benefits. The rural community that extract and process NWFPs are not effectively organised.

• There is only limited knowledge about the biology, ecology and management of NWFPs, as well as on the interactions between the people and these products. There are no established mechanisms for strengthening exchange of information and experiences at the regional and inter-regional levels.

• Though many people are involved in the collection and processing of NWFPs, few of them improve their standard of living from this activity. This is because collectors receive only a small share of the final value. In most cases the principle of equity is not achieved. The value added locally to NWFPs, as well as efficiency in processing, is very low. This limits the income rural people can get from these resources.

• Limited and imprecise land tenure systems and legal rights and restricted access to information, particularly by the poorest segment of the rural population are major impediments. Official authorities lack capacity to provide technical assistance and extension services to support sustainable management of NWFP resources.

• South-South and North-South cooperation and technology transfer related to NWFPs are weak. International donor support for the promotion of NWFPs is insufficient.

• Raise awareness at the national level of the importance and constraints on NWFP development through, among other activities, workshops and seminars. Participation should include policy-makers, officials and community leaders.

• Establish alliances between community-based organisations and policy- and decision-makers to manage and develop NWFPs sustainably.

• Promote establishment and strengthening of community-based organisations and provide necessary services, mainly access to credits and markets.

• Facilitate access to NWFP resources by means of appropriate legislation and government agreements with the private sector.

• Develop methods for participatory research on socio-economic aspects of NWFPs, their assessment and inventory.

• Promote establishment of community reserves for NWFP conservation and equal access to community members.

• Improve local value addition by developing and disseminating appropriate technology for harvesting and processing.

• Promote policy reforms to improve land tenure and use in order to achieve sustainable management of NWFPs.

• Promote South-South and North-South cooperation on diverse aspects of NWFPs.

PROCESSING AND MARKETING

The key to the success of NWFPs as an important contributor to increased standards of living for rural communities, as well as to national economies, lies in increasing the potential for adding value to these products through good processing technologies and marketing channels, while keeping sustainable management as a priority for resource conservation.

Local NWFP markets are generally characterized by the prominence of food products, medicinal plants and cultural and spiritual products that do not require further processing. These are the markets that require more support.

Processing

• Added value and efficiency in processing NWFPs is low, preventing appropriate income generation from NWFPs.

• In general, the processing of NWFPs at the local level is rudimentary with low quality and yields, due to lack of technology and training. This hinders local value addition and acceptance of the products in markets.

• Only limited information is available regarding products which have expanded market potential based on improved processing.

• Improve value addition by disseminating appropriate harvesting and processing technologies. This can be achieved by reinforcing local initiatives and through collaboration with other developing countries that have greater efficiency in NWFP processing (e.g. India has assisted other countries on medicinal plants processing).

• Strengthen research on appropriate technologies for extraction and processing of NWFPs in order to disseminate those which are more appropriate. In particular, special attention should be given to those processing technologies which can be implemented/used close to the source of raw material and which conform to specifications of actual and potential markets.

• Promote national strategies to add value to selected NWFPs, based on a stable supply of products and an analysis of economic and market factors. This will require financial support and incentives.

• Facilitate acquisition and/or development of technology on the basis of the following criteria: small-scale production systems should emphasise on improving harvesting techniques through community organisation, and aim distribution and processing techniques for maximum use. Technology for large-scale production should emphasise primary and downstream processing, energy use, pollution standards, productivity, inter-industry linkage and quality control.

Marketing

• The great variability of NWFPs, from fruits and food to aromatic chemical products and phytopharmaceuticals, corresponds to the variability of markets for these products at the subsistence, local, and international levels. Some products meet a global demand (edible nuts), others reach specific markets (special types of honey, aromatic chemical products), while some NWFPs are collected and consumed locally. Business development and strategic planning should be formulated accordingly.

• Assessments of wild populations of NWFPs are showing depletion of resources caused by the effect of international markets.

• The dispersed production base of NWFPs, as well as poor infrastructure and information compared to that for agricultural commodities, has direct effects on enterprise survival rates, market symmetries (especially causing unbalanced relations between producers and buyers), marketing channels, prices, and selling expenses.

• Emphasis on commodity production, especially in the context of good market opportunities, can induce over-exploitation. On the other hand, market scarcities can also encourage technological improvement, higher investment, and better chances for long-term sustainable management.

• The lack of internationally accepted definition, classification and uniform measurement for NWFPs hinders the compilation of statistics for national marketing studies and for comparable market studies at the international level.

• Income generation from many NWFPs is low due to the lack of identification and characterization of market opportunities and negotiation skills. This is closely linked to the lack of statistical information on the volume and value of NWFP trade.

• The rural communities usually are only extractors and have little access to markets to increase their income. They are highly dependent on middlemen, who can be exploitative.

• The lack of information on trade barriers, commercialization channels, quality specifications, sanitary regulations, packaging norms and consumer preferences hinders access to international markets.

• Little understanding of the market and marketing systems for NWFPs, produces failures in establishing healthy supply and demand systems.

• Poor knowledge of the impact of markets on sustainable forest management.

• Different and uncoordinated incentive schemes, taxation systems and quality standards affect NWFP market practices.

• NWFPs, being nature based, can never be totally uniform in their characteristics, nor can their supply be regular and fully reliable.

• Each country should designate an institution responsible for the collection, processing and dissemination of statistics on NWFPs on both the resource-processing end-users sides.

• National and international institutions involved in promoting NWFPs should give more attention to establishing appropriate markets for NWFPs, mainly at the local level. This will improve income generation and stimulate improved processing.

• Appropriate technologies for quality control and classification, packaging and preservation of NWFPs should be developed and disseminated in order to meet national and international market standards.

• Systems for promotion of markets at all levels should be developed and implemented.

• There is an urgent need for an international effort to establish harmonised definition, classification and common unit measurement systems. This will facilitate collection of statistics on NWFPs and improve marketing studies at the national and international levels.

• Gradually and by stages, those NWFPs that show greater potential for generating improved income for rural communities and that can be managed in a sustainable manner should be promoted with appropriate market outlets.

• Research at the level of resource base and potential use should study linking mechanisms for more productive market systems.

• Honest brokers, international agencies, private consultants or corporations could bridge gaps between both ends of the market process (the resource and end uses).

• Marketing of edible NWFPs, in regular size, form, and quality, and free from insecticides and fertilizers should be promoted and encouraged.

• Marketing channels based on cultural traditions and the capacities of local communities should be established.

• The large number of middlemen in the marketing chain should be reduced wherever possible. The extractive reserves in Latin America offer relevant examples of this.

• Appropriate mechanisms should be introduced by which local NWFP extractors of important products could benefit directly and in a timely manner (e.g. the case of the extraction of medicinal plants), without affecting biodiversity.

RESOURCE MANAGEMENT AND ENVIRONMENT

There is an urgent need to sustainably manage forests for multiple uses, and to reverse the deforestation process that has reached a yearly average of 7.3 million ha in the region, with serious loss of biodiversity. Key Issues

• There are few successful examples of integrated and sustainable resource management for joint production of wood and NWFPs on a commercial basis.

• Indiscriminate harvesting of wood and NWFPs results in significant alteration of the forest eco-systems and their biodiversity, preventing sustainable use of these products.

• Regulations for formulation and implementation of management plans for NWFPs are usually prepared for administrative and bureaucratic purposes, and are rarely conducive to actual application in the field.

• In the region, local and indigenous communities have developed new and innovative management plans and these should be taken seriously. These plans are based mainly on traditional systems of forest management; such as the Campa and Witoto systems. For example, the Confederation of Indigenous Peoples of the Amazon Basin (COICA), which involves more than 400 indigenous organisations representing some four million indigenous people, has prepared a Plan for Amazon Conservation and Development. This plan considers NWFPs as a main element of sustainable development.

• Lack of knowledge and research on sustainable management of NWFPs prevents their full contribution to development and conservation of biodiversity.

• At present, natural forests are evaluated in terms of commercial wood volume, with no attention to NWFPs even if these are important to the rural community.

• University curricula and research institutions still have a strong bias towards wood products. In general the multipurpose services of forests and the management and utilization of NWFPs receive little or no attention.

• Only in very few cases, have in-depth studies on domestication of NWFPs been undertaken.

• Promote regional ethno-biological studies with participation of indigenous communities and national institutions.

• Promote implementation of in situ conservation of NWFP resources by local communities, by providing fair compensation to their work in maintaining biodiversity.

• Promote in-depth studies and actions that lead to domestication of NWFPs through enrichment planting or other systems. This is particularly important where over-harvesting is causing depletion. Attention should be given to rural communities that can benefit from species domestication.

• Promote joint management of forest resources in community-based reserves.

• increase participatory research on NWFPs to benefit from traditional knowledge and technologies in combination with other sources of knowledge.

• Effectively involve communities in formulating and implementing management plans that integrate wood and NWFPs.

• In formulating guidelines for integrated forest management, give attention to systems developed and applied by indigenous communities.

• In order to support conservation of genetic wealth and variability of NWFP resources, establish conservation areas based on social and ecological criteria.

• Undertake systematic and scientific efforts to conserve genetic resources and avoid endangering wild forms of NWFP species.

• Identify and conserve forest ecosystems of special importance to local communities that provide NWFPs (e.g. the aguajales) as well as sacred forests, which are of major cultural and spiritual importance.

INSTITUTIONAL CONSIDERATIONS

Appropriate policies, planning, legislation, human resource development at all levels, and administrative support are fundamental for development of NWFP activities. These are achieved basically through good institutions and guidance.

Combining local value addition, rational resource use, and initiatives for conservation is extremely complex. It requires the cooperation among governments, intermediary institutions, communities, private enterprise, and academia, as well as incorporation of various sectors of society from both developing and industrialized countries. Key Issues

• Institutions for developing and promoting NWFPs are generally weak, including forestry administrations, educational entities, and research centres. In recent years, a number of innovative policies, legislation and institutional arrangements related to NWFPs and forest populations have emerged in Latin America. These initiatives and the overall shift of forest policies toward development of local communities have generally come as government responses to people's demands at grassroots level. This encouraging progress, however, has still not been enough to obtain more than marginal attention to NWFPs and forest communities.

• Lack of explicit usufruct and tenure rights makes harvesting from certain areas risky, since conflicts can arise as to who has authority to grant access to NWFP resources, and under what conditions.

• In contrast to many governments, non-governmental organisations have been very active in promoting NWFPs.

• There is a lack of inter-institutional and interdisciplinary approaches for developing NWFPs. Sometimes policy and legislation are inconsistent.

• Only one country in the region has initiated systematic prospecting and analysis of forest plants, insects and micro-organisms in protected areas for biologically active compounds.

• Existing legislation on NWFPs is normally regulatory and usually only refers to harvesting. Important aspects like land tenure, access to the resource and ownership rights to biodiversity are not considered.

• Concerted efforts in all research fields necessary for promoting NWFPs generally do not exist.

• There are no appropriate regional mechanisms for disseminating research results in the countries of the region.

• NWFPs have not received recognition at the higher and intermediate levels of forestry education and other disciplines.

• Extension services for promoting NWFPs are incipient due to the lack of coherent policies.

• For attracting strong and continued political commitment at all national and local levels, raise awareness of the importance of NWFPs among policy-makers, development planners, government authorities and community leaders, as well as among foresters, ecologists and biologists. This can be achieved through national and local workshops, among other means.

• Organise broad-based participation, encompassing local groups, women, indigenous communities and NGOs.

• Forest policies should pay attention to integrated forest use, re-evaluating their socio-economic and environmental potential. In this context, NWFPs should receive special importance.

• Through National Biodiversity Commissions, national institutions should promote inventories and conservation strategies for NWFPs. Inter-institutional coordination and harmonization of existing laws should be promoted.

• There should be a shift in philosophy from custodial to sustainable utilization, according to different types and intensities of protection required; also from centralized to decentralized management, with community participation and empowerment.

• Intellectual property rights regimes should be reviewed to protect valuable knowledge developed by communities and scientists. Contract negotiation for bioprospecting should consider three basic sets of issues: (1) science; (2) business; (3) legal issues and frameworks.

• The government should normalize and promote rational harvesting, conservation and management of NWFPs, with a view toward substituting imports with these products where possible.

• Research on NWFPs should be strengthened and undertaken in a general framework that fosters translation of findings into policies and programmes.

• Research should be oriented towards better assessment of forest resources and their products. Particular importance should be given to management systems, harvesting technologies, regeneration techniques, domestication, improved processing technologies, and market studies.

• Perspective of the forestry profession at the vocational, technical and professional levels should be rationalised, to foster appropriate awareness and knowledge about non-wood forest resources and products.

• Extension capabilities should be strengthened at the local level in order to promote improved harvesting, processing and management of NWFPs.

SOCIO-ECONOMIC BENEFITS

The following are the recommendations of the Group relating to socio-economic benefits:

• Non-wood forest product (NWFP) use and development is complex and forms part of overall resource use through subsistence, timber, and other activities for generating cash income. NWFP development policies must therefore be multidisciplinary and integrated with other development policies.

• Development of NWFPs should take account of the overall resource use and economic situation in rural areas.

• NWFP development should include all forest types (perhaps) in all countries.

• Donors and development assistance agencies need a greater understanding of NWFPs' market mechanisms in order to promote effective and appropriate development of these products.

• NWFP programme developers (government, international agencies, NGOs) should address the following four issues when developing NWFP policies: conservation and biodiversity, sustainable management, appropriate commercialisation, and community welfare. Inappropriate commercialisation of NWFPs can conflict with forest community welfare

• Development of NWFPs should build upon not replace subsistence/traditional uses of the forests.

• Until suitable official data and statistics on NWFPs in developing nations becomes available, donors should base their decisions on case studies, and develop methodologies for studying economics and resource use of NWFPs.

• NWFPs should be included in the discussions defining the criteria and indicators of sustainable forest management. Governments and NGOs dealing with forest policy issues and certifying/accrediting bodies such as the Forest Stewardship Council have responsibility in this regard.

PROCESSING AND MARKETING

The objective of developing NWFPs is to commercialise new products, promote the sustainable management of forest resources (including conservation of biodiversity), and/or maintain and improve the welfare of communities living in or near forests. There are different stakeholders and therefore we cannot define a single set of objectives; one stakeholder's goal may conflict with that of another.

Processing has the potential to increase rural income by enhancing the unit value of products and therefore make producers less dependent on subsistence. It can also decrease the pressure to over-harvest primary resources. Resource exploitation through processing and marketing has the potential to benefit or damage people and/or the environment.

Unregulated marketing alone may not guarantee sustainable forest management and the equitable distribution of income from NWFPs. Other mechanisms may be needed to address these multiple objectives.

In many countries existing trade and environmental policies give priority to forest conservation. These may intervene to restrict current and future access to production and marketing of NWFPs. Governments may not, therefore, recognize the need for marketing since they may run counter to conservation objectives.

Processing

The following are important requirements for development of NWFP industries.

• Need for training for collectors. There is a lack of information available to collectors on: what happens to the product; skills and training needed for workers; and options for processing that can allow the local people to conserve and harvest resources sustainability. Education is needed on what market requires.

• Strengthen producer networks. Donors should help strengthen and develop NWFP networks for producers to support improved processing and marketing, with an emphasis on extension and dissemination efforts targeted at the primary producers.

• Improve existing systems via grading/prices. Improve existing production and processing methods, ensuring that producers receive the full benefit from the improved technology. This can be done through grading systems, higher prices, and/or time savings through improved technology, etc.

• Donors to facilitate increased information to all levels of production. Donors should provide more information on profit levels for each of the actors along the value-added chain and ensure greater transparency.

• Scale-neutral policies. Rural economies are comprised of informal and formal sectors. Government policies often discriminate against informal sectors. Policies and support programmes need to be scale-neutral and directed separately towards the two sectors.

• Government role in coordination. Governments (in particular Departments of Trade and Industry) should help coordinate individual businesses processing NWFPs so that as a group they can better serve markets.

• Feasibility studies of all factors. Feasibility studies that consider all the factors simultaneously must be done before value adding can be attempted.

• Increased risk and externalities. There is need to consider all externalities when considering value-adding opportunities; it may be profitable for the business but not for the country as a whole. When one moves up the value-added chain one is also increasing risks. There is also need to make sure that processing is in the proper locations.

• Government control/direction/licensing. Donors should help develop (and governments should require as part of the licensing process) appropriate feasibility studies. It is necessary to checklist what is needed in a feasibility study, such as environmental impact, impact on local populations, processing facilities, marketing possibilities, resource sustainability, economic sustainability, etc. There is also need to develop codes of conduct for NWFP industries and to disseminate related information.

• Links among existing institutions. Efforts to strengthen links between research institutions and NWFP industries, for example, could draw on the model of Australian CRC (Collaborative Research Centre), which brings together existing institutions working on shared issues.

Marketing

Issues related to marketing can be dealt with separately for local markets and international markets, even though they have several commonalities. Following are some of the considerations to improve local markets for NWFPs.

• Non-marketed local products. Many NWFPs are not marketable, some are not marketed at all, some are only used locally. How do we value these and account for them? These non-marketable products are the link to socio-economic benefits/issues. We need economic instruments to value these and if we could value them we could give them more importance.

• Effect of valuation on local use. Some studies show that if you create a market or put a value on a product it changes the local use of the product drastically, for example from subsistence to specialization.

• Raise policy-makers' awareness of local market importance. More attention should be given to improving local markets. To do this we need to raise the level of awareness of policy-makers.

• Government policy and monetary values. We may tend to overstate the need to have monetary values of NWFPs in order to persuade governments to make policy changes. This needs to be avoided.

• Overemphasis on marketing vs. local use. If there is too much attention given to marketing we may not be able to achieve other objectives of social-economic importance. Promotion of NWFPs for markets may disrupt local and subsistence use. Proper balance is to be sought.

• Consumer awareness of variability of NWFPs. International markets, even the so called "green" niche markets, (and domestic urban markets) increasingly demand standardised products. By definition, natural NWFPs are rarely uniform. There is, therefore, a need to increase awareness amongst consumers of the natural variability of NWFPs.

• Marketing needs to be product specific. Marketing needs are product specific and cannot be applied on a general basis for all NWFPs. Markets exist and can be defined for individual NWFPs; but not for NWFPs as a whole.

• Market monitoring is required to increase awareness of NWFPs and to improve coordination between producing communities and government, as well as coordination within government ministries themselves.

• Chain of commercialisation. The chain or path of commercialization is important in the marketing of NWFPs. Producing communities often do not know how to market new products and require information on all aspects of the market.

• Prioritise funding. Funding for product development should be prioritised, favouring those products with high marketing potential.

RESOURCE MANAGEMENT AND ENVIRONMENT

In general, environmental conservation is a matter of maintaining the characteristics and functions of the ecosystem. We have to be aware of the existing balance when moving to commercialization. Collecting of NWFPs may add value to the forests, thereby contributing to conservation and protection of forests from impacts of shifting cultivation, since farmers can draw on NWFPs and reduce the need to clear more forest for farming. Over-collection of NWFPs may disrupt ecological systems but collection may be less disruptive than activities which it forestalls. We should consider the seasonality and year-to-year variations in harvesting of NWFPs as well as what happens to the forest environment and the people when there are natural calamities (e.g. crop failures).

In discussing the environmental dimension of NWFPs, the Group noted that resource accounting is a very difficult topic, and the benefits obtained may not always justify the costs. Accounting of natural resources is very important in influencing policy-makers and should not be underestimated, but one must consider who will use the data and how it will be used. It is important to develop and agree on standard methodologies that include environmental benefits, water supply issues, opportunity costs for recreation, etc. Choice of production systems for NWFPs can influence water, soil, plant nutrients, and other environmental impact conditions. While methodologies for resource accounting exist, getting reliable data is very difficult. Research on methodologies should focus on cost-effective ways to obtain data.

There is a need to make inventories of resources and determine what levels can be harvested. This will vary from one setting to another, so it is impossible to generalize.

The Group made several recommendations, to ensure sustainable utilisation of NWFPs consistent with environmental considerations:

• Develop low-cost, rapid monitoring and evaluation systems.

• Conduct baseline surveys to gain an understanding of population dynamics. The roles of animals, birds, and insects not just plants need attention.

• Understand first the use of traditional mechanisms by local communities for species and ecosystems monitoring. Recognize that monitoring of ecosystems is more difficult. One way to look at the impact on the ecosystem is by comparing undisturbed forest to areas where intensive collecting is taking place.

• Identify and use indicator species to estimate impact on ecosystem when complete inventories cannot be conducted. Again, find out first what local populations consider to be indicator species and build upon this knowledge.

• Investigate if resource accounting can build upon timber inventories. Look at what has already been done, for instance, by UNEP, IUCN, World Resources Institute, and the World Bank. Build upon this.

• Pay attention also to non-tropical forests; they are equally important in biodiversity terms.

• Establish guidelines for environmental impact assessment.

• Provide priority to degraded forest lands, looking not only at habitat but also their productive capability.

From the point of view of resource management and development the Group noted that different actors are involved in resource management. It is necessary to have a clear idea as to who are the resource managers.

Accordingly, objectives will vary ranging from conservation to economic gains. The classifications based on products blur this distinction. When it comes to conservation, a Brazil nut grown in the forest is different from a Brazil nut grown in plantations, even though as a product one is not distinct from the other.

Buffer zones are an essential way of maintaining peoples' links to the forest. There are not many positive experiences with buffer zones and the lessons tend to be bleak in cases of great population pressure, or where people previously held tenure to the "buffer" land. But experience remains limited. All systems have flaws; in some cases buffer zones work, but in others, they have contributed to resource depletion. Also if too much emphasis is placed on NWFPs without attention to timber, communities may not benefit.

In India, the development of joint forest management has proved a very good model. The state retains ownership of the forest resource, but local communities receive 25-30 percent of the wood harvested, and 100 percent of NWFP harvests. In view of increasing forest scarcity, this programme shows a policy shift away from revenue emphasis towards a priority of forest maintenance through community involvement.

Some of the recommendations of the Group, related to resource management and development are the following.

• Work with the forest communities, to come up with resource management and development strategies. This should be the basis for resource management.

• Make people living in or near the forest responsible for those forests.

• Recognize that integrated management for wood and non-wood products should not be the objective per se. Depending on the situation, preference could be given to one or the other or both.

• Emphasize policy frameworks, awareness building and training.

• Recognize there is a continuum of NWFP extraction and cultivation practices (see the following indicative chart).

The dichotomy of objectives (production vs. conservation) causes confusion. In viewing the interactions along the continuum of NWFP extraction and cultivation practices, we need to consider both conservation and human economic needs. Developing NWFPs as plantation crops does not necessarily reduce pressure on natural forests.

INSTITUTIONAL CONSIDERATIONS

While discussing definitions, the Group noted that the definition of NWFPs proposed in the theme paper by Chandrasekharan and discussed by this Consultation is primarily for trade classification purposes, targeted at the system of national accounts. The use of the term NWFPs does not preclude the use of other terms. However when using other terms, such as non-timber forest products (NTFPs), appropriate definitions need to be attached.

The Group recognized that the definition of forest does not explicitly incorporate the term ecosystem. It should incorporate not only plants but also animals, insects, micro-organisms and other biological components of the forest.

The Group further considered specific institutional aspects influencing the management and utilisation on NWFP resources.

Research

• Need for increased interdisciplinary efforts, noting that this is difficult and mechanisms have to be devised that provide incentives and infrastructures for interdisciplinary work to happen.

• Need to make research more results oriented with a vision of how the results will be used and who can use the results.

• Need to manage scarce financial resource more effectively, stressing the need to avoid duplication of efforts and the need for more coordination and collaboration. Research should be needs-based and directed by local interests.

• Need to deal with a wider range of research areas including those that are less recognized (such as economics, social sciences, and marketing). By the same token more emphasis needs to be placed on local, in-country research that builds local capabilities. This includes efforts to direct research to local priority issues.

• Need to get beyond the "publish or perish" incentive system.

• Mechanisms should be devised and encouraged for more interdisciplinary research. Most research is still influenced by disciplinary approaches, but NWFPs need inter-disciplinary approaches. Much work is needed to promote and develop this including methodologies and training. This approach needs to recognize the varying gestation periods. Emphasis should be to supporting research programmes rather than research institutions. But this may not be applicable in countries where research facilities are still developing. Interdisciplinary work also should include sectors outside traditional research facilities, such as the private sector.

• Research should be more results oriented. Donors and development assistance agencies should require that research proposals indicate the applicability and dissemination of the research results for eventual applications in the field.

• Research work should better avoid duplication of efforts and rather bridge research gaps. It is necessary to provide incentives for universities to work in inter-disciplinary teams and to combine talents; also to determine where the capacity for research is located: in country, outside countries, international groups, etc. To address this issue FAO is publishing a document that has looked at relevant databases and has identified the ones relevant to NWFPs (600 exist). Communities also need to play an appropriate role in the research.

• Research should include currently under-represented disciplines, e.g. economic and social sciences and marketing. While there has been some amount of research to address community needs, these may not adequately highlight NWFPs use. NWFP research needs to review and look at anthropological research and identify where NWFPs are covered, and also make links to private sector trade associations that deal with NWFPs. More research and planning on biodiversity and services needs to be undertaken, since most research is product specific.

• Suitable incentives need to be created to get away from the publish or perish culture.

• Donors and development assistance agencies should take into account the applicability of research results and how to utilise them effectively.

INFORMATION

With regard to the information needs for developing NWFPs, the Group made the following observations:

• Research findings need to be organised (e.g. in a database) and their compilation/documentation and accessibility need to be improved, with an emphasis on information dissemination.

• Dissemination of information to decentralised levels requires that it is applicable at the field level. Researchers need incentives to provide field-applicable information (e.g. publications in local languages).

• Part of research funds should be allocated for interaction with and between social science departments and to help researchers to publish results for use at the field level.

• Cooperation should be strengthened regionally and internationally for sharing information. Also information sharing between sectors is needed. Those involved in the information exchange process are just as important as the researchers themselves.

• Information and extension roles need to be clearly identified. Generation of information, dissemination and extension efforts are all equally important.

• Information use and dissemination has to consider different target groups. For example: rural workers/extension workers are community facilitators and they should know what is going on in research circles, so they can put it into practice.

Human Resource Development

In the area of human resource development for NWFPs, the Group highlighted the following considerations:

• Forestry schools should make it easier for students to take a selection of multi-disciplinary courses.

• It is important for national educational institutions to have the capability to do research.

• More market researchers are needed who can take into account the relevant aspects of marketing and can utilize the existing and available market information.

• Training venue is an important issue. Training should take place where the problems are. There is also need for on the job training.

• It is necessary to plan the different levels of training (academic to grassroots levels); also about how to impart the training. Multidisciplinary training programmes within universities are to be set up; core curriculum of forestry schools should require at least one course in NWFPs.

• Short-term training courses are important and should be based on needs expressed.

Policy

The objective of activities related to NWFPs is conservation of forests and generation of socio-economic benefits. This needs to be stressed in policy statements.

There is need to distinguish between internal policies, that can be changed among sectors involved in NWFP/forestry and, external policies that influence the NWFP/forestry sector (e.g. land use planning, etc.) and to look at how macro policies (not specific to forests and NWFPs) are affecting NWFPs; also to consider what is relevant and possible.

Policy is based on information and knowledge. Therefore, who makes policy and who provides information to the policy-makers, are important considerations. It is necessary to raise awareness of foresters on the need to influence politicians and to raise their understanding of NWFP issues. This calls for strategic alliances.

Policy development is an important issue; consultations with all parties to be affected by the policy is essential.

More resources are to be devoted to understanding the linkages among policies and policy implementation instruments, inside and outside the forestry sector, and their impact on issues relating to NWFPs.

The Role of Agencies and Donors

The Group considered that donors and development assistance agencies should avoid duplication of efforts and cooperate more. More coordination is needed among organisations in order to maximize the availability and use of donor funds. Also more up front work is needed to make sure that project activities do not duplicate previous work or other ongoing work by other donors or in-country programmes. Very little donor support or loans are now available for NWFP development and related capital investment. There is need for special arrangements with regards to loans for developing NWFPs and for more support from donors.

In these regards the Group made the following recommendations:

• A compendium should document existing programmes of organisations active in NWFPs. By the same token, donors should use existing structures to execute programme and not create new ones.

• NGOs need to be involved in discussions related to, and in spreading the message of, NWFPs to influence policies.

• It is necessary to understand the mechanisms that influence decision-makers, and to make strategic plans, such that NWFP activities are proposed to donors and in turn make NWFP programmes attractive to donor communities. Donors' decisions are based on what is received from countries, even though donors may give guidelines regarding priority areas. Authorities in the recipient countries have therefore to be convinced about the importance of NWFPs, before they can propose projects to donors.

• Donors need to be more flexible in funding. Donors are to be persuaded to programme longer funding cycle commitments, at least a 10-year commitment. Also, donors should provide for flexibility once the funding of a programme has started, so that new partnerships and ideas can be added.

• Another important need is for developing policy on intellectual property rights. Many countries do not have legislation on this, and it is needed to protect their natural heritage and resources. Even though it has been mentioned in the biodiversity convention, there is still much work needed to get this implemented, country by country.