Policy Trend Report ,**,: +,,-+.,

Analyzing Participatory Trends in Nepal’s Community Forestry

Mohan WAGLEY* and Hemant OJHA**

* Ministry of Forests and Soil Conservation, Kathmandu, Nepal ** ForestAction, Kathmandu, Nepal

Abstract: This paper discusses recent trends in Nepal’s forest management in terms of the nation’s historical background, legislation, administration and institutional policy. The changes that have occurred in terms of policy objectives, planning and priorities are also discussed, and an analysis of trends relating to local participation is presented. Prior to the +3/*s, the forests of Nepal were used and managed by their de facto owners, Rana Rulers and their families, who had sole authority over three quarters of Nepal’s forest area. Except for the National Code which outlined standards for the protection and utilization of forests, no formal forest policy existed - the enactment of the Private Forest Nationalization Policy in +3/1 marked the beginning of a forest policy in Nepal. However, this policy resulted in the destruction of vast tracts of valuable forest land as the government sought to generate revenue for the state, expand agriculture, implement resettlement programmes and develop the nation’s physical infrastructure following forest liquidation. Despite the promulgation of numerous additions and revisions to national forest policy, deforestation continued apace. The National Forest Policy, +310 attempted to rationalise the development and management of forests, though e#orts to inhibit forest destruction were largely unsuccessful. Subsequently, policy issued in +312 advocated the hand-over of forests to local political and administrative units for protection and management. However, such political attempts to improve forest management were socially unpopular and failed to abate nationwide forest destruction. In +323, a Master Plan for the Forestry Sector (MPFS)-along-term planning and policy document - was issued for the sustainable management, utilization and protection of forests. The Forest Act, +33- and its Regulation, +33/, which are currently in practice, have legally endorsed the MPFS. The Master Plan policy has divided Nepal’s forests into six categories, of which community forests and their participatory manage- ment have been identified as priority areas for contemporary endeavor in forest management.

Key words: community forestry, participation, user groups, forest policy.

+ Introduction 1./ members. Over half of the population lives in the hill In recent years, many countries have begun to devolve and mountain regions of the country and the population natural resource management authority to local com- growth rate stands at around ,.+ per cent per annum. munities. Nepal has been at the forefront of this policy About 2* per cent of the total population of Nepal shift, moving away from the centralized approach that depends on farming for subsistence. Agriculture, live- was in place during the early +30*s. This trajectory of stock farming and forestry are the integral components policy development, increasingly recognizing the roles of the Nepalese farming system. and rights of local communities, is of interest to many Administratively, Nepal is divided into 1/ districts of researchers and policy makers. Trends in participatory which ,* districts are in the Terai, -3 districts are in the policy development in Nepal’s forestry sector have Hills and +0 districts are in the Mountains. therefore been analyzed and discussed with reference to The share of agriculture, forestry and fisheries in various contextual factors and consequences. Gross Domestic Product (GDP) is about 0* per cent ; This paper analyzes recent trends in Nepal’s forest forestry alone contributes about +/ per cent. Further- policies, focusing on the participation of local com- more, ., per cent of the livestock feed and 1/ per cent of munities in forest management. Specifically, policy the main energy resources are derived from forest re- trends are analyzed in relation to various aspects of sources. The average private land holding is *.-3 hec- policy development, including long-term national tares. Three quarters of the total arable land are com- policies, five-year development plans, legislation and posed of upland terrace, with the remainder being dis- government institutional structure. This paper is the tributed in valleys and throughout the Terai. result of collaboration between ForestAction Nepal, the Poverty is more severe in rural than in urban areas. Ministry of Forests and Soil Conservation, Nepal, and The majority of the poor in Nepal are small scale and Forest Conservation Project, Institute for Global marginal farmers from landless households, whose liveli- Environmental Strategies, Japan. hoods depend on agriculture dominated by crop and livestock farming. Rural households are, therefore, at , General background of the forestry sector in the centre of the forest, agriculture and livestock inter- Nepal face (HMG +332). The total land area of Nepal is +..1 million hectares, of which arable land accounts for about ,.-/ million hec- ,. + Importance of forests for livelihood tares. The estimated population of the country is about Forests in Nepal have been regarded as an important ,* million people, with the average household size being renewable natural resource base for fulfillment of the Mohan WAGLEY and Hemant OJHA 123 basic needs of local people. The importance of the opment. These management services and responsibili- contribution of forest resources to the Nepalese econo- ties are implemented throughout the country through my is well understood and has been emphasized five Forest Regional Directorates, five Departments and throughout the nation’s history. Forests are of great four Parastatal Organizations as defined under the significance and have a wide range of values to local MFSC. The five departments are : Department of people and to the country’s economy. Forests have been Forests ; Department of National Parks and Wildlife considered as an essential means of sustaining people’s Conservation ; Department of Soil Conservation and social, economic and cultural livelihood. Forests not Watershed Management ; Department of Forest Re- only support the timber needs of rural people, but also search and Survey ; and Department of Plant Resource. play a vital role in supplying other primary require- The four Parastatal organizations are : The Timber Cor- ments for the Nepalese population. poration of Nepal, Forest products Development Board, More than 1/ per cent of all households and 30 per cent Nepal Rosin and Turpentine Company Limited and the of rural households use wood for domestic purposes, and Herbs Production and Processing Company Limited. almost all rural households raise some domestic live- With the expansion of the community forestry pro- stock and feed them fodder and grasses obtained mainly gramme, many non-governmental institutions ranging from forests (Hobley +330). from professional service providers in the field of re- search and programme implementation, to networks of ,. , Forest management strategies forest users and advocacy groups have recently In order to develop its forest management strategies, emerged. The participatory policy environment has the government has classified the forests of Nepal into thus opened the field for a range of stakeholders to five main categories : National Forests, Community exercise their rights, facilitate innovations and cater to Forests, Leasehold Forests, Private Forests and escalating demand for community forestry services. Protected or Religious Forests. National forests are owned and managed by the government and are of high ,. - Changes in forest area and condition economic and national importance. Community forests There has been a sharp decline in both the area and are a component of national forests managed by Com- density of forests in Nepal. At present, forests in Nepal munity Forest User Groups (CFUGs) ; most of these fore- represent about -3.0 per cent of the total land area, of sts are degraded or have been recently planted by the which +*.0 per cent is comprised of degraded forest and government or by local communities. Leasehold forests scrubland. The annual rate of deforestation is estimated also form part of national forests and are leased out to at about +.1 per cent. The changing pattern of forest communities or to groups of people below the poverty cover over the past /* years is given in Table +. line, or to any organization that promotes forest devel- opment and environmental protection. Private forests - Trends in overall government forest policy are those planted, nurtured or conserved on any private- and planning ly owned land by an individual or private institution. Religious forests are national forests nurtured or tradi- -. + Overview tionally conserved by a religious body, group or commu- Nepal has a long history of government regulation of nity primarily for religious purposes. Apart from pri- forests. Prior to +3/*, forests were under the aegis of the vate forests, land ownership for all forests types lies Rana Rulers who distributed land to their families and with the government. followers and managed forests primarily for the produc- Overall management and administrative responsibilities tion of timber and as grounds for recreational hunting. pertaining to forest resources in Nepal are the jurisdic- The National Code for the protection and utilization of tion of the Ministry of Forests and Soil Conservation forests that was developed during this period served as (MFSC) under His Majesty’s Government (HMG). The the principal policy instrument until the fall of the Rana duties of the ministry comprise five inter-related ser- in +3/+. Under this Code, district forestry o$ces were vices for forest resource management. These are : forest established and regulatory responsibilities over forest management and development ; parks and wildlife man- protection and utilization were devolved to local admin- agement ; soil conservation and watershed management istrators. In addition, indigenous forest management ; forest research and survey ; and plant resource devel- systems and traditional communal rights to forest use

Table + Change in forest area, +3/.ῌ+33. (source : CBS ,***). 124 Policy Trend Report ,**, were o$cially recognised. social development and resettlement of people from the However, successive shifts in policy and frequent Hills and Mountains to the Terai. Policy change in the changes in leadership conspired to create an unstable forestry sector focused on the expansion and develop- environment for forest management. As a result of ment of forest organizations, the forest service and inappropriate planning and a lack of clarity in long-term human resources, implementation of forestry activities policy goals, forests su#ered widespread degradation such as forest surveys and research programmes, and exploitation at the hands of the political elite. The a#orestation, gazetting of forests and the construction lush green forests of Nepal were considered a prime of forest roads, fire lines and buildings, in some of the source of capital, and in an attempt to boost the Terai districts (Pant +30/). country’s economy and generate state revenue, the gov- The objectives of the Second Plan (+30+ῌ0/) were also ernment issued a string of haphazard decisions, exhaust- primarily geared towards agricultural development and ing forest resources in many areas. resettlement of people migrating from the Hills and In +3,1, the Rana government introduced plans which Mountains to the Terai. With regard to the forestry opened the forests in the Terai and Siwalik regions for sector, however, priority was given to the scientific man- exploitation. The high quality timber harvested here agement and conservation of forests, the inventory of (particularly that of Shorea rubusta) formed the basis for forest resources, forest research, human resource devel- a flourishing export market with India. Indeed, the opment and implementation of forestry development primary objective of forest management plans put into activities in the field. Implementation of this policy was operation in many districts of the Terai was to meet designed to mobilize people’s participation via the Indian demand particularly for the production of rail- Panchayat system while promoting forestry develop- way sleepers. The timber also traded well within Nepal ment activities in the field (NPCL +30-). However, due to itself and later became popular elsewhere in South Asia. lack of government commitment and an absence of Additional government policy promoted the expansion strong and e#ective policy directives for the conserva- of agricultural land, the development of national infra- tion and management of forests, the functional changes structure and the implementation of resettlement pro- that occurred with regard to these development goals grammes at the cost of natural forest in the Terai. Such were minimal. unpopular, revenue-oriented policies are considered the The Third Plan (+30/ῌ1*) also aimed at the strengthen- primary cause of deforestation in Nepal (Joshi +323). ing and expansion of forestry infrastructure by provid- Nonetheless, e#orts to actively reverse trends in forest ing forest services in all 1/ districts of Nepal. The policy loss began in +313 only after vast tracts of forest had objectives emphasized public involvement in a#oresta- been liquidated. Approximately half a million hectares tion as well as extension and education in order to of forest were cleared and a further +.*/ million degraded increase public awareness of the importance of forest in the Terai and Siwalik regions within the +/ year resources. During this period, the development of a period from +30- to +312. Government revenue earned in ‘bottom-up’ approach to forest management began with the forestry sector was highest in the period up to +31* the aim of involving local people and field level forestry as a result of steady trade with India (Bajracharya +33-). sta# in the planning process. Some forestry develop- The practice of clearly defining goals and objectives in ment activities, including botanical surveys and wildlife the development of forestry policy came to the fore after conservation were also initiated. The resettlement of the fall of the Rana Regime. The need for institutional migrating people also continued. Though the Third expansion, development of human resources, inventory Plan period made some e#ort to improve forest conser- and assessment of the resource and the formulation of vation and management strategies, significant results rules and regulations for development of the forestry were not realised because of the absence of regulations sector was recognised. However, due to political unrest, and a comprehensive forest act (NPCL +30/). lack of commitment and ine#ective leadership, many of The Fourth Plan’s (+31*ῌ+31/) overall objectives were these objectives remained unaddressed. population control, trade, agricultural production and social and economic development. Although the plan -. , Forestry policies under five-year development did not prioritize forest development per se, various plans issues relating to the development of forest policy were Planning of development strategies started for the addressed under the agricultural policy. In particular, first time in Nepal when the National Planning Commis- soil conservation, watershed management and forest re- sion was established in +3//. The concept of five-year source development were identified as key areas for national plans issued successively to administer devel- activity in order to maximise benefits to local people opment activities in a planned and systematic manner (NPCL +31,). In addition, institutional reform and was introduced ; the First Plan (+3/0ῌ0+) was drafted in human resource development in the forestry sector con- +3/0. The development objectives of the first plan were tinued. The forest-based industries were promoted primarily focused on agricultural production, expansion under plans to enhance the nation’s power and energy of transportation and communications, employment, infrastructure and measures introduced for the develop- Mohan WAGLEY and Hemant OJHA 125 ment of tourism emphasized the need for expansion of tional expansion in the forestry sector also continued national parks and reserves. (Bajracharya +33-). The forestry sector also received priority attention Under the Seventh Plan (+32/ῌ3*), objectives focused under plans for regional development. A ‘bottom-up’ on ensuring that forest resources were able to meet the planning process was developed and public involvement basic needs of the people by maintaining and restoring was encouraged under the Panchayat system during this ecological balance. Particular emphasis was placed on plan period. In line with these policy objectives, forest people’s participation in a#orestation, watershed man- demarcation, construction of forest roads and fire lines, agement and the promotion of medicinal herbs. The soil conservation and wildlife management activities, need for ‘bottom up’ planning and a participatory ap- a#orestation, forest survey, inventory and research and proach to implementation were highlighted in the policy training were also undertaken. (HMG +32.). The Master Plan for the Forestry Sector This Fifth Plan (+31/ῌ+32*) was not promising in terms (MPFS), a long-term policy instrument for the forestry of government commitment to the forestry sector. The sector, was prepared and o$cially approved in +323. plan’s overall objectives focused on resettlement of dis- Similarly, various guidelines and strategies were placed people and agricultural development. Plans for developed for the implementation of forest management, forestry development were subsumed within the policy though the accelerated degradation of forest resources issued for agricultural development. Priority was also in the Hills and Terai proved di$cult to reverse because given to population control, the generation of employ- of a lack of public support, a sound monitoring system ment and scientific land-use planning. Despite this, the and an e#ective regulatory mechanism. The policy ob- following forestry-related policy objectives were jectives of this plan period were (HMG +32.): developed (HMG +31/): ῌ To increase forest resources by converting unpro- ῌ To integrate development of livestock, horticul- ductive forest areas into productive land through ture and food and cash crops in the Mountains, scientific forest management, including massive Hills and the Terai, respectively. a#orestation and forest protection programmes. ῌ To promote the socio-economic development of ῌ To increase the level of involvement of rural com- local people through the management of forest munities in forest management activities. resources. ῌ To develop labour intensive programmes for the ῌ To formulate basic guidelines for the collection of generation of employment opportunities. information and data necessary for natural re- ῌ To establish sound monitoring and evaluation source management. systems. Based on the above policy objectives, forest demarca- ῌ To continue the expansion of national parks and tion, reforestation, training and extension, forest survey reserves and related programmes throughout the and research, soil conservation and watershed manage- country. ment, development of medicinal plant programmes and ῌ To develop pasture, fodder and processing and wildlife management were considered as key forestry marketing facilities in the high Mountains, Hills activities. and Terai respectively. The Sixth Plan (+32*ῌ2/) was a promising period in ῌ To control soil erosion and enhance watershed terms of government policy objectives in the forestry management programmes in critical watershed sector. This plan period was, in fact, a cornerstone for areas. the conservation and development policy of natural re- The Eighth Plan period (+33,ῌ31) was considered a sources at a national level. The following were the turning point in the management history of the forestry general policy objectives enunciated by the government sector of Nepal. The major breakthrough in this plan (HMG +32+): period was the full-scale adoption of the MPFS, +323,as ῌ To alleviate poverty through the management of well as the expansion of participatory forestry via the natural resources. establishment of CFUGs for community management of ῌ To fulfill the basic needs of the people through forests. The key policy objectives of this plan period the management of natural resources. were (HMG +33,): ῌ To provide social justice. ῌ To mobilize people’s participation in community Based on these broad policy objectives, various pro- forestry though the establishment of FUGs. grammes in forest management (including forest demar- ῌ To strengthen the private sector and promote a cation, forest survey, forest research and inventory, leasehold forestry programme to the deprived sec- forest training and extension, management of medicinal tions of society in order to increase employment plants, resettlement, watershed management and wild- opportunities in forestry. life management) were designed and implemented. ῌ To initiate partnership with local governments in However, top priority was still given to the agricultural national forest management. sector. Major conservation programmes were based on ῌ To generate a collaborative and participatory en- soil conservation and a#orestation. Policy for institu- vironment for the involvement of local people in 126 Policy Trend Report ,**,

forest management. country. National forests were demarcated and con- ῌ To encourage public participation in soil conser- solidated, and those forest users found to be violating vation and watershed management programmes. state rules for forest management were punishable by The policy objectives of the Ninth Plan (+331ῌ,**,) law. Based on this policy, Nepal’s first forest act, the were primarily related to poverty reduction and in- Forest Act of +30+, was promulgated and enacted. How- creased productivity and employment in the forestry ever, the e#ectiveness of this policy on the ground was sector. The policy objectives and priorities were as limited as the government pursued its plans for the follows (HMG +331): resettlement of people in the Terai, exploitation of natu- ῌ To strengthen the institutional capacity of CFUGs ral forests to generate revenue, the expansion of agricul- and monitor the supply of forest products for the ture and the development of national infrastructure, fulfillment of daily requirements. which collectively conflicted with the aims of en- ῌ To develop appropriate policy to encourage the vironmental protection and improved forest manage- private sector to participate in the management of ment. forest resources. .. +. - Special Forest Policy, +301 ῌ To develop the forest-based industries with em- This policy was issued for the protection of forests and phasis on the generation of employment the promotion of better forest management. Based on opportunities and the enhancement and simplific- this policy, the Forest Protection Act of +301 with special ation of supply systems for improved distribution arrangements for forest protection was promulgated. of raw materials and value-added products. Under this Act, all forest o#ences including forest en- ῌ To formulate clear-cut guidelines in order to re- croachment were to be treated as a state crime. Upon solve problems relating to leasehold forests and to encountering o#enders, District Forest O$cers (DFO) promote them among poor and deprived people. and other forest personnel were authorized to intervene ῌ To enhance biodiversity and eco-tourism and safe- and confiscate all goods and equipment, and to adjudi- guard migratory wildlife and their habitats. cate over the misdemeanour and charge incurred. How- ῌ To foster research on endangered medicinal herbs ever, this devolved authority was simply abused by local and their commercial farming to generate em- authorities as an opportunity to earn money by ployment opportunities. manipulating the supply of forest resources to needy ῌ To implement soil conservation and watershed organizations and the public, thus provoking discontent management programmes based on public partic- amongst local forest users. Subsequent amendments to ipation, to protect the Siwalik region from erosion this policy were made in an attempt to synthesize a more and landslides. people-friendly tool for forest management. ῌ To encourage the cultivation of pasture and horti- .. +. . National Park and Wildlife Policy, +31, cultural and cash crops in a#orestation pro- This policy was formulated for the conservation and grammes. protection of wildlife and gave rise to the National Park and Wildlife Act, +31, to safeguard against illegal hunt- . Trends in forest policies and legislation ing, poaching and trading ; some national parks and wildlife reserves were created as a result. However, this .. + Key forest policies in the past policy failed to di#erentiate clearly between the au- .. +. + Private Forest Nationalization Policy, +3/1 thorities assigned to the various entities responsible for The Private Forest Nationalization Policy, +3/1 in- its enforcement throughout the country. The resulting stituted the nationalization of all private forests on the overlap of power between the DFO, the Royal Nepal grounds that forests form a component of Nepal’s na- Army and the various personnel of the national parks tional wealth, and as such need to be protected, managed service, led to conflict and ine$ciency. Because of this, and utilized for national security and public welfare. several amendments were made to the policy in subse- This policy was formulated with a view to consolidate quent years. all national property, which, to a large extent, had been .. +. / Soil and Water Conservation Policy, +32, abused in the past under the private management of This policy was enunciated in order to reduce the politically motivated dignitaries and members of the occurrence of soil erosion and landslides, and mitigate royal family. However, the policy became unpopular the watershed degradation process. The Soil Conserva- amongst the public since it undermined the rights of tion and Watershed Management Act, +32, was pro- indigenous people who had been managing, protecting mulgated to declare protected watersheds in critical and utilizing local forest resources according to tradi- areas of the country and prompted the implementation tional systems for their sustenance. of soil conservation and watershed management ac- .. +. , Forest Policy, +30+ tivities in the districts. Under the Forest Policy of +30+,e#orts were made for .. +. 0 National Forest Policy, +310 the protection, management and utilization of forests for Prior to +310, several attempts were made to introduce the improved economic welfare of the people and the forest policies and management strategies in the coun- Mohan WAGLEY and Hemant OJHA 127 try. However, because of a lack of sound institutional .. +. 1 National Policy on Panchayat Forests and and administration infrastructure, a dearth of trained Panchayat Protected Forests, +312 forestry professionals and inadequate commitment on Due to the substantial loss of forest area in the past, the part of the ruling government, these measures failed the government enacted the Panchayat Forests (PF) and to deliver any marked improvement in the management the Panchayat Protected Forests (PPF) Regulations in of Nepal’s forests. In response, the National Planning +312 to devolve forest management authority to the Commission (NPC) introduced the National Forest community level. The Panchayat or Village Panchayat is Policy of +310 to institute scientific forest management a political and administrative unit which operates at the systems throughout the country. The policy objectives village level. Areas of national forest handed over to were : to ensure the supply of forest products to meet Panchayat for the development of plantations have been the basic need for timber, fuel wood and fodder ; to termed Panchayat Forests (PF), whereas those areas of maintain and restore ecological balance through national forest handed over to Panchayat for their pro- reforestation and watershed management programmes ; tection and management became known as Panchayat and to derive maximum economic gain from utilization Protected Forests (PPF). The main thrust of the of forest products by promoting the export of medicinal Panchayat-based forest policies has been to delegate the herbs. The policy statements issued under the National responsibilities of management of village forests and Forest Policy of +310 were as follows (Bajracharya +33-): woodlots to the political and administration units of a ῌ To maintain ecological balance through the man- village. Based on this policy, the forests of Nepal were agement of forests and to control floods, land- classified into Panchayat Forests, Panchayat Protected slides and erosion. Forests, Religious Forests, Leasehold Forests and Pri- ῌ To meet the timber, fuel wood and fodder needs of vate Forests. The key features of this policy are outlined the people. below (based on Bajracharya +33-). ῌ To protect and conserve wildlife and strengthen Panchayat Forests (PF) : their management systems through the expan- ῌ Any area of barren land or degraded national sion and establishment of national parks and forest is to be handed over to the Village wildlife reserves. Panchayat as a Panchayat Forest. ῌ To mobilize forest resources for sustained eco- ῌ The area handed over as a Panchayat Forest nomic growth, strengthen the forest-based in- should not exceed +-0 hectares in the Terai or +-* dustries and promote the export of value-added hectares in other parts of the country for one forest products. Village Panchayat at one time. ῌ To maintain coordination with other relevant ῌ Development of plantations in the Panchayat sectors such as agriculture, settlement, pasture Forest is to commence within - years of the trans- and other land uses. fer of the land. ῌ To promote reforestation for the rehabilitation of ῌ District Forest O$cers (DFO) are to provide free barren and degraded forest land and river banks. seeds and seedlings to the Village Pahchayat for ῌ To adopt a scientific approach to forest manage- plantation development. ment and to expand forest organizations through- ῌ The Village Panchayat is to take overall responsi- out the country in order to provide forest resource bility for the conservation, protection, manage- benefits to all people on the basis of multiple use ment and improvement of Panchayat Forests. forests and geographical and social priorities. ῌ The Village Panchayat is to follow a Work Plan ῌ To publicise the impact of forestry on national prepared by the DFO and the guidelines and direc- development and seek public cooperation and tives provided by the government. participation in the use and management of fore- ῌ The Village Panchayat has the right to sell and sts. distribute forest products to local members of the ῌ To conduct forest surveys, inventories and re- Panchayat. search on various aspects of forest resources. ῌ Income earned from the Panchayat Forest is to be ῌ To develop human resources within the forestry deposited in a Panchayat fund and /* per cent of sector. the fund is to be used for protection, plantation ῌ To adopt a labour intensive forest management and improvement of the Panchayat Forest. programme in order to generate employment Panchayat Protected Forests (PPF) opportunities. ῌ Any part of a national forest may be handed over ῌ To incorporate an economic perspective in forest to the Village Panchayat as a PPF for its protec- management by considering not only the direct tion and management. financial aspects in particular, but also other ῌ The forest area allocated to a single Village socio-economic aspects in general. Panchayat should not exceed ,1, hectares in the Terai or /,* hectares in other parts of the country at any one time. 128 Policy Trend Report ,**,

ῌ The DFO shall provide free seeds and seedlings set forth under the Forest Act of +33-. The MPFS and where enrichment planting is needed to improve Forest Act, +33- reclassified national forests into the the condition of the forest. following subgroups : Government Managed Forests, ῌ The Panchayat is to take overall responsibility for Community Forests, Leasehold forests, Private Forests the protection, conservation and management of and Religious forests. Government Managed Forests the PPF under the supervision of the DFO. incorporate all national forests directly managed by the ῌ The Village Panchayat is to carry out all the forest government. Community forests, a component of nation- operations according to the Work Plan prepared al forests, are entrusted to community users groups for by the DFO and follow the instructions and direc- management and sustainable utilization. Leasehold fore- tives issued by the government. sts are also a part of national forests and are leased by the ῌ Local people are allowed to collect grass, fodder, government to people living below the poverty line, fore- medicinal plants and fuel wood free of cost as st-based businesses operating at the industry level and to prescribed in the Work Plan. groups promoting eco-tourism and protection of the en- ῌ 1* per cent of the total income from the sales of vironment. The long-term and medium-term objectives forest products is to be provided to the Panchayat of the MPFS are given below (HMG +323): as a grant to develop the condition of the forest. i) Long-term objectives Participatory forest management under the PF and ῌ To meet the people’s basic needs for forest prod- PPF scheme came into practice in the early +31*s and ucts on a sustainable basis. was legally endorsed by the Forest Act of +312. Follow- ῌ To conserve ecosystems and genetic resources. ing the implementation of this Act, a new era in forest ῌ To protect land against degradation and maintain management was hailed as the active participation of ecological balance. local communities in the utilization, protection and man- ῌ To contribute to local and national economic agement of forests was o$cially instituted. However, growth. this “state sponsored participatory forest policy” made ii) Medium-term objectives no provision for the inclusion of local stakeholders and ῌ To promote local participation in forest manage- users in the decision-making and planning process. ment, development and conservation. Thus the PF- and PPF-based participatory forestry pro- ῌ To strengthen the forest organization framework gramme was limited in its capacity to reach out to and develop the institutions of the forestry sector. communities and local beneficiary groups at a grass root ῌ To develop the legal framework needed for sus- levels (Joshi & Pokhrel +332). tainable development, management and conser- Moreover, the PF and PPF policies were focused more vation of forests. on political and administrative management at the vil- The MPFS, +323 has focused on six primary and six lage and district level, than on traditional and indige- supportive programmes. They are : nous rights and local customary practices. As a result, i) Primary programmes the policy provoked antagonism and dispute. Conflicts ῌ Community and Private Forestry between and among local users, local politicians and ῌ National and Leasehold Forestry foresters arose and the forest resource itself su#ered ῌ Wood-based Industries abuse and mismanagement. ῌ Medicinal and Aromatic Plants ῌ Soil conservation and Watershed Management .. , Current forest policy ῌ Conservation of Ecosystems and Genetic Re- .. ,. + The Master Plan Policy for the Forestry sources Sector (MPFS), +323 ii) Supportive programmes The Master Plan for the Forestry Sector, prepared in ῌ Policy and Legal Reform +322 and approved by the government in +323,isa ῌ Institutional Reform far-reaching policy document for the development of the ῌ Human resource development forestry sector in Nepal. Formulation of this policy ῌ Research and Extension document was a turning point in the history of Nepalese ῌ Forest Resource Information System and Manage- forest management. This long-range forest policy docu- ment Planning ment was prepared with a view to manage the forests of ῌ Monitoring and Evaluation. all categories on a sustainable, integrated and pro- The principal strategies of the MPFS are based on the gramme-oriented basis throughout the country. It has following elements (HMG +323): six primary and six supportive programmes for the de- ῌ Production/Utilization velopment and management of all kind of forests, giving - The forests will be managed and utilized to high priority to community forest by adopting a partic- meet the basic needs of local people for forest ipatory approach to management utilizing community products. forest users’ groups. Based on the recommendations of - Following thorough economic analysis, wood the MPFS, a national forest policy was comprehensively supply to urban areas will be intensified through Mohan WAGLEY and Hemant OJHA 129

the promotion of commercial plantations on pri- forest programmes for the generation of employ- vate forest land. ment and the reduction of poverty. ῌ Participation ῌ To introduce integrated forest management sys- - Village forests will be managed through a par- tems in government managed, community and ticipatory planning and decision-making process. leasehold forests. - Forest users’ groups will be established and ῌ To carry out studies and surveys on Non Timber supported for the management of forests. Forest Products (NTFPs) and thereby widen the ῌ Conservation of Ecosystem/Genetic Resources scope for their production and utilization. - Land and forest resources will be managed and ῌ To expand community forestry into bu#er zones utilized in order to maintain and conserve ecolo- and protect and expand biodiversity resource gy, biological diversity and genetic resources. management based on landscape level planning Unique ecosystems of specific conservation value and management concepts. will be protected. Environmental Impact Assess- ῌ To expand soil conservation and watershed man- ment will be undertaken where development pro- agement activities in order to conserve ground jects are implemented. water resources, increase land productivity and ῌ Social Aspects of Land Use maintain soil fertility in the Churia region. - The principles of decentralization and partici- ῌ To continue to upgrade and improve management pation will be applied in management of forests. policy and organization within the forestry sector - People living below the poverty line, small- and strengthen the legal status of existing policy scale farmers and the forest-based industries will relating to forest management. be encouraged to sustainably manage excess Primary foci for activity as proposed under the Tenth forest resources. No forest will be converted for Plan are : agricultural or cultivation purposes.- Integrated ῌ Community and private forests farming systems and land use practices that em- ῌ National and leasehold forests phasize multiple uses will be implemented for the ῌ Medicinal herbs and NTFPs development of integrated approaches to soil con- ῌ Soil conservation and watershed management servation and watershed management, research, ῌ Biodiversity and genetic resource conservation extension, agro-forestry and other related ac- and development tivities. ῌ Forests research and extension ῌ Role of Private Sector ῌ Human resource development - The establishment of private forests on leased ῌ Policy and legal improvements and private land will be promoted. ῌ Institutional improvement and development - Parastatals will be required to compete with ῌ Gender equity private enterprises on an equal footing. ῌ Monitoring and evaluation - The government will provide land on a lease Sectoral objectives relating to forests defined in the basis for the development of resources for forest- Tenth Five-Year Plan are : based enterprises. New enterprises are to be es- ῌ To increase public participation in soil conserva- tablished only after an industrial plan and eco- tion and watershed management programmes, nomic appraisal (financial analysis of the acquisi- particularly in the Churia region. tion of raw materials), have been approved by the ῌ To increase the opportunities available to people government. living below the poverty line for livelihood im- .. ,. , Proposed Forest Policy for the Tenth Plan provement by expanding the leasehold forestry Period (,**,ῌ,**1) programme and widening the scope of its ac- Policy introduced under the tenth Five Year Plan tivities. focuses primarily on the contributions forestry can ῌ To increase the level of participation of the poor, make to the reduction of poverty, ecosystem level forest deprived, women and other disadvantaged groups management, biodiversity conservation and enhanced in the community and enhance their access to land productivity. Thus the broad objectives of the plan benefits through the promotion of leasehold and are sustained e#orts for the reduction of poverty collaborative forest management. through a participatory approach to forest management, ῌ To bring forestry into the mainstream of econom- nationwide biodiversity conservation, the enhancement ic growth by developing forests and forest-based of forest production and the creation of employment. enterprises, and to emphasize the value of eco- The specific objectives of the plan are outlined here tourism through the careful management of pro- (MFSC +33,): tected areas, wildlife and plant resources. ῌ To increase the average income of poor women ῌ To implement a scientific approach to forest man- and other disadvantaged groups of society agement in national forests managed by the gov- through the implementation of participatory ernment. 130 Policy Trend Report ,**,

ῌ To protect biodiversity and genetic resources, and ῌ Accessible National forests shall be handed over manage, utilize and promote the export of ec- to traditional users. onomically valuable NTFPs. ῌ Conversion of national forests into community ῌ To employ sustainable management practices in forests shall take priority over their conversion the utilization of forest products and other special into any other forest type, such as leasehold, pro- plant resources, and mobilize private sector in- tection and production forests. vestment for the encouragement of entrepreneur- ῌ Community forest boundaries shall be fixed by ship in the natural resource sector. traditional use practices rather than administra- .. ,. - Community Forest Policy, +33+ tive boundaries. After the restoration of democracy in +33*, a com- ῌ DFOs are authorized to recognize FUGs and hand munity-based forest policy centred around the concept over forests to FUGs (this authority was vested in of Forest Users Groups (FUGs) formally emerged in +33+. higher-ranking o$cials or with the central gov- Here, the term community forest refers to a system of ernment in the past). forest management in which the user groups exercise ῌ FUGs shall manage community forests as per their usufruct rights over national forests under an ap- their constitution and operational plan (OP), both proved operational plan and within the guidelines issued of which are to be approved by the DFO. by the government. The ownership of such forest lands ῌ FUGs are autonomous corporate bodies with per- remains with the government, which retains the author- petual succession rights. ity to suspend the rights of user groups if they fail to ῌ FUGs may plant long-term cash crops, such as perform according to the approved operational plan and medicinal herbs, where this does not disturb the guidelines (Joshi +332). main forestry crops. FUGs may fix prices of forest Community forestry in Nepal has been considered a products irrespective of the government royalty. high priority by the government, and the Community ῌ FUGs can transport forest products simply by Forest Policy, issued in +33+, is considered to be largely informing the DFO and may establish forest- successful in bringing about its implementation. This based enterprises. policy aims at the management and development of ῌ FUGs can utilize surplus funds in any kind of forests in order to meet the people’s basic needs for community development work. They can amend forest products through the active participation of local their OP simply by informing the DFO. people. ῌ Any government, NGO or other agency can help The Community Forest Policy, +33+ was formally in- FUGs to organize and to manage community fore- troduced in Nepal with a view to fulfilling the following sts. basic objectives (Joshi +332): ῌ FUG can punish any members who break the ῌ Realization of sustainable forest management at rules of their constitution or OP. the local level. ῌ DFOs can reclaim community forests from FUGs ῌ Whole scale promotion of public participation in if they are found to be working contrary to the forest management and the conversion of this OP. However, the DFO must return the forest to into local action. the newly reformed FUGs as soon as possible once ῌ Implementation of planning at a grass-roots level the problems are resolved. for a bottom-up approach to decision-making. ῌ Delivery of the basic needs to local people. / Trends in forest institutional policy ῌ Ensuring community-level institutional capacity building for empowered local forest management. /. + Institutional policies of the past ῌ Achievement of the e$cient and sustainable use Beside the technical aspects of policy formulation, the of local forests. development of institutional and administrative proce- ῌ Achievement of self-sustaining forest manage- dure is vital for the implementation of sound forest ment. management practices. Given this, some attempts have ῌ Increased usage of local resources and knowledge. been made in the past to develop organizational and ῌ Enhanced collaboration between the government administrative capacity in the forestry sector. For ex- and local people. ample, forest check posts and forest administration units Community forestry in Nepal represents a unique ex- were established here and there during the Rana ample of how FUGs can collectively organize and exe- Regime, particularly to protect forests from abuse and cute the management of local forests. Furthermore, illegal trade in timber, wildlife and other forests prod- community forest policy in Nepal is widely recognized ucts. as one of the best examples of local empowerment and However, the importance of institutional and adminis- participation for development of the forest resource. trative development was truly emphasized following the The key directives of the Community Forest Policy are establishment of the Ministry of Forests and Revenue in as follows (based on Joshi & Pokhrel +332): +3/,. Expatriate missionaries and foreign advisors were Mohan WAGLEY and Hemant OJHA 131 involved in making recommendations to the Nepali gov- /. , Current institutional policy ernment for institutional and administrative reform and At present, the MFSC is composed of five departments, development. As part of this process and in order to namely, the Department of Forests, the Department of increase human resources in the forestry sector, the National parks and Wildlife Conservation, the Depart- Institute of Forests was established in +3/0 and the Rapti ment of Forest Survey and Research, the Department of Rural Technical Institute was set up in +3/3. The Minis- Soil Conservation and Watershed Management and the try of Agriculture and Forests replaced the Ministry of Department of Plant Resources. Five regional forest Forests and Revenue in +30*. Various territorial o$ces directorates and four parastatal organizations run and departments continued to be establish in many within the MFSC. The four parastatals are : The Timber parts of the country. The Timber Corporation of Nepal Corporation, Nepal Rosin and Turpentine Company, (TCN) was established in +30*, primarily to coordinate Nepal Herbal Processing Company and the Forest Prod- the transportation, removal and utilization of timber ucts Development Board. harvested from forest areas cleared for agriculture, infra- Presently, various forest management development structure development and resettlement programmes activities are being carried out in all 1/ districts of Nepal (Shrestha +30/). The Ministry of Forests was separated with the establishment of 1. district forest o$ces. Sim- from the Ministry of Agriculture in +30/ as human re- ilarly, soil conservation and watershed management source and forestry institution capacity underwent fur- programmes are being implemented in // districts with ther strengthening and expansion in various parts of the the establishment of // district soil conservation o$ces, country. and biodiversity and wildlife management activities are The Resettlement Company was set up in +30/ to being carried out by Department of National Parks and organise the resettlement programme in the Terai Wildlife Management in +1 di#erent parts of the coun- region. The o$ce of Chief Conservator of Forests (CCF) try. The Department of Plant Resources is carrying out was restructured into five sections in order to account various programmes on the protection, conservation and for, respectively, the tasks of forest development, forest development of non-woody plant resources in +. dis- utilization, forest research, wildlife management and tricts of Nepal. The institutional structure of the MFSC plantation development. The Department of Medicinal is given in Figure + (adapted from MFSC ,***). Plants and the Forest Resource Survey Centre were The MFSC is responsible for the management, utiliza- created in +30+. The Resettlement Department was also tion and sustainable development of those forest re- established in +31* to carry out small-scale resettlement sources which are directly related to the basic needs of programmes in the country. Similarly, the Fuel Wood local people. In addition, the ministry helps regulate the Corporation was established in +300 to coordinate the supply of forest products and dictates and monitors utilization and supply of fuel wood in Kathmandu and standards for the productivity of forests, the conserva- other big cities (Bajracharya +33-). Thus various tion of biodiversity, and maintenance of ecological bal- changes were made to create a permanent framework in ance through the conservation of flora and fauna. The the institutional structuring of the forestry sector. How- ultimate goal of the ministry is to reduce poverty ever, due to lack of man-power and the inconsistency of through the sustainable utilization of forest resources. forest policy with developments in other sectors, the The MFSC has the following development objectives : results achieved were somewhat limited. Nonetheless, ῌ To create employment opportunities and enhance the process of change and development in institutional the income of marginalized people in remote areas policy continued. of the country through the promotion of forest- During the +31*s, forest-based organizations grew in based programmes such as cultivation of medici- number and size. Three governmental departments - nal plants, timber and non-timber forest products. including the Department of Forests under the CCF and ῌ To fulfill the basic needs of rural people through the Department of Soil Conservation and Watershed the improved management of forests. Management - and the National Park and Wildlife Con- ῌ To increase the status of the existing wood-based servation O$ce were established in +31-. The Forest industries, and ensure proper management of the Products Development Board and the Shivapuri Water- forests in order to create employment opp- shed Area Development Board were created in +310. The ortunities and boost the local and national econo- National Park and Wildlife Conservation o$ce was up- my. graded to full departmental status in +32+ and the De- ῌ To conserve biological diversity, genetic re- partment of Drug Administration and the Herbal Prod- sources, wildlife and the environment. ucts Processing Company were established in the same ῌ To mobilize public participation in forest manage- year. In +32,, the Ministry of Forests was renamed as the ment, conservation and utilization. Ministry of Forests and Soil Conservation (MFSC) and ῌ To manage bu#er zones, watersheds and plant its constituent Forest Divisions were gradually renamed resources to help people meet their basic needs. District Forest O$ces (Bajracharya +33-). ῌ To encourage cultivation of medicinal plants and carry out scientific classification of plant bio- 132 Policy Trend Report ,**,

divsersity. ῌ To explore, analyze and conduct research on the utilization and development of non-woody plants. /. - Structure of the MFSC ῌ To conserve and manage botanical gardens and /. -. + Department of Forests (DoF) cultivate and develop medicinal plants. The DoF is the biggest department under the Ministry ῌ To carry out floriculture plant breeding and her- of Forests and Soil Conservation. Within this depart- barium preparation programmes. ment there are three divisions, +- sections and 1. district forest o$ces. The following list outlines the responsi- 0 Trends in forest regulations bilities of the DoF : ῌ To cooperate with the ministry to formulate rules 0. + Regulation in the past and regulations for the conservation of forests. Prior to +3/*, the forests of Nepal were used as a freely ῌ To coordinate and implement plans and pro- available resource, and no sound regulatory policy or grammes related to the development of forest. plan for forest management was developed. Local ῌ To provide information to the public about the people had free access to forests to meet their require- conservation, utilization and management of fore- ments for timber, land, shelter, fodder, fuel wood and sts. grazing. Vast tracts of forest land were used for resettle- ῌ To use techniques applicable to the utilization of ment and for conversion into agricultural land. These forest products. activities were concentrated particularly in the Terai as ῌ To control forest encroachment and promote well as in some parts of the Hill districts. The trend of public participation in forest activities. conversion of forest into agricultural land continued /. -. , Department of Soil Conservation and Water- until well after the fall of the Rana Regime in +3/+ shed Management (DSCWM) (Regmi +312). The DSCWM consists of one division and eight sec- After +3/+, elementary steps towards synthesis of a tions with // district soil conservation o$ces. The regulatory policy for forests were taken for the first time major responsibilities of this department are : in Nepal’s history. Crucially, these steps brought about ῌ To formulate land use planning schemes and im- a realisation in the government of the importance of plement soil conservation and watershed manage- planned forest management. However, the general ment programmes in the districts. public was not, at this stage, informed of the value of ῌ To provide technical support to the districts. forest resource management. A handful of governmen- ῌ To develop sound techniques for soil and water- tal organisations, including a foreign mission advisory shed conservation. board, were recruited to advise the government on draft- ῌ To develop extension materials and distribute ing a long-range regulatory forest policy. Nonetheless, them to the districts. legitimate provision for forest planning was, as such, not /. -. - Department of National Parks and Wildlife made until the end of +3/0. Until that time, the country’s Conservation (DNPWC) e#orts were, in e#ect, focused on the expansion of agri- The DNPWC consists of two divisions and +1 sections. culture and the distribution of land under the resettle- The major responsibilities of this department include : ment programme, both of which necessitated the clear- ῌ Performance of regular monitoring and manage- ance of forests in the Terai and Siwalik regions (Agrawal ment of national park and wildlife reserves. +310). ῌ Management and evaluation of wildlife reserves, However, following protracted e#ort on the part of the hunting reserves and conservation areas. government, the Private Forest Nationalization Act was ῌ Implementation of ecological and conservation promulgated in +3/1, which classified all forests as state education programmes in the field. property, with the exception of privately own orchards /. -. . Department of Forest Research and Survey and forests under +.- hectares in the Hills and -.- hec- (DFRS) tares in the Terai (HMG +32*). Although this step was The DFRS consists of two divisions and +1 sections. taken with good intention for the protection of forest The major responsibilities of this department are : resources, it provoked embittered reaction amongst ῌ To utilize remote sensing and aerial photographic forest users who felt suddenly deprived of their right to techniques for resource inventory and forest man- access forest products and services. Thus, in reality, the agement. regulatory policy of +3/1 simply paved the way for a ῌ To carry out soil tests for research and develop- new wave of deforestation and forest conversion on a ment and select appropriate technologies. grander scale as a result of tension between forest users ῌ To update forest resource inventory and data. and the state (Zaman +31-). /. -. / Department of Plant Resources (DPR) The Forest Act came into practice in +30+, focusing The DPR has three central o$ces, three divisions, +. more on regulation than on people-centred processes in sections and 1 district o$ces. The major responsibilities forest management. As such, this Act concentrated on of the DPR are : state ownership of and authority over forests, and the Mohan WAGLEY and Hemant OJHA 133 subsequent Land Act of +30- proclaimed that all land +33-). except agricultural land was to be treated as forest land. Indeed, a participatory approach to forest manage- Together, these two Acts created havoc amongst the ment began in Nepal based on a political and administra- public who were encouraged to convert more forest into tive territorial concept. Although the concept was agricultural land in order to claim that the land con- founded on Panchayat participation, the planning proc- stituted cultivated private agricultural land. The annual ess was conducted in a top-down manner from which rate of deforestation was extremely high at this time - local forests users were excluded. The Forest Act of +311 the nation’s forest cover declined from over /+ per cent was further amended in +312 and in +32* in order to during +3/*s, to ./.0 per cent in +30.. This represents a formalize the rights of local people in forest manage- major indictment of policy makers who drafted policy ment. However, although these amendments were made without due consideration for social and cultural norms, in order to return rights of tenure and ownership to the rural structures and the operational and administrative public, they failed to win absolute public support since capabilities of the country. The government was taught management and operational practices remained heavi- a stern lesson with regard to the potential repercussions ly influenced by the social elite, local politicians, wealthy of ill-planned policy that ignored public priorities and people and various government bodies. Rights of access overlooked the historical, cultural and religious values to forests for the local poor, the socially disadvantaged associated with forests (HMG +33-). and women were barely considered, and the rights tradi- Realizing the antagonistic e#ect that the Forest Act of tionally invested in local users were overlooked. Forest +30+ was having, the government subsequently issued a technicians at the village and district levels were biased string of amendments culminating in the enactment of towards local politicians in the distribution, selection, the Forest Protection Act in +301. However, essentially handing over and mobilization of government funds for this Act was also prejudiced with regard to the supreme the management of forests (Bajracharya +33-). authority invested in the government. Regulatory The Decentralization Act, +32, was formulated to mo- clauses stated in the policy were slanted towards com- bilize local resources and public participation for the mand and control functions for the protection of forests, development of districts and villages and to strengthen and failed to yield the significant results that had been and empower local political and administrative au- anticipated. Although several changes to the policy thorities. The focus of the decentralization policy was to were subsequently made, all judicial power over the ensure public participation through a people-centered, management, protection and utilization of forests bottom-up approach to planning and decision-making remained with the government. Almost all e#orts gave and to generate equitable distribution of benefits to the way to incompatible results. people. Based on the policy, various forest rules and The process of encroachment and forest destruction regulations were formulated and amended in subse- could not be controlled by the government, and the quent years to ensure local participation and public forest area continued to decrease at an alarming rate. involvement in forest resource management. An absence of public consultation, frequent change in The King Mahendra Trust for Nature Conservation government policy decisions and a lack of government Act, +32,, Soil and Water Conservation Act, +32, and the commitment are considered to be amongst the key National Park and Wildlife Conservation Act, +31, were factors responsible for forest decline. The failure of past promulgated and implemented. The concept of forest government policy is also attributed to the emphasis user groups in community forestry was introduced to placed on the ‘command and control functions’ of the ensure local participation in the management of forests. government without consultation and due consideration The Master Plan for the Forestry Sector (MPFS), +323 for for public priorities with regard to the management of the adoption of a participatory forest management forest resources. Furthermore, the clearance of forests system in Nepal was conceived. for the expansion of agriculture, the development of the resettlement programme and a lack of compatibility 0. , Current forest regulations : Forest Act, +33- between policy in the forestry sector and that of other and Regulation, +33/ sectors, are also highlighted as major causes of forest Under this act and regulation, the role of forestry sta# decline (Agrawal +310). The problems of encroachment changed from a custodial one to a facilitative one. This and deforestation were never really challenged during regulatory policy has provided ample opportunity for this period and the forest area continued to decline from the involvement of people in the management of all about ./.0 per cent in +30. to -/.1 per cent in +311. kinds of forests. Similarly, Forest User Groups (FUGs) Because of these factors, the Forest Act, +30+ was have been empowered in the community forest manage- amended in +311 by the Panchayat Forests (PF) and ment process. Minor adjustments to this Act and Regu- Panchayat Protected Forests (PPF) Regulations, and lation have been made, including additional provision again in +32*. The amended Forest Act of +311 was a for the penalization of FUGs for o#ences against the bold legislative step for the participatory management, Operation Plan (OP) and its constitution, and the stipula- development and conservation of forests (Bajracharya tion that a minimum of ,/ per cent of the funds accrued 134 Policy Trend Report ,**, should be spent on community forest development ac- the authority to handover management of community tivities, with the remainder being used for community forests to user groups. The DFO is also authorized to development works. provide technical and other assistance required to user The present Forest Act, +33- has categorized Nepal’s groups and mobilize users to prepare the work plan for forests into six classes. These are : Government Man- the management of the community forest. As self- agement Forests, Community Forests, Protected Forests, governing institutions, FUGs are legally allowed to fix Leasehold Forests, Private Forests and Religious Forest. prices for the forest products they sell and to apply Both the existing Forest Act, +33- and its Regulation, silvicultural and other forestry practices in the manage- +33/ are consistent with the policy recommendations ment of the forest. The new policy has also allowed outlined in the MPFS and presently there is no indica- users to cultivate non-timber forests products as a tion that they will be amended. The following sections means of generating income earned on forest based cash outline briefly the nature of the di#erent forest types crops and to commercialize wood and non-wood prod- recognized by the Forest Act. ucts and their processing to fulfill the subsistence needs 0. ,. + Government-managed forests of local people. In so doing, due consideration must be Government-managed forests are defined as all nation- given to the health and vigor of the forest. Similarly, al forests (except private forests) that are directly FUGs are free to collect and spend income generated managed by His Majesty’s Government. Since from the community forest not only for the development government-managed forests are national forests, all of their forest but also in order to carry out other social rights dictating their use are reserved by the govern- and community development activities. FUGs may in- ment. Government-managed forests may only be used dependently network and consult with other FUGs and in the capacity prescribed in their work plan ; owner- their federation. FUGs have provided a platform for the ship of the land and of the products derived from discussion of all aspects of forest resource management government-managed forests lies with the government. for local people, politicians and government o$cials. In Work plans for the management of government- the event that a FUG fails to perform its function or managed forest may only be prepared, approved and attempts to carry out any operation not included in the implemented by the government. The following ac- Work Plan which may cause adverse environmental tivities are prohibited in government-managed forests e#ects, the DFO is empowered to cancel the registration (HMG +33/): of the FUG and rescind the rights to the community ῌ Deforestation, cultivatation and construction (of forests. The FUG has the status of an autonomous housing, roads, paths etc.) corporate body and has a separate seal of its own. ῌ Grazing, the setting of fires and the production of FUGs are fully legalized to collect funds and use them charcoal to finance activities of public interest having made full ῌ Removal, sale or distribution of forests products, disbursement for the development of the community and the extraction of resin, bark, timber, firewood, forest. The FUGs should deposit their income into a boulders, rocks, sand or soil separate account. The FUGs are funded by the following ῌ Export of forest products to foreign countries sources (HMG +33/): ῌ Stealing, destruction or damaging of any govern- ῌ Grant received from His Majesty’s Government ment property ῌ Grant, assistance or donation from any person or ῌ Destruction of biodiversity, the hunting of wild- organization life and the collection of insects and butterflies ῌ Amount received from the sale and distribution of Individuals have no rights of any type in government- forest products managed forests except when a right or facility has been ῌ Amount collected through fines obtained through a lease or in any other way from the ῌ Amount received from any other source government or from an authority empowered by the The FUG is required to submit an annual report of its government. For the purpose of developing or conserv- activities, including descriptions of the condition of the ing the forest, the government or an authority forest and the expenditure and balance of its account, to empowered by the government may close any private or the DFO. public path or stream situated within the national forest 0. ,. - Protected forests (HMG+33/). A component of national forests, protected forests are 0. ,. , Community forests considered to be of special environmental, scientific or A community forest is a part of a national forest that cultural importance. The government prepares and im- has been handed over to a user group for its develop- plements a work plan for the management of protected ment, conservation and utilization for the collective in- forests. No activities other than those defined in the terest. The Forest Act and its regulation have provided work plan or those granted special prior approval by the ample opportunity for people to participate in the man- government, can be conducted in a protected forest. agement of forests of Nepal basically through the provi- 0. ,. . Religious forests sion of community and leasehold forests. The DFO has Upon receipt of an application, the DFO can handover Mohan WAGLEY and Hemant OJHA 135 a religious forest to the jurisdiction of a religious body, 1 Analysis of policy trends in terms of local group or community wishing to manage the forest for its participation religious value. Before handing over the forest, neces- sary arrangements must be made to ensure the tradition- 1. + Introduction al rights of forest users are not adversely e#ected. The Local participation can be analyzed from several religious body or community may utilize the forest prod- di#erent perspectives. The first ‘school of thought’ sug- ucts derived from the religious forest for religious ac- gests that people are mobilized into forced participation tivities and not for any commercial purpose. Where any in order to provide benefits for the community. The significant environmental impact is anticipated, trees second school of thought asserts self-initiated participa- may not be removed and any activities which cause soil tion in which individuals volunteer their assistance erosion or damage to public property - particularly in without any contribution from the government or exter- watershed areas - are prohibited. If the group fails to nal body, relying instead on self-motivation for the meet any of the terms and conditions defined for the fulfillment of self-recognised objectives. A third school forest’s management, the DFO may reclaim the forest at of thought attributes participation to facilitated partici- any time. pation in which local people are given incentives to 0. ,. / Leasehold forests contribute by a facilitator. Finally, the fourth school of Leasehold forests are areas of national forest leased to thought claims induced participation is at work, in which any corporate body, industry, community or individuals local people are induced through various processes to living below poverty line. As a condition of the lease, change their behavior that brings them into the arena of leaseholders are required to utilize the forest in one of resource sharing and cooperation ; this level of partici- the following ways (HMG +33/): pation is typically brought about by the e#orts of an ῌ Production of raw materials required by the fore- external agency. st-based industries Regardless of the mode of participation, however, par- ῌ Production, utilization or sale and distribution of ticipatory groups and individuals are normally forest products with appropriate measures in facilitated and motivated by an external source, which is place for sustaining the resource responsible for their sustained involvement in all ῌ Operation of eco-tourism in a way that is compat- aspects of decision-making, from planning and manage- ible with the conservation and development re- ment to implementation and utilization of resources. quirements of the forest Therefore, all four schools of thought need to be ῌ Implementation of an agro-forestry project in a analyzed in terms of the contextual environment that way that is compatible with the conservation and supports local participation, and the trends and means of development requirements of the forest evaluation that shape this system in Nepal. ῌ Operation of an insect, butterfly or wildlife farm/ In the following sections, legislation relating to the park in a way that is compatible with the conser- evolution of community forestry in Nepal is summarized vation and development requirements of the in table form, and an analysis of the di#erent modes of forest. participation as they manifested themselves throughout In the event that the leaseholder fails to perform its this evolution is presented. defined task in accordance with the forest lease, or other- wise undertakes activities that may cause significant 1. , Trends in legislation adverse environmental e#ects, the Regional Forest Di- 1. ,. + Overall trends rector may decide to cancel the forest lease and reclaim Key trends in Nepali forest policy are summarized in the forest. The Regional Forest Director has ultimate Table ,. authority over the lease as stipulated under the MFSC. 1. ,. , Trends in community participation 0. ,. 0 Private forests The key legal instruments that have facilitated com- Private forests are forests planted, nurtured or con- munity forestry in Nepal are summarized in terms of served on any private land owned by an individual. The their impact on policy clauses in Table -. owner of the private forest may develop, conserve or manage the private forest, and utilize or sell and distrib- 1. - Analysis of participation ute the forest products by fixing prices at will. Any 1. -. + Forced participation person or institution can register a privately owned Some forms of forced participation can be identified in forest with the government, and is legible to receive any the management strategies that existed prior to the fall necessary technical assistance from the state if they do of the Rana Regime. Essentially, people were compelled so. to obey the National Code for the protection and utiliza- tion of forests. Without financial reimbursement, local people were forced to cultivate and reclaim land, control floods, capture and hunt wildlife, collect fodder, timber, fuel wood and other forest products, by landlords, vil- 136 Policy Trend Report ,**,

Table , Timeline of forest management policy in Nepal (source : based on ICIMOD quoted in McDougall ,**,).

lage leaders and district administrators (Regmi +31+). for the loss of such systems from the mainstream of People had no rights to freely access or utilize forest forest management, as summarized here : products for their daily needs. ῌ Loss of faith in the government on the part of 1. -. , Self-initiated participation local communities, following the introduction of After the fall of the Rana Regime in +3/+, the system of policy which nationalized private forests. Local forced participation was abandoned and replaced by communities increasingly distrusted the govern- self-initiated participation by the people. Indigenous ment as their traditional rights to manage forests systems of forest and pasture management were put into and harvest forest products were successively practice. The Singo-Nau concept of Sherpa communities, stripped away. which protect, regulate and utilize village woodlots and ῌ The nationalization policy was abruptly enforced local forests for the sustainable supply of forest products without adequate public consultation or notific- to meet local demands, was a living example of self- ation, and without any education as to why the initiated community participation in forest management policy should be of importance to local forest (Furer-Haimendorf +31/). Similarly, some local groups users. and communities consolidated themselves to protect ῌ Frequent change and inconsistencies in govern- and sustainably use local forests for social welfare and ment policy on forest management, and a lack of religious purposes. Mana-Pathi, one example of this, is a policy to protect and strengthen traditional sys- self-initiated participatory system for the protection of tems for common forest resource management. woodlots and local forests from intruders and abuse by ῌ Emergence of top-down politics in the forestry local people, that can still be seen in practice in some of sector and introduction of labour intensive forest- the districts today. There is also evidence that people in ry projects and programmes to generate employ- the past employed self-initiated participatory means to ment. protect and manage their forests for a range of di#erent ῌ Loss of self-reliance in rural communities and in- purposes (Regmi +312). Various factors are responsible creasing dependence on external development Mohan WAGLEY and Hemant OJHA 137

Table - Evolution of community forestry clauses in Nepali forest legislation (source : ICIMOD quoted in McDougall ,**,).

projects. for the first time in the history of forest management in ῌ Removal of forest for the expansion of agriculture Nepal. In support of the scheme and to promote wide- and development of resettlement programmes in spread participation, various forestry campaigns were the Terai and Siwalik regions. launched and formal celebrations, under the banner of 1. -. - Facilitated participation Forest Conservation Day, were instituted by the govern- When the Nationalization of Private Forest Act, +3/1 ment (NPCL +30-). came into force, indigenous/traditional systems of self- The policy restricted the range of decisions open to initiated participation in forest management slowly forest users in the planning, management and utilization began to disappear. In their place, facilitated participa- of forest products. However, communities of forest users tory strategies were promoted. Under such strategies, were not directly formed and organized by the policy, external bodies o#er various incentives and subsidies to but rather were guided by it and incorporated into its facilitate and mobilize people in forestry development collaborative approach. programmes, though without providing the freedom to Participatory priorities under this system of forest manage the forest independently. management were defined by local administrative units, Following the gradual disappearance of traditional, whilst responsibility over major decisions relating to self-initiated community participation, the government planning and management considerations remained initiated various alternative approaches aimed at the with the government. Local people were mobilized at rejuvenation of participatory forest management. The the community level to implement government objec- government drafted policy which sought public support tives and meet government targets. No provision was for and participation in the Panchayat system for local made for the involvement of people in the maintenance resource management. This came at a time when the of programmes once targets had been achieved. timber trade with India was fading out and the wood- In the Second Five-Year Plan (+30,ῌ+30/), public par- based industries were losing momentum. In addition, ticipation in the implementation of management the government was unable guarantee supplies of raw strategies was sought through local groups but did not material to industry due to the scarcity of timber and materialize as expected. other forest resources (Regmi +312). The Panchayat In the Third Plan (+30/ῌ1*), emphasis was placed on Forest (PF) and Panchayat Protected Forest (PPF) extension and publicity of forest issues to increase models are examples of facilitated participation in which awareness amongst the public of the value of their par- people were invited to initiate community participation ticipation in forest management. Participation was 138 Policy Trend Report ,**, sought for the implementation of projects by providing not be achieved. incentives or compensation to local people. However, The Sixth Plan (+32*ῌ2/) emphasized people’s partici- the planning process was centralized and top-down, and pation in forestry through the Panchayat system. The local people were not involved in planning or decision- government made a commitment to distribute ./ per making stages. Thus the facilitated participation proc- cent of national forest to participatory Panchayat-based ess did not yield satisfactory results, and no moves were forestry programmes. The policy also emphasized made towards shifting ownership and responsibility in people’s involvement in decision-making, planning and forest development work. The concept of participation implementation of forestry development projects in con- as it manifested itself in this policy, though outwardly sultation with and under the supervision of local developed along ‘give and take’ lines, neglected issues of Panchayat level Co-ordination Committees (NPC +313). ownership and sustained involvement in forest manage- Based on this policy, many forestry projects were con- ment, conservation and utilization programmes. ceived, providing incentives and subsidies to mobilize The ‘Go to the village’ national campaign, established people participation in the implementation of forestry in +301, was a benchmark event which raised public activities. Awareness of the importance of forest conser- awareness and spirit at the local level. Political leaders, vation and management were increased substantially students, teachers and local leaders were used in this throughout many villages. In +32,, the Decentralization campaign to visit village sites to educate and raise Act was enacted with the objective of increasing the awareness in amongst local groups of forest conserva- volume of participatory projects by devolving planning tion and plantation issues for better management of and implementation authority to the local level. forests (NPCL +30/). 1. -. . Induced participation In the Fourth Plan period (+31*ῌ1/), it was realized that Induced participation is regarded as being dominant e#ective participation in forestry could only be achieved in the current phase of participatory forest policy in if people were involved right from the beginning of the Nepal. Under current policy, the government has process, from planning to implementation, to imbue a emphasized community forestry via a user group ap- sense of ownership and responsibility. Despite this, no proach. This involves sustainable approaches to the concrete participatory policy was drafted based on these protection, development and management of local fore- perceptions and therefore only a small number of pro- sts though the formation of FUGs at a local level. As grammes were initiated on the basis of this progressive such, the FUG has become the only institution responsi- participatory approach. ble for the overall management of local community fore- Under the Fifth Plan (+31/ῌ2*), however, the National sts. Thus with this policy, early concepts and practices Forestry Plan of +310 was enacted and local participa- of local participation, which for the most part had been tion strategies were promoted in what became a corner driven to extinction following the enactment of the Na- stone of government forest policy (HMG +312). Several tionalization Forest Act in +3/1, were once again projects backed by a number of agencies facilitated local brought to the fore, albeit via a di#erent mode of induc- people in forest development work, raised awareness tion. Recommended by the MPFS of +323, this approach and increased rural motivation. The Fifth Plan also to forest management was fully endorsed by govern- emphasized the role of rural people in the decision- ment and has been legitimized by the current Forest Act, making process in local level forestry programmes. De- +33-. spite its success, however, the policy struggled to main- Current policy for community forestry development tain momentum at a national level. seeks to fulfil the following : The National Development Service (NDS) of ῌ All accessible forests are to be handed over to Tribhuvan University emphasized the need for mobiliza- forest users to the extent they are willing and tion of local people to contribute to the tasks of preserv- capable to manage them as community forests. ing forests and other development activities. Such NDS ῌ Forest user groups shall manage and protect these programmes made significant e#orts to facilitate and forests for the benefit of local users. mobilize people in a range of development projects in- ῌ Forest user groups shall have access to all the cluding forestry. Unfortunately, however, the NDS pro- products and income derived from the forest for gramme was dropped because of political reasons (HMG the development of the forest and other social and +301). community development activities. In the late +31*s, participatory approaches to a#oresta- ῌ Women, the poor, and deprived and dis- tion were also emphasized - free seedlings and seeds advantaged groups should be actively en- were distributed to community groups to help facilitate couraged and included in the activities of the establishment of forest plantations. Awareness pro- users’ group as a priority. grammes were also implemented by some social and Policy for community forestry is based on three aspi- welfare related organizations. However, because bu- rations : empowerment, institutionalization and contri- reaucratic domination, political unrest and a heavily bution. The FUG is crucial in attaining the objectives of top-down planning approach, significant results could maintenance and restoration of forest ecosystems, to Mohan WAGLEY and Hemant OJHA 139 increase the basic productivity of forests and so ensure and energy to make community forestry a successful the supply of the subsistence needs to local people. forestry programme in Nepal. The users, in utilizing As a result of this evolution in participatory policy, their own resources with the help of a small government some FUGs are now fully empowered to exercise and subsidy, undertake almost all the community forest de- delegate rights and responsibilities in the decision- velopment activities in the village. Government support making, planning and management stages. Some FUGs of the FUGs is limited to training, institutional develop- are now even developing their own silvicultural prac- ment, income generation activities and post formation tices for the protection, production, harvesting and dis- support. tribution of forest products among the users. However, However, the status of community forestry in Nepal as yet very few FUGs are independently capable of should be viewed in terms of the FUGs’ institutional, interacting with other user groups to adopt collective social, technical and financial capacity. actions in decision-making and conflict resolution. Fur- The institutional capacity of a FUG is primarily based thermore, the capacity of FUGs to mobilize locally on its ability to perform as per the Charter and Opera- generated resources for the development of forestry as tional Plan that has been prescribed for the well as other social and community activities is still sustainability of the community forest. Many of FUGs questionable. And in many villages, the role of FUGs in have low performance in this regard. For instance, alleviating social and economic inequalities at the vil- many fail to appropriately form an executive committee, lage level has yet to mature. Questions continue to be conduct general annual meetings, prepare annual audit raised regarding equitable access to forest resources (es- reports, conduct forest inventories and revise their oper- pecially by the poor, women and other disadvantaged ational plan. It is reported that more than ,*** FUGs (i. groups) and equitable cost and benefit sharing among e. +1 per cent) have operational plans that are either users. Nonetheless, FUGs are in the process of promot- unrevised or incompletely drafted. ing themselves as a model of institutional autonomy for In many cases, failure to conduct meetings has entry into and management of other development issues, resulted in lack of interaction and loss of coherence and as they continue to raise the status of and assume re- mutual trust among users. In such cases, the collective sponsibility over all aspects of community forestry. voice and the strength of the FUG as an institution Strengthening the institutional capacity of FUGs is su#ers. This is particularly the case in many CFUGs in now one of the important challenges that have to be met Hill districts. It is now vital that FUGs demonstrate to allow them to better express and address their needs. their ability to overcome such inadequacies, and so Institutional strengthening is believed to be crucial in ensure equitable access to and control over forest re- enhancing the FUGs’ ability to better incorporate the sources for all users. In so doing, they will strengthen poor, women and other deprived forest users, and to their capacity to manage conflicts and promote commu- streamline access to and use of resources so as to im- nity development activities. In many cases, gender prove their service. equity remains a particular problem : a rough estimate Now that the number of FUGs is increasing, more and has indicated that the involvement of women in partici- more households are being involved in community patory forestry may be as low as ,, per cent in Nepal. forest work and more and more individuals are organiz- There are additional reports which suggest exclusion ing themselves into user groups. Presently, there are and deliberate failure to imbue all users with uniform about +,,*** FUGs. About +.- million households are rights to forest access and use, may also be occurring. involved in community forestry programmes, which ac- Such exclusion can lead to conflict and resource abuse, counts for -/ per cent of rural and ,3 per cent of all and may increase the likelihood of encroachment into households in Nepal (HMG ,**+). The FUGs are non-FUG forests nearby. organized into a Federation of Community Forestry in Problems and conflicts within and among participato- Nepal (FECOFUN) at the district and national level. ry groups remain because of heterogeneous socio- FUGs have developed their own constitutions and some economic strata and a diversity of needs and problems FUGs are now capable of exchanging their views with respect to accessing forest products. Issues such a through the network whilst making decisions on certain forest boundary conflicts between villages and user issues. In some cases, FUGs are acting as pressure groups, short supply of forest products and disparity in groups in villages and districts, either directly or benefit sharing among participatory groups are also pre- through the federation, for the development endeavors valent in many community forests. of the community forest and welfare of the local people, The financial capacity of a FUG is based on its ability especially the users. to manage, generate, mobilize and utilize funds for social and community development endeavors. Moreover, the 1. . Comments and discussion proficiency of the FUG to do so reflects the leadership Dedicated contribution on the part of the FUGs is key and management skill of the groups. This incorporates to the success of the community forest. FUGs have adequate and transparent record-keeping, timely audit- contributed a lot in terms of labour, skills, money, time ing and dissemination of audit reports to stakeholders. 140 Policy Trend Report ,**,

The fund-generating capacity of participatory groups in and financial capacity, the management and leadership the Terai has been better than the capacity of groups in prowess of FUGs in general require additional momen- Hill districts, mainly because the Terai community fore- tum in order to meet the policy goals of sustainable sts are of higher commercial value, thus creating more community forestry in Nepal. market opportunities and potential for development of the forest-based industries than in the Hills. However, in 2 Conclusion general the financial capacity of all participating groups The forests of Nepal have been badly a#ected by in both regions is far behind what had been expected inappropriate planning and the instability of govern- initially. ment policies in the past. Present forest policy in Nepal User groups are also inadequately developed to make is framed within the context of decentralization and a use of available technical capacity in terms of ability to drive towards development of participatory forest man- prepare and update forest inventories ; identify, pro- agement. In this process, the passage of the Forest Act, mote and introduce non-timber forest products for quick +33-, Forest Regulation, +33/ and the Master Plan for the income generation ; perform necessary plantation and Forestry Sector, +323 have been instrumental in provid- silviculture operations ; and prepare and review opera- ing legislative support for the improved management of tions plans periodically. However, except in a few cases, forests in Nepal. They have also provided the legal most community groups lack technical capacity alto- framework in which the CFUGs have been empowered gether. This is because of a lack of fundamental knowl- to oversee the organization and registration of FUGs for edge and an absence of adequate support from the gov- local forest management. Present forest policy aspires to ernment and other service providers to mobilize and the reduction of poverty whilst addressing the multiple educate them in such technical aspects. Overall, this issues of development of the forest-based industries, bio- absence of technical knowledge, group dynamic and diversity conservation, soil conservation, watershed constitution, as well as a lack of ability and skill to management and ecological restoration. identify, plan, prioritize and implement development ac- These policies have strengthened the roles and tivities, combined with ignorance of community forest responsibilities of all sectors involved in forest manage- policy, rules and regulations, together conspire to ment. The Forest Act and its associate Regulation have significantly allay the sustainability of FUGs in Nepal. set the stage for the facilitation of a multiple use- Based on such experiences, it is therefore reasonable to oriented approach to forestry in Nepal. conclude that, in terms of institutional, social, technical Mohan WAGLEY and Hemant OJHA 141

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