Management of Pilot Watershed Areas in Cambodia

Working Paper 12a

Baseline Survey

Part I: Framework for Land and Forest Resources Management in Cambodia Part II: Baseline Survey Siem Reap Pilot Area

Consultancy Report prepared by

Kalyan Hou, Ken Serey Rotha, Luyna Ung, Socheat Mao

compiled by

Werner Schindele

Vientiane, December 2004

MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Project (WSMP)

The opinions and interpretations expressed in this report are those of the authors, and do not necessarily reflect the views of the Mekong River Commission and/or GTZ and/or the Watershed Management Project. The version presented is the unedited original as submitted by the authors, which has not been screened for factual or other errors.

Table of Contents Key Data and Environmental Indicators for Cambodia Preface Part I: Framework for Land and Forest Resources Management 1 1 Background Information 1 1.1 Compilation of Relevant Studies and Documents 1 1.1.1 Sector Specific Documents 1 1.1.2 Policy Documents 1 1.2 List of Relevant Projects, Programs and Activities 3 2 General Description of the Forest Sector 4 3 Legal and Institutional Framework 5 3.1 Legal Framework 5 3.2 Institutions and Organizations 6 3.2.1 Forest Resources Management 6 3.2.2 Protected Area Management 7 3.2.3 Land Management 7 3.2.4 Institutional Cooperation and Coordination 7 3.2.5 Non-Governmental Organizations 7 4 Land Management 8 4.1 Land Classification 8 4.1.1 Private Property 8 4.1.2 State Public Property 8 4.1.3 State Private Property 8 4.2 Economic Concessions 8 4.3 Social Concessions 9 4.4 State Land Inventory and Land Allocation 10 4.5 Participatory Land Use Planning 11 4.5.1 Institutions Involved 11 4.5.2 Objectives 11 5 Forest Classification 12 6 Management of Production and Conversion Forest 13 6.1 Forest Concessions 13 6.2 Forest Estate Management 15 6.3 Community Forestry 16 6.4 Plantation Forestry 16 7 Wood Processing Industry and Timber Market 17 7.1 Timber Production 18 7.1.1 Legal Production 18 7.1.2 Illegal Logging 18 7.2 Royalties, Fees and Taxes 18 7.3 Government Revenue 19 7.4 Wood Processing Industry 19 7.5 Timber Market 20 7.5.1 Regional 20 7.5.2 National and Local 20 8 Protected Area Management 21 9 Non Timber Forest Products 21

List of Annexes Annex 1: Literature Annex 2: Organizational Set-up of the Forest Administration

List of Tables Table 1: Institution involved in PLUP Table 2: Forest concession companies holding valid agreement Table 3: Plantation areas Table 4: Species established as small scale plantations Table 5: Timber production and processing (m3) from 1996 to 2003 Table 6: Royalties and fees Table 7: Revenues from forestry sector from 1996 to 2003 Table 8: Forest industries licensed by MAFF Table 9: Export within the region (m3 x1000) Table 10: Exports of forestry products (m3 x1000)

Acronyms and Abbreviations ADB Asian Development Bank ADESS Agriculture Development Support to Seila CBNRM Community Based Natural Resource Management Learning Institute CF Community Forestry CFRP Community Forestry Research Project CLI Community-led Livelihood CTIA Cambodian Timber Industry Association DFID Department for International Development (UK) DFW Department of Forestry and Wildlife (now FA) DoA Department of Agriculture FA Forest Administration FAO Food and Agricultural Organization GDP Gross Domestic Product GTZ Gesellschaft fuer Technische Zusammenarbeit German Technical Cooperation GMS Greater Mekong Subregion ha Hectare IDRC International Development Research Center IFAD The International Fund for Agricultural Development IUCN International Union for the Conservation of Nature IWM Integrated Watershed Management JICA Japanese International Co-operation Agency LAMDP Land Administration, Management, and Distribution Program MAFF Ministry of Agriculture, Forestry and Fishery MIME Ministry of Industry, Mines and Energy MLMUPC Ministry of Land Management, Urban Planning and Construction MRC Mekong River Commission NEAP National Environmental Action Plan NRPS National Poverty Reduction Strategy NTFP Non Timber Forest Product NWFP Non Wood Forest Products NCFP National Community Forestry Programme NGO Non Government Organization PA Protected Area PLUP Participatory Land Use Planning PFE Permanent Forest Estate PRF Permanent Reserved Forest PRDC Provincial Rural Development Committee SRPA Siem Reap Pilot Area RGC Royal Government of Cambodia UNV United Nation Volunteer WFP World Food Program WSMC Watershed Management Component

Box: Key Data for Cambodia Geography Country Economic and Social Indicators Income and Growth: Total Area: 181,035 sq km 1. Gross Domestic Product (GDP Per capita), 2001 Inland Water body: 469,138ha (1997) (US$): 259 2. GDP Growth (%, in constant prices) 6.3 Land Area: 17,683,847 ha (1997) Agriculture: 3.9 Industry: 15.5 Climate: tropical monsoon; rainy season (May to Services: 2.9 November); dry season (December to April GDP annual growth rate, 1999-2000 (%): 5.0 Natural hazards: floods, droughts Share of GDP by sector: agriculture: 37.6 percent Environment- current issues: unexploded ordnance; industry. 23.5 percent deforestation; soil erosion; services: 35.0 percent Saving and Investment (Current and Market Prices) Environment - international agreements: 1. Gross Domestic Investment/GDP: 17.9 (2001) member to: Biodiversity, Climate Change, Ramsar, 2. Gross National Saving (% of GDP): 9.6 Kyoto Protocol, Desertification Endangered Species, Currency: Riel Environmental Modification, Law of the Sea, Ozone Exchange rates: Riel per US dollar -4035 (2004) layer Protection signed, but not ratified Inflation rate 2004: 12% Agricultural production growth rate: Service sector growth rate: Agriculture-products: rice, bean, sweet potatoes, coffee, potatoes, cashew nut, tobacco,

Population Indicators: 1- Total Population (million): 13.1 (2001) 2- Annual population growth rate (%): 2.5 (2001) Social indicators: 1- Total fertility rate (births/woman): 5.3 (2000) 2- Maternal Mortality rate (per 100,000 live births): 437 (2000) 3- Infant Mortality Rate (Below 1 year/1,000 live births): 95 (2000) 4- Life expectancy at birth (year): 56.4 (1999) (Male: 54, female: 58.6) 5- Adult Literacy (%):68.2% (1999) 6- Primary School Gross Enrolment rate (%): 90 (2000) Female: 84.0 (2000) 7- Secondary School Gross Enrollment rate (%): 23.0 (1999-2000) Female: 7.0 m(1999-2000) 8- Child Malnutrition (% below age 5): 52 (2000) 9- Population below poverty line (National, %): 36.0 10- Population with access to safe water (%): 30 (1999) 11- Population with access to sanitation (%): 18 (1999) 12- Public Education Expenditure: (% of GDP): 1.3 (1999) 13- Human Development Index: 0.541 (2001) 14- Rank in the Human Development Index: 121 out of 174 (2001) 15- Gender-Related Development Index: 0.534 (2001) Rank: 109 (2001) Poverty Indicators: 1- Poverty Incidence: 36.1 (1997) 2- Percent of Poor to Total Population Phnom Penh: 11.1 (1997) Other Urban: 29.9 (1997) Rural: 40.1 (1997) 3- Poverty Gap: 8.7 (1997) 4- Poverty Severity Index: 3.1 (1997) 5- Human Poverty Index: 45.0 (2001) 6- Human Poverty Index Rank: 78 (2001)

Annual Population growth rate: 2.5 percent (2001) National capital: Phnom Penh Administrative divisions: 24 provinces

Indicator Value (Latest Year) A. Energy Efficiency of Emission 1. Traditional Fuel Use (% of total energy use) 89.3 (1997) 2. Carbon Dioxide Emissions (total metric tons) Tons 0.7 (1998) Tons per capita 0.1 (1998) B. Water Pollution: Water and Sanitation N/A

C. Land Use and Deforestation 1. Forest Area (‘000 km2): 5.8 (1999)

2. Average annual deforestation Square Killometers (km2) 560 (1999-2000) % change: 0.6 (1999-2000) 2 3. Rural Population Density (people/km of arable land) 4. Arable land (% of total land) 268 (1999) 5. Permanent Cropland (% of total land) 21 (1999) 0.6 (1999) D. Biodiversity and Protected Areas 1. National Protected Areas Thousand square kilometers 32.7 (2000) % of total land 18.1 (2000) 2. Mamals (number of threatened species) 21 (2000) 3. Birds (number of threatened species) 19 (2000) 4. Higher plants (number of threatened species) 0 5. Reptiles (number of threatened species) 9 (2000) 6. Amphibians (number of threatened species) 0 (2000) E. Urban Areas 1. Urban population (millions) Million 1.9 (2000) % of total population 16 (2000) Source: National Population Policy, 2003 and Forestry Statistics, 2002

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Preface In order to identify the most critical areas in Cambodia in terms of watershed quality, the Watershed Management Component (WSMC) of Mekong River Commission (GTZ-MRC) has classified the watersheds according to risk of impairment into 5 classes as shown in the table below. Table: Classification of watersheds according to risk of impairment Risk of Risk Factor Factor 1 Factor 2 Factor 3 Impairement Equal weigth of Conversion from Establishment of Lowland area per Factor 1, factor 2, forest to non new agricultural capita factor 3 forest land (WS class 4-5) (%) (% per year) (ha) (% per year) high 1-9 > 0.5 > 1.0 < 0.4 10 – 29 0.3 – 0.5 0.75 – 1.00 0.4 – 0.8 30 – 49 0.2 – 0.3 0.50 – 0.75 0.8 – 2.0 30 – 69 0.1 – 0.2 0.25 – 0.50 2.0 – 8.0 low 70 - 70 < 0.1 < 0.25 > 8.0

Figure 1: Watershed risk classification

Siem Reap

Prek Thnot

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In April 2004, the National Working Group on Watershed Management of the Mekong River Commission (MSC) identified Siem Reap watershed as pilot area for watershed management and for the implementation of interventions related to the forestry sector. As an alternative area, in case Siem Reap watershed does not qualify for forest related interventions, the watershed of Prek Thnot was identified. For Siem Reap Pilot Area (SPRA) a baseline survey was implemented in September- November 2004 with the objective: • to collect information on the current situation within the pilot area in particular on socio-economy, land use, and land and natural resources management; • to provide baseline data for impact monitoring (social, impact on water, etc.) ; • to provide information required for the identification of potential interventions with specific reference to the forestry sector.

The survey was conducted by four local subject matter specialists. An international expert, who was also responsible for compilation of the baseline study, assisted them. The implementation of the study was coordinated and organized by the country coordinator of the WSMC/MRC. The following persons were involved: Kalyan Hou, Socio-Economist Ken Serey Rotha, Land and Natural Resources Management Luyan Ung, Forest Economist Socheat Mao, Mapping and GIS Specialist Min Bunnara, country coordinator of WSMC/MRC Werner Schindele, international expert

As the baseline survey came to the conclusion, that the SRPA is a suitable area for watershed management intervention, for Prek Thnot alternative area, only satellite image interpretation was conducted to get information on the current forest condition and change in forest cover. In addition, secondary data from commune statistics were collected.

The baseline study comprises of three parts: Part I: Framework for Land and Forest Resources Management in Cambodia. Part II: Baseline Survey for Siem Reap Pilot Area Part III: Statistics and Maps for Prek Thnot Alternative Pilot Area

Part I: Framework for Land and Forest Resources Management

1 Background Information The boxes at the beginning of this report provide an overview of the socio-economic key data for Cambodia, which may serve as reference for the valuation of the socio- economic condition within the pilot areas. Objective of this first part is to provide a brief overview on land and forest management in Cambodia and to provide background information required to understand Part II: Baseline Survey for Siem Reap Pilot Area. As such this Part I concentrate on issues, which are of relevance for the SRPA. Reference to relevant documents is made in case more in-depth information is needed.

1.1 Compilation of Relevant Studies and Documents

1.1.1 Sector Specific Documents Each consultant has prepared a report, which contains detailed information for the relevant sector in general and for the pilot areas in particular. Beside these reports, the following documents provide good background information. Independent Forest Sector Review. Ministry of Agriculture, Fishery and Forestry (2003) This is the most important document. It provides a comprehensive and up-to-date overview on all relevant aspects of forestry. It also includes socio-economic aspects and refers to the relevance of forestry to watershed management. Some of the information given in Part I is directly derived from this document. Watershed Management in the Lower Mekong Basin. MRC-GTZ (2002) Provides an overview on watershed management for each country in the Lower Mekong Basin. Country Status Report on Watershed Management in Cambodia. MRC-GTZ (2004) Briefly describes the country’s policy in relation to watershed management and analyses the institutional framework. It contains a short description of recent approaches, programs and projects implemented in relation to watershed management. OBERNDORF, R.: Comparative Analysis of Policy and Legislation related to Watershed Management in Cambodia, Lao PDR and Vietnam. MRC-GTZ (2004) Contains a description of the country’s policy in relation to watershed management and an in-depth analysis of all relevant laws and regulations. There are a number of other reports which mainly refer to the concession system and crime monitoring, namely Worldbank (1996, 1998), ADB (2000), Global Witness (1995-2004).

1.1.2 Policy Documents Royal Government of Cambodia's National Forestry Policy This document is not so much a policy document as it is a government statement, which states a commitment to broad management principles. A comprehensive forestry policy for Cambodia still needs to be developed.

Royal Government of Cambodia's Second Five Year Development Plan 2001-2005 This document charts the course for the governments focus on a broad variety of development issues with a concentration on actions to be taken to stimulate economic growth and private sector development. Because of the natural link between this policy and the recently adopted National Poverty Reduction Strategy, the two will be combined in 2006. The development plan recognizes as development goal the sustainable use of natural resources. There is recognition that deforestation has led to "increased soil erosion, accelerating river silt and changes to Mekong River, Tonle Sap River and Tonle Sap Great lake, which has resulted in ....extensive flooding," National Poverty Reduction Strategy 2003-2005 The National Poverty Reduction Strategy (NPRS), drawn up through a multi- stakeholder consultative-process under the auspices of the Council of Social Development (inter-ministerial body, chaired by the Ministry of Planning), analyses the various dimensions of poverty and defines remedial actions in respect thereof. It refers to environmental and forest-related issues in various ways (e.g. the need to introduce Community Forestry as a means for creating opportunities for the rural poor, the need to strengthen environmental law enforcement, protection and sustainable management of highland ecosystems and natural resources – specifically tropical forests – as a means for enhancing watershed security and – consequently – agricultural productivity, etc.). The NPRS further refers to – and builds upon – strategic sectoral planning, such as the National Environmental Action Plan. National Environmental Action Plan 1998-2002 The National Environmental Action Plan (NEAP) was promulgated under the auspices of the Ministry of Environment, MoE). Noteworthy features of Cambodia’s approach to environmental protection and rehabilitation are, inter alia o Recognition of the functional relationship between poverty alleviation and environmental protection o Recognition of the importance of community based approaches o Recognition of the urgent need for institutional capacity building o Recognition of the need for integrated environmental planning, including inter-agency coordination and donor-coordination.

The NEAP defines six priority areas of action: forest policy, fisheries and floodplain agriculture in the Tonle Sap region, coastal fisheries management, biodiversity and protected areas, energy development and the environment, urban waste management. In line with the acknowledgement that sustainable natural resources management by no means contradicts to, but in fact promotes environmental protection, the second chapter of the NEAP has been devoted to a discussion and re-formulation of Cambodia’s forest policy. Unlike other related strategies, the said forest policy statement largely reflects findings of a donor-supported (WB, UNDP, FAO) study (1996), and has been prepared mainly through negotiations between top-level government officials and representatives of the donor community. Despite this “procedural weakness”, the forest policy chapter analyses major challenges for forest sector development in Cambodia, and defines a phased, logical framework for forest policy reform - with clearly identified objectives and recommended actions in respect thereof.

Royal Government of Cambodia’s National Water Resources Policy 2004 In January 2004, the Royal Government of Cambodia (RGC) adopted the country’s first National Water Resources Policy. This document recognizes the importance of water resources within Cambodia, and calls for the sustainable development, use and conservation of these resources throughout the country.

1.2 List of Relevant Projects, Programs and Activities Cambodia Natural Resource and Environment Programme Commune and Community Based Natural Resource and Environment Management Component, 2004 - 2007, DANIDA. The project is implemented by SEILA Task Force and the Ministry of Land Management, Urban Planning and Construction. The project has a total budget of USD 5.7 million. Biodiversity and Protected Area Management Project The Biodiversity and Protected Areas Management Project aims to help the Government of Cambodia achieve sustainable management of its system of national protected areas. Community Forestry Research Project (CFRP) The CFRP jointly supported by International Development Research Center (IDRC) of Canada and the Regional Community Forestry Training Center in Phase 1 (1999- 2002). CFRP is now implementing its Phase 2, which is financed by IDRC. CFRP is jointly implemented by the Department of Nature Conservation and Protection, Ministry of Environment, Forestry Administration, Ministry of Agriculture, Forestry and Fisheries, and the Royal University of Agriculture. The major project steps of CFRP are: 1) site characterization, 2) Design community forestry interventions, 3) Implementing community forestry intervention, 4) Policy and advocacy, and 5) Participatory monitoring and evaluation. National Community Forestry Program, Concern Worldwide in Cambodia The “National Community Forestry Programme (NCFP)” project is an activity of the International NGO “Concern Worldwide”; working with communities and with the Government in Cambodia, with the objective to develop sustainable, community- based forest manage-ment. Concern had been active in the community forestry sector in Cambodia since the mid 1990s, and had just launched the NCFP in April 1999 when it approached Danida for possible support. At the time, there was much international pressure and encouragement on the Cambodian Government to realize more sustainable approaches to manage their natural resources - particularly forest land, and the MAFF and MOE had both strongly requested Concern's guidance in supporting the process. Land Management and Administration Project (LMAP) The overall goals of the World Bank LMAP project are to reduce poverty, promote social stability, and stimulate economic development. The specific objectives of the project are to improve land tenure security and promote the development of efficient land markets. These objectives will be achieved through: (a) development of national policies, the regulatory framework, and institutions for land administration; (b) issuance and registration of titles in urban and rural areas; and (c) establishment of an efficient and transparent land administration system. The proposed project is the first phase of the government's Land Administration, Management, and Distribution Program (LAMDP), which is expected to be implemented over 15 years. The objectives of the LAMDP program as stated in the Land Policy Statement of the Royal Government of Cambodia (May 2001) are to: (a) strengthen land tenure security and land markets, and prevent or resolve land disputes; (b) manage land

and natural resources in an equitable, sustainable and efficient manner; and (c) promote land distribution with equity. FINNMAP and GTZ are also involved in providing technical assistance to the LMAP project. The Participatory land Use Planning (PLUP) approach is being undertaken under GTZ by way of pilot projects in various communes. FINNMAP has developed a methodology for systematic parcel by parcel land registration and concepts for digital cadastral mapping in co-operation with the General Department of Cadastre and Geography of MLMUPC. The Asian Development Bank is financing the review and drafting the sub-decrees and other legal instruments needed to implement the new land law Natural Resources and Land Management (Kampot province) GTZ has supported a variety of projects in Kampot province over the past eight years. In 2003 GTZ will commence implementation of initiatives related to NRM and PLUP in Kampot. The objective of the GTZ project will be to enable the commune population and their institutions to manage their natural resources, use them in a sustainable manner and have increased legally assured access to land. The overall approach is proposed to be a combination of “Participatory Land Use Planning – PLUP” and Community-based NRM activities including land and resources use at commune level, such as aspects of land tenure, land management and preparatory steps to land allocation. By supporting PLUP in the target communes, the GTZ activity will contribute to the state land inventory process, the identification of social concession areas and the definition of responsibilities for land management among the villagers and their organizations. Community Based Natural Resource Management Learning Institute (CBNRM) The overall goal of the Learning Institute is to analyze and improve CBNRM as an integral component of the poverty alleviation, sustainable livelihoods and resource management, conservation, and decentralization policies and strategies of the Royal Government of Cambodia. CBNRM Learning Initiative Program focuses on: Community Forestry, Co-Management of Fisheries, Participatory Land Use Planning, Community-based Protected Area Management and Participatory Water Resources Management.

2 General Description of the Forest Sector For detailed information on ecology, forest cover and change refer to chapter 1 of the Independent Forest Sector Review (2004). Cambodia’s forested land covers approximately 10.6 million hectares, or about 58 percent of the country’s total land mass (MCKENNEY, 2002, HENDERSON, 1999). An analysis of Cambodia's forest cover (MCKENNEY, 2002), came to the conclusion that: • Most of Cambodia's forests are not commercially attractive • Deforestation rates appear to have increased beginning in the mid 1990s • Most flooded forest areas have been cut or converted for agricultural use • Updated information on forest resources is important and required The Forestry Law in 2002 clarifies jurisdiction over forests. The Forestry Administration (FA), Ministry of Agriculture, Forestry and Fisheries (MAFF) has jurisdiction over Cambodia's forests outside the Protected Areas. 7.8 million hectares of forest have been allocated to concessions, of which 0.8 ha are agricultural concessions. There are 23 Protected Areas of approximately 3.3 million hectares managed by the Ministry of Environment. The Department of Fisheries, MAFF is responsible for flooded forests and costal mangrove forest areas (0.45 million hectares).

Forests with other sectors such as agriculture, tourism and industry (garments) in the Kingdom of Cambodia play an important role in contributing to Cambodia gross domestic product (GDP). It is noted that forests are one of main sources of revenue, if the renewable resources are managed properly. The share of forestry to GDP steadily declined from 6.4% in 1997 to 2.2% in 2002. (See Report for Economic Analysis of the Forestry Sector and MCKENNY, 2002). For most Cambodians, forests are an important source of livelihood, with deforestation posing an immediate threat to their survival. The country is poor and nearly 85 percent of the population (approximately 10 million in 1995) live in rural areas where natural resources are an important source for food, fuel, fodder, medicines, building materials, etc. Cambodia’s forests are disappearing in an alarming rate, estimated around 180,000 hectares annually (HENDERSON, 1999). Rapid population growth (2.8 percent per year), combined with aggressive and unsustainable logging has put mounting pressures on the dwindling resources. In addition, changes made to the forest ecosystem by land conversion, are causing a decline in biodiversity. Deforestation is a consequence of: - high domestic and regional demand for wood and forest products, as a result of log bans in Thailand as well as Vietnam; - unsustainable management of forest resources due to concession system introduced by the government in 1993-4. Concessions are just set up for short term benefit to concession holders, not for sustainable development (“cut and run” business); - harvesting of forest resources for support of political agenda of different political factions during the civil war 1979-1992; - forest clearance because of security policy of the State of Cambodia government (1979-1992); - land conversion as a result of resettlement and repatriation program (1992- 1993); - conversion of forests into agricultural concessions; - conversion for shifting cultivation. However, the underlying causes are related to poverty, short term economic benefits of harvesting, and institutional weakness. If this trend continues and laws continue not to be enforced effectively, then there will be a serious adverse social, economic and environmental impact. Especially the poor communities, who are directly dependent on forest resources, will suffer most. At a recent Consultative Group meeting between donors and government held on 6-7 December 2004, the government committed to work towards good governance to improve the enforcement of the law, particularly in the area of Natural Resources and fight against corruption.

3 Legal and Institutional Framework

3.1 Legal Framework A detailed analysis of the legal framework of the forestry sector and for watershed management is given in OBERNDORF (2004). This document also contains excerpts from the laws and regulations which are of relevance for land, forest and watershed management. Land, forest and watershed management is regulated by the following basic laws (partly from OBERNDORF (2004):

Law on Environmental Protection and Natural Resources Management (1996) This legislation sets up a broad mechanism for environmental and natural resources planning, protection and monitoring in Cambodia. The Law allows the Ministry of Environment (MOE) to create national and regional environmental plans, which could presumably include watershed management issues. However, there are no direct references to the concept of watershed management within the Law. Law on the Administration and Management of the Commune (2001) This legislation provides executive and legislative authority to semi-autonomous democratically elected commune councils at the local level of government in Cambodia. The Law states that commune councils have the authority to protect the environment and natural resources within their commune boundaries. In addition, the Law says that commune councils must create commune development plans that could include watershed management issues, though there are no direct references to water resources or watershed management within the Law. Land Law (2001) The Land Law determines the regime of ownership for immovable properties in the Kingdom of Cambodia. Forestland belongs to the immovable properties. The Land Law distinguishes three property classes: State Public Property, State Private Property and Private Property. Any property that has original origin, such as forests belongs to the Public Property of the State. Forestry Law (2002) This law establishes the regime for management of country’s forest resources. This piece of legislation, authority over specific forested areas is outlined, with the Forestry Administration under MAFF having primary authority over State Public Forest Lands except Protected Areas under the jurisdiction of MOE and flooded forests that come under the jurisdiction of the Fisheries Administration. The Law creates a mechanism by which forest areas can be classified specifically as Watershed Protection Forest, thereby reinforcing the provisions contained in the Royal Decree on Watershed Management. Management plans for areas designated, as Watershed Protection Forests must be prepared by the Forest Administration. Royal Decree on Watershed Management (1999) It is brief legal paper that spells out a general basis and directive for watershed management as it relates to forested areas of the country. It provides management authority over forested areas within watersheds to the Ministry of Agriculture, Forestry and Fisheries (MAFF) in cooperation with other Ministries, International Organizations and Civil Society. The regulatory framework is briefly described in the relevant subchapters.

3.2 Institutions and Organizations

3.2.1 Forest Resources Management The management of natural resources, i.e. forest, water and agriculture is under the responsibility of the Ministry of Agriculture, Forestry and Fishery (MAFF). The line administration in charge of the forest sector is the Forest Administration (former known as Department of Forestry and Wildlife). The Forestry Administration (FA) has horizontal structure according to functions. Directly under the leadership of the Forestry Administration are four Forest Inspections, which are subdivided into Forest Cantonments and Forest Divisions. The organizational structure of the FA is attached in Annex 1. The Department of Fisheries/MAFF is responsible for the management of flooded forests and mangrove forests.

The Ministry of Industry, Mines and Energy (MIME) is relevant for forest sector develop-ment, insofar, as it is concerned with the production and consumption of biomass as a source of energy (predominantly firewood and charcoal).

3.2.2 Protected Area Management The Ministry of Environment (MoE) is responsible for the management of Protected Areas. It was created relatively recently, in 1994. It maintains several departments, of which the Department of Nature Protection and Conservation (DNPC) is ultimately responsible for 23 Protected Areas (3.3 million hectares) management under the Royal Decree on Creation and Designation of Protected Areas System in Cambodia. MoE has general jurisdiction over environmental and natural resources protection issues within Cambodia, such as pollution control, environmental education, management planning and reviewing environmental impact assessments for development projects.

3.2.3 Land Management In 2000, the RGC has formed a Council for Land Policy as a national body to oversee and supervise inter-agency land issues. This has been necessary, as there are many authorities of different administrative levels involved when it comes to land and land allocation issues. The Council of Land Policy comprises, among others, of 15 Ministries, the Council of Ministers and Commune Councils. The Ministry of Land Management, Urban Planning and Construction (MLMUPC) is responsible for land management within the country, and is responsible for the delineation and demarcation of State Public Land The National Cadastral Commission has the mandate to resolve conflicts concerning State land. The Provincial Rural Development Committees, the Provincial Land Use and Allocation Committees and the Commune Councils and Village Development Councils are administrative bodies, which have been established on provincial level to deal with land ownership and land use issues. These institutions and organizations need to be involved when it comes to the identification and demarcation of the permanent forest estate.

3.2.4 Institutional Cooperation and Coordination It must be observed that – due to an obvious lack of policy -, and administrative coordination – the interests and agendas pursued by various public stakeholders (including the military) in respect of the environment and natural resources lack coherence, and frequently are at odds with each other. Examples are uncontrolled encroachment and exploitation of valuable natural resources (including protected areas) that are either committed or condoned by units of the armed forces, and unresolved disputes between MoE and MAFF, FA, MLMUPC about nature, scope and legal basis of community based management within and/or protected areas. Problems of this kind are compounded by the noticeable lack of comprehensive, cross-sectoral strategic planning tools and procedures.

3.2.5 Non-Governmental Organizations With national consolidation and recovery after 1993, a diverse non-governmental organization community either returned to (international NGO) or developed in Cambodia (local NGO). NGO and community based organization play important roles in (rural) development, and they are crucial in bridging the management-capacity gap in the public sector. Local NGO – like most institutions in Cambodia – still face serious problems and shortages in respect of qualified personnel, material supplies and funding. A wide

variety of international NGO are active in Cambodia, many of which play important roles as project-implementers. Their diverse spectrum of operations reflects the complexity of challenges, Cambodia faces. While their financial strength varies considerably, international NGO generally have higher management capacity and better developed networks than Cambodian institutions. Even though many international NGO cooperate regularly with national NGO, and maintain close ties with Cambodian institutions (governmental and research), their “structural advantage” enables them to lead a relatively “independent” and detached existence vis-à-vis the Cambodian institutional landscape.

4 Land Management

4.1 Land Classification The Land Law distinguishes three property classes: State Public Property, State Private Property and Private Property.

4.1.1 Private Property Private property land includes all residential land, gardens, rice fields, farming land, which have been traditionally "owned". Private land is obtained by traditional land tenure when land is occupied for more than 5 years.

4.1.2 State Public Property State Public Property is all land, which has natural origin, such as forests, water courses, natural reserves, areas of public interest, etc. which requires particular protection. State Public Property cannot be leased, sold, transferred to other legal entities. According to the Land Law, State Public Property, however, may be reclassified as State Private Property if the property looses its public interest. This type of reclassification cannot occur until a law has been passed on transferring of State Public Property to State Private Property

4.1.3 State Private Property By definition, State Private Property is all other land, which is not privately owned and not State Public Property. In practical terms this usually covers the largest part of a village or a commune area. Secondary or degraded forests, the majority of ponds or lakes, even the upland farms and plantations are State private land as long as there are no legal titles allocated. Within State Private Property the government can grant economic or social concessions.

4.2 Economic Concessions The arrangements for commercial concessions were introduced in the late 1990s and allow a private company to secure a lease of up to 70 years for a maximum of 10,000 ha. The company can clear the land of any remaining forest and establish a commercial plantation crop. The Planning Department in MAFF are the secretariat for economic land concessions. Currently 724,000 ha which represents 9% of the total forest area are under land concessions, however only a proportion of the land has been cultivated, so far. Most land concession shave resulted in conflict between the commercial interest involved and local communities who claim traditional rights over the allocated land. For more on economic concessions, refer to the Independent Forest Sector Review, 2004.

4.3 Social Concessions The criteria, procedures and mechanisms for granting social land concessions have been defined by the “Sub-Decree on Social Land Concessions, March 2003”. The sub-decree states that social land concessions can be granted for residential use (housing) and/or for family farming. Family farming lands include agricultural land for cultivation or animal raising. All land suitable for social land concessions would have to be part of the State private land. Social land concessions may be provided for one or more of the following social purposes: 1. Provide land for residential purposes to poor homeless families; 2. Provide land to poor families for family farming; 3. Provide land to resettle families who have been displaced due to infrastructure development; 4. Provide land to families who have lost their land from the effect of natural disasters; 5. Provide land to repatriated families; 6. Provide land to demobilized soldiers and families of soldiers who were disabled or died in the line of duty; 7. Encourage economic development; 8. Provide land to workers of large plantations for residential purposes and/or family farming; 9. Develop areas that have not been appropriately developed;

Eligible applicants for social land concessions must:

1. be a Cambodian national with the legal capacity to own land; 2. be a head of a family, which consists of two or more individuals related by blood or marriage and residing in the same household; 3. be classified as poor according to criteria established by the Ministry of Social Affairs and Labour. These criteria take into consideration the income, the family size, the age and the health conditions of families. The criteria may change from region to region and over time; 4. not be the owner of other land areas equal in size or even exceeding the permitted social concession area of 3600 square meters for residential purposes (in rural areas) and 2 ha for farming activities; 5. be ready, willing and able to make appropriate use of the allocated social concession land.

Large families (with more than 6 members), women-headed households and families having lived for a long time in the area, are given priority over others in the allocation of social land concessions. The sub-decree further explains in detail the application process, the need for public display and the rules for filing letters of disapproval in case a family was rejected from the social concession program. In case land is allocated to a family under the social concession scheme, the recipient has to make use of any residential land allocated within 3 months and has to reside on the new plot for at least 6 months per year. Land for family farming has to be cultivated or brought under use within 12 months after formal allocation. After fully complying with the criteria of the social land concession program for five (5) years, the land recipient has the right of full ownership of the land and may request ownership titles with the DLMUPC. During the first 5 years, the land recipient may not sell, rent or donate social concession land. If the recipient fails to comply with the occupancy and land use conditions within the 5 years, the land shall revert to the state for reallocation.

The options for social concessions should primarily focus on those land areas already occupied by the local population e.g. within the degraded or secondary forest areas, such as upland farms and fruit tree plantations (chamkar). According to the land law, land occupation in such areas, which happened before August 2001 can be legalized during the land registration process, depending on how much land was claimed by the individual family. The identification of potential social land concession areas has to follow a State land inventory based on participatory land use planning (PLUP). Finally, based on the land use planning activities village by village, the Commune NRM Committee and the Commune Council are supported and advised in the drafting of the final commune social land concession plan by the PLUP team members. This social land concession plan is then submitted to the Provincial Land Use and Land Allocation Committee under the chairmanship of the Provincial Governor for approval. Once this committee has agreed to the plan, the National Social Land Concession Committee at the MLMUPC is informed and requested to provide final endorsement.

4.4 State Land Inventory and Land Allocation In September 2002, the Council of Ministers has approved the policy to create a State Land Inventory and a State Land Classification System. It is the objective of this inventory to identify and locate the different properties of the State in a systematic way. The State Land Inventory and Land Allocation is currently carried out by the MLMUPC with technical support of the Land Management and Administration Project (LMAP). The Royal Government of Cambodia has taken important decisions with regard to the inventory of State land and the allocation of social land concessions. In line with general Government policies, the process of identification, classification and inventory of State land as well as the elaboration of social concession plans will be carried out in a decentralized approach. This means that these activities need to start from the commune level under the guidance of the elected Commune Councils. Based on these decisions it is now crucial to integrate the inventory of state land and the identification of social concessions into the Participatory Land Use Planning approach (PLUP). The on-going PLUP and NRM activities in several provinces of Cambodia have already provided valuable contributions to the identification of administrative boundaries and the separation of state from private land. The present definition of a Policy on State Land Regularization, the approved Strategy of Land Policy Framework, the signing of the Sub-decree on Social Land Concessions as well as the country-wide creation of Provincial Land Use and Land Allocation Committees now open up possibilities to go one step further in the PLUP activities. Currently, MLMUPC with technical support of LMAP, conducts systematic land adjudication activities (state land inventory and land allocation) in 8 provinces and municipalities, but more of these are related to land use planning activities. On the other hand, it has been recently agreed by MLMUPC that during future expansions of land allocation activities, priority will be given to commune, which have already established their own land use plans.

4.5 Participatory Land Use Planning

4.5.1 Institutions Involved It is the policy of the government to base state land inventory and land allocation on the result of a participatory land use planning. PLUP implementation under the leadership of MLMUPC relies on close cooperation with the departments and offices in charge of natural resources, such as the newly re-organised Forestry Administration, the Ministry of Environment, the Offices of Fisheries under Department of Agriculture and Fisheries at the Provincial level. The institutions involved in PLUP and their responsibilities are shown in the table below.

Table 1: Institution involved in PLUP Institution Responsibility Ministry Land Management Urban Planning and Responsible for land use planning, land Construction (MLMUPC), adjudication (land allocation), land management National Council on Land Policy Overlooks all land policy issues Ministry of Agriculture, Fisheries and Forestry Responsible for agriculture development and all (MAFF) fishery activities in fishery domain Forestry Administrative Responsible for all forestry activities in the forest domain Ministry of Environment Responsible for all protected areas and sanctuaries, wildlife, environmental protection Ministry of Rural Development (MRD) Responsible for community development and rural infrastructure Ministry Interior (MoI) and the National Council to In charge of decentralization and supervising the Support Communes (NCSC) Commune Councils

The ministries mentioned above maintain subordinate structures at province and district levels. These departments and offices officially fall under the authority of the provincial Governor in the Province, but still maintain very strong vertical ties to their national headquarters. The local administrative structures at the commune level, the Commune Councils, are supposed to supervise the entire PLUP procedures and villagers and their leaders play a crucial role. The District Governor's Office usually is involved in the introduction of PLUP to new areas and in the final endorsement of the main outputs of the planning process. Other stakeholders in PLUP, such as private companies, the armed forces, concessionaries etc. are rarely available to participate in the procedures.

4.5.2 Objectives It is the main objective of PLUP to identify land ownership and to classify state land. There are different types of state land classification required: - Classification of land status for all land areas: state land inventory (state public land and state private land) and definition of management responsibilities among Government line department (e.g. Forestry Administration/Department of Forestry and Wildlife, Department of Environment, Protected Area Management Unit (for Protected Areas and Wildlife Sanctuaries), Department of Culture, Heritage and Tourism etc.) or communities and their organizations - In forest areas: land classification in terms of forest classes (e.g. production forest, protection forest, conversion forest, community forest, land for reforestation) - For water bodies (lakes, ponds, rivers, streams etc.) definition of management responsibilities between Government line departments (e.g. Department of

Environment for Protected Areas, Department of Water Resources Management or Department of Fishery) or communities and their organizations - And classification in terms of land allocation of state land (social concession, economic concession – existing or planned, other concessions or leasing arrangements)

5 Forest Classification According to Art. 7.3. of the Forestry Law, the MAFF assigns the duty “to assess the boundary, to classify and to demarcate the forestlands in order to develop a land use map on the permanent forest estate in coordination with the ministry of land&urban management, local authorities and communities” to the Forestry Administration. As it has been mentioned earlier, that forest classification shall be integrated into the PLUP process. This however, may only be applicable in areas close to villages and settlements. The classification of the major part of the forest will remain with the FA. The Law on Forestry defines the overall forest complex as the Permanent Forest Estate and distinguishes two major categories, The Permanent Reserved Forest (PRF) and the Private Forest. The PRF is further divided into three functional classes: (1) the Protection Forest (without the Protected Areas managed by MoE), the Production Forest and the Conversion Forest. The classification system is shown in Figure 2 below. Figure 2: Classification system based on The Law on Forestry (2003)

Overall Forest Complex

PFE Permanent

Forest Estate

Private Forest PRF Permanent Reserved Forest

Protection Production Conversion Forest Forest Forest (without PA)

Source: SCHINDELE, 2003

There are a few short-comings in the regulatory framework, when it comes to the identification and classification of forests in the field as discussed below:

1. Definition of “forest” The definition of “forest” is not very specific (… forest ecosystem... dominated by trees and mixed vegetation…). This leaves room for interpretation and discussion. Depending on the type of criteria applied the forest cover is changing. It makes it also very difficult to agree with other stakeholders on the boundary of the PFE. 2. Definition of “Permanent Forest Estate”

The PFE is defined as the “overall forest complex” in the Kingdom of Cambodia. As such its size depends on the forest condition/cover and not on a specific area identified as permanent forestland. The PFE shall refer to a specific area identified and which is registered as forestland which should be kept permanently under forest cover and where the transformation into other land–use is strictly prohibited (unless otherwise approved by the highest legal body). 3. Status of forest within Protected Areas The status of the forestlands inside Protected Areas (managed by MoE) is not clear. They belong to the “overall forest complex”, but they do not appear in the classification system. Do they belong to the Permanent Forest Estate (PFE)? 4. Conversion = permanent? To include, even temporarily, the conversion forest under the Permanent Reserved Forest (PRF) is a contradiction in itself (refer to 2.). It should become a separate class addressed as convertible forest. The convertible forest shall be identified based on the land suitability and capability and environmental and ecological considerations. 5. Definition of “conversion” The definition of conversion forest is not very specific (…idle forest land covered mainly by secondary vegetation that is not yet designated for any use…) and does neither take into account the land capability nor ecological or environmental aspects. 6. Status of Private Forests The Law on Forestry classifies private forest as one main category of the Permanent Forest Estate. However according to the Land Law, the owner of a private property may use it in any way as long as it is not otherwise prohibited by law. There is no specific article in the Law on Forestry, which prohibits the conversion of private forest. As such, they cannot be considered as permanent and should not belong to the Permanent Forest Estate. So far no forest boundaries have been fixed or physically demarcated in the field. This is one of the main problems concerning forest encroachment and degradation.

6 Management of Production and Conversion Forest For detailed information on forest management refer to chapter 4 and 6 of the Independent Forest Sector Review (2004). The consultants report on Forest Economy (UNG, 2004) provides an economic analysis of the forest sector, (ROTHA, 2004) describes some aspects of forest management. For natural production and conversion forests, there are currently two forest management systems in place: the forest concession system and community forest management. Forest estate management is a new model which is currently being „rolled out“ by the Forestry Administration.

6.1 Forest Concessions From 1994 to 1997, the government reintroduced forest concessions as the primary instrument of forest management. More than 30 concessions were granted covering an area of about 6.5 million ha - equal to more than one-third of the country and over half of Cambodia's forests. The new concession system was superimposed on the existing collection permit system creating an ambiguous legal context for commercial forest management1.

1 Ty, S., August 2002. Cambodia Forest Policy Review, Department of Forestry and Wildlife, Phnom Penh, Cambodia.

By reintroducing a forest concession system, the government sought to delegate responsibility for forest management to private sector companies and raise much needed revenue for national development. However, concessions were granted in private negotiations between high-level officials and concessionaires that resulted in ambiguous contracts strongly favorable to the concessionaire. According to legal analysts supported by the World Bank- funded Forest Policy Reform Project, 'concession contracts so strongly favor the concessionaire that it is questionable whether they can be considered commercially reasonable2'. The analysts found the contracts to be so ambiguous and rife with problems that a line-by-line critique would be of little use. Among 42 separate problems, they noted: • Concession contracts lack reference to benchmarks or standards for evaluation of compliance with sustained yield management. • Concession contracts do not specify royalty payment procedures, provide maximum revenue or other benefits to the government, or provide penalties for non-payment. • Concession contracts lack detailed descriptions of concession boundaries. The granting of concessions also took place without forest resource assessments or consideration of environmental and social impacts3. Concession boundaries were allocated on maps with apparently little consideration for the potential impacts on local people, cultural sites, important watersheds, and sensitive ecological areas, Attesting to the problems of concession boundaries, MAFF recently reported that 751,968 ha (or 17 percent) of current forest concession areas are under agricultural cultivation (MAFF, 2002). According to progress report on forest policy reform to the sixth consultative group meeting with donor Phnom Penh, (DFW, 2002), 14 logging companies presently hold contracts for 19 concessions covering about 3.874.029 ha in Cambodia (refer to Table 2). Altogether 15 concessions have been cancelled with a total area of about 3,001,470 ha. These contracts were cancelled based on violation of Article 10.4 of their Investment Agreements. In many cases, these areas have been excessively logged before they were cancelled. The situation right now in the cancelled concession area is critical, nobody has control over these areas and rampant illegal logging by various actors is ongoing, sometimes at a large scale. All timber companies currently operating in Cambodia are members of the Cambodian Timber Industry Association (CTIA), despite the presence of a trade association and many foreign-owned companies, the potential transfer of foreign technical expertise to the management of Cambodia's forests does not appear to have occurred. According to rankings by the Cambodian Forest Concession Review (2000) and separate analyses by Global Witness (1999a), it appears that only-two companies - GAT International and Samling International possess the technical capacity to practice professional forest management techniques, but both of these companies have been cited for illegal activities. The remaining companies are investors who subcontract the actual logging activities to third parties. According to reports from Global Witness (1995-2001), these subcontractors are often military

2 White and Case,. 1998. Analysis of Cambodia Law and Forest Concession Contracts, Phnom Penh: Forest Policy Reform Project, Submited to Royal Government of Cambodia, Ministry of Economic and Finance, Ministry of Agriculture Forestry and Fisheries. 3Fraser Thomas, GFA-AGRAR, and ANZDEC,.2000. Cambodia Forest Concessionaire Review Report with Appendix 1: Individual Assessment of Concessions, Phnom Penh: Sustainable Forest Management Project, Asian Development Bank.

units or powerful and well-connected business people that log indiscriminately inside and outside of concession areas, as well as in protected areas. Table 2: Forest concession companies holding valid agreement Company Location Area in Date of (Province) ha agreement COLEXIM Enterprice Kampong Thom 147,187 12-02-96 CASOTIM Co.,Ltd Kratie 131,380 1996 S.L International Ltd. Kratie, Kampong Cham & Mondulkiri 467,484 Kampong Speu & Koh Kong 298,598 11-08-94 Mieng Ly heng Investment Kampong Thom, Preah Vihear & 198,500 27-02-96 Kompong Cham Pheapimex Fuchan Cambodia Kratie, Kampong Thom 137,475 13-05-96 Stung Treng 221,250 Stung Treng, Ratanakiri King Wood Industry Pte., Ltd Kratie, Srung Treng & Monulkiri 301,200 12-09-95 16-01-98 Cambodia Cherndar Plywood Preah Vihear 103,300 03-02-96 Sam Rong Wood Industry Siem Reap 200,050 12-08-96 Everbright CIG Wood Co., Ltd Kratie, Stung Treng 136,376 08-08-96 Super Wood IPEP Ltd Pursat & kampong speu 94,419 18-04-96 Timas Resources Ltd Kampong Cham, Kratie & Prea 161,450 14-02-96 Vihear Silveroad Wood Products.,Ltd Koh Kong, Pursat 215,460 08-04-96 Koh Kong 100,000 Youry Saco Company Pursat, Battambang 214,000 02-03-98 TPP Cambodia Timber Product Siem Reap, Preah Vihear & Pursat 395,900 03-04-98 Total Area 3.874.029 Source: Progress report on forest policy reform to the sixth consultative group meeting Phnom Penh, (2002, DFW)

6.2 Forest Estate Management Forest Estate Management is a new model which is currently developed by the Forestry Administration in order to manage forest areas outside approved forest concessions. It is still in the development stage, but it is very likely that it will be introduced (Independent Forest Sector Review, 2004). The principle intent of forest estate management is to provide the FA with a much more direct control on field operations. This will be achieved by the FA writing the operational plans and being physically present when harvesting operations take place. Work will be carried out by sub-contractors as before. The success of this new system will depend on the ability of the FA to enforce their requirements on the sub- contractor and to monitor and control \its work performance. The system will be based on two key elements: 1. The preparation of cantonment plans prepared by the Forest Cantonments (similar to the concessionaires strategic forest managements plans) 2. Implementation of harvesting based on the Bidding Coup System. This system was used prior to the introduction of the concession system. New mechanisms for the selection, demarcation and management of the bidding coupe need to be developed. The bidding coupe, which would be auctioned out, would be c comparatively small and therefore it is expected would only attract the attention of small-subcontractors. The bidding coupe system seems to be a good option for the supply of the local wood demand and market.

6.3 Community Forestry Many NGOs and donors regard community forestry as an alternative to forest concession management. As such a lot of effort was and is invested into the development of community forest management systems. The first community forest was established in 1992 and covered about 500 ha of degraded forests at Prey Ler, Tramkok District, Takeo province. Since then a number of community forest management project were implemented, following quite different approaches and objectives. In 2003 a new sub-decree on community forest management was issued which provided the regulatory framework for community forestry in Cambodia. The Community Forestry Office of the FA (2002) has identified a range of projects in 57 districts covering a total area of 64,000 ha. Compared to the total forest area, or the area under concession this is very small. Community forests are normally located close to villages, in areas, which are degraded and least productive. For the local people, the main objective is to secure the access to Non Timber Forest Products. As community forest is commonly used, individuals are in general not interested in investing time or money. The regulation that community forests are granted for a period of 15 years and then must be renewed is also seen as constraint to long-term community based investment. So far, for many of the programs that are officially categorized as community management, the inputs are high and only exist because externally funded NGOs provide the management resources to drive the process. If the donor funding stopped so would the projects (Independent Forest Sector Review, 2004). To make community forestry a success in Cambodia, the regulatory and institutional framework condition need still to be improved. But even then, it will only be fraction of the total forest area, which can be managed by local communities.

6.4 Plantation Forestry Most of the information on plantation forestry is derived from chapter 4 Independent Forest Sector Review. So far, plantation forestry plays a marginal role in timber production in Cambodia. To date altogether only 11,100 ha of plantations were established, the first ones in 1985 (see table below) Table 3: Plantation areas Period Area planted (ha *1000) FA PFO Others Total 1985-1987 1.0 0.3 0.0 1.3 1988-1990 1.1 0.8 0.0 1.9 1991-1993 1.1 0.6 0.1 1.9 1994-1996 0.9 1.0 0.2 2.1 1997-1999 0.5 0.4 0.0 1.0 2000-2002 1.9 0.9 0.0 2.8 Total 6.6 4.1 0.3 11.1 Source: Independent Forest Sector Review, 2004

Both the FA and the Provincial Forestry Offices have played significant roles in the plantation establishment that has taken place to date. A variety of species, as shown in the table below, have been planted including both, exotic and indigenous species. It is certain others not mentioned have also been tested. Attempts have been made to establish plantation sof indigenous timber species (i.e. Dipterocarps) but with limited success.

The skills necessary to establish plantations already exist in the commercial sector in Cambodia, where there is a well established rubber industry based on large scale plantation of rubber wood (Hevea brasiliensis). These skills are less prevalent in the forestry sector and amongst communities living in and around forests. Table 4: Species established as small scale plantations Species Common Botanical name Origin Site requirements Potential end use name Pine Pinus merkusii Indigenous Sandstone, well General construction drained Acacia Acacia Exotic Tolerant of range of General construction, house macrophylla conditions poles and fishing poles Eucalyptus Eucalyptus Exotic Tolerant of range of General construction, house camaldulensis conditions, aggressive poles and fishing poles competitor for water Teak Tectona grandis Exotic Flat fertile soils but Export and furniture can promote erosion manufacture in high rainfall areas Aquilaria Aquilaria crassna Indigenous Unknown Oil production Source: Independent Forest Sector Review, 2004

Large scale plantations are problematic from the environmental, ecological and social point of view. They should not be established to replace natural forests. The biodiversity is poor, they are single structured and they – from the hydrological point of view – may be worse than dense secondary growth. Large scale plantations have frequently been planted on land that is claimed by local communities. In such circumstances plantations disenfranchise local rural communities in terms of their access to the natural forest and the support it provides. Interviews and discussions held with various local and foreign experts during this assignment, the study can be concluded that big scale plantation is not forest as the plantation will not be home of biodiversity. For smale scale plantations the situation is different, especially if they are planted in mixture of agricultural land and natural forests. They can be planted in rows along canals or fields, on small patches unsuitable for agriculture, etc. If properly managed, they can provide income to the farmers which can be mobilized whenever required. Their ecological and environmental value will not be as negative, as they may provide a niche habitat for some animal species. In neighboring countries, especially in northern Laos, good experience was made with small scale plantations which have there quite a long history. The only problem with farm based small-scale plantations is, that the establishment requires investment, and the returns come late. The costs for the establishment of i.e. teak plantation in the region, without labor cost, is about 350 USD per ha. Although such small scale plantations may be very interesting from the economic point of view, local people do simply have not the funds required. A potential financing scheme could be via the Clean Development Mechanism. For more details on this refer to chapter 4, Independent Forest Sector Review, 2004.

7 Wood Processing Industry and Timber Market For detailed information on economic aspects of forest management refer to the consultants report on forest economy (UNG, 2004) and to chapter 6, Independent Forest Sector Review, 2004.

7.1 Timber Production

7.1.1 Legal Production Timber production had its peak in 1996 and 1997, and decreased in 2000 when the government cancelled the first concessions. Official timber production stopped in 2002, after the logging moratorium was enforced. Table 5: Timber production and processing (m3) from 1996 to 2003 Product 1996 1997 1998 1999 2000 2001 2002 2003 Industrial round wood: From forest concessions 136,026 242,463 233,348 290,876 179,330 121,497 0 0 Purchase & bidding 381,388 283,472 96,126 3,930 9,309 794 644 n.a. Total industrial round wood 517,414 525,935 329,474 294,806 188,639 122,291 644 n.a. Sawn wood & other Processed wood 79,690 71,535 74,555 25,852 20,407 4,729 10,016 n.a. Veneer 29,002 92,387 147,455 44,436 26,214 23,231 1,360 n.a. Plywood 0 1,103 6,702 14,308 17,980 13,612 3,762 n.a. Total sawn wood & wood- 108,692 165,025 228,712 84,596 64,601 41,572 15,782 n.a. based panels Source: FMO, DFW, 2001 in FAO (2002)

7.1.2 Illegal Logging Beside the legal timber production, an unknown amount of timber was and is produced illegally. Illegal logging does take place almost everywhere inside and outside concession areas. Many parties are involved such as concessionaires, military, local authorities, Khmer rouge and other influential people. But also many local people are engaged in illegal logging, either for own consumption or on contract basis or for sale to local wood traders or factories. Wood is often already processed in the forest. Forest areas along the border to Thailand and Vietnam are heavily affected and unprocessed timber is directly transported to the neighboring countries. The Department of Forestry and Wildlife, now FA, has reported 320 cases of forest crime in 2000, 260 in 2001 and 513 in 2002. However, according to reports of Global Witness, this is only a small fraction of the actual cases. A brief economic analysis of illegal logging is given by consultant on forest economy in his report (UNG, 2004) and in the Independent Forest Sector Review.

7.2 Royalties, Fees and Taxes A concessionaire has to pay royalties, reforestation tax and forest maintenance fee. In addition they have to pay tax on turn-over. There are also taxes imposed for wood export and if timber is transported on rivers, they have to pay river transportation tax. There are many procedures to be followed in order to get permission for logging and transportation, which add to the cost, as bribes have to be paid in many cases. Royalties depend on the species, which are classified in 4 classes: luxury timber (now prohibited, as species are endangered), class I and class II are commercial species, class III is non-commercial. Table 6: Royalties and fees Type of fee Cost Royalties Class I 81 USD/m3 Class II 54 USD/m3 Class III 43 USD/m3

Reforestation fee 2 – 2.4 USD/m3 Forest maintenance fee 5% of royalty Source: FA, 2004

7.3 Government Revenue Cambodia’s economy has gradually shifted from agriculture to industrial production, services and tourism. However, forestry is still considered to be a main source of revenue. Forestry provided 6.2% of the gross domestic product (GDP) in 1997, and since then steadily declined to 2.2% in 2002 (see Table 7). After the logging moratorium was imposed in 2001, the revenue from the forest sector was considerably reduced. Table 7: Revenues from forestry sector from 1996 to 2003

Revenue 1996 1997 1998 1999 2000 2001 2002 2003

Million USD 10.4 12.5 6.0 9.5 10.6 7.4 3.7 1.7

Percent of GDP n.a. 6.4% 5.4% 4.1% 3.4% 2.8% 2.2% n.a. Source: IMF 2003, Ministry of Economy and Finance

7.4 Wood Processing Industry For the pilot area the aspects of timber processing industry is of minor relevance, therefore only a very brief outlook is given at this place. A detailed analysis of the timber processing industry is given in chapter 5 of the Independent Forest Sector Review, 2004. Wood processing in Cambodia was a booming industry until 2000. After the logging moratorium, many factories and sawmills had to shut down and may workers lost their job. A list of wood processing industries is given in the table below.

Table 8: Forest industries licensed by MAFF Types 2001 2002 Sawmill 63 67 Veneer and Plywood 12 10 Sawmill and Furniture 9 5 Particle Board and Furniture form Sawdust n.a. 1 Handicraft n.a. 3 Woodchip n.a. 1 Bamboo and Rattan n.a. 2 Source: DFW (2003)

The large-scale, export oriented processing capacity is linked to forest concessions. A number of mills run out of raw materials shortly after they were constructed because of the logging moratorium. Beside the mills approved by MAFF, there were about 1000 small and unregistered sawmills operating in the country. Most primary processing, much of it illegal, is now carried out in the forest by mobile sawmills. These are most commonly found in on-going or former concessions having gained access via logging roads and extraction trails.

For the pilot area the aspects of timber processing industry is of minor relevance, therefore only a very brief outlook is given at this place. The processing capacity of the timber industry is estimated at 0.9 million m3 and that of the mobile illegal sawmills at 0.5 to 0.7 million m3.

7.5 Timber Market An economic analysis of the national and regional timber market is given in the consultants report on forest economy (UNG, 2004) and in chapter 5 of the Independent Forest Sector Review.

7.5.1 Regional China, Taiwan, Japan, Thailand and Vietnam are the major importers of Cambodian timber products. Regional demand is likely to remain strong. China’s demand in particular is likely to increase over the coming decade. From 1993 to 1996 mainly round logs were exported. This stopped, when the export of logs was banned in December 1996. Sawn wood, veneer and plywood have been the main export products until 2002. Taiwan and China were the main importer of veneer and plywood, while Japan, Thailand and Vietnam imported mainly sawn wood from Cambodia. Table 9: Export within the region (m3 x1000) Country 1999 2000 2001 2002 China 21.8 51.6 32.1 6.7 Japan 5.4 1.5 1.0 0.7 Taiwan 16.1 16.4 6.8 4.6 Thailand 3.5 0.0 0.3 0.2 Vietnam 0.1 1.1 1.3 0.0 Source: FAO 2002, FA 2003

Table 10: Exports of forestry products (m3 x1000)

Product 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 Round Logs 80.8 300.6 459.1 161.7 0 0 0 0 0 0 0 Sawnwood 150.8 86.6 99.5 69.0 72.6 37.8 10.3 2.6 3.7 0 0 Veneer 0 13.2 31.2 28.5 182.5 180.5 68.2 44.7 23.2 6.6 23.0 Plywood 0 0 0 0 0 16.4 14.9 26.5 13.6 3.8 14.0 Particle board 0 0 0 0 0 0 0.2 0.3 0 0.4 n.a. Other products 0 0 0 0 0 0 0 0.2 1.0 0.5 n.a. TOTAL 231.7 400.4 589.89 259.2 255.0 236.7 93.5 74.3 41.62 12.7 n.a. Source: FAO (2002), DWF 2003 and FAO on-line database

7.5.2 National and Local People need wood for construction and as source of energy. Over 97% of the population uses wood energy for cooking in form of firewood or charcoal (MoE, 1999). FAO estimated, that a person requires 0.6 m3 of wood per year which adds up to 7.8 million m3 of wood to need basic requirements. The total wood demand in 1997 was estimated at 12.3 million m3 (CASTREN, 1999).

In rural areas most of the construction wood comes from illegal sources, as legally produced timber from concessions are for the supply of their own wood processing industry.

8 Protected Area Management Realizing the important role of Protected Areas (PA) in contributing to a country’s ecological, social and economic development objectives through supporting ecosystem services, promoting sustainable use of natural resources and providing opportunities for tourism and recreation, Cambodia has set up PAs following the IUCN definition. There are 23 PAs in Cambodia playing important roles in conserving natural resources and biodiversity for the country. The PAs in Cambodia has a close linkage with the political history of the country and the change of natural resources use and management. More importantly, fundamental changes in the purpose of the PAs have shifted from recreation for the elite to an essential strategy for sustainable economic development of the country and sustainable local livelihoods and from being a weak top-down management approach towards a participatory management approach.

This Royal Decree designated 23 areas covering an area of 3,273,300 hectares or 18% of the total country’s area, which feature critical and fragile habitats and/or species and constitutes a renewed commitment to the conservation and sustainable use of Cambodia’s biodiversity. In 1925, Angkor Wat and surrounding 10,800 ha of forest were declared as a national park. This establishment was 1st protected area in Southeast Asia. By close of 1950s, nearly one third of Cambodia was classified into 173 forest reserves (3.9 million hectares), and 6 wildlife reserves (2.2 million hectares). During the Khmer Rouge period from 1975-1979 and the State of Cambodia from1979 to 1992, no protected area was established in Cambodia. A new initiative to re-establish Cambodia’s national Protected Areas system was introduced after the United Nations sponsored general election in Cambodia in 1993. As a result, the1993 Royal Decree on Creation and Designation on Protected Areas system in Cambodia established signed by Majesty the King Norodom Sihanouk. The Royal Decree designs 23 areas into four different management categories including National Park, Wildlife Sanctuary, Multiple-Use Area, and Protected Landscape, covering 3, 273, 300 million hectares or 18 per cent of the total country's area, as Protected Areas system. According to the above 1993 Royal Decree, the Department of Nature Conservation and Protection, Ministry of Environment is responsible for coordinating with other ministries and provincial departments to manage the Protected Landscape. For details refer to chapter 3 of the Independent Forest Sector Review, 2004

9 Non Timber Forest Products For details on NTFP refer to chapter 3 and 6, Independent Forest Sector Review and to the consultants report on forest economy (UNG, 2004). Non-timber forest products (NTFPs) play a central role in the rural economy of Cambodia providing food, construction material, medicine, fodder and cash income. Proceeds from NTFP sales may account for more than a third of village cash income, rising as over a half in forest-rich areas. It is generally understood, that poor individuals and households depend more heavily on NTFPs. People collect a large variety of NTFPs. Beside firewood for cooking, food from a variety of plant and animal products from the forests are a major component of daily

diet for may rural inhabitants. Bamboo, rattan and resin are used for housing, agricultural tools and hunting equipment. Most rural families rely heavily on traditional medicines derived from forest plants as well as on forest plants for animal feeds. The relationship between forest quality and extent and NTFP is product specific and very complex. NTFPs, which depend on closed canopy, disappear with increasing forest degradation. However, much of the NTFP production is from either degraded areas or deciduous forests. There are quite a number of NTFPs, which have an commercial value. The most valuable one is resin. Approximately 20,000 tons are collected annually across Cambodia. Resin tapping represents a source of income to about 100,000 people living near forests. The collection of NTFPs for own consumption is free, for commercial collection royalties have to be paid.

Annex 1

Literature

ASHWELL, A.; 1993: Background Report on the Vegetation Ecology of Angkor and Environs -Part 1, The World Conservation Union for UNESCO- Cambodia, Siem Reap Cambodia. CAMBODIA NATIONAL MEKONG COMMITTEE; 1994: Prek Thnot Multipurpose Project Environment Study report, Cambodia National Mekong Committee -NIPPON KOEI CO, LTD. In Association with Snowy Mountains Engineering Corporation, Prek Thnot, Cambodia. CASTRÉN, T.; 1999: Cambodia Timber trade and wood flow study, Subregion (GMS) watersheds project, Cambodia. CONCERN WORLD WIDE; 2004: Strategic Plan 2004-2007. CDC; 2000: Laws & Regulations on investment in the kingdom of Cambodia, RGC, Cambodia. DFW; 2003: Cambodia: Forestry Statistics to 2002, MAFF, Cambodia. FAO; 1995: Report of the Rapid Rural Appraisal Workshop, Seam Reap. FAO; 2002: National forest products statistics, Cambodia, FAO, Cambodia. FORESTRY ADMINISTRATION; 2003: Cambodia: Forestry Statistics to 2002. FORESTRY ADMINISTRATION; 2003: Annual Conference Statistics Section, Planning and Accounting Office Report on Forest Sector (1998-2003). FORESTRY ADMINISTRATION; 2003: Magazine on Forestry and Wildlife, number 23. FORESTRY ADMINISTRATION;2002: Progress report on forest policy reform to the sixth Consultative Group Meeting with donors, Phnom Penh, Cambodia. GLOBAL WITNESS; 2002,2003,2004: Reports on illegal logging activities in Cambodia. (http://www.globalwitness.org/) GOVERNMENT OF CAMBODIA; 2004: Cambodia Independent Forest Sector Review 2004, GILLHAM, M; 2004: Prek Thnot Flood Relief Channel design Note, Emergency Flood Rehabilitation Project -Mott MacDonald Limited in association with BCEOM and SAWAC, Cambodia. GLOBAL WITNESS; 1995: Forests, Famine, and War: The key to Cambodia's Future, Global Witness, Cambodia. GLOBAL WITNESS; 1995: Thai -- Khmer rough links and the illegal trade in Cambodia's timber, Global Witness, Cambodia. GLOBAL WITNESS; 1996: Cambodia, Where money grows on trees, Global Witness, Cambodia. GLOBAL WITNESS; 1997: A tug of war: The struggle to protect Cambodia's forests, Global Witness, Cambodia. GLOBAL WITNESS; 1999: Crackdown or Pause: A Chance for Forestry reform in Cambodia?, Global Witness, Cambodia. GLOBAL WITNESS; 1999: The Untouchables: forest crimes and the concessionaires -- Can Cambodia afford to keep them?, Global Witness, Cambodia. GLOBAL WITNESS; 2000: Chainsaws Speak louder than words, Global Witness, Cambodia. GLOBAL WITNESS; 2001: The credibility gap -- and the need to bridge it: increasing the pace of forestry reform, Global Witness, Cambodia. GLOBAL WITNESS; 2002: Deforestation without limits: How the Cambodian government failed to tackle the untouchables, Global Witness, Cambodia.

HOU, K.; 2004: Socio Economic Report of the Baseline Survey on Watershed Pilot Area in Cambodia. HENDERSON, D.; 1999: Forest Sector Management in Cambodia. INDEPENDENT FOREST SECTOR REVIEW; 2004: The Forest Sector in Cambodia.. KIMPHAT, N., UOZUMI, Y., UEKI, T., DRURY, W.; 1998: Analysis on the demand for Cambodia's forest products, Shinshu University, Cambodia. KIMPHAT, N.; 2000: Forests and the forest industry in Cambodia, Shinshu University, Cambodia. KIRKPATRICK, C.: 2003: Land Concession and their Effects on Livelihood in rural Cambodia. Proposed Research 2003. LAUER, W.; 1993: Climatology. In PANCEL, L.: Tropical Forestry Handbook, Vol. 1. LY, C.B., NUP, S., DY, S.; 2004: Assessment of ongoing community forestry initiatives in Cambodia implications for the Development of a Forestry Extension Strategy, Department of Forestry and Wildlife -Cambodian-German Forestry Project, Phnom Penh, Cambodia. MACKENNEY, B., PROM, T.; 2002: Natural resource and livelihood of rural Cambodian: baseline assessment, CDRI, Cambodia. MACKENNEY, B, PROM, T.; 2003: Resin trading in Cambodia: challenges, threatening and opportunities, CDRI, Cambodia. MACKENNEY, B.; 2002: Questioning sustainable concession forestry in Cambodia, Cambodia development review, Cambodia. MCKENNEY, B., TOLA, P.; 2004: National Resources and Rural Livelihoods in Cambodia a baseline Assessment, Cambodia Development Resource Institute, Cambodia. MCKENNEY, B., CHEA, Y., PROM, T., EVANS., T.; 2004: Special Report - Focusing on Cambodia's High Value Forests: Livelihoods and Management, Cambodia Development Resource Institute and Wildlife Conservation Society. MAO, S.; 2004: GIS Analysis Report of the Baseline Survey on Watershed Pilot Area in Cambodia. MEKONG RIVER COMMISSION AND CAMBODIAN NATIONAL MEKONG COMMITTEE; 2002: Stueng Siem Reap Basin Case study & project ideas MINISTRY OF AGRICULTURE FORESTRY AND FISHERIES.; 2001: Prakas on suspension of forest logging activities (Prakas No. 5721 MAFF/December 13, 2001) MINISTRY OF CULTURE AND ARTS, UNESCO; 1994: Synthesis Report on the Zoning and Environmental Management of Angkor within the Siem Reap Region, Ministry of Culture and Fine Arts -UNISCO (ZEMP Project), Siem Reap, Cambodia. MOE; 2000: Chapter 17: Forests, Environment: ETAP Reference Guide Book, Cambodia. MOE/TONLE SAP TECHNICAL COORDINATION UNIT; 1996: Progress Report of the Results of the Survey on the Tonle Sap Lake for Inscription on the World Heritage List, UNESCO, Environment and Natural Resources Unit, Cambodia. MOWR; 2004: Proceedings of Consultative Meeting on New Initiatives for Stueng Prek Thnot River Basin Management, Ministry of Water Resources and Meteorology-Partner for Research and Development, Cambodia. NIS; 1995: Socio-Economic Survey Report 93/94, Ministry of Planning, Cambodia. NIS; 1997: Socio-Economic Survey Report 1996, Ministry of Planning, Cambodia. NIS; 2002: Statistics Year Book of Cambodia 2001, Ministry of Planning, Cambodia. PROVINCIAL DEPARTMENT OF FORESTRY; 2000: Case study for Community Forestry Establishment. Seam Reap Province. PROVINCIAL DEPARTMENT OF PLANNING; 2002: Provincial socio-economic profile. PROVINCIAL DEPARTMENT OF PLANNING; 2003: Commune database.

PROVINCIAL RURAL DEVELOPMENT; 2004: SEILA Work Plan and Budget. ROBERT B, O.; 2004: Analysis of existing/draft rules and regulations related to watershed management in Cambodia within the Ministry of Agriculture, Forestry and Fisheries, Ministry of Environment, and Ministry of Water Resources and Meteorology, MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. ROBERT B, O.; 2004: Review and analysis of existing documentation on policies, rules and regulations related to watershed management within the four member countries of the Mekong River Commission, MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. ROCK, F.; 2004: Comparative study on practices and lessons in land use planning and land allocation in Cambodia, Lao PDR, Thailand and Viet Nam, MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. RGC/MOE; 1994: State of Environment. RGC/MLMUPC/LMAP; 2004: Cambodian Land Law Materials: A Compilation of Laws and other Legal Texts Related to Land Issues (CD-Rom). RGC/MLMUPC; 2002: Land Law. RGC/MLMUPC; 2002: Sub-decree on Social Land Concession. RGC/MINISTRY OF RURAL DEVELOPMENT; 2000: District Accessibility Profile, Siem Reap Province, Angkor Thom, Siem Reap Cambodia. ROTHA, K. S.; 2004: Land and Natural Resources Management. Baseline Survey for Siem Reap Pilot Area. ROYAL GOVERNMENT OF CAMBODIA; 2003: National Population Policy. SLOTH, A, DUMMER, I, THEA, S.; 2003: Gene-Ecological Zonation of Cambodia. Report of the Cambodian Tree Seed Project SCHINDELE, W.: 2003: Identification, Classification and Demarcation of the Permanent Forest Estate of Cambodia. Strategy Paper. CGFP Working Paper. UNG, L.; 2004: Forest Economic Analysis Report of the Baseline Survey on Watershed Pilot Area in Cambodia. UNITED NATIONS; 2004: Land concessions for economic purposes in Cambodia: A human rights perspective, United Nations-Special Representative of the Secretary-General for Human Rights in Cambodia-COHCHR, Cambodia. WORLD BANK; 1996: Cambodia forest policy assessment, World Bank, Cambodia. WORLD BANK; 2003: Cambodia Environment Monitor 2003, Cambodia.

Annex 2

Institutional Set-up of the Forest Administration

Kingdom of Cambodia Nation Religion King Ministry of Agriculture. Forestry and Fisheries Annex of Prakas No. 509 Prar.K.KS.K.Bu Dated 17 September 2003

Organizational Structure of Forestry Administration I Leaders of Forestry Administration Forest and Wildlife Scientific Research Institute

Administration. and Realforestation Office Forest Management f-- International Office Forest and Wildlife Cooperation Office Training Center

Community Forestry Planning and Wahffi and Forest Office c--- Accounting Office ,land Management O Phnom Tamao Zoo and Conflict and Litigation - Wildlife Rescue Center Office Forest Extension Industrial Development and Forest Business Oftice Office Wildlife Protection - Office

Northern Tonie Sap lake. Southern Tonie Sap lake Forest Inspection Forest Inspection

Kg. Cham Forest K.T Forest Batambang Forest Kampot Forest Cantonment Cantonment Cantonment Cantonment

Kratie Forest Pursat Forest Preah VihearForest Cantonment Cantonment Cantonment Sihanouk Forest Cantonment Mondulkiri Forest K. Chhnang Forest Cantonment Cantorunent Siem Reap Forest Cantonment Kandal Forest Koh Kong Forest Steung Treng Cantonment Forest Cantonment Cantonment

Rat.kiri Forest Cantonment

- Chi Kreng F D - Kanda! F D DangTungFD - Lomphat Forest Division - - Borset F D - Bor Keo Forest Division - BanteaySreyFD - AnduongTeuk F D - Krar Lagn F D - OrnIFD - Srer Ambil F D - Veun Sey Forest Division - Preah Netpreah FD - KampongSpeu F D - Thmar Pourlc F D - BanteayAmpil FD - Thalaborivat F D - SamrongF D - K TrnrLachFD - Anlong Veng F D - Steung Treng F D - K Chhnang F D Siem Pang F D - Rar Meas F D - PreyNub F D - Ste,mgHavFD

Keo Sey Ma F D - ChepFD - Rar Veng F D Koh Ngeak F D - Veal VengF D Sen Monorom F D Tbeng Mean - - Krnr Vagn F D Chey F D - KrarKorFD - Chorm KIL<;an FD - Chlong F D - Takeo Forest Division - Prek Prasop F D - KratieF D - Chhuk Forest Division Mong Russey F D - Kcp Forest Division - Battambang F D - K. Thmar F D Rattanak Mondul - Right Shore K.C F D - Sandan F D FD - Left Shore K.C F D - S!oung F D Bor V cI F D - Memot F D - Pailin F D - l'rev Vene. F D

_J This version has been compressed for Internet downloading, and does not contain maps. To request the full document including maps, please contact [email protected].

Working Paper 12b

Management of Pilot Watershed Areas in Cambodia

Baseline Survey

Part I: Framework for Land and Forest Resources Management in Cambodia Part II: Baseline Survey Siem Reap Pilot Area

Consultancy Report prepared by

Kalyan Hou, Ken Serey Rotha, Luyna Ung, Socheat Mao

compiled by

Werner Schindele

Vientiane, December 2004

MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Project (WSMP)

Table of Contents

Preface 1 Introduction 1 1.1 Background 1 1.2 Methodology and Approach 1 1.3 Studies of Relevance for Pilot Area 2 1.4 Programs, Projects, Activities in the Pilot Area 2 2 Biophysical Environment 4 2.1 Location, Administrative Boundaries and Area 4 2.2 Climate 5 2.3 Topography and Hydrology 6 2.4 Landscape, Geology and Soil 7 2.5 Accessibility and Roads 9 2.6 Land Use 10 3 Socio-Economic Environment 10 3.1 Demographic Data 10 3.1.1 Population 10 3.1.2 Migration 11 3.1.3 Ethnicity and Belief 12 3.2 Livelihood 12 3.2.1 Education 12 3.2.2 Access to Water 13 3.2.3 Sanitation and Health 14 3.2.4 Income and Poverty 15 3.2.5 Access to Credit 15 3.2.6 Household Expenditure 16 3.2.7 Land Mines 16 3.3 Seasonal Calendar 16 3.4 Village Administration and Social Organization 16 4 Land Management 17 4.1 Institutions Involved in Land Management 17 4.2 Land Allocation and Land Use Planning 17 4.3 Land Disputes and Conflicts 18 4.4 Encroachment 19 4.4.1 Encroachment for Subsistence Farming 19 4.4.2 Land Grabbing and Land Speculation 19 5 Land and Forest Cover 19 6 Forest Resources Management 23 6.1 Vegetation Types 23 6.2 Forest Classification and Management 29 6.2.1 Kulen National Park 29 6.2.2 Angkor Wat Protected Landscape 31 6.2.3 Forest Concession 31 6.2.4 Community Forestry 32 6.3 Forest Administration 33 6.4 Timber Production 33

iii

6.5 Illegal Logging 33 6.6 Timber Market and Wood Processing Industry 33 6.7 Non Timber Forest Products 34 6.7.1 Fuel Wood and Charcoal 34 6.7.2 Non Wood Forest Products 34 6.7.3 Marketing and Processing 35 6.8 Forest Fire 35 6.9 Tree Planting and Plantations 36 6.9.1 Tree Planting (Agroforestry) 36 6.9.2 Existing Tree Plantations 36 6.9.3 Potential Areas for the Establishment of Plantations 36 7 Agriculture 37 7.1 Permanent Agriculture 38 7.2 Shifting Cultivation 38 7.3 Livestock 39 7.4 Fishing and Aquaculture 39 8 Brief Problem Analysis 39 9 Potential Fields of Intervention with Special Reference to NRM 40

Annexes Annex 1: Literature 43 Annex 2: List of Households Interviewed 47 Annex 3: Indicators for Social Impact Monitoring 49 Annex 4: NTFP Collection in the Pilot Area 52 Annex 5: Map Atlas 54

List of Figures Figure 1: Location of Siem Reap Pilot Area 4 Figure 2: Administrative Boundaries 5 Figure 3: Elevation map of SRPA 6 Figure 4: Slope map of SRPA 6 Figure 5: Water catchments within SRPA 7 Figure 6: Geological formations within SRPA 8 Figure 7: Soil map of SRPA 9 Figure 8: Main land use types within the SRPA 10 Figure 9: Age distribution according to gender 11 Figure 10: Organisational structure of village administration 16 Figure 11: Land and forest cover 1997 21 Figure 12: Land and forest cover 2003 21 Figure 13: Dipterocarp woodland, surrounding a patch of deciduous forest 24 Figure 14: Open dipterocarp woodland with deciduous forest (Kulen Mountain) 24 Figure 15: Interior of tall evergreen forest 25 Figure 16: Canopy of tall evergreen forest 26 Figure 17: Interior of (disturbed) low evergreen sandstone forest 27 Figure 18: Deciduous forest along the road to Kbalspean 28 Figure 19: Forest management areas 29

Figure 20: NTFP Market 35

List of Tables Table 1: Villages selected for the baseline study 2 Table 2: Lithology of SRPA 8 Table 3: Crocker soils and their potential use 9 Table 4: Number of communes, villages and families by district in the pilot area 11 Table 5: Population in % by age class and gender 11 Table 6: Population growth by commune 1998 to 2003 12 Table 7: Number of schools in pilot area 13 Table 8: Illiteracy rate per age class 13 Table 9: Access to water for each commune 14 Table 10: Health care facilities and services 14 Table 11: Estimated average cash income per household 15 Table 12: Seasonal calendar for major activities 16 Table 13: Criteria for forest cover classification 19 Table 14: Land and Forest Cover 1996/2003 20 Table 15: Forest cover types according to condition 22 Table 16: Change in land cover 1996 to 2003 22 Table 17: Forest management areas and land cover change 23 Table 18: Phnom Kulen waterfall 30 Table 19: List of community forests 32 Table 20: Price of processed wood per m3 34 Table 21: Price of NTPFs 35 Table 22: Calculation of potential area factor 36 Table 23: Estimate of potential areas in ha for plantation schemes 37 Table 24: Rice production in the pilot area 38

Acronyms and Abbreviations ADB Asian Development Bank ADESS Agriculture Development Support to SEILA AKB Angkor Micro Finance Kampouchea Co. Ltd. cbm cubicmeter CF Community Forestry CLI Community-led Livelihood DFID Department for International Development (UK) DoA Department of Agriculture FA Forest Administration FAO Food and Agricultural Organization GMS Greater Mekong Subregion ha Hectare hh household IFAD The International Fund for Agricultural Development KNP Kulen National Park PLUP Participatory Land Use Planning PRA Participatory Rural Appraisal PRDC Provincial Rural Development Committee MAFF Ministry of Agriculture, Forestry and Fishery MRC Mekong River Commission NTFP Non Timber Forest Product NWFP Non Wood Forest Products NCFP National Community Forestry Programme NGO Non Government Organisation NP National Park RGC Royal Government of Cambodia SRPA Siam Reap Pilot Area SRDLMUPC Siem Reap Department of Land Management, Urban Planning, and Construction UNV United Nation Volunteer USD American Dollar WFP World Food Program WSMC Watershed Management Component of MRC

1 Introduction

1.1 Background In April 2004, Siem Reap Watershed was identified by the National Working Group on Watershed Management of the Mekong River Commission (MRC) as a pilot area for watershed management. For this purpose it was decided to implement a baseline survey, which shall collect and compile all relevant baseline data with the objective: • To collect detailed information on the current situation within the pilot area in particular on socio-economy, land use, and land and natural resources management • To provide baseline data for impact monitoring (social, impact on water, etc.) • To provide information required for the identification of potential interventions with specific reference to the forest sector.

Four local subject matter specialists conducted the baseline survey during September and October 2004. Each one prepared a sector specific report. An international expert, who was also responsible for compilation of the present baseline study, assisted them. The implementation of the study was coordinated and organised by the country coordinator of the WSMC/MRC. The following persons were involved: Ken Serey Rotha, Natural Resources Management and Land Management Specialist Kalyan Hou, Socio-Economist Luyna Ung, Forest Economist Socheat Mao, Mapping and GIS Specialist Min Bunnara, country coordinator of WSMC/MRC Werner Schindele, international expert

Identification and definition of Siem Reap Pilot Area (SRPA) It has to be mentioned, that in order to have a more uniform and large enough area and to facilitate the analysis of secondary data, it was decided to include the whole Banteay Srei District, which comprises of the whole Stueng Siem Reap upper watershed and the upper catchments of Stueng Rolus in the eastern part and O Ta E upper catchment in the west. The lower part of Stueng Siem Reap watershed which is located outside Banteay Srei was excluded, as it comprises mainly of settlements and agricultural areas.

1.2 Methodology and Approach Data were collected on two levels: primary data and secondary data. Primary data were collected in the field based on a survey at village level and of rapid diagnostic surveys at household level. All subject matter specialists jointly elaborated the questionnaires for household and village interviews. The requirements of the social impact monitoring system of the Environmental Programme of MTC were taken into account. The indicators are attached in Annex 3. All sector specialists together conducted the survey, with the socio-economist as team leader. Data collected at village level For the implementation of the baseline survey altogether 8 out of 69 villages were selected. From each district, depending on its the size and population, two to three villages were identified with the help of government departments and NGOs working in the pilot area (refer to Table 1).

Altogether three group interviews were carried out, one in each district. For this village-level interview a group of about ten people was randomly selected and using semi-structured interview techniques information on village situation, demographic data, access to education and health services, social and village organisation and forest use were collected. In each of the selected villages, five households were identified for in-depth survey. Information collected focused on livelihood, education, income, health, land use, production system, non-timber forest product collection, forest use, access to market, etc. Household surveys were based on rapid rural appraisal techniques such as semi-structured interviews, seasonal calendar, village mapping and Venn diagram. The questionnaires used for village and household level interviews are attached in the report of HOU, (2004).

Table 1: Villages selected for the baseline study District Commune Village No of Household Group interview* interviews Bantey Srei Khun Ream Khun Ream 5 1 Tbeng Tbeng Kheat 5 0 Run Ta Ek Tmat Pong 5 0 Angkor Thom Peak Sneang Peak Seang 5 0 Svay Ckek Svay Chek 5 1 Svay Leu Khnong Phonm Anlong Thom 5 0 Thmey 5 0 Preah Ang Thom 5 1 Varin 0 0 0 0

Secondary data were collected from the commune statistics 2002 and 2003 and from reports of NGOs and government institutions.

1.3 Studies of Relevance for Pilot Area In the following studies and literature with relevance to the SRPA are listed and briefly described: Socio-economic Surveys of the Poverty Eradication Special Programme A number of research projects have been conducted in Seam Reap by Provincial Department of Planning. These studies have focused on the socio-economic situation of Siem Reap province. In 1996, FAO have been carried out their research on participatory rural appraisal (PRA) in numerous of village in Bantey Srei, Svay Leu and Angkor Thom (this information is only available in Khmer).

1.4 Programs, Projects, Activities in the Pilot Area National Community Forestry Program, Concern Worldwide in Cambodia The “National Community Forestry Programme (NCFP)” is an activity of the International NGO “Concern Worldwide”; working with communities and with Government in Cambodia, to develop sustainable, community-based forest management. Concern had been active in the community forestry (CF) sector in Cambodia since the mid 1990s. This program begun to work in Seam Reap since 1997, supporting and implementing a number of programmes that together contribute to improve the livelihood security for extremely poor people in rural areas. These include: Community forestry, Community-led Livelihood Improvement Programme, Support to Microfinance Sector Development through AMK (AMK Co.,Ltd. is a new Cambodian Microinance Institution, established by Concern in 2003, and operating in Banteay Meanchey, Pursat, and Kg.Speu). Participatory Natural Resource Management in Tonle Sap Region This project is supported by the Food and Agriculture Organisation and is being implemented in Seam Reap pilot area since 1996, it will come to an end by 2005.The overall development objective for the project is: "To establish responsible, productive, and sustainable

3 management of forest and fishery resources by local communities to meet local needs and to stimulate local development within the province of Siem Reap". The four immediate objectives are: 1) Development of community fisheries within Siem Reap province, 2) Establishment of community forestry within Siem Reap province, 3) To promote private and community based development activities in support of natural resource management, and 4) Institutional strengthening and local / regional capacity building (FAO, 2003).

The strategy of the third phase is to support the concerned provincial government sectors to ensure permanent establishment of community resource management, i.e., community forestry and community fisheries, within the province of Siem Reap. Emphasis will be on developing community fishery management for the lands being released from the fishing lot system while continuing to support and develop the existing community forestry sites. The project will continue to focus on training and capacity building for local provincial staff but will also serve as a regional resource centre to provide training and field study for other projects, government staff, and community members from around the lake and other regions of Cambodia. During this 3rd phase, the project will generate and disseminate strategies and guidelines for community resource management for the different land categories from inundated forest to concession forest, non-concession forest, national parks and protected areas. The International Fund for Agricultural Development (IFAD) In 2004, the International Fund for Agricultural Development (IFAD) allocated U$276,360 to the provincial Department of Agriculture, Fishery and Forestry of Seam Reap for the agriculture development support to SEILA (ADESS) project. This amount will be used for implementing three main components; U$ 47,135 for the production start up program, U$ 20,116 for the agriculture improvement program and U$ 209,109 for capacity building. Agriculture Development Program of Department of Agriculture, Fisheries and Forestry The Department of Agriculture, Fisheries and Forestry plays an important role in supporting multiple crop production in upland area. It's objectives are to stop shifting agriculture, to reduce soil erosion, to improve soil fertility in the upland areas by planting multiple crops and livestock keeping through introduction of new agricultural production schemes. Especially the Department of Agriculture (DoA) tries to support the poor villagers in the upland areas who suffer from environmental degradation and are endangered by natural disasters. The department provides technical support for farmers who implement and demonstrate multiple crop production in four locations in three target districts including two areas in Bantey Srei, one area in Sotre Nikorm and one area in Svey Leu district. This program is financed through IFAD loan (212,404 US$) and 10,016 US$ is provided by the government. The SEILA Program The SEILA Program was established by the RGC in 1996 as an experiment to decentralize and de-concentrate planning, management, financing and implementation of development at commune and province level. In Seam Reap and elsewhere, Provincial Rural Development Committees (PRDC) were formed. The Governor chairs them and members are the directors of sector line departments and district governors. Representatives of other government institutions and NGOs attend during relevant meetings. The PRDC supports the Governor to manage development through promoting coordination between development agencies, approving provincial development plans and annual work plans and budgets and monitoring and reporting to national level on development achievements. An Executive Committee of the PRDC is responsible for execution of approved work plans and for the management of budgets and funds allocated to the province for development activities. The annual budget allocated for Seam Reap Development Program of SEILA is approximately 23,000 US$.

Halo Trust Organization

This organisation is engaged in clearing land mines in areas surrounding villages and agricultural lands. Asian Development Bank (ADB) In support of the Government’s Education Strategic Plan 2002-2005 and the Education Sector Support Program, ADB provided financial assistance for the building of schools. The goal of this program is to contribute to poverty reduction through better education service. United Nation Volunteer United Nation Volunteer has committed US$20,000 for further support to the 3rd UNV assisted communes utilizing the SEILA system and structure. This will focus on priority activities for capacity building of Commune Councils as defined by the district priority activity matrices. There are four departments involved in this project: Agriculture, Education, Women Affair and Environment. World Food Program World Food Program (WFP) has allocated 2,152 metric tons of food valued at US$ 1,076,000 to 79 target communes for implementation of social and food for work projects. This fund is allocated for a period of six months and ends by 2004.

2 Biophysical Environment

2.1 Location, Administrative Boundaries and Area The Siam Reap Pilot Area (SRPA) covers a total area of about 114,400 ha which is equivalent to 0.63% of the total land area of Cambodia. It is located in Siam Reap Province (see Figure 1) and encloses Angkor Thom District in the west and Bantay Srei District in the centre. The commune of Khnong Phom, Svey Leu District covers the north-western part and a small portion of the pilot area in the north belongs to Varin District (see Figure 2). Geographically it is located between Thonle Sap and the northern highlands of Cambodia.

Figure 1: Location of Siem Reap Pilot Area

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Figure 2: Administrative Boundaries

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2.2 Climate The Pilot Area is located within the Inner-tropical Convergence Zone and is part of the outer tropics, characterized by annual temperature variations between 5 and 12° (LAUER, 1993). The climate of the SRPA is characterized by a typical tropical monsoon climate with strongly developed rainy and dry seasons, caused by the cylindrical occurrences of different monsoon winds. The Northeast Monsoon consists of dry continental air coming from China and causes the dry season, which lasts from October to May. The Southwest Monsoon is the cause of the rainy season, which lasts from June to September. It is characterized by heavy rainfalls entailing stormy winds and thunderstorms with velocities up to 35 m/s. 95% of the rainfall occurs in this period. The hottest month in the year is usually April. The highly seasonal rainfall in north-western Cambodia varies between 1200-2000 mm/year. The annual rainfall experienced at Phnom Kulen and study areas is 2050 mm and is substantially greater than that of the 1513 mm experienced at Siem Reap. The annual average temperature of 27.3oC at Siem Reap is appreciably higher than the 24oC recorded for Phnom Kulen. The SRPA has a water surplus for approximately 6 month in the period from May to October. During this period the precipitation exceeds the evapo-transpiration remarkably.

2.3 Topography and Hydrology The SRPA can be divided into two different topographical zone: the hilly northern part of Kulen Mountain and the dominating lowlands in the west, east and south. The hilly area covers about 25% of the pilot area and belongs administratively to the districts of Varin and Svay Leu. The landscape is characterized by long and steep slopes running in an southeast northwestern direction. Altitude ranges from 100 to 392 m, with the highest point in the Kulen mountains. The flat lowlands cover 75% of the land area and belong to the districts of Bantei Srei and Angkor Thom. Figure 3: Elevation map of SRPA

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Figure 4: Slope map of SRPA

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The SRPA comprises of three catchments: The upper catchment of Steng Siam Reap in the north and in the center of the pilot area, the upper catchment of O Ta E in the west, which is connected with a channel with Stueng Siem Reap, and the upper catchment of Stueng Rolus in the east. All three rivers flow into the Thonle Sap (see Figure 5). Figure 5: Water catchments within SRPA

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The water flow of all rivers is characterized by low-level flow in the dry season and over flow in the rainy season. After heavy rains, the rivers tends to inundations, caused by their meander pattern. Detailed hydrological information on water flow, water quality, groundwater table, ground water recharge etc. is not available due to a lack of hydrological measuring stations. Therefore, the study team included aspects on water quality and changes in water flow in their questionnaire. The main findings were, that water flow and the shape of rivers have considerable changed during last 20 years due to increased sedimentation and increased water levels in the rainy season. Water quality has also worsened due to poor sanitation and the lack of a sewerage system in villages close watercourses. It has been reported that drinking water from canals and streams without boiling causes in most cases (68-84%) serious diarrhea or even typhoid. So far, chemical fertilizers or pesticides are only used by a small minority of people, who can afford it (3-6%) and as such it can be assumed, that so far the impact on water quality by wash out of these chemicals has not yet become a problem.

2.4 Landscape, Geology and Soil The area consists of four principle landscapes including the single lacustrine and three dryland landscapes vary in their intrinsic character, genesis and utilization as follows: • The lacustrine deposits of the lakeside floodplain were originally dominated by flooded forests and associated grasslands but now also support a range of natural and semi-natural vegetation types along with various agricultural activities.

• Older alluvium and colluvial deposits more than 50 metres above sea level and associated gentle slopes (50 to 100 metres above sea level) extend northwards from the lake and feature extensive areas dryland agricultural activities, partially degraded evergreen forest areas and secondary forest as well as other more heavily degraded vegetation. • The mountainous outcrops of Phnom Kulen, Kbal Spean and associated areas that are dominated by areas of natural and secondary vegetation formations including swidden agriculture and other human habitations. • The northern-eastern peneplain with an elevation of 60 to more than 100 metres above sea level that features semi-deciduous and deciduous forests. The hills in the north and Kulen Mountain are formed by sandstone. The parent material of the undulating landscape between the hills in the north and the flatland consists of eluvial sands and colluvium, while the flat lowlands consist of quaternary alluvial deposits (refer also to Table 2 and Figure 6. Table 2: Lithology of SRPA Lithological layer Area (ha) (%) Basaltic red soil 339 0,3 Eluvial sands (and colluvium) 11987 10,5 Quaternary Alluvium 72887 63,7 Rhyolite/Dacite 91 0,1 Sandstone 29128 25,5 Source: Department of Geology Figure 6: Geological formations within SRPA

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Soils have been derived from the Crocker soil map (1962) and were classified into three categories (see Table 3) according to their potential for agriculture, forestry or for both (i.e. tree crops and agroforestry). Acid lithosols are found in the northern hilly areas of Kulen mountain and cover 35% of the landscape. This soil type is not very suitable for agriculture and should remain under forest cover. Alluvial Lithosols and cultural Hydromorphics are fertile and very suitable for rice production. They occur mainly along Stueng Siem Reap and Stueng Rolus. They cover together 15% of the pilot area. Plinthicite and red-yellow Podzols are good forest soils, but not so suitable for rice production. They have good potential for plantations such as teak or agro-forestry systems. They occur in the flat lowland area and dominate with 54%. The distribution of the different soil types are shown in Table 3 and Figure 7.

Table 3: Crocker soils and their potential use Crocker Soil Potential Use Area in % Acid Lithosols forest 31 Alluvial Lithosols agriculture 6 Cultural hydromorphics agriculture 9 Plinthite podzols both 7 Red-yellow podzols both 47 Total 100

Figure 7: Soil map of SRPA

[figure / map has been removed from this Internet download version]

2.5 Accessibility and Roads Main access to the SRPA is via the national all-weather road from Siem Reap to Anglong Veng in the north which continues up to the boundary to Thailand. It is of great economic importance for cross boundary trade.

There are a number of provincial roads and other roads which connect most of the villages with the public road network. All roads are dirt roads, and especially during the rainy season they are only accessible for moto-bikes or four wheel drive vehicles. There are no public transport facilities in the pilot area at all and people depend on ox-charts or on hiring private vehicles or moto-bikes. The lack of public transport, the bad road condition in the rainy season and the distance to the next local market is a major problem for local people to sell their products directly to the consumer. They depend on traders, which set the prices. To reach Kulen National Park, which is about 70 km from Siem Reap, a car needs to be hired for 10-15 US$ (for return trip). The villages inside the National Park are connected with a small dirt road with the tourist centre. The road network is shown on the maps in the Map Atlas.

2.6 Land Use Based on satellite image interpretation of Landsat ETM imagery from 2003, forestland of various condition covers 38% of the total area of the SRPA. Another 9% is covered by wood and shrub land, which does not belong officially to the forest area. Mosaic of cropping accounts for 26%, which includes secondary forest, fallow areas belonging to the shifting cultivation cycle and land left idle. Agricultural land covers 21%. The distribution of main land use types is shown in Figure 8. More detailed information on land use and forest cover is given in chapter 5. Figure 8: Main land use types within the SRPA

Agriculture Grassland Water Settlements 21% 1% 1% 3%

Forest 39%

Mosaic of Cropping Wood/Shrubland 26% 9%

3 Socio-Economic Environment Detailed information on the socio-economic environment can be depicted from HOU (2004).

3.1 Demographic Data

3.1.1 Population There are a total of 69 villages located in the pilot area with a total population of about 64,000 people. The location of the villages and their size can be depicted from Figure 2. The population density is 55.9 people/km2. The number of households is about 10,470 of which 1480 are headed by female. The average household size is 6.1 capita. The distribution of households according to district is shown in the table below.

Table 4: Number of communes, villages and families by district in the pilot area Districts (Commune) Number of Number of Total Number of % of Communes Villages number of female households household headed Household Angkor Thom 4 26 3557 392 34 Banteay Srei 6 35 6309 981 60 Svay Leu (Khnong Phnom) 1 8 607 107 6 Varin 0 0 0 0 0 Total 11 69 10473 1480 100 Source: Commune Statistics, 2003

The gender distribution is uneven, there are more female (52%) than male (48%). 51% of the population is below 18 years of age, which will lead to an increase in population and to an increase in available work force. See also Figure 9 below. Table 5: Population in % by age class and gender District Popul- 0-5 years 6-14 years 15-17 years 18-64 years > 65 years (Commune) ation M F M F M F M F M F Bantey Srei 29,51 2,79 2,61 4,69 4,52 1,19 1,09 8,43 7,86 0,44 0,37 Angkor Thom 47,66 4,46 4,89 7,31 8,18 3,02 3,00 14,72 13,75 1,02 0,81 Svay Leu 22,82 0,45 0,54 0,52 0,19 0,14 1,22 1,10 0,08 0,07 0,53 Varin 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 Total 100,00 7,70 8,04 12,52 12,89 4,36 5,32 24,25 21,69 1,54 1,71 Source: Commune Statistics, 2003

Figure 9: Age distribution according to gender

25%

20%

15% female 10% male

0% < 6 years 6-17 years 18 - 64 years > 64 years

Source: Commune Statistics, 2003.

Altogether 14,600 people live within the Kulen National Park, which is located in the Khnong Phnom commune, Svay Leu district.

3.1.2 Migration People are moving in and out of the pilot area out of many reasons: transfer of work place, search of employment, education, marriage, family moved, natural disaster, and repatriation etc. As confirmed by local communities, the highest in-migration rate is found to be in Preah Ang Thom village, Svay Leu District, Khnong Phnom Commune. In 2002, there were only 29 households in this village but the number of household has increased up to 128 households. Most of them are immigrated from Seam Reap town and from other provinces such as Kandal, Kampong Thom, Kampong Cham, Kandal, Pursat province. It is likely to exacerbate the existing problems associated with the rapid expansion of settlements. The growing

12 informal settlements create an impact on the environment, as people need land and cut trees from the neighbouring forests for household construction. There is little movement from rural areas to towns outside the pilot area due to the poor level of education of the rural people and limited job opportunities. Based on commune statistics, from 1998 to 2003 the total population growth was 13.4%, which is about 2.2% per year. Table 6: Population growth by commune 1998 to 2003 1998 2002 2003 District Commune Popul. Hh Popul. Hh Popul. Hh Angkor Thom Chob Ta Trav 2,656 486 3,038 575 3,178 589 Angkor Thom Leang Dai 7,241 1,268 7,818 1,276 7,755 1,355 Angkor Thom Peak Snaeng 3,288 584 3,682 663 3,572 690 Angkor Thom Svay Chek 4,565 824 5,471 894 5,485 923 Bantey Srey Khnar Sanday 6,405 1,142 6,573 1,060 8,105 1,270 Bantey Srey Khun Ream 3,008 587 3,951 765 4,034 787 Bantey Srey Preak Dak 6,287 1,163 5,988 1,149 6,595 1,238 Bantey Srey Rumchek 3,143 560 2,638 469 2,776 483 Bantey Srey Run Ta Aek 8,009 1,452 6,457 1,172 7,349 1,223 Bantey Srey Tbaeng 5,419 1,032 6,399 1,212 7,111 1,308 Svay Leu Khnang Phnum 1,814 362 2,387 506 2,845 604 Varin ------Total 51,835 9,460 54,402 9,741 58,805 10,470 Source: Commune statistics 2002-2003 and General population census 1998

3.1.3 Ethnicity and Belief People living inside the pilot area are Khmer and are still practicing traditional customs. They are all Buddhists. There are a few Chinese and Vietnamese families, which live temporarily in the area and which are engaged in providing training in handicraft manufacture.

3.2 Livelihood

3.2.1 Education Access to basic education is limited. There are altogether only 30 primary schools in the pilot area, about one for two villages. There are only two secondary school in Banteay Srei district with 10 classrooms. Higher education is only provided at Siem Reap province capital. The average condition of the school buildings is very poor and there is a lack of equipment and materials.

Table 7: Number of schools in pilot area Primary School Secondary school District Commune Number of Number of Number of Number of schools class room schools class room Chob Ta Trav 2 8 0 0 Leang Dai 4 31 0 0 Angkor Thom Peak Snaeng 2 12 0 0 Svay Chek 2 12 0 0 Khnar Sanday 5 29 0 0 Khun Ream 3 15 0 0 Preak Dak 2 32 2 10 Banteay Srei Rumchek 1 7 0 0 Run Ta Aek 3 16 0 0 Tbaeng 4 24 0 0 Svay Leu Khnang Phnom 2 12 0 0 Varin 0 0 o 0 Total 30 198 2 10 Source: Commune Statistics 2003

The level of illiteracy is comparatively high, especially among the young people. 17% of the children between 6 and 14 years and 25% in the age class 15-17 cannot read and write, with a higher ratio of illiterate female than male (refer also to Table 8). Many children do not go to school, because they are poor and they have to assist their families in generating income. Another reason is the effect of tourism. Many of the youth find opportunity in the tourist industry, they engage as tour guides, or sell food and drinks in order to earn money and do not go to school at all. By doing so, they earn more than their parents, and they need no education for it. However, many of them learn one or two foreign languages in the street. Two organisations are engaged to support informal education, one is funded by Danida, the other one by UNICEF. They encourage literate villagers to train others against payment in kind (i.e. 15 kg of rice per person). Table 8: Illiteracy rate per age class Age Class Male Female Total 6-14 years 18% 16% 17% 15-17 years 29% 22% 25% 18-64 years 32% 38% 35% > 64 years 47% 62% 55% Source: Commune Statistics, 2003

3.2.2 Access to Water Access to water is good. 93% of the households have piped water from private wells, or ring wells, of which 80% is within 150m range of their houses. 7% get their water from springs, natural ponds or canals. Especially the people living in Kulen National park have access to permanent springs. Kulen National Park is also the origin for most of the streams, which are used as water sources throughout Siam Reap province. The few people who depend on natural ponds or canals as a water resource, sometimes face a supply problem in the dry season, especially from January to May. In the rainy season, many of them are using rainwater.

Table 9: Access to water for each commune No. of households No. of households No. of households with water inside with water with water from house or within available > 150 m spring, canal and District Commune 150 m from house natural pond

Angkor Thom Chob Ta Trav 473 116 0 Leang Dai 1223 132 0 Peak Snaeng 582 108 0 Svay Chek 784 139 0 Khnar Sanday 1124 146 0 Banteay Srei Khun Ream 569 118 100 Preak Dak 1225 12 1 Rumchek 476 7 0 Run Ta Aek 897 326 0 Tbaeng 962 265 81 Svay Leu Khnang Phnom 73 0 534 8388 1369 716 Total 80% 13% 7% Source: Commune statistics, 2003

3.2.3 Sanitation and Health The access to health service is poor. There are altogether five health posts providing basic health care, but there is no health centre in the pilot area. The next hospital is in the province capital Siem Reap, which is for many families too far away in case of emergency. Traditional and herbal medicine which is collected in the surrounding area plays an important role in medical care. It has to be mentioned that the forest degradation also has led to a reduced availability of herbal medicines. Most of women in Angkor Thom and Svey Leu district deliver birth with the help of traditional birth assistants. This is due to scarcity of midwifes, long transport distances and lack of transport. There are only 16 trained midwifes and 35 health workers for 64,000 people. As such, the 118 traditional doctors or healers (Kru Khmer) still play a major role in medical care in the pilot area. Table 10 gives details on healthcare facilities and services in the pilot area. Table 10: Health care facilities and services Number of Number of Number of District/ Hospital Health Center government health worker Traditional Commune trained midwives doctor Angkor Thom 0 2 3 13 38 Bantey Srei 0 3 13 22 70 Khnong Phnom 0 0 0 0 10 Varin 0 0 0 0 0 Total 0 5 16 35 118 Source: Commune Statistics, 2003 Malaria is the most common disease, but there is also typhoid, dengue fever, diarrhoea constipation and fatigue. Every two to three years, there is a vaccination campaign against Polio, Tetanus and other diseases conducted by the District Health Office. Sanitation is extremely poor. Only 2.5% of the households have access to a toilet or latrine, the majority is using nature and just dig a small hole. No official information is available on malnutrition, but it can be assumed that it is still widespread. Also, especially in the period from July to November, many villagers suffer from lack of food.

3.2.4 Income and Poverty Most of the local people are subsistence farmers and earn very little money. Based on the household interviews conducted for this baseline survey, the average annual income per household is only 426 USD1. With 0.19 USD per person and day this is far below the poverty line of 0.46 USD as determined by the national poverty reduction strategy. This low level of income and the high rate of poverty was confirmed by the NGOs working in the project region and by government organisations. Unfortunately, no official statistics exist on this matter.

Table 11: Estimated average cash income per household Source of Khnong Phnom Bantey Srei Angkor Thom Pilot Area Income (US$) (%) (US$) (%) (US$) (%) (US$) (%) Rice 112.50 35% 210.00 40% 140.63 32% 154.38 36% Vegetables 27.00 8% 45.00 9% 45.00 10% 39.00 9% Livestocks 2.50 1% 68.75 13% 65.00 15% 45.42 11% Other crops 56.50 18% 50.00 10% 25.00 6% 43.83 10% NTFPs 122.50 38% 100.25 19% 89.90 20% 104.22 24% Labour 0.00 0% 45.00 9% 75.00 17% 60.00 14% Total 321.00 100% 519.00 100% 440.53 100% 426.84 100% Source: Household Survey, 2004 The people living inside Kulen National Park have the lowest average income and they depend largely on the sale of NTFPs which they collect inside the park. Although Kulen National Park is a tourist attraction for both, national and international tourists, they have not been provided with any job opportunities and do not benefit from the National Park at all. They only have disadvantages through the restrictions imposed on natural resources management by the park administration. In average about 36% of cash income is generated from the sale of rice. This figure varies slightly within the region. Another important source of income is the sale of NTFP, which varies between 19% and 38% depending on the region. There is also some income generated through the illegal use of timber and the sale of encroached land, which could - due to its nature - not be quantified. Other important income generating activities are the production and sale of vegetables and other crops and livestock raising. For people living in Bantai Srei and Angkor Thom there is also the opportunity to work as daily paid labourers for better-off households in farming activities such as ploughing and harvesting.

3.2.5 Access to Credit All villagers in the pilot area have access to rural credit. FAO provided altogether 30,000 USD for the establishment of revolving funds, which can be used for low interest credits especially for poor women. The interest rate on a 20 USD credit is 0.40 USD per month (2%). AMK (Angkor Micro Finance Kampouchea Co. Ltd.) is a new Cambodian Micro Finance Institution, which has been, established by “Concern Worldwide”. They have branches in Siam Reap province. Local people can get a loan of up to 200 USD from AMK, the monthly interest rate is 3%. Access to other loans for local people, for example for investments in agriculture or small scale plantation, is very difficult as micro-finance institutes usually require mortgage and people have normally no secure property rights. There is only one bank in Siem Reap, ACLEDA branch, which provides credits up to 10,000 USD against a maximum monthly interest rate of 4% (the interest rate varies depending on condition). Because of the poor economic situation and the insecurity of agricultural production people don't take risks. The majority of people only take credit in cases of emergency. In general

1 1 US$ = 4035 Riel (2004)

16 people are not very much interested in lending money, as they are afraid, not to be able to pay back the credit and the interest. Investment in production systems, which provide only returns in the long run, is economically simply impossible due to the extremely high interest rates.

3.2.6 Household Expenditure It was not possible to get figures on expenditure, but people reported that most of the money is spent for medicine, food and clothes.

3.2.7 Land Mines Until 2002 landmines have been a major problem in Khnong Phnomom commune. Kulen National Park was a stronghold of Khmer rouge during the civil war and both parties heavily mined the area. Since 2002 Halo Trust Fund cleared all mines. Altogether 50 persons were injured by stepping on mines and are now disabled, of which 14 are female.

3.3 Seasonal Calendar People living in the pilot area are engaged in a various number of activities throughout the year. Many activities take place at the same time and within a particular period. Some activities are conducted only for a short period; others are carried out continuously throughout the year. Table 12 shows the seasonal calendar for major activities. Table 12: Seasonal calendar for major activities Activity Month J F M A M J J A S O N D Lowland rain-fed paddy cultivation Shifting cultivation Crop planting (gardening) NTFP Collection Bamboo collection Timber collection (male) On-farm daily paid labour Source: Household Survey, 2004

3.4 Village Administration and Social Organization There is a clear vertical structure in village organisation. Each village is headed by the village chief. S/he is directly responsible to the commune chief. The village chief has two deputies. Each village is divided into a number of groups, depending on the size of the village. Each group is headed by a group leader. The village chief, deputy chiefs and group leaders are selected and appointed by village members. Figure 10: Organisational structure of village administration Commune Chief

Village Chief

First Deputy Chief Second Deputy Chief

First group Second group Third group Forth group Fifth group

leader leader leader leader leader 17

The village chief is the link between the commune government and the village. S/he normally participates in monthly commune meeting. Information and administrative issues are disseminated following the structure shown in Figure 10 above. The village chief is the representative of the village, s/he receives visitors and government representatives. Whenever required, s/he will call for village meetings. S/he solves disputes among the villagers and direct them to the commune or district authorities in case s/he can not solves problem. As found out during the study there are a number of development activities going on in all three districts for which specific organisations were formed, such as cash credit groups, animal banks, rice banks, and potable water user groups. In villages included in the SEILA program the Provincial Rural Development Department has organized village committees and commune development committees in order to develop and to improve the living condition of population.

4 Land Management For detailed information on land management refer to the consultants report ROTHA (2004).

4.1 Institutions Involved in Land Management The primary stakeholders for land management are the rural people in the pilot area, and their local government institutions, the Commune Councils. The Commune Councils with technical supports from Siem Reap Department of Land Management, Urban Planning and Construction involves in the process of participatory demarcation of state and private lands. Key direct line agency in land management is the Siem Reap Department of Land Management, Urban Planning, and Construction (SRDLMUPC). SRDLMUPC has the mandate for the reform of land administration, a primary requirement for effective, locally based natural resources and environmental management. There are approximate 32 staff (two women) at this department who were trained in different fields. Generally, they attended short courses on cadastral, basic urban planning, land law dissemination and participatory land use planning and watershed. Capacity building is one of major concerns for all Siem Reap line departments. Siem Reap Forestry Administration is responsible for forest land outside the protected areas. Like other line departments, human resources and facilities are a problem. Siem Reap Department of Rural Development is responsible for formation of village development including natural resources management committee. Siem Reap Protected Area Management is responsible for the overall management of the protected areas in Siem Reap. For the pilot area, this Unit is responsible for management of Kulen National Park.

4.2 Land Allocation and Land Use Planning Land ownership in Cambodia is with the state as a national asset. However, traditional tenure systems are defacto accepted in the pilot area. According to the Land Law, there is no tax imposed on agricultural land. Throughout the pilot area, no legal land title has been issued for both residential areas and agricultural land. However, those living in residential areas have received a certificate from their village headman to recognize their land ownership. Upon application for official land registration, the certificate is required. With regard to land tenure, the result of the household survey shows that tenure over land has not legally been issued to anyone in the community including residential areas, agricultural land and shifting cultivation. Residential areas and agricultural land, except Chamkar can be sold or transferred by traditional methods. As a result, this leads to both land loss and encouragement of encroachment and land grabbing. Status of the land tenure in the pilot area can be classified into forestland and non forestland. According to the satellite image interpretation, 39,030 ha of the pilot area were covered by forests in 2003 (refer to Table 14).

Neither the boundaries of the permanent reserved forest, nor village boundaries have been identified and mapped. The boundaries of Kulen National Park and Angkor Protected Landscape have been identified, but they have never been physically demarcated in the field. That’s one reason, why people are encroaching forest and protected areas.. However, a type of traditional recognition has been practiced for village boundary including agricultural land and residential areas. Lack of physical boundary demarcation encourages land grabbing.

4.3 Land Disputes and Conflicts Land disputes remain a hot issue involving many families and rich or powerful people in conflicts over possession rights. If a dispute goes to court the powerful party who has legal documents will win because they have the means to afford them. This problem is an obstacle to development and undermines people’s stability especially for women headed households. Land is the most important productive asset for both urban and rural poor people in Cambodia. Inadequate security of land tenure due to land disputes; land confiscation, land mine contamination and rapid decline in natural resources are the prime reasons that limit people to use resources effectively to meet their needs. Based on the result of the household interviews the prime causes of land disputes are lack of land records, public ignorance, weak legal framework, widespread informal possession of land, communal claims, issues of commercial concessions and corrupt practices. The result is the lack of livelihood opportunities, low capacities and social exclusion, which all contribute to poverty. Conflicts over land are increasing between local people and outsiders seeking land for commercial purposes. The poor, illiterate and less well educated lose in the process because they do not have the access to human capital, money and power needed to defend their rights. As a result, land is becoming progressively more concentrated in the hands of people or entities who are politically well connected or can afford informal payments, especially in regions with potential for tourism, logging, industrial or urban development. In the past the villagers can easily get land if they need more for growing rice, the amount of land they need depends on the size of the family, the bigger family the more Chamkar (area for shifting cultivation). They could easily move their Chamkar from one area to another. But now, according to the Land Law, Forestry Law and drafted Protected Areas Law, this is no longer possible. However, as agricultural production systems have not been adjusted accordingly (i.e. local people still depend on shifting cultivation for their subsistence needs), what has been done before legally is now done illegally, otherwise local farmers would loose their subsistence. Similarly, in the pilot area, problems of land continue to persist in relation to land close to accessible areas for cultivation of the landless. The study observed that land is being kept by non-producers for speculation, which results in lack of land for the people who need to farm for their livelihoods. The ongoing land grabbing problem carried out by powerful people including the military have not been resolved yet. However, during the Opening Speech by the Prime Minister Hun Sen at the National Land Forum in Phnom Penh on 18 October 2004, the Prime Minister recognized the importance and urgency of dealing with many of these issues. He particularly warned land grabbing and speculation of land, and said that land should be confiscated and distributed to the poor who need it for their subsistence. The Ministry of Agriculture, Forestry and Fisheries (MAFF) recognizes the importance of land title to secure people land ownership. Therefore MAFF develops its Strategic Plan for 2005- 2010 that states that farmers have a great incentive to invest and adopt new technologies if they have secure title to their land. The land resources must be managed in a manner that guarantees equity of access, prevents degradation and results in long-term sustainability. Secure land title is recognized as an essential condition for a commercial agricultural credit system.

4.4 Encroachment Encroachment in this context is defined as conversion of forestland into another land use. It does not refer to clearing of fallow land or secondary forest, which has already been under cultivation before. These areas belong to the shifting cultivation circle "chamkar" and clearing of parts of it is an agricultural management activity. A major problem is, that the boundaries of the permanent reserved forest has not been surveyed and not been demarcated in the field and as such are gradually encroached. Depending on the purpose, two different types of encroachment can be distinguished: Encroachment for subsistence farming Land grabbing and land speculation

4.4.1 Encroachment for Subsistence Farming Due to growing population and depletion of soil fertility subsistence farmers are gradually encroaching forest areas for new agricultural land, mainly for paddy fields or cash crops. This type of conversion takes place in small mainly fertile sites in the vicinity of settlements and adds up to the area under shifting cultivation. It takes place throughout the pilot area, and is a also a problem inside Kulen National Park. This type of encroachment is driven by the basic subsistence need of food for the poor rural families, and as long as there are no alternative sources of food (i.e. increased production potential of existing agricultural areas), it can simply not be stopped.

4.4.2 Land Grabbing and Land Speculation Along the road to Kulen National Park a lot of forestland has been cleared by local people and sold to land speculants as there is the rumor, that tourism development projects will be established here in future. The price for one ha of land is about 400-800 USD, which is more than the average annual income of one household and as such is a very lucrative business. So far, no action was taken to stop this illegal land clearing (lack of law enforcement).

5 Land and Forest Cover In order to monitor changes and trends, the land use cover of the SRPA was analyzed for 1996 based on Landsat TM imagery and for 2003 based on Landsat ETM imagery. The same classification system was used as introduced by the Forest Cover Monitoring Project, which was implemented by MRC in 1997. Classification was done by visual interpretation. To ensure compatibility, the same person using the same methodology and classification system did the analysis. For more information on technical aspects of image interpretation refer to the consultants report (MAO, 2004). An area was classified as forest if crown cover was > 20% and average tree height > 10m (STIEBIG, 1997). Forests were classified according to forest cover and crown cover into the following three classes: Table 13: Criteria for forest cover classification Forest Category Forest Cover Crown Cover Forest dense 90%+ and 70% + Forest open 70 - 89% and/or 20 – 69% Forest mosaic 40 – 69% and > 20% Source: STIEBIG, 1997 As forest regrowth mainly abandoned shifting cultivation are classified. It is fallow land, which is stocked by dense secondary vegetation. Mosaic of Cropping consists of areas under shifting cultivation. Wood and shrub land can be described as potential forestland. It is a mixture of shrubs, grass and trees; the forest cover is, however, below 20%.

It has to be mentioned at this place, that it is sometimes difficult to differentiate between wood/shrubland, mosaic of cropping and forest regrowth. Although the same person did the interpretation of the satellite imagery, changes may also be due to different interpretation and must not necessarily reflect a real change. As such, the figures in the Table 14, Table 16 and Table 17 should rather be used as indicators for development trends than as absolute values. Table 14 shows the land and forest cover distribution of the SRPA for 1996 and 2003. Table 14: Land and Forest Cover 1996/2003 Land use & forest cover 1996 2003 Change (%) (ha) (%) (ha) (%) absolute relative Evergreen Dense 1594 1.4 1460 1.3 -0.1 -8.4 Evergreen Disturbed 18605 16.2 10717 9.4 -6.9 -42.4 Evergreen Mosaic 5341 4.7 6995 6.1 1.5 31.0 Mixed Dense 1151 1.0 649 0.6 -0.4 -43.6 Mixed Disturbed 2443 2.1 4003 3.5 1.4 63.9 Mixed Mosaic 38 0.0 0 0.0 0.0 -100.0 Deciduous 2222 1.9 2662 2.3 0.4 19.8 Forest Re-growth 15800 13.8 12544 11.0 -2.8 -20.6 Total Forest 47194 41.2 39030 34.1 -7.1 -17.3 Wood/Shrub land evergreen 8104 7.1 1697 1.5 -5.6 -79.1 Wood/Shrub land dry 2864 2.5 15152 13.2 10.7 429.1 Potential Forest area 58162 50.8 55879 48.8 -2.0 -3.9 Grassland 2271 2.0 1657 1.4 -0.5 -27.0 Mosaic of Cropping (<30%) 26013 22.7 25553 22.4 -0.3 -1.7 Mosaic of Cropping (>30%) 13657 11.9 10056 8.8 -3.1 -26.4 Agriculture 12498 10.9 16189 14.1 3.2 29.5 Urban Area 1987 1.7 5069 4.4 2.7 155.1 Water 29 0.0 29 0.0 0.0 0.0 Total Non-Forest 67421 58.8 75402 65.9 7.1 11.8 Total Area 114615 100.0 114432 100.0 0.0 0.0

In 2003, the total forest area was 39,030 ha (34%) and 16,849 ha (14%) were wood and shrub land. Forest and wood and shrub land together, which can be described as the potential forest area cover 48% of the pilot area. Forest condition is bad. There are only 2109 ha of dense forests, which is only 5% of the total forest area. All others are disturbed and show significant signs of disturbance or degradation. The figures below show the land and forest cover 1996 and 2003 (refer also to the map atlas). No forest inventories have been carried out so far in SRPA and there is no information available on current standing stock, species distribution, etc. 49% of the forests are evergreen, 7% deciduous and 12% mixed. Forest regrowth make up 32% of the forest cover.

Figure 11: Land and forest cover 1997

[figure / map has been removed from this Internet download version]

Figure 12: Land and forest cover 2003

[figure / map has been removed from this Internet download version]

To identify the change in forest cover and condition, the land use cover of 2003 was superimposed on the 1996 cover. The forest cover types were classified according to condition into dense, closed, open and shrub as shown in the Table 15 below. The changes according to land cover classes are shown in Table 16.

Table 15: Forest cover types according to condition Dense Forest Disturbed Forest Mosaic Forest Wood?Shrub Evergreen dense Evergreen disturbed Evergreen mosaic Wood/shrub evergreen, Mixed dense Mixed disturbed Mixed mosaic Wood/shrub dry Deciduous Deciduous mosaic

Table 16: Change in land cover 1996 to 2003 Land Cover 2003 Total Cover 1996 F. dense F. dist. F. mosaic W/Shrub Regr. MoCrop Agric. Other 1996 Forest dense 3166 497 59 477 116 421 231 0 4967 Fores disturbed 519 10228 3114 4576 1555 755 300 0 21047 Forest mosaic 790 1837 1143 874 402 285 48 0 5379 Wood/Shrub 224 869 75 2989 147 5051 934 682 10969 Regrowth 13 837 468 236 6909 6804 298 235 15800 Mosaic Cropping 58 479 2132 6973 3442 20325 4048 2212 39670 Agriculture 0 0 0 110 12 1599 9454 1320 12496 Others 1 15 4 614 45 456 874 2277 4287 Total 2003 4771 14762 6996 16849 12628 35694 16187 6727 114614 The forest cover and forest condition has worsened during the period 1996 to 2003. While in 1996 there were still about 47,200 ha of forest land (excl. wood/shrubland) this was reduced to 39,000 ha. The net loss in forest cover in 7 years was 8,200 ha or 7%, which is equal to a deforestation rate of 1% per year. However, if we look at the potential forest area (i.e. this includes wood/shrubland, as it is not used for another purpose), then the situation is not as bad. There was only a net loss of 2,300 ha. Therefore, the encroachment of potential forest area is not the main problem, the gradual degradation of the forest land due to illegal logging and forest fire is the major issue. Table 17 below shows the change in land cover for the different management areas (refer also to chapter 6.2 for description of the management areas). There is a significant difference according to the management status. For Kulen National Park, the forest condition has slightly improved. 12% more areas have been classified as forest in 2003 than in 1996, while the areas of mosaic of cropping and wood and shrubland was reduced. About 2500 ha of former shifting cultivation areas have been left fallow because of poor growth and have been classified as forest regrowth. However new areas were encroached near Preah Ang Thom village. For the forest concession area, the area under forest cover has significantly been decreased (23%), but the potential forest area (i.e. forest + wood/shrubland) has increased. The total area of mosaic of cropping (i.e. shifting cultivation) was reduced. It seems that forest degradation has taken place through logging (legal and/or illegal), but shifting cultivation areas are going to recover. However, in 2003 there were about 560 ha of agricultural land inside the concession area. Dramatic is the loss of forestland in the "unmanaged" areas. Here almost the whole forest cover has been converted into shifting cultivation areas, agricultural land or grassland.

For community forests the area is to small to allow an assessment based on macro-planning data. Table 17: Forest management areas and land cover change Land Cover Year Kulen NP Angkor Wat Concession CF Unmanaged Forest 1996 14286 0 13476 117 3514 2003 15934 0 10232 0 320 1648 0 -3244 -177 -3195 Difference 12% -24% -100% -91% Wood/Shrub 1996 969 302 1473 39 8184 2003 900 0 6653 220 9076 -69 -302 5180 181 892 Difference -7% -100% 352% 457% 11% Forest Regrowth 1996 7052 20 632 361 7735 (Fallow) 2003 9578 0 572 209 2184 2526 -20 -60 -151 -5551 Difference 36% -100% -9% -42% -72% Mosaic of 1996 8306 702 4183 658 25827 Cropping (Shifting Cultivation) 2003 4173 830 1985 609 28012 -4133 128 -2198 -49 2185 Difference -50% 18% -53% -7% 8% Agriculture 1996 0 1585 0 4 10900 2003 100 1344 559 69 14118 100 -241 559 65 3217 Difference -15% 1711% 30% Others 1996 72 0 255 0 3960 2003 0 435 18 71 6231 -72 435 -237 71 2271 Difference -100% -93% 57% 1996 30685 2609 20018 1179 60122 Total 2003 30685 2609 20017 1179 59943 Source: GIS Analysis, 2004

6 Forest Resources Management

6.1 Vegetation Types According to SOCHEAT, 2004, the following vegetation types occur in the pilot area: (1) Open dipterocarp woodland with intermixed grassland Dipterocarp woodland is dominated by a mixture of Shorea siamensis and Dipterocarpus obtusifolius, each species often occurs in large groups (50-100m in diameter). Other common dipterocarp species are Shorea talura, Shorea obtusa (which can also form pure stands), Dipterocarpus tuberculatus, with Dipterocarpus intricatus on better soils. Other tree species in these forests include: Pentacme siamensis, Pinus merkusii, Diospyros erhetioides, Melanorrhea (Gluta) laccifera, Parinari anamensis, Apousa sphaerosperma, Terminalia alata, and Careya sphaerica. Understory members include Ochna integrifolia, Cratoxylum, Lagerstroemia, Memecylon edule, Rhodomyrtus, Dillenia, Corypha lecomtei (a palm), Arundinaria falcata (a bamboo). The woodland canopy is in general open and grass species cover the ground (e.g., Themeda triangularis and Imperata cylindrica) and sedges (Fimbristylis, Cyperus and Cladium). Surprising for such a dry forest is the heavy load of epiphytes on many trees including Dischidia sp., Cassytha filiformis, Asplenium nidus, and Platycerium coronarium. The ant-plants, Myrmecodia and Hydnophytum are collected for medicinal purposes.

Dipterocrap woodlands occur on poor soil and are well adapted to fire as most species have thick corky bark. However, when fire frequency becomes too high, grassland vegetation takes over.

Figure 13: Dipterocarp woodland, surrounding a patch of deciduous forest

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Figure 14: Open dipterocarp woodland with deciduous forest (Kulen Mountain)

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(2) Evergreen rain forest The tallest forest on sandstone occurs on the more fertile, clay-rich soils of the hill slopes from 10 m to 600 m elevation, and is the major timber-producing forest type. The forest is quite diverse; there occur about 100 tree species per ha. In undisturbed evergreen forest, Dipterocarp species dominate, however depending on the degree of logging, other more light demanding species take over. High densities of species from the families of Clusiaceae, Sapotaceae, Lauraceae and Myrtaceae families make these forests reminiscent of dipterocarp forest on fairly poor sandstone soils. As rainfall decreases, northwards and eastwards, the dominance of dipterocarps in these forests will decrease, with increasing Fabaceae (e.g. beng, Afzelia xylocarpa), Meliaceae and Lythraceae.

Figure 15: Interior of tall evergreen forest

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Figure 16: Canopy of tall evergreen forest

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On shallow and/or poor soils low forest is mixed into the tall evergreen sandstone forest. Floristically similar to tall sandstone forest, in some areas the low forest gradually changes to adjacent tall forest, with a slow replacement of species, and in some areas the boundary is sharp. Dipterocarps are less abundant than in the tall forests, often being represented only by various Hopea species, and poor/acid soil groups become more abundant. The original density of timber in low sandstone forest was always low, and most of these areas escaped logging. Tristania and Dacrycarpus imbricatus are two good indicators of this forest type.

Figure 17: Interior of (disturbed) low evergreen sandstone forest

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(3) Deciduous Forest Deciduous forests require more moisture than dipterocarp woodlands and therefore occur near streams and watercourses. The forest canopy is mainly open, dominating species are Dipterocarpus intricatus, D. obtusifolious, D. tuberculatus, Shorea obtusa and Shorea siamensis. Xylia xylocarpa and Terninalia tomentosa are also common in the pilot area. The grassy understorey is dominated by Arundinaria spp. and often features the Cycas siamensis. Figure 18: Deciduous forest along the road to Kbalspean

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(4) Semi-deciduous forest The canopy of the semi-deciduous forest is moderately dense and features both evergreen and deciduous species which attain heights of 30 meters or more and occur in proportions varying from site to site. These forests correspond to Boulbet’s semi-dense forest and feature Lagerstroemia angustifolia, Irvingia olivieri, Ficus spp., Dipterocarpus alatus, Cratoxylon formosum, Ceiba pentandra, Vatica odorata, Tecrameles nudiflora, Pahudia cochinensis, Dalbergia nigrescens, Terminalia nigrovenulosa, and Sterculia foetida. Calamus spp., Entada phaseoloides, Amomum elephantorum characterize the under-storey.

(5) Bamboo groves Where the evergreen forests are heavily disturbed, groves of bamboo (Bambusa spp.) have formed. These groves have a dense under-storey, with a forest floor littered with thick carpets of bamboo leaves. They may also have higher than average densities of seed- predating rodents. Together, these factors mean that it is very hard for tall forest species to re-invade bamboo stands, and bamboo might be considered a semi-permanent end-stage in a succession after disturbed forest. This formation is definitely ‘natural’ in the Kulen mountains, and it occurs in thick bands at the foot of the walls of cliff that characterize the areas with ‘tableland’ physiography. This has provided a ready seed source for the bamboo to invade logged areas, and many of the more heavily logged areas have become bamboo groves, with associated vines, Gleichenia cf. norrisii, Dicranopteris sp., and Rubus sp.

These areas will take far longer to return to forest than the non-bamboo areas. The bamboo groves themselves contain little plant diversity, and are not a conservation priority.

6.2 Forest Classification and Management The forest area of SRPA is classified into Protected Areas (i.e. Kulen National Park, Angkor Wat) and Permanent Reserved Forest (PRF). The PRF belongs to the production forest and parts of it have been allocated to a forest concession and communities for management. According to the Forest Law, all forestland of the state belongs to the permanent forest estate. However, the forest estate has never been surveyed or physically demarcated and as such could not be proper protected from illegal encroachment. Figure 19 below shows the distribution of the different forest classes and management areas. Figure 19: Forest management areas

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6.2.1 Kulen National Park Kulen National Park is located in Khnong Phnom Commune of Svay Leu district in the north- eastern part of the pilot area. It comprises of the Kulen mountain range and covers an area of 37,500 ha, which is about one third of the pilot area. It was has been officially established on 1st November 1993 by Royal Decree for its significant scientific, educational and recreational values. Since then the area was officially excluded from logging. Kulen National Park is about 70 km from Siem Reap town and can be reached by car in about 2 hours. The park itself is accessible by a network of earth roads, which also connect the villages in the eastern park with the public road network. Altogether 14,600 people live inside the park, which are allowed to carry on subsistence farming and NTFP collection but are officially not allowed to expand further. Most of them practice shifting cultivation and due to growing population and low agricultural productivity, people have started to encroach the adjacent forests. Also illegal logging and hunting is common and widespread.

In response to increasing concerns about forest and biodiversity loss, FAO promoted community forestry inside the park. By now, 5 villages in Khong Phnom commune participate in the CF programme. The park is visited by a large number of local, national and international tourists, because of its forests, scenic waterfalls and historic monuments. At this place the founder of the Devaraja cult "the god who is king", King Jayavarman declared himself king in 802 and he built a temple mountain inside the park. Also, Kulen was the location of the capital city of Cambodia in the past and several sculptures, temples and other cultural constructions still exist. Phnom Kulen is still a sacred place, the forest is considered as holy and buddhist priests or gurus use it as place for meditation. The rivers of "1000 lingas" flows through the park. Just 5 cm under the water's surface over 1000 small carvings are ecthed into the sandstone riverbed while further downstream larger blocks of stone are carved with Apsaras, Vishnu, and other figures. Table 18: Phnom Kulen waterfall

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Most of the visitors come from Cambodia and Thailand to visit the religious places, while there are some international visitors, which are more interested in eco-tourism. Due to the very high entrance fee of 20 USD for foreign tourists, they only make up for 1-2% of all visitors. In average, about 150 tourists are visiting the park daily. During public holidays this number increases up to 400 visitors. The total revenue from entrance fees is estimated at about 200,000 USD plus per year. National Park management is normally the responsibility of the Ministry of Environment. In case of Kulen National Park, the management of the 2400 ha core area in Prea Ang Thom, the main tourist spot, was assigned by the government to a third party2, which receives about 90% of all the revenues coming from tourism. Neither the nature of the contract nor the annual revenues are made public.

2 On the 18th November 1997, the commander of military region 4 requested the first phase government for the development of some part of the national park. On 23rd 1998, the first phase government signed over the national park that covered an area of 2400 ha locating in Prea Ang Thom compound. Now, the area of 2400 ha is under the management and development of H.E. Sieng Nam assembly member for Siem Reap Province.

During the civil war, Kulen National Park was a stronghold of Khmer Rouge and was heavily mined by both parties. Altogether 50 people were injured by stepping on mines and are now disabled. By 2002, all mines were cleared by Halo Trust and the area is considered to be safe now. The Ministry of Environment is responsible for the protection of the park from illegal logging and poaching. For this purpose a group of rangers has been engaged to patrol the area, which are unarmed and poorly equipped. They reported that illegal hunting and logging is very common and wide-spread, but it is difficult for them to stop it, if they arte not supported by the third party management. The Siem Reap Forest Division under the Forest Administration is responsible for the protection of the buffer-zone around the park from illegal logging and encroachment. Ministry of Culture and Apsara Authority are responsible for the preservation of the cultural and historic monuments inside the park. Ministry of Tourism should also be involved, as Kulen National Park is an important tourist spot. However, fact is that all these government institutions have nothing to say, the management of the park and it's tourist development is almost completely in the hand of the third party.

6.2.2 Angkor Wat Protected Landscape In 1925, Angkor Wat and surrounding 10,800 ha of forest were declared as a national park. It was the first protected area in Southeast Asia. Since 1993, the Angkor temple complex has the status of a Protected Landscapes under the Royal Decree on Creation and Designation of the Protected Areas System. According to Royal Decree, the Department of Nature Conservation and Protection, Ministry of Environment is responsible for coordinating with other ministries and provincial departments to manage the Protected Landscape. However, on 19 February 1995 His Majesty King Norodom Sihanouk issued the Royal Decree (NS/RKT/0295/12) on the establishment of the National Authority for the Protection of the Site and Development of the Region of Angkor, named the APSARA Authority. Following are some key institutions for conservation and protection of the Angkor complex. Apsara Authority is responsible for the management of the Angkor complex including Angkor Protected Landscape. Siem Reap Protected Areas Management Unit is responsible for natural resources management including forests and wildlife of the Angkor Protected Landscape. Angkor Conservation Office is responsible for preservation of the site. The World Heritage Committee and UNESCO's Scientific Panel for Angkor offers international expertise and technical advice.

6.2.3 Forest Concession In 1996, about 30,685 ha of forest land inside the SRPA has been granted as a forest concession to Samrong Wood Industry Pte. Ltd. Samrong Wood, previously known as Mc Gate and then Sottranimex Co., is a Phnom penh registered company, which holds strong business links to Timas Resources Ltd. And the international Robina group, based in Singapore. Samrong Wood signed an investment agreement and forest timber license agreement in 1996 for a toital area of 200,050 ha, which is located in 6 districts and two provinces, Siem Reap and Otdormeachchey. Field operation started in 1998, right after the end of the fighting between Khmer Rouge and the government forces. During the period of fighting, large parts of the concession forest were subject to uncontrolled harvests. Samrong commenced its own logging in 2000, and a total of 21,530 m3 was legally extracted until the start of the logging moratorium in 2002. Logs are still piled at the log yards and prone to decay.

How much timber has been harvested in the concession area located within the pilot area is not known. The company has prepared a management plan, which is at the moment being reviewed by the Siem Reap Forest Cantonment. No date has been indicated, when the review process will be finalizes. According to information from The Siem Reap Forest Cantonment, it is very much likely, that the concession will not be terminated and operations will continue, once the management plan is officially approved. If this is not the case, then it is up to the Forest Administration to decide what shall be done with this area in future. One option, which is currently being discussed, is to classify this area as a Protected Area under FA/MAFF. But so far, no decision has being taken.

6.2.4 Community Forestry The FAO supported Project "Participatory Natural Resources Management in the Tonle Sap Region" begun their work already in 1996 with the main objective "to promote private and community based development activities in support of natural resources management". The "National Community Forestry Programme" of the international NGO "Concern Worldwide" started 1997 with community based forest management in the pilot area. With the assistance of both projects altogether 14 community forest covering a total area of 2261 ha were established throughout the pilot area, which are listed in Table 19 below. Five community forest were established with FAO support in Kulen National Park. Table 19: List of community forests Name of Community Forest Area (ha) Popel 189 Sangkelak 78 Khlar Khmom 307 Anlong Thom 288 Tapegn 219 Total CF inside Kulen NP 1082 Don Keo 118 Pre Pras 16 Tbeng Lech 211 Skun 87 Peak Sneng 207 Balang ( Krapeu) 37 Bos Thom 96 Khna Sanday 177 Svay Chek 232 Total CF outside KNP 1179 Total of Forest Community 2261 Source: GIS Analysis in 2004 While the local people carefully manage community forests, they simply use forest areas outside of the CF more intensively or encroach them. As such, with regard to forest protection, only a small fraction of land has been secured. Community forests are common property, individuals are therefore not eager to invest labour or money, as they are not sure, what will be the benefit for themselves. Another, bottleneck that has been reported by the people is, that the community forest is only given for a period of 15 years. After that, it is checked whether the community has met the conditions imposed, if not the government takes the area back. At the moment, local people have not much confidence in government due to lack of transparency and good governance. They fear, if they invest and create a good forest, this may rather motivate the government to tack it back. As such people look at the CF more as a temporary secure area for the collection of NTFPs, than as a valuable resource for sustainable timber production in the long-term.

6.3 Forest Administration Responsible for the management of the permanent forest estate is the Siem Reap Forest Cantonment under the Northern Tonle Sap Lake Forest Inspection. Patrol and inspection in the field is the responsibility of the Banteay Srei Forest Division. The Northern Thonle Sap Forest Inspection is directly responsible to the leaders of the Forestry Administration in Phnom Penh.

6.4 Timber Production There is no legal timber production in the pilot area. Samrong Wood who is the holder of the forest concession in the northern part of the pilot area had to stop production when the logging ban was enforced in 2002. According to Samrong Wood from 1998 to 2001 about 15,000 m3 of logs were produced, but how much was coming from inside the pilot area is not known.

6.5 Illegal Logging As there is no legal supply of timber, all timber consumed within the pilot area comes from illegal sources. However, not all comes from the pilot area itself, a large proportion, especially luxury timber comes from Along Veng, which is outside the pilot area in the north. Illegal logging is quite common in the pilot area, it takes place throughout the area, except for community forests, where people have some control on the area. Illegal logging is done by local people for their own need. But also a considerable number of people are engaged in illegal logging for sale. They usually work on order by furniture workshops or traders. They fell the timber in the forest, and pre-process it there with pitsaws or chainsaws. The wood is then transported legally (transport of processed wood is not illegal) to the buyer or trader. For many of the poor farmer this is an indispensable mean to get cash income, especially in cases of emergency. About 60% of the household are engaged in illegal logging for about three month per years. It has also been reported, that illegal logging at a larger scale does also take place organised by the military officials, policemen, local elites and influential persons. The workers who do the actual felling and pre-processing are just paid 5000 Riel (1.25 USD) per day. Illegal felling is normally done in groups of 3-5 people who can fell and process in average one tree per day. It has also become increasingly common, that poor people get loans from the rich, which they have to pay back in form of timber or wildlife. People have reported, that it has become increasingly difficult to find timber trees as the forests are already heavily degraded. The Siem Reap Forest Cantonment keeps record on the cases of illegal logging detected. How high the detection rate is can only be speculated. Also not all detected cases are reported and recorded. Up to 1st November 2004, altogether 1041 m3 of pre-processed wood was confiscated during the first 10 month of this year. How much was cut inside the SRPA is not known. The forest economist has estimated the amount of illegally produced pre-processed lumber at about 60003 m3 per year. Taking into account, a conversion rate of 30%, then this corresponds to 20,000 m3 in terms of log volume.

6.6 Timber Market and Wood Processing Industry In the whole pilot area, there are only two furniture workshops in Banteay Srei commune. They produce furniture on order. As there is no legal supply on wood they buy semi-

3 It is estimated based on capacity of each person can produce a day. Men usually go to forest and manually cut and saw then transport by bike. They transport 3 sawned wood (3m×0.23m×0.01m) everyday. In SRPA, go to forest to do illegal logging is very common for men and they usually do that during dry season. Number of day works in forest is about 3 months in net and 60% of family related in such activities.

34 processed timber from illegal loggers. It has been reported, that these timber comes from outside of the SRPA, but it may come also from the National Park or the forest concession area. It was also not possible to quantify the raw material demand or the average production, as the owners were reluctant to provide information. The demand on timber increases constantly, especially for hotel construction and furniture production due to the booming tourism in Siem Reap and its vicinity. Timber price has increased at a rate of 35% per year since 2001. Table 20: Price of processed wood per m3 Sortiments Price at SR Town Forest Gate Price

Grade 1 $USD300-350 $USD160-250 Grade 2 $USD250-270 $USD120-130 Grade 3 n.a n.a Source: Field data 2004

6.7 Non Timber Forest Products

6.7.1 Fuel Wood and Charcoal Fuel wood is the most important source of energy for villagers in the pilot area. All households interviewed use fuel wood for preparing their food and boiling water. Fuel wood is collected from surrounding forests and shrub lands. According to the Forestry Law and The Protected Area Law, firewood collection for own consumption is permitted. Based on the result of the household survey, the annual demand of firewood is estimated at 52,000 m3 and that of charcoal at 29 tons. People also collect poles, posts and long sticks for construction and fencing.

6.7.2 Non Wood Forest Products NWFP play an important role in the livelihood of the local people. A great variety of forest products are collected, for self-supply as well as for sale. In Annex 4 a list of NWFP species collected and used inside the pilot area is attached. NWFP collection is for many households a major cash income generating activity, especially for the poor. According to the household survey, in average 24% of the income (refer also to chapter 3.2.4) comes from the sale of NTFPs and 80% of households are engaged in NTFP collection. People tend to collect as much as they can as they are hardly controlled. A number of different NWFP are collected such as wild fruits and vegetables, grass and kunmar leaves for weaving, vines, medicinal plants, bamboo shoot, rattan, honey and wild meat. Food from the forest is an important source of the daily diet. Bamboo shoot and mushroom are mainly collected for self supply, wild fruits, and animal, bamboo, rattan, vines, poles and others are also sold. The intensity and amount of collection depends on the economic situation of the household, Whenever additional money is required, they go to the forest and collect NWFPs. For the people living in Kulen National Park, NWFP collection is part of their daily work and the major source of income. Based on household interviews, people earn about 3000 Riel (0.75 USD) if the collect NWFP for a whole day. The collection of NTFP is free to everyone, which is also a cause of conflict. Especially in accessible areas, outsiders are collecting NWFP for marketing and by doing so reduce the resources for the local people. The secured access to NTFP is one reason, why people appreciate community forestry. People reported, that some of the NWFP have become quite rare due to the heavy forest degradation and over-exploitation and that collection has become increasingly difficult and time demanding, especially in Angkor Thom and Banteay Srei.

6.7.3 Marketing and Processing NWFPs are normally sold, how they have been collected. Only very few are further processed, which is grass and Kunmar leaves. Both are weaved into mats, which are used for roofing, walls or mats. Grass weaving is done in Angkor Thom and Banteay Srei and an estimated 1.4 million pieces are produced annually. Kunmar leaves weaving is only done in Khnong Phnom commune in the Kulen National Park, and the average annual production is estimated at 0.5 million pieces. There is no limitation in NWFP marketing. It is done at a small scale. NWFPs are sold to traders who go from village to village and buy NWFPs for a comparatively low price (refer to Table 21. The traders transport it to the local markets or to town and sell it there for at least the double of the price they paid. The market chain is shown in Figure 20. Table 21: Price of NTPFs

Product Units Price 2001 Price 2004 Firewood (1 cubic metric) Cubic metre n.a. 8000 Pole pcs 500 800 Long stick pcs 200 500 Vine pcs 700 n.a. Fruit Kg 800 1000 Rattan 3m long n.a. 100 Mushroom kg n.a. 1000 Weaving Kunmar leaves pcs n.a. 100 Weaving grass (Saccharum spicatum) pcs 100 200 Source: Field survey 2004

Figure 20: NTFP Market

Out- F Traders Direct/usual Siders o r Indirect/occasional

e Local Local market Provincial s Market t Collector

Local Users Provincial Users Other Markets

6.8 Forest Fire Forest fire has become a big problem and is a main cause of forest degradation. They occur almost every year from November to May and affect wood and shrub land, shifting cultivation areas (mosaic of cropping) and forest mosaic. Forest fires are almost exclusively caused by human. The fire risk is especially high during droughts. So far, the problem of forest fire has not been addressed properly and no attempts have been made to control or extinguish forest fires. The only efforts undertaken to prevent forest fire were the set-up of signboards in the Kulen National Park by the local government, Siem Reap Forestry Division and Siem Reap Protected Area Management Unit. Repeated forest fire are a major problem in the long run,

36 especially for vegetation types which are not fire tolerant. But even for deciduous forest, which are more adapted to fire, it has become a problem. Although only few trees are destroyed, it is the natural regeneration that is eradicated with each fire with the long-term effect, that forests are no longer regenerate themselves.

6.9 Tree Planting and Plantations

6.9.1 Tree Planting (Agroforestry) The FAO supported Project "Participatory Natural Resources Management in the Tonle Sap Region" has distributed about 24,000 seedlings in the pilot area to private households, for roadside planting, to pagodas, to schools, to community forests and to others. Tree species distributed were mainly fruit trees (e.g. jack fruit, mango, orange) and acacia sp., but also some local species such as: Dipterocarpus alatus, Aquila crassna, Dalbergia barensis, etc. Trees were simply distributed to the various persons and it was up to them to decide where and for which purpose they were planted. Most of the local species were distributed to community forests for enrichment planting. So far, no real agro-forestry systems (i.e. combination of agricultural crops and trees) have been introduced.

6.9.2 Existing Tree Plantations In 2003, about 975 ha of land has been granted to the military for tree planting in Taben village, Tbeng commune, Banteay Srei district with the objective to solve the conflict of interest between the local people and the military. Species planted were Afzelia xylocarpa, Dipterocarpus alatus, Dipterocarpus intricatus and Acacia siamea. It is too early to evaluate, whether the tree planting has been successful or not. The location of the plantation could not be identified on the land cover map from 2003. So far, no other timber plantations exist, and there is no local knowledge and experience in plantation management available in the region.

6.9.3 Potential Areas for the Establishment of Plantations As small-holder or community based plantation schemes may provide a good opportunity for income generation on village and household level, a rough estimate of the total area suitable for plantation is given at this place. It has to be mentioned that it is simply impossible to come up with a reliable estimate because of the many factors involved such as land allocation, legal status (forest class), land suitability, topography, forest condition, etc.. For all of these criteria only macro-planning data exist, as such the estimate has to be based on expert assumption and the result as such is a best guess. The identification of degraded areas is based on the result of the Land and Forest Cover Map, 2003. Potential areas for plantation or rehabilitation measures are forest mosaic, wood and shrub land, forest regrowth and mosaic of cropping (i.e. shifting cultivation areas). However, not all parts within these land use categories are really degraded (i.e. mosaic forest), some sites may be unsuitable and some other parts may already be used for other purposes. These areas must be somehow quantified and subtracted from the total area. This is done by calculating a correction factor (potential area factor) based on the average forest cover % and an estimated use percentage. The potential area factors for the different land use types are shown in the table below:

Table 22: Calculation of potential area factor

Degraded areas derived from Forest cover % Other Type of Use Potential area Land Use Cover 2003 (STIEBIG, 1997) uses/unsuitable factor (own estimate) Forest mosaic 40 -70% 20% Bamboo 0.36 Forest regrowth (fallow) 20% 10% Unsuitable site 0.72 Wood & Shrubland < 20% 30% Rangeland 0.56 Mosaic of cropping > 50% 50% Shifting cultivation 0.25

Forest regrowth is fallow land, which has been under shifting cultivation before. It consists mainly of shrubs. It is assumed, that about 20% is stocked with valuable trees, and another 10% of the site is unsuitable for plantations. For mosaic of cropping, about 50% is under fallow land. It is furthermore assumed, that only 50% of the fallow land can be converted into plantation, as people might not like to give up all the shifting cultivation areas. The 975 ha of plantation established by the military near Tabeng village is located in wood and shrubland. This area was deducted, before the area was multiplied with the potential area factor4. The table below shows the potential plantation area inside the forest concession and outside of Kulen National Park and Angkor Wat Protected Landscape.

Table 23: Estimate of potential areas in ha for plantation schemes Type of degraded area Forest Unprotected Concession areas incl. CF (ha) (ha) Forest mosaic 800 0 Forest regrowth 450 1700 Wood and shrub land 3700 4500 Mosaic of cropping 500 7000 Total 5450 13200

The potential area available for small scale plantation schemes outside protected areas is about 13200 ha. Another 5450 ha are located inside the forest concession area. It has to be mentioned at this place, that the establishment of plantation is not considered as a rehabilitation measure. Ecological and environmental values of secondary forests, wood and shrub land or forest mosaic may be higher than that of a monoculture tree plantation. However, the impact of small scale plantations which are intermixed with other land uses may be of low significance from the watershed management point of view. Small scale plantations do not have the same negative impacts on the environment and ecology as large scale commercial tree plantations. Enrichment planting with local species may also be a good option in sensitive sites and in community forests.

7 Agriculture Agriculture is the predominant occupation of the people living in the pilot area. There are two types of agricultural systems practiced: permanent agriculture and shifting cultivation (chamkar).

4 (9075-975)*0.56 = 4536 ha

7.1 Permanent Agriculture According to satellite image interpretation the land area under permanent agriculture increased from 12,500 ha to 16,200 ha from 1996 to 2003. As a result of GIS-analysis, this increase come mainly from land classified as mosaic of cropping (i.e. shifting cultivation) and from wood and shrub land (refer to Table 16). Rainfed rice cultivation or lowland paddy is the most common agricultural production system. According to commune statistics there are about 8800 ha of rainfed rice fields. Rice is cultivated for home consumption and for sale; about 36% of the income comes from the sale of rice. The productivity of rice production varies greatly within the pilot area and ranges from 0.4 to 1.2 t/ha, the average is 0.92 t/ha, which is very low. The table below shows the distribution of rice fields and rice production according to commune. There are only about 330 ha of irrigated rice fields in the pilot area. Table 24: Rice production in the pilot area Rainfed rice Irrigated rice Rice Productivity District Commune area land production (ha) (ha) (tons) (tons/ha) Angkor Thom Chob Ta Trav 420 0 470 1.12 Leang Dai 895 0 1099 1.23 Peak Snaeng 517 0 618 1.20 Svay Chek 933 0 1081 1.16 Banteay Srei Khnar Sanday 680 0 544 0.80 Khun Ream 450 0 299 0.66 Preak Dak 1130 0 1130 1.00 Rumchek 561 220 350 0.62 Run Ta Aek 1390 111 556 0.40 Tbaeng 1210 0 1670 1.38 Svay Leu Khnang Phnom 642* 0 642 1.00 Total 8828 331 8459 0.92 Source: Commune statistics, 2003 * Chamkar land

Beside rice, the people also plant vegetables, corn, bean, banana, pumpkin, water melon etc, in their fields and gardens. Some of these crops are cultivated throughout the year. They are mainly grown for own consumption, but also for sale. Altogether 19% of the household income was generated by the sale of vegetables (9%) and other crops (10%). According to the local people the most serious problem in agriculture is increasing soil degradation and decreasing productivity. Also the far distance to markets and the poor conditions of roads especially during the rainy season makes the marketing of surplus production or the production of cash crops difficult. Lack of funds is another major bottleneck in agriculture. Only very few people (6% of the households) apply chemical fertilizers, or pesticides. Increasing threats to agricultural production are droughts and floods, which occur nowadays, according to the local people, much more frequently than before.

7.2 Shifting Cultivation Shifting cultivation or "chamkar" has been practiced in the pilot area since long time ago and it is still very common and widespread. It is difficult to provide a good estimate on the real extent, as no official data are available. As indicator for shifting cultivation the land cover category "mosaic of cropping" can be used. In 1996 the area under "mosaic of cropping" was 39,700 ha and in 2003 it was reduced to 35,600 ha. The reduction in area is mainly due to the fact, that a part of the shifting cultivation areas have been converted into agricultural land. The normal rotation period in a sustainable shifting cultivation circle was according to the local people 10-15 years. Today, due to reduced soil fertility, lack of land, increased

39 population, the rotation period has been drastically reduced to 2-3 years, which is too short for the soil to recover. According to the people, this is also related to the degradation of the forestland as sediments and nutrients are washed out.

7.3 Livestock Livestock plays an important role in rural life. Each households keeps at least two chicken or ducks. About 40% of the households have one to two pigs but only of poor breed. 53% of the household raise cow or buffalo for farm work, mainly for ploughing and transport of goods. Most of the livestock is kept for own consumption and only in need of cash it is sold. In average, about 11% of the households income comes from livestock production. Large livestock are kept in the rangeland during rain season and are allowed to graze freely from December to May.

7.4 Fishing and Aquaculture Villagers catch fishes and other aquatic animals in the canals, rivers, streams and in paddy fields in their surrounding. They take all whatever is caught no matter what species and size they are. Fish is entirely used for own consumption. People reported, that because of increasing water shortage in the dry season, fish resources have become very poor. They explain the water shortage with the depletion and degradation of the forest area, because it has not been such a problem, when forests were there in abundance. So far, people have not been engaged in aquaculture or the establishment of fishponds. People inside the pilot area do not go for fishing to the Tonle Sap, as it is to far away. They are all farmers, none is fisherman.

8 Brief Problem Analysis The local people living in the pilot area are very poor. According to the household survey the average income per person and day is only 0.19 USD, which is below the national poverty index of 0.49 USD. Most of the money is spent for basic needs such as medicine, clothing and food. There is no money available to invest in agricultural production, which is a reason for the very low yield of about 0.9 t of rice per ha. People depend largely on shifting cultivation, as they cannot invest in permanent agriculture. Because of limited access to land, rotation periods have become very short, which has led to severe soil degradation and loss of soil fertility. People depend largely on NTFP collection from surrounding forests for own consumption but also for sale. About 25-40% of the cash income comes from the sale of NTFPs. Also, wild fruits, wild vegetables and wild animals are an important food source, especially if food becomes scarce. A large proportion of the local people (60% of the households) is engaged in illegal logging. Especially along the road to Kulen National Park in the north, they are also engaged in encroaching forestland, which they sell to rich land speculants (price per ha 400-800 USD). As there is no legal supply of wood on the market, all timber and lumber comes from illegal sources. While local people are the actors, they do it on order by the wood processing industry, wood traders, influential people, military and local authorities. These persons are getting the largest share of money, while the local people who are conducting the “crime”, almost get nothing (about 0.75 USD/day). As the demand on timber is increasing due to the booming tourism industry, prices for timber are raising and illegal logging is even increasing. Forest fire has become a serious problem since the last 10 years, as the degraded forests are much more sensitive to fire than closed or evergreen forests. Almost no attempts have been made so far in terms of fire prevention and control. Illegal logging, forest fire and encroachment have resulted in extremely serious forest degradation. Outside Kulen National Park and the forest concession area in the north all

40 forest have been degraded to such an extent, that they are no longer classified as forest (less then 20% forest cover). Forest degradation may be one reason for increased soil degradation and low water levels in streams and canals during the dry season. Also, local people reported that it becomes increasingly difficult to collect NTFPs as some species became rare or have even disappeared. This has direct impact on the livelihood of the people. The heavily degraded forests are unproductive and there are also large areas which are fallow and unused. Forest lands which is considered as permanent forest estate of the state has neither been surveyed nor physically demarcated in the field. As long as there are no boundaries, people do not respect ownership. Another problem is the responsibility on land. According to the Forest Law and Land Law forestland is to be managed by the Forest Administration, while other lands are under the local government and can be allocated to individuals or organizations, etc. But for seriously degraded areas, which no longer qualify as forest, there is always a dispute, who is responsible. Without a clearly identified boundary of the permanent forest estate, forest will continue to disappear.

9 Potential Fields of Intervention with Special Reference to NRM There are two main problems in relation to forest degradation, which need to be addressed. The first and most important one is poverty. If people have a secure and sufficient income, they no longer depend on illegal forest use and can invest in improved agricultural techniques. This will increase agricultural productivity and reduce the pressure on land. The second problem is, that the local wood demand must be supplied from a legal source. As long as wood is needed and cannot be subsidized by other products, people will get wood, if not legal then illegal and this cannot be stopped by the best law enforcement. In the following some fields of intervention (options) are described which may contribute to solve these problems:

1) Establishment of small scale plantations, fruit orchards or agro-forestry systems. One option, which addresses both problems, is to allocate unproductive forestland or fallow, which are unsuitable for permanent agriculture, to local farmers for the establishment of small scale timber plantations, fruit tree orchards or agro-forestry systems. After a period of about 10 years, first returns can be expected. Timber produced from small scale timber plantation (e.g. teak) will supply the local wood demand and reduce the dependency on illegally produced timber. Income from the sale of timber and other products can be invested to improve agricultural production. The income will be generated continuously and sustainable if the plantation schemes and agro-forestry systems are proper managed. Major bottlenecks are access to land and lack of funds for initial investment. Cash is required for the purchase of seedlings and fencing material, the remaining investment is manual labour. Current micro-financing schemes are unsuitable, as the interest rates are too high for long-term investment. Also banks are requiring security and may not be willing to provide loans for such innovative schemes. Other problems are the issue of land title for plantations, lack of experience in plantation management, and institutional weaknesses. For the introduction and implementation of the proposed option the following main activities are required, among others: • Clarification of legal aspects (i.e. social concession for small-scale plantations) • Participatory land use planning to identify suitable areas and to allocate land (social concessions and transfer of ownership) • Provision of funds for initial investment or in kind (seedlings and fencing material) • Capacity building in plantation management through the establishment of an extension service and implementation of village based training programs

• Establishment of a marketing structure and marketing organization for plantation timber • Improvement of accessibility and transport infrastructure • Institutional strengthening of implementing agency The implementation of such a programme should be closely linked with the Land Management Administration Project, which is currently implemented in Cambodia with technical assistance of GTZ. Coordination and cooperation with the FAO funded Programme “Participatory Natural Resources Management in Tonle Sap Region” is also highly recommended.

2. Identification, Survey and Demarcation of the Permanent Forest Estate The identification of the permanent forest estate is a pre-requisite for option 1. As described in chapter 5 Land and Forest Cover and shown in Table 17 the forest cover outside the forest concession area and Kulen National Park almost disappeared from 3500 ha in 1996 to 300 ha in 2003. Most if these forestlands were located in the north and considerable areas have been encroached for land grabbing. It is recommended to reclaim all lands, which were illegally encroached for the purpose of land speculation. Subsistence farmers who encroached and cultivated the land should be exempted and given a social concession for this area (i.e. social concession), in line with the policy formulated by the Prime Minister in his speech from 18 October 2004. To ensure the commitment of the farmer in proper management and long-term investment, the social concession should be transformed into private property as provided for in the sub-decree on social concessions. Based on land capability survey and Participatory Land Use Planning (PLUP) encroached land suitable for agriculture shall be allocated or set aside for subsistence farming. Land on soils unsuitable for agriculture, but suitable for tree crops and plantations should be allocated for small scale plantations or agro-forestry schemes. The remaining area should be reforested. During this process, the boundary of the permanent forestland shall be determined, surveyed and physically demarcated in the field. This shall include the boundaries of the protected areas. Along the permanent forest boundary a belt of trees shall be planted, either of plantation species (i.e. teak) or fruit trees such as cashew, which could be managed, maintained and used by the neighboring farmers. In addition, this green fence may also serve as a fire fighting line, from where fires can be fought and stopped from entering the forest. The area concerned is comparatively small. It could serve as a pilot area to develop a model for the identification, classification and demarcation of all forest areas in Cambodia. It is the opinion of the authors that without proper demarcation, forest degradation and encroachment cannot be stopped. For more details on the strategy refer to SCHINDELE, 2003. There are three major bottlenecks: The political will to allocate (or set aside as land reserve) illegally encroached forestland on comparatively good sites to subsistence farmers as social concession; Lack of funds for survey and demarcation (including green fence) Institutional capacity Implementing this option should be done in close cooperation with the Land Management and Administration Project.

3) Management of the Forest Concession area for the supply of the domestic wood demand and local wood market As described in chapter 6.6, the whole domestic wood demand is supplied from illegal logging, which is the main cause of the extremely serious forest degradation. To supply the domestic market with sustainable produced wood at current market price and, to impose

42 strict law enforcement on the other side, may be the best mean to reduce illegal logging to a minimum level (note: illegal logging for local people’s own consumption may be very difficult to be controlled at all). At the moment, the only forest area, which has a potential for sustainable timber production is the forest concession area in the northern part of the pilot area. Depending on the future management of this area, the following is proposed: Option 1: Management of the by Sam Rong Wood Pte. Ltd: The company should be requested to set aside a proportion determined by the Forestry Administration for the supply of the domestic market. Option 2: Management by Forest Administration: The concession forest should be zoned into Protection and Production Zone. The Production Zone should be managed based on the bidding coupe system. Beside sustainability considerations, one criteria for the determination of the allowable cut should be the domestic wood demand. In case intervention option 1 (small-scale plantations) is implemented, too, then after about 10 years, timber from plantation would substitute the supply from this area.

4) Integrated Forest Fire Management Forest fire has become an increasing threat to the remaining woodlands in the pilot area. An integrated forest fire management program would be urgently required.

5) Set-up of hydrological measurement stations Hydrological measurement stations need to be established at the Stueng Siem Reap, Stueng Rolus and O Ta E in order to measure the hydrological impact of watershed management interventions.

Annex 1

Literature and References

Literature ASHWELL, A.; 1993: Background Report on the Vegetation Ecology of Angkor and Environs -Part 1, The World Conservation Union for UNESCO- Cambodia, Siem Reap Cambodia. CAMBODIA NATIONAL MEKONG COMMITTEE; 19994: Prek Thnot Multipurpose Project Environment Study report, Cambodia National Mekong Committee -NIPPON KOEI CO, LTD. In Association with Snowy Mountains Engineering Corporation, Prek Thnot, Cambodia. CASTRÉN, T.; 1999: Cambodia Timber trade and wood flow study, Subregion (GMS) watersheds project, Cambodia. CONCERN WORLD WIDE; 2004: Strategic Plan 2004-2007. CDC; 2000: Laws & Regulations on investment in the kingdom of Cambodia, RGC, Cambodia. DFW; 2003: Cambodia: Forestry Statistics to 2002, MAFF, Cambodia. FAO; 1995: Report of the Rapid Rural Appraisal Workshop, Seam Reap. FAO; 2002: National forest products statistics, Cambodia, FAO, Cambodia. FORESTRY ADMINISTRATION; 2003: Cambodia: Forestry Statistics to 2002. FORESTRY ADMINISTRATION; 2003: Annual Conference Statistics Section, Planning and Accounting Office Report on Forest Sector (1998-2003). FORESTRY ADMINISTRATION; 2003: Magazine on Forestry and Wildlife, number 23. FORESTRY ADMINISTRATION;2002: Progress report on forest policy reform to the sixth Consultative Group Meeting with donors, Phnom Penh, Cambodia. GLOBAL WITNESS; 2002,2003,2004: Reports on illegal logging activities in Cambodia. (http://www.globalwitness.org/) GOVERNMENT OF CAMBODIA; 2004: Cambodia Independent Forest Sector Review 2004, GILLHAM, M; 2004: Prek Thnot Flood Relief Channel design Note, Emergency Flood Rehabilitation Project -Mott MacDonald Limited in association with BCEOM and SAWAC, Cambodia. GLOBAL WITNESS; 1995: Forests, Famine, and War: The key to Cambodia's Future, Global Witness, Cambodia. GLOBAL WITNESS; 1995: Thai -- Khmer rough links and the illegal trade in Cambodia's timber, Global Witness, Cambodia. GLOBAL WITNESS; 1996: Cambodia, Where money grows on trees, Global Witness, Cambodia. GLOBAL WITNESS; 1997: A tug of war: The struggle to protect Cambodia's forests, Global Witness, Cambodia. GLOBAL WITNESS; 1999: Crackdown or Pause: A Chance for Forestry reform in Cambodia?, Global Witness, Cambodia. GLOBAL WITNESS; 1999: The Untouchables: forest crimes and the concessionaires -- Can Cambodia afford to keep them?, Global Witness, Cambodia. GLOBAL WITNESS; 2000: Chainsaws Speak louder than words, Global Witness, Cambodia. GLOBAL WITNESS; 2001: The credibility gap -- and the need to bridge it: increasing the pace of forestry reform, Global Witness, Cambodia. GLOBAL WITNESS; 2002: Deforestation without limits: How the Cambodian government failed to tackle the untouchables, Global Witness, Cambodia. HOU, K.; 2004: Socio Economic Report of the Baseline Survey on Watershed Pilot Area in Cambodia. HENDERSON, D.; 1999: Forest Sector Management in Cambodia. INDEPENDENT FOREST SECTOR REVIEW; 2004: The Forest Sector in Cambodia..

KIMPHAT, N., UOZUMI, Y., UEKI, T., DRURY, W.; 1998: Analysis on the demand for Cambodia's forest products, Shinshu University, Cambodia. KIMPHAT, N.; 2000: Forests and the forest industry in Cambodia, Shinshu University, Cambodia. KIRKPATRICK, C.: 2003: Land Concession and their Effects on Livelihood in rural Cambodia. Proposed Research 2003. LAUER, W.; 1993: Climatology. In PANCEL, L.: Tropical Forestry Handbook, Vol. 1. LY, C.B., NUP, S., DY, S.; 2004: Assessment of ongoing community forestry initiatives in Cambodia implications for the Development of a Forestry Extension Strategy, Department of Forestry and Wildlife -Cambodian-German Forestry Project, Phnom Penh, Cambodia. MACKENNEY, B., PROM, T.; 2002: Natural resource and livelihood of rural Cambodian: baseline assessment, CDRI, Cambodia. MACKENNEY, B, PROM, T.; 2003: Resin trading in Cambodia: challenges, threatening and opportunities, CDRI, Cambodia. MACKENNEY, B.; 2002: Questioning sustainable concession forestry in Cambodia, Cambodia development review, Cambodia. MCKENNEY, B., TOLA, P.; 2004: National Resources and Rural Livelihoods in Cambodia a baseline Assessment, Cambodia Development Resource Institute, Cambodia. MCKENNEY, B., CHEA, Y., PROM, T., EVANS., T.; 2004: Special Report - Focusing on Cambodia's High Value Forests: Livelihoods and Management, Cambodia Development Resource Institute and Wildlife Conservation Society. MAO, S.; 2004: GIS Analysis Report of the Baseline Survey on Watershed Pilot Area in Cambodia. MEKONG RIVER COMMISSION AND CAMBODIAN NATIONAL MEKONG COMMITTEE; 2002: Stueng Siem Reap Basin Case study & project ideas MINISTRY OF AGRICULTURE FORESTRY AND FISHERIES.; 2001: PRAKAS on SUSPENSION OF FOREST CONCESSION LOGGING ACTIVITIES (Praks No. 5721 MAFF/December 13, 2001) MINISTRY OF CULTURE AND ARTS, UNESCO; 1994: Synthesis Report on the Zoning and Environmental Management of Angkor within the Siem Reap Region, Ministry of Culture and Fine Arts -UNISCO (ZEMP Project), Siem Reap, Cambodia. MOE; 2000: Chapter 17: Forests, Environment: ETAP Reference Guide Book, Cambodia. MOE/TONLE SAP TECHNICAL COORDINATION UNIT; 1996: Progress Report of the Results of the Survey on the Tonle sap Lake for Inscription on the World Heritage List, UNESCO, Environment and Natural Resources Unit, Cambodia. MOWR; 2004: Proceedings of Consultative Meeting on New Initiatives for Stueng Prek Thnot River Basin Management, Ministry of Water Resources and Meteorology-Partner for Research and Development, Cambodia. NIS; 1995: Socio-Economic Survey Report 93/94, Ministry of Planning, Cambodia. NIS; 1997: Socio-Economic Survey Report 1996, Ministry of Planning, Cambodia. NIS; 2002: Statistics Year Book of Cambodia 2001, Ministry of Planning, Cambodia. PROVINCIAL DEPARTMENT OF FORESTRY; 2000: Case study for Community Forestry Establishment. Seam Reap Province. PROVINCIAL DEPARTMENT OF PLANNING; 2002: Provincial socio-economic profile. PROVINCIAL DEPARTMENT OF PLANNING; 2003: Commune database. PROVINCIAL RURAL DEVELOPMENT; 2004: SEILA Work Plan and Budget. ROBERT B, O.; 2004: Analysis of existing/draft rules and regulations related to watershed management in Cambodia within the Ministry of Agriculture, Forestry and Fisheries, Ministry of Environment, and Ministry of Water Resources and Meteorology, MRC-GTZ

Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. ROBERT B, O.; 2004: Review and analysis of existing documentation on policies, rules and regulations related to watershed management within the four member countries of the Mekong River Commission, MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. ROCK, F.; 2004: Comparative study on practices and lessons in land use planning and land allocation in Cambodia, Lao PDR, Thailand and Viet Nam, MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Component, Cambodia. RGC/MOE; 1994: State of Environment. RGC/MLMUPC/LMAP; 2004: Cambodian Land Law Materials: A Compilation of Laws and other Legal Texts Related to Land Issues (CD-Rom). RGC/MLMUPC; 2002: Land Law. RGC/MLMUPC; 2002: Sub-decree on Social Land Concession. RGC/MINISTRY OF RURAL DEVELOPMENT; 2000: District Accessibility Profile, Siem Reap Province, Angkor Thom, Siem Reap Cambodia. ROTHA, K. S.; 2004: Land and Natural Resources Management. Baseline Survey for Siem Reap Pilot Area. ROYAL GOVERNMENT OF CAMBODIA; 2003: National Population Policy. SLOTH, A, DUMMER, I, THEA, S.; 2003: Gene-Ecological Zonation of Cambodia. Report of the Cambodian Tree Seed Project SCHINDELE, W.: 2003: Identification, Classification and Demarcation of the Permanent Forest Estate of Cambodia. Strategy Paper. CGFP working paper. UNG, L.; 2004: Forest Economic Analysis Report of the Baseline Survey on Watershed Pilot Area in Cambodia. UNITED NATIONS; 2004: Land concessions for economic purposes in Cambodia: A human rights perspective, United Nations-Special Representative of the Secretary-General for Human Rights in Cambodia-COHCHR, Cambodia.WORLD BANK; 1996: Cambodia forest policy assessment, World Bank, Cambodia. WORLD BANK; 2003: Cambodia Environment Monitor 2003, Cambodia.

Annex 2

List of Households Interviewed

List of Households interviewed Khun Ream village, Khun Ream Commune, No Name Sex Age 1 Pin Thorn M 42 2 Tit Chhay M 45 3 Khouy Sean M 4 Keng Vy F 5 Chay Chom F

Tbeng Koeuth, Bantey Srei No Name Sex 1 Hak Som F 2 Soum Som F 3 Phoung Khorn M 4 Ros Ry M 5 Kan Rey Tmat Pong village No Name Sex Age 1 San Sameth F 18 2 Veoun Trop F 25 3 Luy Mao M 35 4 Sem F 56 5 Nhouch M 62

Preah Angthom village No Name Sex 1 Vann Meoun M 2 Y pheng F 3 Meoun Proun M 4 Chhoun Choeun M 5 Lem Heap M

Anlong Thom village, Khnong Phnom Commune No Name Sex Age 1 Chheoun Tang M 38 2 Heng Heoun M 55 3 Yort Phou M 42 4 Heoun Pich M 38 5 Heoun Seur M 57

Thmey village No Name Sex 1 Klouk Soy M 2 Chan Chhay M 3 Nov Von F 4 Ling Round F 5 Khem Chhorn M

Svay Chek village No Name Sex Age 1 Tan Sareang M 54 2 Poun Muth M 53 3 Thorn Lem M 25 4 Lun Saveoun M 44 5 Ging Hay M 53

Peak Snang Thmey village No Name Sex Age 1 Kok Teang M 2 Krat Hou M 3 Chann Sarom F 30 4 Som Tak F 40 5 Doung Louy M 52

Annex 3

Indicators for Social Impact Monitoring

Indicators for Social Impact Monitoring Broad Indicator Raw data from households at Other composite the village level sources measure (altogether 10473 households) category Health 6.8% no access 8388 households with piped to safe water water, private pump well or private ring well, usable year round, at their house, less then 150m. 1369 households with a communal tap, pump well or ring well, usable year round, within 150m of their house. 716 households with common source of water pond, river, rain water Sanitation 2.5% of total 262 households with toilet households access to toilet Livelihood 4.04% of 330 ha out of 8196 ha total wed irrigated area in rain fed total cultivated area

Income Income from lands 36% from rice (Agriculture) 9% from vegetable 11% from livestock 10% from other crop 14% from labor Income from forest product 24% from NTFP

Interviewed Indicator Areas Sources of Change of Water Use of Pesticides Diseases Drinking Water Flow and Shape or Chemical fertilizer or other Bantey Srey 83%-wells. 100%-change in 6.6% use 84% get (3 14-other sources water flow and pesticides. Diarrhea communes) with 150 m walk. shape of rivers. 6.6% use and typhoid, if 3%-other sources chemical fertilizer. people with more than 150 86.8% use take m walk. compost fertilizer unboiled or not use water from anything at all. the rivers. 16% fever and other Angkor Thom 86%-wells 95%- completely 3% use pesticide 68% get (2 14%-other sources changed. 7% use chemical diarrhea communes) from 150m walking 5%- not noted. fertilizer. and typhoid. 90% use compost fertilizer or not use 22% get anything at all. fever and others. Svay Leu (1 24%-pulm and ring 90%-change of 100% use 84% get commune) wells water flow and compost fertilizer diarrhea, 61%-rivers, canals shape of rivers. or other traditional typhoid, and streams 5%- not noted. fertilizer (cow 16% get dung). However, it fever and 15%-wells about has been reported malaria. 150 meters walking. that some people, who are affordable to chemical fertilizer or pesticides.

Annex 4

NTFP Collection in the Pilot Area

List of NTFPs collected in the pilot area Type Collection Period Availability Firewood Jan-Jun Moderate Pole Jan-Apr Moderate Small tree May-July, Sept-Nov Abundant Vine-Angtung Whole year Abundant Vine-Chuut Whole year Abundant Vine-Trey Whole year Abundant Vine-Thlork Whole year Abundant Vine-yauv Whole year Abundant Thacth Whole year Abundant Resin Nov-May Abundant Medicine Whole year Abundant Bamboo Sept-Feb Moderate Rattan Sept-Feb Moderate Khanma Leave Whole year Abundant Wild Vegetable and fruits Mushroom Jul-Aug, Dec-Jan Abundant Wild potato Whole year Abundant Every three years Wild lychee (Apr-May) Abundant Rumdoul (Local name) Jul-Aug Abundant Sé Moun (Local name) Jun-Jul Abundant Kralanh (Local name) Fruit of Dialium Cochinchinensis Jun-Jul Abundant Kuy (Local name) Apr Abundant Wild Animal* Snake Whole year Abundant Wild pig Whole year Abundant Squirrel Whole year Moderate Sunda Pangolin Whole year Moderate Red Muntjac Whole year Moderate Monkey Whole year Abundant East Asia porcupine Whole year Moderate Large Bamboo rate Whole year Moderate Rabbit Whole year Abundant Civet Whole year Abundant Tiger By chance Very scare Elephant By chance Very scare Wolf By chance Very scare Turtles Whole year Moderate

Annex 5

Map Atlas

[maps have been removed from this Internet download version]

Working Paper 13a

Management of Pilot Watershed Areas in Lao PDR

Baseline Survey

Part I: Framework for Land and Forest Resources Management in Lao PDR Part II: Baseline Survey Nam Ton Pilot Area Part III: Baseline Survey Nam Youn Alternative Pilot Area

Consultancy Report prepared by

Kamphay Manivong, Lamphoune Xayvongsa, Oulaphone Ongkeo, Sounthone Ketphanh, Souksompong Prixar

compiled by

Werner Schindele

Vientiane, December 2004

MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Project (WSMP)

Table of Contents Key Data and Environmental Indicators for Laos Preface Part I: Framework for Land and Forest Resources Management 1 1 Background Information 1 1.1 Introduction 1 1.2 Compilation of Relevant Studies and Documents 1 1.2.1 Sector Specific Documents 1 1.2.2 Policy Documents 2 1.3 List of Relevant Projects, Programs and Activities 2 1.3.1 Government Programs 2 1.3.2 Ongoing Projects in the Forestry Sector 3 1.3.3 Former Projects of Relevance 3 2 General Description of the Forest Sector 4 3 The Forest Resource Base 4 4 Political, Legal and Institutional Framework 6 4.1 Forest Policy 6 4.1.1 Overall Policy Framework 6 4.1.2 Development Objectives 6 4.1.3 Policy Directions and Implementation Principles 7 4.2 Legal Framework 7 4.3 Institutions and Organizations 8 5 Land Management 8 5.1 Ownership of Land and Forest 8 5.2 Land Classification 8 5.3 Land and Forest Allocation 8 6 Forest Classification 9 7 Management of Natural Production Forest 10 7.1 State Production Forest 10 7.2 Village Use Forests 11 7.3 Community Forestry and NTFP Program 11 7.4 Log Royalties and Reforestation Fees 12 8 Plantation Forest 12 8.1 Policy and Regulatory Framework 12 8.2 Current Status of the Tree Plantation Sector 13 8.3 Small Scale Farm-Based Plantations 13 8.4 Plantation Incentives 14 8.5 Plantation Financing 14 9 Wood Processing Industry and Timber Market 14 9.1 Wood Processing Industry 14 9.2 Timber Market 15 10 Management of Protection and Conservation Forests 15 10.1 National Biodiversity Conservation Areas (NCBA) 15 10.2 Protection Forest and Watershed Management 16 10.3 Pressure on Conservation and Protection Forests 16 11 Non Timber Forest Products 16 11.1 Importance of NTFP 16 11.2 Regulatory Framework 17

Acronyms and Abbreviations ADB Asian Development Bank APB Agriculture Promotion Bank CBD Convention on Biodiversity Conservation cbm cubicmeter CPAWM Centre for Protected Areas and Watershed Management DAFO District Agriculture and Forestry Office DFID Department for International Development (UK) DoE Department of Environment DoF Department of Forestry DLO District Land Office DOI Department of Irrigation FMU Forest Management Unit FORCAP Forest Conservation and Afforestation Project FRCD Forest Resource Conservation Division FSC Forest Stewardship Council GDP Gross Domestic Product GOL Government of Laos GTZ Gesellschaft fuer Technische Zusammenarbeit German Technical Cooperation ha Hectare IUCN International Union for the Conservation of Nature IWM Integrated Watershed Management JFM Joint Forest Management JICA Japanese International Co-operation Agency LFA Land and Forest Allocation LSFP Lao-Swedish Forestry Cooperation Programme LUP/LA Land Use Planning and Land Allocation MAF Ministry of Agriculture and Forestry MoC Ministry of Commerce MRC Mekong River Commission NBCA National Biodiversity Conservation Areas NGPEP National Growth and Poverty Eradication Program NTFP Non timber forest products PAFO Provincial Agriculture and Forestry Office PDR Peoples Democratic Republic PSS Profit Sharing System RDMA Ural Development of Mountainous Areas SOFORD Sustainable Forestry Development Project VFO Village Forest Organizations VFMA Village Forest Management Agreement WSMC Watershed Management Component

Box: Key Data for Lao PDR Geography Economy/Society Area: GDP: purchasing power parity - $10.34 billion (2003 est.) total: 236,800 sq km GDP growth rate: 5.9 % (2003 est.) GDP - per capita: purchasing power parity - $1,700 (2003 water. 6,000 sq km est.) land: 230,800 sq km GDP - composition by sector: Land boundaries: agriculture: 50.4 % total: 5,083 km industry. 24.7 % border countries: Burma 235 km, Cambodia 541 km, services: 25 % (2002 est.) China 423 km, Thailand 1,754 km, Vietnam 2,130 Population below poverty line: 40 % (2002 est.) Inflation km: rate (consumer prices): 15.5 % (2003 est.) Unemployment rate: 5.7 % (2000 est.) Coastline: 0 km (landlocked) Gross Domestic Investment/GDP: 21.2 (2003 est.) Climate: tropical monsoon; rainy season May to Industrial production growth rate: 14.6 % (2003 est.) November); dry season from December to April Agricultural production growth rate: 8.3 % (2003 est.) Terrain: mostly rugged mountains; some plains and Service sector growth rate: - 4.9 % (2003 est.) plateaus: Agriculture-products: rice, sweet potatoes, cassava, maize, Elevation extremes: potatoes lowest point Mekong River 70 m Exports: total value: $345 million (2002 est.) highest point Phou Bia 2,817 m Imports: total value: $555 million f.o.b. (2002 est.) Natural resources: timber, hydropower, gypsum, tin, Currency: kip (LAK) . gold, gemstones Exchange rates: kips per US dollar -10,720 (2004) : land use: Population: 5,526,000 (2004) Cultivated land area: 7.8 % Population growth rate: 2.8 % (2004 est.) Other: 92 % (2003 est.) Birth rate: 36.47 births/1,OOO population (2004 est.) Death rate: 12.1 deaths/1,OOO population (2004 est.) Irrigated land: Sex ratio: total population: 0.98 male(s)/female (2004 est. : rainy season irrigation - 310,170 ha; Infant mortality rate: 87.06 deaths/1000 live births (2004 est.) dry season irrigation - 214,832 ha (2003) Access to safe water (% of population): 58 % (2002) National Protected Aera: Access to. sanitation (% of population): 42% (2002) Natural hazards: floods, droughts Life expectancy at birth: 54.69 years (2004 est.) Environment- current issues: unexploded ordnance; Total fertility rate: 4.86 children born/woman (2004 est.) deforestation; soil erosion; a majority of the Literacy (at age 15): total population: 53 % (2003 est.) population does not have access to potable water Net primary enrollment: 76 % (2000)

National capital: Vientiane Environment - international agreements: Administrative divisions: 17 provinces and 1 Special zone : party to: Biodiversity, Climate Change, Kyoto Independence: 19 July 1949 Protocol, Desertification Endangered Species,

Environmental Modification, Law of the Sea, Ozone layer Protection signed, but not ratified: non of the selection agreement

Box: Environmental Indicators Agenda Indicators Value Year/Period Natural resources Land resources Cultivated land area (percent of total land) 8% 2003 Forest Forest area (as percent or total land area) 43% 2004 resources Rate of deforestation (heartaches per year) 50,000 2004 Protect Area National protect area (percent and total land area) 14% 2004 and Biodiversity 3387370 ha Water resources Land equipped for irrigation during the dry season 214832 ha 2003 (ha) Land effective the irrigation during the dry season 130000 2003 (ha) Hydropower production per year (million KWh) 3602 million KWh 2002 Fishery production (ton/year) 80000tons 2001 Environment quality Water Pollution Access to safe drinking water (percent of population: 29%,61%,35% 2000 Rural, Urban total) Access to the improved sanitation (percent of 19%, 67%, 29%` 2000 population: Rural, Urban total) Solid Waste Solid waste generation in Urban areas (kg per capita 0.75kg 2004 per day) Solid waste collection efficiency of urban households 45% 2003 in the five larger urban areas (percent) Number of sanitary landfills 5 2003 Air Pollution Number of passenger cars 1000 people 7.4 2003

General health Under-five mortality rate (number per 1,000 live 106 2000 births) Environmental Management Institutional Environment staff at national level: STEA (DoE, ERI) 47 2003-2004 300 2003-2004 Capacity Staff at Provincial level: PSTEOs 278 2003-2004 (Staffing) Environment staff at Implementing sector agencies (MAF,MCTPC, MIH, and MOH) Staffing at national level for the management of NPA 4.8 2003-2004 (DFRC/MA, staff per 1 million ha of national protected areas) Staffing at Provincial level for the management of 45.3 2003-2004 NPA: PA (Staff per 1 million ha of national protected areas) Environment At the national level (percent of total Public 0.6% 2003-2004 Expenditure Expenditure)

Environmental Number of students enrolled for undergraduate 40 2004 Education environmental studies

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Preface In order to identify the most critical areas in Laos in terms of watershed quality, the Watershed Management Component (WSMC) of Mekong River Commission (GTZ- MRC) has classified the watersheds according to risk of impairment into 5 classes as shown in the table below. Table: Classification of watersheds according to risk of impairment Risk of Risk Factor Factor 1 Factor 2 Factor 3 Impairement Equal weigth of Conversion from Establishment of Lowland area per Factor 1, factor 2, forest to non new agricultural capita factor 3 forest land (WS class 4-5) (%) (% per year) (ha) (% per year) high 1-9 > 0.5 > 1.0 < 0.4 10 – 29 0.3 – 0.5 0.75 – 1.00 0.4 – 0.8 30 – 49 0.2 – 0.3 0.50 – 0.75 0.8 – 2.0 30 – 69 0.1 – 0.2 0.25 – 0.50 2.0 – 8.0 low 70 - 70 < 0.1 < 0.25 > 8.0

Figure 1: Watershed risk classification

Nam Youn

Nam Ton

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In April 2004, the National Working Group on Watershed Management of the Mekong River Commission (MSC) identified Nam Ton watershed as pilot area for watershed management and for the implementation of interventions related to the forestry sector. The reasons were twofold. First, because it has been classified as a high risk watershed and second, because already some interventions in the forestry sector has been implemented in the past with assistance by the German Government. As an alternative area, in case Nam Ton does not qualify for forest related interventions, the watershed of Nam Youn was identified. Although, it has not been classified as high risk area, future forest interventions may be facilitated by the Project on Rural Development in Mountainous Areas (RDMA) which is currently implemented with the support of the German Government. For both areas a baseline survey was implemented in September-November 2004 with the objective: • to collect information on the current situation within the pilot area in particular on socio-economy, land use, and land and natural resources management; • to provide baseline data for impact monitoring (social, impact on water, etc.) ; • to provide information required for the identification of potential interventions with specific reference to the forestry sector.

The survey was conducted by five local subject matter specialists. An international expert, who was also responsible for compilation of the present baseline study, assisted them. The implementation of the study was coordinated and organized by the country coordinator of the WSMC/MRC. The following persons were involved: Kamphay Manivong, Socio-Economist Dr. Lamphoune Xayvongsa, Forest Economist Oulaphone Ongkeo, Mapping and GIS Specialist Sounthone Ketphanh, Natural Resources Management Souksompong Prixar, Land Management Specialist Sengkham Inthiratvongsy, country coordinator of WSMC/MRC Werner Schindele, international expert

The baseline study comprises of three parts: Part I: Framework for Land and Forest resources management in Laos PDR. Part II: Baseline Survey for Nam Ton Pilot Area Part III: Baseline Data for Nam Youn Alternative Pilot Area

Part I: Framework for Land and Forest Resources Management

1 Background Information The boxes at the beginning of this report provide an overview of the socio-economic key data for Laos which may serve as reference for the valuation of the socio- economic condition within the pilot areas.

1.1 Introduction Objective of this first part is to provide a brief overview on land and forest management in Laos and to provide background information required to understand Part II: Baseline Survey for Nam Ton Pilot Area and Part III: Baseline Survey for Nam Youn Alternative Pilot Area

As such this Part I concentrate on issues, which are of relevance for the above studies. Reference to relevant documents is made in case more in-depth information is needed.

1.2 Compilation of Relevant Studies and Documents

1.2.1 Sector Specific Documents Each consultant has prepared a report, which contains detailed information for the relevant sector in general and for the pilot areas in particular. They are listed in the following: MANIVONG K. 2004: Socio-economic Study XAYVONGSA, L.: 2004: Forest Economic Information KETPHANH, S.: 2004: Natural Resources Management PRIXAR, S.; 2004: Land Management ONGKEO, O., 2004: GIS and Mapping

Beside the consultant’s reports, the following documents provide good background information, especially the Forestry Strategy document. Forestry Strategy to the year 2020. Ministry of Agriculture and Forestry (2003) This is the most important document. It provides an excellent and up-to-date overview on all relevant aspects of forestry. It also includes socio-economic aspects and refers to the relevance of forestry to watershed management. Most of the information given in Part I is directly derived from this document Watershed Management in the Lower Mekong Basin. MRC-GTZ (2002) Provides an overview on watershed management for each country in the Lower Mekong Basin. Country Status Report on Watershed Management in Lao PDR. MRC-GTZ (2004) Briefly describes the country’s policy in relation to watershed management and analyses the institutional framework. It contains a short description of recent approaches, programs and projects implemented in relation to watershed management. OBERNDORF, R.: Comparative Analysis of Policy and Legislation related to Watershed Management in Cambodia, Lao PDR and Vietnam. MRC-GTZ (2004) Contains a description of the country’s policy in relation to watershed management and an in-depth analysis of all relevant laws and regulations.

1.2.2 Policy Documents Water Sector Strategy and Action Plan (1998) The “Water Sector Strategy and Action Plan” was adopted in 1998 and a “Policy on Water and Water Resources” was prepared in 2000 with the objective to ensure that management, exploitation, use and development of water and water resources are sustainable, equitable, and support the goals of socio-economic development and environmental protection of Lao PDR. Environmental Action Plan 2000-2005 This action plan covers a broad variety of environmental issues in the country. The document contains a good overview of the current status of water resources in the country and calls for integrated river basin resources management plans. Agriculture and Forestry Sector Development Plan (2001) The “Agriculture and Forestry Sector Development Plan” comprises of altogether six programs of which the following two are of relevance: • Stabilization/Reduction of slash-and-burn cultivation program; • Human Resources Development Program. The latter has been designed to upgrade the technical and administrative skills of ministry staff, and for the development of an effective extension service at provincial and district levels. National Biodiversity Strategy and Action Plan and Strategy (2004) The “National Biodiversity Strategy and Action Plan and Strategy” was prepared with the objective of using, protecting and managing biodiversity for sustainable development. The sustainable use of natural resources-and in particular the country’s rich biodiversity-may be the key to poverty reduction. National Growth and Poverty Eradication Strategy The National Growth and Poverty Eradication Strategy includes a rather small section on integrated watershed management.

1.3 List of Relevant Projects, Programs and Activities

1.3.1 Government Programs Protected/Biodiversity Conservation Program The objective of the National Protected Area/Biodiversity Conservation Area Program is to protect natural areas for conservation of flora and fauna, maintenance of ecological stability and watershed functions and to preserve historically, aesthetically, culturally or scientifically valuable sites. Program objectives should, wherever possible, be achieved through local, participatory management benefiting NBCA residents (see Forest Strategy Chapt. 3.9.3.1). National Growth and Poverty Eradication Program (NGPEP) The NGPEP clearly recognizes the important roles of sustainable forest management for poverty alleviation through village forest management including NTFP processing and sales and water/soil conservation, small scale tree growing, participatory Production Forest management and so on. Shifting Cultivation Stabilization and Permanent Occupation Program This program started in 1989 (PM’s Decree 117/1989) with the objective to (i) stabilize shifting cultivation, (ii) to stop indiscriminate logging, (iii) to regenerate forests, and (iv) to improve the living standard of upland people through the adoption of permanent land use systems (see Forest Strategy Chapt. 3.9.3.2). Land and Forest Allocation Program

The Land and Forest Allocation program first started in the northern provinces of Lao PDR in 1993 with the aim of allocating agricultural Land for communities and to demarcate and categories land, forest land and village boundaries. In 1996 the program was expanded to all provinces of Lao PDR (see Forest Strategy Chapt. 3.9.3.3). Community Forestry and NTFP Program The Community Forestry and NTFP Program has been active since 1993 and focuses on village management and use of secondary forests, rehabilitation of degraded forest stands and cultivation or sustainable management of NTFPs (see Forest Strategy Chapt. 3.9.3.3).

1.3.2 Ongoing Projects in the Forestry Sector The Lao Tree Seed Project (LTSP) is part of the DANIDA funded regional Indochina Tree Seed Project covering three Indochina countries (Vietnam, Lao PDR, Cambodia). It is a 5 years project that became operational in October 1998. The Sustainable Forestry Development Project (SUFORD) started in 2003 for a period of four years. It is a joint effort between the Government of Lao PDR, Finland and the World Bank. The project aims to institute nation-wide systematic forest management in natural production forests, to alleviate rural poverty, to protect biodiversity and to enhance the contribution of forestry to economic development in a sustainable way. The project will cover 528,000 ha of natural forests in 18 districts in Khammouane, Savannakhet, Salavan and Champassak. The main project activities in these areas are a) participatory sustainable forest management and b) village development. Marketing system development for non-wood forest products (2004-2006) has the objective to assist the Government of Lao PDR in reducing rural poverty in the country and promoting sustainable use and management of forest resources through the development of appropriate NWFP marketing systems.

1.3.3 Former Projects of Relevance The Lao-Swedish Forestry Cooperation Programme (LSFP) started research and forest management activities in the late 1980’s. The thrust areas were: a) plantation and community forestry research and management including seed collection techniques, seedling production and tree establishment, b) natural forest management, including regeneration studies, improved silvicultural treatments and better understanding of ecology and natural growth, c) studies on stabilization of shifting cultivation practices through development of diversified agricultural, forestry and socio-economic system. Forest Conservation and Afforestation Project (FORCAP) developed a profit sharing system for the establishment of small scale plantations. The system, which has been in operation since 1991, is being piloted in two Districts of Vientiane Province (refer to Forest Strategy Chapt. 3.4.5.2). This project has been implemented by GOL and JICA. Joint Forest Management Project (JFM), started 1993, supported by the Lao- Swedish Forestry Program (LSFP). The project trained personnel and produced a range of technical manuals and guidelines including forest survey and management manuals. Forest Management and Conservation Project (FOMACOP), started 1996, supported by IDA Credit and a grant from Finland. Villagers were involved in many aspects of forest management including boundary demarcation, land use mapping and planning, forest inventory, management planning, harvesting, and selling produce.

Several other development projects have their activities on natural resources management, e.g. NAWACOP, IUCN-NTFPs, and other rural development projects. The Lao-Swedish Forestry Programme Phase IV and FORSPA have played a very significant role in bringing together these fragmented efforts of various projects.

2 General Description of the Forest Sector The Lao Peoples Democratic Republic is particularly endowed with valuable, productive and ecologically unique forests which are not only a vital economic resource but provide essential contributions to the nutrition and income of the rural population and, in particular, the rural poor. They also provide a habitat for the nation’s rich natural biodiversity and protect its soils, watersheds and water resources. Some eighty percent of the population are heavily reliant on the forest for timber, food, fuel, fibre, shelter, medicines, condiments and spiritual protection. In rural areas, forests provide one of the few available economic activities and non- timber forest products often provide more than half of a family’s total income. Forests contribute some 7-10 percent of the Lao gross domestic product (GDP) and 15-20 percent of non-agricultural GDP. They also provide some 34 percent of total export earnings, although this figure has neared 50% in some years, and contribute an even higher percentage to net export earnings. Forest royalties now provide some 11 percent of total tax revenue, down from some 20 percent in the mid- nineties. In terms of energy consumption, wood energy, including charcoal and fuelwood, is the dominant source of energy for cooking, even in the capital city of Vientiane, and in highland areas it also provides necessary heating. According to the land use and forest cover study, of the country’s total land area of 23,680 million hectares, current forest which has more than 20% of canopy density now cover some 41.5 percent. It is shown that forest has been declined at an alarming rate as compared to an estimated 70 percent in the mid-sixties. Forest change, which encompasses decreases in stocking, changes in species composition and size structure, loss of wildlife and plant habitats, and declines in wildlife and plant population is as alarming as deforestation itself. There is at present growing concern over the adverse social, economic, and environmental impacts of these trends. Moreover, deforestation and forest degradation affects most severely the poorest segments of Lao society, and particularly women and ethnic groups whose livelihoods are more closely dependent on the health of nations forests.

3 The Dwindling Forest Resource Base A recent comparative study on land use and current forest cover changes in Lao PDR was carried out in late 2002 and early 2003 by plot sampling of SPOT Satellite Image Maps from 1982, 1992 and 2002. The main result of the study shows that the current forest which has more than 20% of canopy density has declined from around 70 percent in 1940 to 64 percent in the mid-sixties and then from 47 percent in 1992 to a current level of 41.5 percent. At the same time, the potential forest area (including bamboo brake, unstocked areas and areas used for shifting cultivation) has increased from 36% of the national area in 1982 to 47.1% today. Within the potential forest area, unstocked areas have increased from 27% in 1982 to 42.6% (10.1 million ha) today, an area larger than that currently covered by forest. Besides the quantitative changes, forest quality has also deteriorated. Forest degradation, which encompasses decreases in stocking densities, changes in species composition and size structure and reductions in wildlife and plant populations, is in many areas as alarming as actual deforestation. Thus, forest fragmentation has increased with small forest compartments (less than 10 ha) having

increased as a proportion of the total forest area from 0.9% in 1992 to 6.7% at present, while large forest compartments (larger than 1,000 ha) have decreased from 88% to 54%. Similarly, forest density has decreased dramatically with dense forest declining from 29% in 1992 to 8.2% at present and open forest increasing from 16% to 24.5% of the total. With respect to stand structure, the forest area dominated by large trees has decreased from 5% to 3% of the total, that dominated by small-size timber has decreased from 44% to 42% and pole-size forests have increased from 51% to 56% of the total. In short, the quality and commercial value of forest has been declining as a result of species selectiveness and fragmentation of forest compartments. Current forest with more than 20% of canopy density has changed significantly since 1982 and the rate of change appears to be faster in the last 10 years (1992-2002). Apart from that, stand structure, density and commercial value of the existing current forest have also been changed particularly in the central region. On the other hand, field study exhibits that, in many parts of Lao PDR, if unstocked forest, abandoned shifting cultivation and logged over areas (Potential Forests) are left to grow undisturbed they may regenerate and become forest again. Thus stabilization of shifting cultivation and sustainable management of production forests hand in hand with alternative livelihood development are amongst the prerequisite tasks to increasing forest cover. Main causes for forest degradation are: • High demand for wood and NTFPs in the markets of wood deficient neighbouring countries and countries in the region as well as the imposition of logging bans in some neighbouring countries brought about high pressure on forest resources in Lao PDR. • Shifting cultivation practices and forest fires are still the main causes of forest degradation particularly in the north. • Unsustainable harvesting of production forest, which occurs mainly in central and southern regions, and unsustainable management and use of allocated village used forests. • conversion of forestland for agriculture and infrastructure development.

Underlying causes are • widespread poverty and rapid population increase amongst the rural population, who are, as a result, obliged to practice forms of cropping resulting in deterioration or destruction of forest. • economic incentives for over-harvesting of forest resources and governance (over-capacity of timber industry, over-estimation of annual allowable cuts, the granting of logging permissions to businessmen in exchange for infrastructure or village development fees). • Inconsistent regulatory framework and institutional werknesses.

For a detailed analysis of the causes and issues in relation to forest degradation see Forest Strategy Chapt. 3.1.3 and 3.1.4.

4 Political, Legal and Institutional Framework

4.1 Forest Policy

4.1.1 Overall Policy Framework Lao PDR is a signatory to some of major international conventions including the Convention on Biodiversity Conservation (CBD), the Framework Convention of Climate Change, the World Heritage Convention and the newest member country of the Convention on International Trade of Endangered Species. It is also an active member of the Mekong River Committee. Given its unique location and relatively rich forest resources, Lao PDR can contribute to supply of quality wood products, conservation of biodiversity and conservation of water/soil in international and regional context. Government’s policy, objectives and strategy for the forestry sector are nested within and consistent with the overall National Socio-Economic Development Plan, the National Growth and Poverty Eradication Program (NGPEP), the Rural Development Program, the Strategic Vision for Agriculture Development and the National Biodiversity Strategy and Action Plan. Accordingly, forestry policy must be defined in relation to the opportunities and boundaries set by domestic and international conditions.

4.1.2 Development Objectives The Government has set two major national development goals to be achieved by 2020. The first is to graduate from least developed country status, the second to eradicate poverty. Development of the forestry sector and implementation of sustainable forest management are key elements supporting these objectives. The NGPEP clearly recognizes the important roles of sustainable forest management for poverty alleviation through village forest management including NTFP processing and sales and water/soil conservation, small scale tree growing, participatory Production Forest management and so on. The overarching objective supported by improved forest policy and management is poverty eradication. A significant proportion of the Lao population live within or around forested (or previously forested) areas. Such people make up the majority of the poorest sections of Lao society, including many impoverished ethnic groups. A major part, if not all of their livelihood and income-generating activities are related to utilization of forest products for self-consumption or sale. Forestry is therefore crucial for improving their livelihoods. Major sector objectives are specified in Forestry Strategy Chapt.4.3.2. Relevant for the pilot areas are the following: • to maintain a healthy and extensive forest cover as an integral part of a rural livelihood support system encompassing stable water supplies and prevention of natural disasters. • to provide a sustainable flow of forest products for domestic consumption and to generate household income through sale and export, thus contributing to livelihood improvement, fiscal revenue and foreign exchange earnings whilst increasing direct and indirect employment. • to preserve the many species and unique habitats, which are, for different reasons, threatened both within the country and elsewhere.

In more specific terms, objectives for forestry sector development are to: • build capacity of government institutions and stakeholders concerned to ensure that the forestry strategy can be fully implemented.

• control and eradicate processes that have led to reduction in forest cover and quality whilst improving the livelihoods of the rural poor to stabilise and increase forest cover and quality. • promote commercial tree planting by farmers, smallholders, small and medium entrepreneurs and foreign investors with enabling policy and technical support by government.

4.1.3 Policy Directions and Implementation Principles To realize the preceding goals the Government has formulated policy directions and implementation principle (see Forest Strategy Chapt. 5.1). Relevant for the pilot areas are the following: • enhancing village based natural resource management for poverty eradication; • controlling unsustainable harvest and export of NTFPs and promoting sustainable participatory management and processing of NTFPs; • promoting tree planting and management by clearly targeting owners and markets and developing investment schemes to strengthen the wood supply base; • preventing encroachment, unauthorised activities and biodiversity degradation through solid law enforcement, capacity building and assisted participation of villagers in forest management.

The Ministry of Agriculture and Forestry (MAF) through the Department of Planning is promoting integrated watershed management (IWM), in accordance with the national decentralization policy. In April 2002, the National Agriculture and Forestry Conference agreed that the IWM approach should be applied by all Districts to achieve sustainable natural resource management.

4.2 Legal Framework A detailed analysis of the legal framework of the forestry sector and for watershed management is given in OBERNDORF (2004). This document also contains exerpts from the laws and regulations which are of relevance for land, forest and watershed management. Land, forest and watershed management is regulated by the following three basic laws:

The Land Law 1997 The Land law determines the rules relating to the management, protection and use of land which is a national resource (asset) and presents an balanced approach between economic development and environment protection. The Ministry of Agriculture and Forestry (MAF) is respnsible for the management of forest land, agricultural land and water areas. The Forest Law 1996 The Forestry Law provides principles, regulations and standards for the use of forestland and resources. It defines the responsibilities and roles of authorities on various levels for forest management, control and inspection. The Water and Water Resources Law 1996 Regulates the management, exploitation, development and use of water and water resources with the aim to protect and sustain them. MAF is responsible for the survey and inventory. Catchments are recognized as the unit of planning. The regulatory framework is briefly described in the relevant subchapters.

4.3 Institutions and Organizations The management of natural resources, i.e. fores, water and agriculture is under the responsibility of MAF. The headquarter of MAF is in Vientiane Capital. The Department of Forestry within MAF is responsible for the management of the forest resources. Provincial Agricultural and Forestry Office (PAFO) and District Agricultural and Forestry Office (DAFO) are responsible for the management of natural resources on provincial/district level. Each one has its own Forestry Department or Unit. Land registration, issue of land titles and land lease are the responsibility of the District Land Office (DLO), which is under the Ministry of Finance. Both, DAFO and DLO, are responsible for land and forest allocation and should cooperate and coordinate their field activities. This is however, not always the case. Also both organizations suffer from lack of funds, poor equipment and weaknesses in human resources. The Village Committee is responsible for the collection of land tax, which has to be paid to the DLO. Because of the low efficiency of both offices, the village authorities are taken over some of their responsibilities, such as measurement of land, etc.

5 Land Management

5.1 Ownership of Land and Forest Land and forest are national assets of the State. The State, as owner of the land, can assign the right to use land and forst resources to individulas, juridical entities, organizations and village communities. The right to use land can be transfered and inherited. Customary usufruct rigths are also respected by law. For claimed land temporary land use certificates are signed for a period of three years after which long-term use rights would be given if the allocated land has been developed according to the agreed objectives. Land can also be leased for a specified period of time, depending on the purpose. For example, for tree plantation the lease period is 30 years, which can be extended up to 50 years. Land can also be leased to foreigners. For more details refer to Forest Strategy Chapt. 3.1.1.1, and to the consultants report on Land Management (PRIXAR, 2004).

5.2 Land Classification According to the Land Law (Art. 11) land is to be classified into eight categories according to use: agricultural land, forestland, water-area land, industrial land, communication land, cultural land, land for national and security defense, and construction land. MAF is responsible for further classification, management and development of agricultural land, forest land and water bodies.

5.3 Land and Forest Allocation The Land and Forest Allocation Programme (LFA) started in 1993 in the Northern provinces. By 1996, it was extended to all provinces in Lao PDR, based on Prime Minister’s Decree on “Continuation of Land Management and Land and Forest Allocation”. For the implementation of LFA, a Land Use Planning and Land Allocation Scheme (LUP/LA) on village level was developed based on participatory principles for land zoning and allocation, which was formally adopted in 1998.

During this process village boundaries were identified and demarcated, forestland was classified and land was allocated to new families and landless people. At the end of the LFA process, families received a temporary, non-transferable land certificate to ensure the right to use and inherit their land. After three years, the temporary land certificate should be transferred into a permanent one, in case the allotted land has been cultivated. However, in most cases neither a permanent land title was issued, nor land has been re-allocated, so far. Per “labour unit” available to an organization or family up to 25 ha can be allocated for agriculture and forestry (7 ha agricultural land, 15 ha range land, 3 ha degraded forest for afforestation). Land tax has to be paid on allotted land, the land tariff may be different from province to province. The LFA programme is still going on. By 2002, about 50% of villages and 60% of all households were covered. For more details on LFA refer to the consultants report on Land Management (PRIXAR, 2004) and to Forestry Strategy Chapt. 3.9.3.3.

6 Forest Classification Forests in the Lao PDR are classified into five categories, the first three relating to function and the last two to the current situation. (Forestry Law, Arts. 16 to 21): Production Forests are forests and forestlands used in regularly providing timber and other forest products on a sustainable basis for national economic and social development requirements and for people’s livelihoods without significant negative environmental impacts. Conservation Forests are forests and forest lands classified for the purpose of protecting and conserving animal and plant species, natural habitats and various other entities of historical, cultural, touristic, environmental, educational or scientific value. Protection Forests are forests and forestland classified for the protection of watershed areas and prevention of soil erosion. They also include areas of forestland with national security significance, areas for protecting against natural disaster and areas for protection of the environment. Regeneration Forests are young or fallow areas of forest classified for regeneration and maintenance of forest cover with a view reaching a natural equilibrium as trees increase in maturity. Degraded Forests are forests that have been heavily damaged, to the extent they are without forest or barren, that are classified for tree planting and/or allocation to individuals or organizations for tree planting, permanent agriculture and livestock production or other purposes in accordance with national economic development plans.

Delineation of the first three forest categories, especially at national and provincial level, are made on large scale maps and contain other land use types in addition to forest and as such are not necessarily forest as defined by the forest law. Conservation forests classified on national level are called National Biodiversity Conservation Forests (NBCA). Regeneration Forest and Degraded Forest are normally identified on district level. Forests located on village land are classified during the process of LFA using basically the same classification system. There are therefore village use forests (production), village conservation forests, and village protection forests. These forests may be located within protection, conservation and production forests

classified on national or provincial level. This double-layered classification reflects the reality and will necessarily be maintained for the foreseeable future. There are no clear criteria for delineation and classification of village forest. For more information refer to Forestry Strategy Chapt. 3.1.2 and the consultants report on natural resources management (KETPHANH, 2004).

7 Management of Natural Production Forest Details on management of production forest can be derived from Forestry Strategy 3.2, 5.2.2, 5.2.4, and 5.2.9. The consultants report on Forest Economy (XAYVONGSA, 2004) provides a detailed economic analysis on timber production and marketing, (KETHANH, 2004) describes all aspects of natural forest management.

7.1 State Production Forest Detailed macro and micro economic data in relation to timber production and marketing for various production systems are compiled in the consultants report on Forest Economy (XAYVONGSA, 2004). There are some 106 unofficial establishments of production forest areas (PFAs) in Lao PDR with a total area of 3,207,000 ha (a lower other figure of 2,556,000 ha has also been reported). These areas have been poorly managed and in many cases boundaries were not legally determined. Little information is available on the current condition and status of these forests. To improve the situation, especially the legal shortcomings and management weaknesses, the government issued PM Decree 59/2002 on Sustainable Management of Production Forest in May 2002. The Decree sets the basic principles for establishment and management of production forest areas and the Ministry of Agriculture and Forestry issued Regulation 0204/MAF in October 2003 for field implementation. Right now, production forest management is in transition period. So far, forest exploitation is based on annual harvest/logging plans. Log extraction royalties and rules for log sale are regulated through the release of Prime Minister’s Orders. Based on proposals made by DAFO/PAFO, the government sets nationwide logging plans, which are approved by the National Assembly, as part of the socioeconomic development plan. Once approved, the national logging plan is divided amongst the Provinces and these, through the PAFOs, distribute the provincial logging plan amongst the Districts and, together with District officers, among the individual production forests. DAFO organizes and monitors logging operation in the field, and reports to the PAFO. Logging operations up to second landing are implemented by state logging units where these exist, or are otherwise sub-contracted under supervision of Government staff. Based on the new regulation, timber production is restricted to a production forest area (PFA), which has to be established by the Prime Minister’s Office based on MAF recommendation. Each PFA has to be managed based on a specific management plan prepared by PAFO/DAFO. Calculation of the annual allowable cut has to be based on forest inventory. DAFOs are responsible for organizing the district Forest Management Units (FMU) who actually are responsible to implement the management plans. Further details are given in MAF Regulations Nº 221/2000 and Nº 239/1997, which define principles and technical and legal prescriptions for logging and harvesting of forest products, principles/criteria for log measuring and grading and cutting limits for natural trees, etc.

A major difference to the old system is, that now the participation1 of local communities in production forest management is ensured. Village Forestry Organizations (VFOs) will be established to organize villagers’ participation in implementation of forest management activities under a Village Forest Management Agreement (VFMA) signed between the VFO and the respective FMU. The VFMA specifies the rights and responsibilities of signatories, the scope of village participation, and the revenue sharing arrangement. It is expected that this will contribute to poverty alleviation, as local communities are receiving now a shore of the proceeds. In Lao PDR, Criteria and Indicators (C&I) for sustainable forest management were developed In 1999-2000, and a one-year Pilot Forest Certification project under the Forest Stewardship Council (FSC), an international certification agency, is currently nearing completion in Savannakhet and Khammouane provinces.

7.2 Village Use Forests Through Government’s past and on-going efforts the legal framework concerning village land use and forest management has been made comparatively clear. The most relevant legislation includes the Forestry Law, MAF Instruction 822/1996 and MAF Regulation 535/2001. Village Use Forests (Paa xomxai baan) are identified for the purpose to supply the local demand on wood. They are managed by the village authority. Each household/family is entitled to get 5 cbm of timber for construction or maintenance of houses without royalty payment. The need and use must be clearly specified, i.e. the number of trees, species required and purpose. The exploitation requires the permission of the village committee and DAFO. All households are allowed to use non-commercial species for fencing, posts, firewood and other species, they can also collect NTFPs. If the government requires timber for their own purpose or to supply the quota of the annual harvesting plan, they can also allocate trees in the village use forest in consultation with the village authority, which is a very common procedure and as such village forests are heavily used. Although, the new law requires that management plans shall be prepared for village use forests with the support of DAFO, very few management plans have been prepared so far due to lack of knowledge and human capacity.

7.3 Community Forestry and NTFP Program The Community Forestry and NTFP Program has been active since 1993 and focuses on village management and use of secondary forests, rehabilitation of degraded forest stands and cultivation or sustainable management of NTFPs. The Lao-JICA funded FORCAP project in Vientiane Province has been assisting villagers in formulation of a village forest management plan, which is action oriented rather than restriction. Building on existing rules and regulations, villagers, with project technical assistance, discuss the present status and use of village forest and take actions related to watershed rehabilitation, NTFP collection/sales, establishment of school forest to maximize long term forest management benefits. With particular

1 The success of villagers’ involvement in forest management has already been demonstrated in the Lao PDR in two major projects: the 1993 Joint Forest Management Project (JFM), supported by the Lao-Swedish Forestry Program (LSFP) and the 1996 FOMACOP Project, supported by IDA Credit and a grant from Finland. Villagers were involved in many aspects of forest management including boundary demarcation, land use mapping and planning, forest inventory, management planning, harvesting, and selling produce. Both projects trained personnel and produced a range of technical manuals and guidelines including forest survey and management manuals.

respect to NTFPs, collective management has been piloted in several locations, notably in Nampheng Village, Oudomxay Province where the Lao-IUCN NTFP Project introduced bamboo management and sale by the village group.

7.4 Log Royalties and Reforestation Fees Firms and individuals receiving harvest/logging plans required by Government to pay log royalties, or stumpage rates per cubic meter of timber removed from second landing2. Royalties are set and updated periodically by the Ministry of Commerce (MOC) according to species and grades. Amongst other considerations, rates are primarily based on international market situation. To help sustain current forest cover, the government has also instigated collection of Reforestation Fees, charged for sale of both timber and non-timber forest products, to finance re-afforestation activities. According to Point 2 of PM’s Order Nº 11/1999, trees cut must be replaced by a duty paid to Government for replanting under the management of the concerned government organizations, or for each tree felled 20 seedlings must be planted. The wood processing companies who have been allocated logs from the government have to pay the reforestation fee at the following rate: Protected timber species, Category I, II: 3 US$/m3, Controlled timber species, Category I, II: 2 US$/m3, Controlled timber species, Category III: 1 US$/m3.

Furthermore, PM’s Order No. 18/2002 stated that the wood processing companies, apart from paying the above fees have to invest their own plantations in order to secure their own supply of raw material.

8 Plantation Forest For details on tree planting and plantation forestry refer to Forestry Strategy Chapt. 3.4, and 5.2.4. The consultants report on Forest Economy (XAYVONGSA, 2004) provides detailed economic data on plantation forestry including cost benefit analysis of the most common plantation schemes.

8.1 Policy and Regulatory Framework Tree planting has been a national priority since liberation. Under the current 5-Year National Socio-Economic Development Plan (2001-2006), tree planting for commodity production is strongly promoted, with a target of 134,000 ha. Annual planting area and seedling production targets are set in the National Socio-Economic Development Plans and distributed to Provinces for implementation. To achieve targets, Government provides incentives, including allocation or lease of land for tree planting, property rights on planted trees, land tax exemption for registered plantations and free distribution of seedlings to farmers and organizations. A reforestation fee levied on logs and NTFPs harvested from natural forests is also used in nursery construction, seedling production and plantation development. Current legislation seems adequate. Provisions exist which grant growers the right to own, use, receive benefits from, harvest, transfer, deliver and pass on trees they have planted and the forestland in which they sit as inheritance (Forestry Law, Articles 49, and 52-54). Furthermore, PM Decree 03, on Forest Land Allocation

2 In addition to nation-level royalties, wood processing industries and private logging companies may also be subject to payment of provincial, district and village development levies and fees.

states that Government should allocate degraded forestland to individuals, families and organizations for tree planting. There are, however, some areas for improvement, which have already been addressed in the Forestry Strategy to Year 2020 (see chapt. 3.4.6). Firstly, there is a need for systematisation and placing all valid legal dispositions together and deleting others, which have been explicitly or implicitly repealed. Secondly, under current legislation a grower needs DAFO authorization to plant, thin or harvest trees and to sell or move logs. Government will study possibilities for simplifying these regulations and similarly any restrictions on saw mills to process logs from planted forests will be removed. Thirdly, Government will study ways to equilibrate the legal rights that different planters have with respect to land for plantation. Currently, foreign companies may lease land from the state for 30 years (Land Law, Art. 65), while villagers are granted temporary land-use certificates for three years and after satisfactory implementation within three years they are eligible to apply for permanent land title. Therefore, procedures to transform these temporary land-use certificates into permanent land titles may need to be considered.

8.2 Current Status of the Tree Plantation Sector Some 113,000 ha of plantation have been established, predominantly in the Central region (43%). It has been estimated that some 75,000 hectares have survived and these constitute the current national stock of standing tree plantation. Individual farmers and entrepreneurs contribute the largest area to the national total planted area (47.5%), with an average size between 20 and 30 ha. Smallholders constitute the largest tree-owning group but on average have smaller plantations (~1.8 ha), altogether accounting for 30% of the total area planted. At the other end of the scale, participating companies constitute 1% of clients but, with average plantation size of 200 ha, contribute almost 10% of the area, with households contributing the remaining 13%.

8.3 Small Scale Farm-Based Plantations Smallholders in northern provinces have been planting teak trees for the last two or three decades. They have done so in small plots of 0.1 to 1.0 ha at the sides of roads, rivers and streams, footpaths and fences and adjacent to paddy fields and homes. The total planted area is some 8,000 ha and harvesting and logging are practiced on a very small scale – almost on an individual tree basis – ensuring a continuous revenue stream over the years. Most teakwood is processed into furniture, flooring and decorative products for the domestic market and farmers are easily able to sell their logs. As demand for teak is increasing (~10,000 m3 over the next few years), the outlook is good and international demand, particularly for garden furniture, is high. Furthermore, trees grown sustainably are preferred in international, and especially European markets. Teak plantation is, therefore, a promising option for subsistent farmers and Government is considering a number of promotional activities. These include, providing extension in tree improvement, plantation management and cutting methods, supporting farmer organizations, marketing and product development and providing additional land and financing for farmers involved in teak plantation. Formation of teak growers groups will help in negotiating better prices with buyers and in exchanging information on technical aspects of teak production.

8.4 Plantation Incentives The Forestry and Tax Laws and Decree 150 on Land Tax, exempt tree plantations from land taxes and fees where registered with DAFO, which issues a certificate of the respective right of land use. Individuals and organizations should also request that DAFO check and certify the site before planting. Government invites farmers who lack capital or tree planting know-how to enter into a Profit Sharing System (PSS). The system, which has been in operation since 1991, is being piloted in two Districts of Vientiane Province under the assistance of the GOL/JICA Forest Conservation and Afforestation Project (FORCAP). Under PSS, plantations are jointly established by the Government and farmers; DAFO provides the initial funding in kind (seedlings, barbed wire, technical know-how, etc.) and participating farmers provide their own resources, mainly labour, for planting and maintenance. As the plantation reaches different stages of maturity, profits from thinnings and final harvest are shared on a ratio of one fifth to DAFO and four fifths to participating farmers.

8.5 Plantation Financing Financing for tree planting has come partly from firms’ own equity or cash flow or from farmers’ savings and own labour, and also from bank credit. Only one bank (the Agriculture Promotion Bank, APB) has participated in on-lending of the project’s funding, since when Lao commercial banks ceased lending for this purpose. APB is charging clients 7% interest and since its loan processing costs and the rate of inflation are much higher, the plantation on-lending operation results in an unsustainable net loss to APB.

9 Wood Processing Industry and Timber Market

9.1 Wood Processing Industry For details on timber processing industry refer to Forestry Strategy Chapt. 3.6. and 5.2.6 and to the consultants report on Forest Economy (XAYVONGSA, 2004). For the pilot area the aspects of timber processing industry is of minor relevance, therefore only a very brief outlook is given at this place. The wood-processing sector in Lao PDR makes an important contribution to both the economy and to regional employment through the following features (data refer to 2001): • Wood processing constitutes approximately 6% of GDP and 12% of the manufacturing industry production value. • Timber royalties provided 23% of national revenues. • Wood products exports accounted for $80 million or 25% (including log exports) of the official export value. • The wood-processing sector employed approximately 22,000 people, more than 20% of the total employment in the manufacturing sector.

In 2001, there were 160 sawmills and two-ply mills in the country with an estimated annual capacity of approximately 1.0 million cubic meters of logs inputs. However, only 20% of the mentioned numbers have operated effectively. Most of them are privately owned. Reported production of sawn timber has fluctuated over the past five years but has averaged 230,000 cubic meters per annum. At a 50% yield, this represents a log intake of approximately 460,000 cubic meters per annum or less than 50% utilization

of installed capacity, due to unreliable log supply, old machinery and equipment and unavailability of spare parts. To reduce over-capacity, the governement had evaluated the timber industry and based on a defined selection process ordered the closure of 26 sawmills out of 130, and 169 furniture workshops out of 918. In order to promote export of semi-finished and finished products the Government ordered a ban on export of logs and a reduction in sawn timber export by PM Orders Nos 11/1999, 10/2000 and 15/2001. In PM Order Nº 18/2002 export of sawn timber is also banned to restrict export of roughly processed sawn timber or ‘square logs’. These orders are being gradually implemented.

9.2 Timber Market An economic analysis of the national and international timber market is given in the consultants report on Forest Economy (XAYVONGSA, 2004). Logging is done in Laos based on a nationwide logging plan, which is distributed among the provinces and districts. The allocation of harvesting to large factories which produce for export is the responsibility of MAF, while it is the mandate of the province’s governor to further distribute the domestic logging plan to small scale wood processing factories. Timber is sold by the provincial administration based on bidding. The winner of the bidding signs a sale contract and pays royalties and reforestation fees. Timber will be cut by state logging companies or private companies and then transported to the second landing, where it is collected from the buyer after payment the logging costs. Lumber, semi-finished and finished products are sold directly to consumers or to wood and wood product sales shops or international consumers. Wood processing factories are free to set prices. Most of the domestic market is supplied by small pit- sawers and processed into furnitures and others by small wood processing factories. By 2001, almost 90% of the reported sawn wood has been exported, mainly to Thailand, and Vietnam. In 2002/03, the total market value of timber and wood products exported was 67 million US$. On exported wood and wood products export tax has to be paid at the international checking stations.

10 Management of Protection and Conservation Forests

10.1 National Biodiversity Conservation Areas (NCBA) Refer to Forestry Strategy Chapt. 3.7. and 5.2.7. Lao PDR is rich in species with a high degree of endemism and biological distinctiveness. At least 8,100 plant species, 166 species of reptile and amphibian, 700 bird species, and 100 mammal species occur in Lao PDR. As an example, more than 430 bird species found in the Nakai-Nam Theun NBCA represent one twenty fifth of all bird species found world-wide and more than half of all bird species in the Lower Mekong system. Similarly, there are 87 known families of fish in the Indochina region, whilst 74 families have been identified in the whole African continent, and 60 families in South America. The program to establish a national biodiversity conservation system has been active since 1989. PM’s Decree Nº 164/1993 established 18 NBCAs, later increased to 20 plus two corridor areas. The current area totals 3.4 million hectares or 14.3% of the country’s area. In addition, provinces and districts have designated their own conservation areas and protection forests bringing the overall national total to 5,3 million hectares or 22.6% of the total land area.

MAF has overall responsibility for management of all categories of forest including those within NBCAs. Responsibility is delegated to DoF, with the Forest Resource Conservation Division (FRCD) in the role of technical unit. From DOF (FRCD) decentralized responsibilities are with the Provincial Agriculture and Forestry Offices (PAFO) and the District Agriculture and Forestry Offices (DAFO) who manage the conservation forests, aquatic animals and wildlife within their jurisdiction. The DAFOs themselves must in turn cooperate with people living inside and on the periphery of the relevant forests.

10.2 Protection Forest and Watershed Management For more details refer to Forestry Strategy Chapt 3.8. and 5.2.8. It is estimated that provincial and district protection forests cover around 0.6 million hectares3. Within these areas, shifting cultivation, felling, burning or removal or trees, firewood collection, animal raising and construction of houses or other structures are prohibited, as are activities such as extraction of soil, stones or minerals and hunting or gathering of prohibited forest products (Forestry Law, Art. 41). MAF through the Department of Planning is promoting integrated watershed management (IWM), in accord with the national decentralization policy. In April 2002, the National Agriculture and Forestry Conference agreed that the IWM approach should be applied by all Districts to achieve sustainable natural resource management. The principal agency responsible for management of protection forests is the Forest Resource Conservation Division of DOF/MAF, which is charged with planning, coordination and any technical backstopping related to management of these forests. At the field level, implementation of projects and activities is the responsibility of the respective PAFO and DAFO.

10.3 Pressure on Conservation and Protection Forests While sustainable forest management will gradually be implemented in the national’s production forests, the remaining forests will come under increasing pressure as a result of excess domestic production capacity and demand originating in neighboring countries. Indeed, exploitation of national conservation forests and other rich forests has already begun. Logs supplied from such unauthorized source tend to be cheaper than those from controlled areas and this has the effect of undermining the economic feasibility of sustainable management in production forests.

11 Non Timber Forest Products For details on NTFP refer to Forestry Strategy Chapt 3.3 and 5.2.3. The consultant's report on Forest Economy contains valuable economic data as well as a description on various NTFPs.

11.1 Importance of NTFP Non-timber forest products (NTFPs) play a central role in the rural economy of the Lao PDR providing food, construction material, medicine, fodder and cash income. Proceeds from NTFP sales may account for more than a third of village cash income, rising as over a half in forest-rich areas. At the national level, it has been estimated that NTFPs are worth some US$320 per household per year in rural areas.

3 This figure includes other categories of forest under village management within these areas but excludes protection forest under village management in other areas.

Lao PDR produces many of NTFPs with commercial value, including cardamom, eaglewood, bamboo, rattan, yang oil, benzoin, dammar resin, sugar palm and malva nuts. However, exports of NTFPs have declined substantially from an average value of US$ 31.8 million a year (1994-1998) to US$ 6-7 million a years. Even though commercial NTFP processing is relatively undeveloped, there are a number of small and medium-scale processing industries. These include rattan and bamboo workshops, incense factories, resin distillation units, berberin processing plants, small-scale mulberry paper industries, and aromatic oil distillation factories

11.2 Regulatory Framework Existing legislation secures villagers access to NTFPs and customary use rights are recognized in the Forestry Law. PAFO and DAFO have the mandate to ensure compliance and also to ensure that uses in conflict with customary rights, such as slash and burn, forest fire and fish traps are limited. Additionally, villagers are exempted from natural resource taxes and NTFP sale is permitted provided that villagers form groups or associations for commercial collection and that activities follow DAFO approved management plans. This is an important recognition, however, it has proved difficult to formulate management plans that are scientifically reliable. Commercial trading of NTFPs is subject to similar rules and conditions as timber products, including harvest/logging plans, the requirement for contracts and royalties and fee payment. Likewise, harvest of NTFP may only proceed in surveyed and inventoried production forest areas for which there is a forest management plan. Furthermore, harvesters of NTFPs must either directly plant a given number of trees per unit NTFP collected or pay fees for compensatory planting.

Annex

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This version has been compressed for Internet downloading, and does not contain maps. To request the full document including maps, please contact [email protected].

Working Paper 13b

Management of Pilot Watershed Areas in Lao PDR

Baseline Survey

Part I: Framework for Land and Forest Resources Management in Lao PDR Part II: Baseline Survey Nam Ton Pilot Area Part III: Baseline Survey Nam Youn Alternative Pilot Area

Consultancy Report prepared by

Kamphay Manivong, Lamphoune Xayvongsa, Oulaphone Ongkeo, Sounthone Ketphanh, Souksompong Prixar

compiled by

Werner Schindele

Vientiane, December 2004

MRC-GTZ Cooperation Programme Agriculture, Irrigation and Forestry Programme Watershed Management Project (WSMP)

Table of Contents

Preface 1 Introduction 1 1.1 Background 1 1.2 Methodology and Approach 1 1.3 Studies of Relevance for Pilot Area 3 1.4 Programs, Projects, Activities in the Pilot Area 3 2 Biophysical Environment 5 2.1 Location, Administrative Boundaries and Area 5 2.2 Climate 6 2.3 Topography and Hydrology 7 2.4 Geology, Soils and Land Suitability 10 2.5 Accessibility and Roads 13 2.6 Wildlife 14 2.7 Land Use 15 3 Socio-Economic Environment 16 3.1 Demographic Data 16 3.1.1 Settlement History 16 3.1.2 Population 16 3.1.3 Population Growth and Migration 17 3.1.4 Ethnicity and Belief 18 3.2 Livelihood 18 3.2.1 Living standard 18 3.2.2 Electricity and Communication 18 3.2.3 Infrastructure, Machinery and Equipment 19 3.2.4 Education 19 3.2.5 Access to Water 19 3.2.6 Sanitation and Health 20 3.2.7 Occupation 22 3.2.8 Off-farm Activities and Employment 22 3.2.9 Income and Income Sources 24 3.2.10 Access to Credit 25 3.2.11 Household Expenditure 25 3.3 Seasonal Calendar 26 3.4 Village Administration and Social Organization 26 4 Land Management 27 4.1 Institutions Involved 27 4.2 Land Allocation 28 4.3 Village Land Classification 28 4.4 Land Tenure 29 4.5 Land Registration 30 4.6 Land Tax 31 5 Forest Resource Use and Management 32 5.1 Vegetation Types 32 5.2 Land Use and Forest Cover 33 5.3 Forest Classification 37

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5.4 Natural Forest Management 39 5.4.1 Management Responsibility 39 5.4.2 History 40 5.4.3 Timber Production 40 5.4.4 Illegal Logging 41 5.4.5 Encroachment 41 5.4.6 Forest Fire 41 5.4.7 Fuel Wood and Charcoal 41 5.4.8 Non Wood Forest Products 42 5.4.9 Timber Market and Wood Processing Industry 45 5.5 Tree Planting and Plantations 45 5.5.1 Enrichment Planting 45 5.5.2 Established Plantations 46 5.5.3 Potential Areas for the Establishment of Plantations 48 6 Agriculture 49 6.1 Rice Production 50 6.1.1 Irrigation 50 6.1.2 Lowland Paddy 51 6.1.3 Shifting Cultivation 52 6.1.4 Rice Production and Sufficiency 53 6.2 Home Garden and Cash Crops 54 6.3 Livestock and Rangeland 55 6.4 Agro-Forestry 56 7 Fishing and Aquaculture 57 7.1 Fishing 57 7.2 Aquaculture 57 8 Mining and Quarry 58 9 Processing and Marketing 58 10 Summary of Problems, Issues and Constraints 61 11 Potential Fields of Intervention with Special Reference to NRM 62

Annexes Annex 1: Literature and References 65 Annex 2: Village population according to gender and ethnicity 71 Annex 3: List of Villages Surveyed and Names of Respondents 73 Annex 4: Seasonal Calendar for Agricultural Activities 75 Annex 5: List of Indicators for Social Impact Monitoring 77 Annex 6: State Forest Classification 103 Annex 7: NWFP Collection in the Pilot Area 105 Annex 8: Fish and Aquatic Species found in the Pilot Area 109 Annex 9: Map Atlas 111

List of Figures Figure 1: Location of Nam Ton Pilot Area 5 Figure 2: Administrative Boundaries 6 Figure 3: Watersheds of NTPA 8 Figure 4: Slope classes in NTFP 9 Figure 5: Geological formations within NTPA 11 Figure 6: Main land use types within the NTPA 16 Figure 7: Age distribution according to gender 17 Figure 8: Living standard 18 Figure 9: Land use and forest cover 2003 34 Figure 10: Change in forest cover 36 Figure 11: Forest classification map 38

List of Tables Table 1: Projects and programs currently implemented within the NTPA 4 Table 1: Meteorological data for NTPA 7 Table 2: Geological Formations 10 Table 3: Distribution of soil types within the NTPA 12 Table 5: Land suitability of NTPA 13 Table 6: Key species of mammals 14 Table 7: Key species of birds 15 Table 8: Population according to household category 17 Table 9: Distribution of religious groups in NTPA 18 Table 10: Equipment and Machinery 19 Table 12: Healthcare facilities (in 37 out of 42 villages) 21 Table 13: Sanitation 21 Table 14: Occupation 22 Table 15: Off-farm income generating activities and employment 23 Table 16: Average annual income 24 Table 17: Household income according to sources 25 Table 18: Household expenditure 26 Table 19: Seasonal calendar for major activities 26

Table 21: Village land classification 29 Table 22: Land Tenure 30 Table 23: Land Tax Rates 32 Table 24: Criteria for forest cover classification 33 Table 25: Land Use and Forest Cover 1998/2003 34 Table 26: Criteria for identification of change in forest cover 35 Table 27: Change in forest cover and forest condition 35 Table 28: Forest classification 37 Table 29: Management zones, faculty forest 39 Table 30: Timber exploitation for public supply from 2000-2004 40 Table 31: Fuel wood collection and consumption per household 42 Table 32: NWFP Collection and fishery by household categories 43 Table 33: Prices of Major Commercial NTFPs in Nam Ton Pilot Area 44 Table 34: Logging costs of Phialat sawmill 45 Table 35: Tree plantations within the NTPA 46 Table 36: Calculation of potential area factor 48 Table 37: Estimate of potential areas for plantation schemes 49 Table 38: Agricultural land in pilot area 49 Table 39: Average agricultural land holding per household categories (ha) 50 Table 40: Irrigation schemes in the area 51 Table 41: Household involvement in rice production 51 Table 42: Investment cost lowland paddy 52 Table 43: Shifting cultivation in relation to household category 53 Table 44: Rice production 54 Table 45: Gardens in relation to household category 54 Table 46: Household involvement in cash crop production 54 Table 47: Livestock population (in surveyed area) 55 Table 48: Household category involvement in large livestock production 55 Table 49: Household category involvement in aquaculture 58 Table 50: Household based processing (for involved households) 58 Table 51: Marketing 60

Acronyms and Abbreviations ADB Asian Development Bank BDP The Basin Development Plan (an MRC core programme) cbm cubicmeter CPAWM Centre for Protected Areas and Watershed Management DAFO District Agriculture and Forestry Office DFID Department for International Development (UK) DoE Department of Environment DoF Department of Forestry DLO District Land Office DOI Department of Irrigation EIA Environmental Impact Assessment FMU Forest Management Unit FOF Faculty of Forestry FRC Forest Research Center GMS Greater Mekong Subregion GOL Government of Laos Ha Hectare hh household LFA Land and Forest Allocation LUP/LA Land Use Planning and Land Allocation MAF Ministry of Agriculture and Forestry MoC Ministry of Commerce MPH Ministry of Public Health MRC Mekong River Commission NBCA National Biodiversity Conservation Areas NGO Non Government Organisation NGPEP National Growth and Poverty Eradication Program NTPA Nam Ton Pilot Area NWFP Non wood forest products NUOL National University of Laos PAFO Provincial Agriculture and Forestry Office PHC Primary Healthcare Centre SPC State Planning Committee Ster measurement unit for fuel wood, refers to a stack of wood 1m by 1m by 1m VFO Village Forest Organizations VFMU Village Forest Management Agreement VHV Village Healthcare Volunteer WSMC Watershed management Component

1 Introduction

1.1 Background In April 2004, Nam Ton Watershed was identified by the National Working Group on Watershed Management of the Mekong River Commission (MRC) as a pilot area for watershed management. For this purpose it was decided to conduct a baseline survey, which shall collect and compile all relevant baseline data with the objective: • To collect detailed information on the current situation within the pilot area in particular on socio-economy, land use, and land and natural resources management • To provide baseline data for impact monitoring (social, impact on water, etc.) • To provide information required for the identification of potential interventions with specific reference to the forest sector.

From 11.9.2004 to 26.9.2004 five local subject matter specialists conducted the baseline survey and each one prepared a sector specific report. An international expert, who was also responsible for compilation of the present baseline study, assisted them. The implementation of the study was coordinated and organised by the country coordinator of the WSMC/MRC. The following persons were involved: Kamphay Manivong, Socio-Economist Dr. Lamphoune Xayvongsa, Forest Economist Oulaphone Ongkeo, Mapping and GIS Specialist Sounthone Ketphanh, Natural Resources Management Souksompong Prixar, Land Management Specialist Sengkham Inthiratvongsy, country coordinator of WSMC/MRC Werner Schindele, international expert

It has to be mentioned, that in order to have a more uniform and large enough area, the western part of Nam Song watershed and the catchments of the small streams, which flow directly into the Mekong were added. Also, the district boundaries as identified on macro- planning level have been adjusted to the actual boundaries as identified in the field (i.e. ridges and catchments boundaries).

1.2 Methodology and Approach Data were collected on two levels: primary data and secondary data. Primary data were collected in the field based on a survey at village level and of rapid diagnostic surveys at household level. All subject matter specialists jointly elaborated the questionnaires for household and village interviews. The requirements of the social impact monitoring system of the Environmental Programme of Mekong River Commission were taken into account. The indicators are compiled in Annex 5. All sector specialists together conducted the survey, with the socio-economist as team leader. One staff of the Forest Research Centre (FRC), four staff of the Faculty of Forestry (FOF) and 3 foresters of the Sangthong District Agriculture and Forestry Office (DAFO) assisted them. Data collection was done by four to five groups of two to three persons each.

Primary data collected at village level Village survey was conducted in 37 out of 42 villages, which represent 91% of all households living in the pilot area (refer also to Annex 2). At village level, information collection focused on 10 major issues comprising of demographic information; local institutions; health and sanitation; livelihood activities; production systems;

2 land use; resources use and management; processing; marketing; major income sources; and villagers perceptions over land use, tenure, production system and natural resources use and management. For each of the issues, qualitative and quantitative studies were employed to collect detailed information and data in different aspects to understand the interactions between three components namely: physical, biological and social components. Where applicable, information and data were collected by types of income groups e.g. better off, medium and poor households (as categorized by the poverty eradication programme), gender and age. At each village, a group of important members of village administration including head and deputy heads of village; representatives of village elders organization; women union; people responsible for different units (e.g. forestry and agriculture, statistics, tax collection, sport and education, quasi police, quasi military); village health volunteer, model family (for some villages); and saving group member(s) were interviewed. Most up to date records available in the village were checked and extracted wherever feasible and found appropriate. A field team of three persons was assigned for data collection at each village in the initial period and two at a later stage. Each team spent one full day to collect information in one village. Consolidation of data and information collected was made at the end of each day. Missing information was either completed by information collected at district level or collected during household survey.

Primary data collected at household level Household surveys were conducted in order to assess the living condition of different economic group i.e. better off, medium and poor households the population. It involved 3 steps including the selection of representative villages, household selection and household information collection. Village selection for household surveys was based on the result from village surveys, by which villages were grouped into two classes: better off and poor (for more details refer to the consultants report (MANIVONG, 2004). In total, 9 villages were selected for household surveys. This includes: (1) For better off group: Ban Phialat; Nasaonang; and Naxam; (2) for poor group: Khok He; Nahoy; Koa; Houaykham; Nathong; and Souanmone. The selection of households was based on the information on household status obtained through the survey at village level. In villages where all household categories (better off, medium and poor) present, 3 households were selected from each category. In villages where two categories were present, 4 households were selected from each category. Villages with only one category exists were not chosen for household survey. In total 77 households were interviewed, of which 20 were better-off, 28 medium and 29 poor households. Data collected focused on land use and tenure, household farming activities, off farm activities, household member involvement in activity, activity seasonal calendar, income and expenditure. In some cases it was difficult to get information especially when it came to sensitive issues as illegal logging, poaching, etc.

Secondary data collected at district level Data collection at district level was directed to understand the overall socio-economic development situations including administration and management procedures, decision- making processes and development programmes operating in the areas. Institutions and sectors somehow involved in natural resources management were visited which include the governor office, a special unit for Local Strengthening education; the District Planning and Statistics Office, the District Industry Office, District Land Office, District Agriculture and Forestry Office, District Health Office, and the District Education Office. Some private business and factories e.g. the water supply group; furniture factories and Phialat sawmill were also visited.

Secondary data were collected from official documents and statistics. For this purpose two teachers from the Faculty of Forestry were engaged. As the Faculty of Forestry has already managed part of Nam Ton Pilot Area (NTPA) a number of valuable studies and reports were available. A major problem of district data analysis was that the NTPA covers only parts of Hinheup and Sangthong district. It was in many cases difficult or even impossible to differentiate what data were of relevance for the proportion of the district located inside the NTPA. This is a general constraint of the watershed management approach.

1.3 Studies of Relevance for Pilot Area In the following studies and literature with relevance to the NTPA are listed and briefly described: Socio-economic Surveys of the Poverty Eradication Special Programme The socio-economic surveys cover mainly the poor villages and poor households in both districts and are still going on. Villages are classified into better-off and poor, households are classified into better-off, medium and poor, according to five criteria (permanent house, self- sufficiency in agricultural production, access to school, access to safe drinking water, access to health treatment). Most demographic and livelihood related data and information on land use and production systems are collected on household level. For more details refer to MANIVONG, 2004). Socio-economic Study of the National University of Laos, 1997 This study covered 5 villages located in the Faculty Forest. The study covered not only demographic and livelihood but also put emphasis on the aspects of natural resources utilization, gender, and people interests in forest activities. Management Plan for Forest Resources Development, Training and Research, 2000 This management plan was prepared for the Faculty Forest and covers the period 2001 to 2010. It contains valuable information on natural resources, vegetation, wildlife and forest management. DUCKWORTH (1996): Report on Conservation Concerns in the Training and Model Forest Provides good information on wildlife and issues related to conservation. MAF (1996): Report on Soils of Training and Model Forest of VFC This report contains description of soil and land capability.

There are also a number of other specific reports available for various aspects of managing the Faculty Forest.

1.4 Programs, Projects, Activities in the Pilot Area There are several small scale projects and programs financed by international organizations, donors, NGOs and government organizations currently implemented in the NTPA. They focus mainly on agriculture, healthcare, education and rural development. They are listed and briefly described in the below. From 1997 to 2003 the German government has supported the Faculty of Forestry technically and financially. One major component of the Project was the management of the Faculty Forest. Reforestation, rehabilitation and plantation management schemes were developed and successfully tested during this period.

Table 1: Projects and programs currently implemented within the NTPA Funded Project by Period Budget Activity

2000-2003 but still continued by Provision of revolving funds for sustainable agriculture Sustaible Agriculture Promotion CIDSE DAFO production; rice bank; and saving group.

Provision of heifer as revolving funds to 10 households of 2 villages, each 2 heads; and 20 goats Heifer Revolving Fund Project 2202-2005 US$7250 to 5 households at Houaytom.

Provision of pig revolving funds to 12 households at 2001 but still two villages and to be expanded to other villages by continued by DAFO. Now the activity is expanded to another 3 TELEFOOD FAO DAFO villages. Model families on chemical free rice cultivation and Agriculture promotion CUSO 2002-2004 US$ 5000 fruit trees in 3 villages.

1994-2003 but activity is still followed Provision of revolving funds for agro forestry Promotion of Forestry Education GTZ/KFW up by DAFO US$ 10000 (aquaculture, fruit trees and industrial tree species. Rockefeller Building awareness to promote self-healthcare in 8 Community Strengthening foundation 2002-2003 villages . Disease prevention project JICA/Unicef since 1986 All villages in Sangthong district.

Prevention of malaria by means of establishment funds for Mosquito repellent impregnated net and medicine (Chloroquine). The project terminates in beginning of 2004 but the district health office continues to manage the funds by selling mosquito Malaria Eradication Project EU 2000-2004 net at reduced price (6000 kip/piece).

Promotion community health care by means of providing materials for construction of shallow wells and safe toilet to household, village and school; hand pumps (in some villages); fund for training village healthcare volunteers and local birth attendants in 21 villages of Sangthong District . Villagers contribute 20 Primary Healthcare project Menonite 2000-2004 to 50% of the cost. Provision of access to safe water through provision of Sanitary Water project Australia 1997-2004 shallow and deep wells.

Free provision of deep wells in 11 villages of Sangthong Dist.. The construction was fully Sanitary Water project EDDA undertaken by the project.

Free provision of deep wells and shallow wells in 9 villages of Sangthong Dist.. The construction was fully Sanitary Water project Japan undertaken by the project. Free provision of medicines (for Polio, ) for epidemic Epidemic Disease Prevention Netherlands disease.

Expanded Programme for US$ 1200 Immunization (EPI) per year Free provision of vaccine

2 Biophysical Environment

2.1 Location, Administrative Boundaries and Area Nam Ton Pilot Area (NTPA) covers a total land area of 80,455 ha. It is located about 60 km northwest of Vientiane Capital (see Figure 1). The "upper part" belongs to Hinheup District, Vientiane Province, the "lower part" to Sangthong district, Vientiane Municipality (see Figure 2). Figure 1: Location of Nam Ton Pilot Area

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Figure 2: Administrative Boundaries

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The Southwest Monsoon is the cause of the rainy season, which lasts from June to September. It is characterized by heavy rainfalls entailing stormy winds and thunderstorms with velocities up to 35 m/s. 95% of the rainfall occurs in this period. The hottest month in the year is usually April. The meteorological data, which are shown in the table below, are derived from the Department of Meteorology in Vientiane (Note: within the NTPA there is no meteorological survey station). Table 2: Meteorological data for NTPA Climate Data Maximum Minimum Average Temperature (°C) 28.9 22.6 26.3 Humidity (%) 83.1 65.3 74.1 Precipitation (mm) 3309 81 1421 Evaporation (mm) 1674 122 1374 Sunlight (hours) 2574 1353 2009 Source : NUOL/FOF (2004b)

The NTPA has a water surplus for approximately 6 month in the period from May to October. During this period the precipitation exceeds the evapo-transpiration remarkably.

2.3 Topography and Hydrology The NTPA stretches from the Mekong river in the south up to the end of Nam Ton watershed in the north. The eastern boundary is formed by the ridge towards Phuphanang National Biodiversity Conservation Area (NBCA) and in the west it extends to the Nam Sang River. It is elongated in shape with its main axis running north to south for about 36 km, the width ranges from 5-9 km. The NTPA comprises of the entire Nam Ton watershed and the sub-catchments of some small streams, which drain directly into the Mekong. In the west the eastern part of Nam Sang watershed is included (see Figure 3). Nam Ton River comprises of five main tributaries such as Huai Kam, Huai Pan, Huai Snot, Huai ki. The water flow of Nam Ton and Nam Sang is characterized by low-level flow in the dry season and over flow in the rainy season. After heavy rains, the rivers tends to inundations, caused by their meander pattern. Detailed hydrological information on water flow, water quality, groundwater table, ground water recharge etc. is not available due to a lack of hydrological measuring stations. However, local people living in the pilot area reported, that nowadays all rivers have to be considered as perennial as during the dry season, the river beds are just filled by water ponds and water-flow is partly disconnected. Sedimentation of Nam Ton River has increased constantly since the last 10-30 years, which is the main cause of frequent flooding during the rainy season. Whether this is linked with the forest degradation (i.e. logging operations by state enterprise No. 9 started in 1981), however, is an assumption, which cannot be proven here.

Figure 3: Watersheds of NTPA

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Geographically, the NTPA belongs to the Vientaine plain. Its geographic position is (WGS 84): North: 199,636° – 205,773° East: 193,352° – 220,332°. Elevations ranging from 180 to 760 m asl (refer also to Altitude Map in the Map Atlas). The northern and the western part and of the NTPA is characterized by hilly terrain with moderate to steep slopes, while the landscape in the lower southern part towards Nam Ton river is gently sloped or flat. In the east a small strip of steep slopes is included which already belong to the National Biodiversity Conservation Area (NBCA). The distribution of the NTPA according to slope classes is shown in Figure 4.

Figure 4: Slope classes in NTPA

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2.4 Geology, Soils and Land Suitability Geology: Geological information has been derived from the Geological Map 1997 of the Department of Geology. Unfortunately, no data were available for the northern part of the NTPA. The geology of the NTPA is quite diverse (refer to Figure 5). It comprises altogether of 11 different geological formations (refer to Table 3). The largest share with 32% is formed by middle triassic of the Nam Set formation which occurs along the Nam Ton river. Early-Middle Triassic Acid Effusive (Phu Lek Phay formation) accounts for 17% and Middle Permian (Houei La formation) has a share of about 11%, both are located in the western part. The location of the various geological formations is shown in Figure 5. Depending on the geological formation the parent material varies greatly and comprises of sandstone of different colours, limestone, claystone, siltstone, conglomerates, basalts, tuffs, etc. (refer to Table 3 for more information). Table 3: Geological Formations Geological Formation Area Parent Material (%) Neogene-Q 2 Gravel, shingle, sandy, kaolinite and laterite Vientiane formation Middle Cretacious 2 Na-salt, claystone, siltstone, sandstone, calcareous clatstone bearing Ngon formation siltstone, potash salt, gypsum and anhydrite, rhyolite and tuff Jurassic- Cretacious Phu 7 sandstone bearing mica, white siltstone and brown sandstone, Pha Nang formation quartzite sandstone Middle Triassic 32 Black sandstone, claystone, siltstone bearing white micaangular Nam Set formation purplish clay, limestone and conglomerate Early-Middle Triassic Acid 17 Conglomerate, sandstone, composition: reversal layer claystone. and Effusive shale, calc. sandstone., grey limestone, rhyodacite, white felsite, Phu Lek Phay formation rhyolite Early-Middle Triassic Tuff 3 Conglomerate, sandstone, composition: reversal layer claystone. and Phu Lek Phay formation shale, calcareous sandstone, grey limestone, tuff Middle Permain 11 sandstone, brown claystone, grey siliceous shale, aglomerate, basalt, Houei La formation green andesite, andesitic basalt and tuff Early-Middle 6 Green sandstone, claystone, gravel, shingle, lenticular limestone, black Caboniferous siltstone, coal shale Nam Ton formation Early-Middle Devonian 1 Weathered limestone, black siliceous limestone, sandstone, green Na Sa formation claystone, shale, calcareous siltstone and calcareous shale Palaezoic 4 Shale, serizitic shale, quartzite, green dolorite, shale Nam Xai formation Permian-Triassic Volcanic 1 Gabbro, gabbrodiorite, quarz-diorite, biotite, hornblende, granodiorite Rocks and medium to fine porphyritc granite grains No data 14 Source: Department of Geology (1997)

Figure 5: Geological formations within NTPA

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Soils: Information on soils within the whole NTPA is available on a macro-level from the Soil Map of 1997 from the Soil Center of NAFRI (refer to Map Atlas). In 1996 a detailed soil survey was carried out by the Soil Survey and Land Classification Center, which covered the western part of the management intervention area of the Faculty Forest. Altogether four main soil groups (FAO/UNESCO Classification) occur in the NTPA, namely: Alisols, Acrisols, Luvisols and Regosols. They all developed mainly from parent material weathered in place, from alluvium washed from uplands and deposited in valleys and along streams and from colluvium moved relatively short distances from higher to lower positions. The four soil groups are furthermore sub-divided into seven soil types1 as specified in Table 4.

1 There is a very small parcel of Eutric Fluvisols near Phialat, which comprises only of 0.1 % of the total area.

Regosols are mineral soils that have been conditioned by topography and physiography in elevated regions. They are quite homogenous in terms of colour, structure and mechanical composition as well as chemical properties and are found from undulating terrace to steeply dissected mountainous areas. The soil depth varies from 30-100 cm (shallow to deep) and soil texture varies from sandy clay to clay. They are moderately to excessively drained and moderate fertile (FOF/NUOL, 2001b). They occur mainly in the northwestern part of the NTPA and comprise of about 15% of the total area. Acrisols and Alisols are mineral soils in which soil formation is conditioned by climate (and climate induced vegetation) in wet and moist tropical regime. They are strongly weathered and form an argic B-horizon. They are well drained, shallow to deep with a sandy-loamy to clayish texture. Soil reaction is moderately acid and the nutrient content is low to medium. They clearly dominate with about 80% of the total area. Luvisols are conditioned by the climate of subhumid forest and grassland regions (FOF/NUOL, 2001b). They occur on about 5% of the total NTPA area.

The soil map as shown in the Map Atlas has been prepared on a macro-mapping level and is, if at all, just indicative. Field experience has shown that it is too inaccurate and in some cases even wrong and as such unsuitable to be used as a basis for land use decisions.

Table 4: Distribution of soil types within the NTPA

Soil Type Area (%) Dystric REGOSOLS 14.9 Ferric ALISOLS 3.7 Haplic ALISOLS 17.7 Gleyic ACRISOLS 4.5 Ferric ACRISOLS 54.6 Ferric LUVISOLS 0.7 Haplic LUVISOLS 3.9 Total: 100.0 Source: Soil Centre, NAFRI (1997)

Land suitability Information on land suitability was collected from NAFRI. Land suitability classes are determined based on topography, soil and climatic characteristics. Altogether five land suitability classes of significance occur in the NTPA which are described in the table below. For their distribution refer to Table 5.

Table 5: Land suitability of NTPA Land Suitability Area Area Suitability Class (ha) (%) LSR-04 3,620 5 S1 (pineapple; pastureland) S2 (banana; citrus; coffee; corn; cotton; groundnut; kenaf) S3 (garlic; longan; sweet potato; tea; chilli) N (lowland rice; onion) LSR-05 14,237 18 S2 (banana; cassava; citrus; coffee; corn; cotton; groundnut; kenaf; mango; Mung bean; oil palm, pineapple; pastureland; rubber; soybean; sugar; sweet potato; teak) S3 (garlic; longan; lowland rice; onion; tea; chilli) LSR-18 14,960 18 S2 (pineapple; pastureland; sugar; upland rice) S3 (banana; cassava; citrus; coffee; corn; cotton; garlic; groundnut; kenaf; longan; lowland-rice; Mug; Mung bean; oil-palm; rubber; soil bean; sweet-potato; teak; tobacco N (onion; tea; chili) LSR-29 3,084 4 S2 (citrus; groundnut; Mung bean; pasture; tobacco, upland rice) S3 (cassava; corn; cotton; garlic; kenaf; pineapple; soybean; sugar; sweet potato; chilli) N (banana; coffee; longan; lowland rice; mango; oil palm; onion; rubber; tea; teak) LSR-33 44,442 55 N (banana; cassava; citrus; coffee; corn; cotton; garlic; groundnut; kenaf; Mung bean, longan; lowland rice; onion, pineapple; pasture, rubber; soybean; sugar; sweet potato; tea; teak) Total: 80,453 100 Source: Soil Centre, NAFRI (1997) Explanations: S1: Land very well suited to crop production having no significant limitations restricting their suitability. S2: Land well suited to crop production having some limitations restricting their suitability. S3: Land moderately suited to crop production having significant limitations restricting their suitability. N: Land not suited to crop production having severe limitations.

Comparing the present land use with the land suitability mapping shows considerable contradictions. Most of the agricultural lands (i.e. rice fields, home gardens, etc.) as well as small scale teak plantings) are located on the alluvial flat lands, which have been classified as LSR-33 (unsuitable for most of the crops). It is also surprising, that the flatland, the steep slopes towards the NBCA and the higher elevations in the east have been classified as the same land use suitability class, although the are very distinct in landform, slope and geography. For the land suitability map refer to the Map Atlas.

As such it has to be concluded, that the land suitability classification contains considerable discrepancies and should not be used to make land use decision.

2.5 Accessibility and Roads Main access to the NTPA is provided by a public all-wheather road, which runs about 55km from from Vientiane to Ban Nasa along the Mekong River. This road has been improved several times during the last years, however some bridges, which cross tributaries to the Mekong are still in a bad condition. Also, during heavy rains, some parts of the road may be flooded for several days. This road is normally used for the transport of products from the lower part of the NTPA to Vientiane. In the dry season, another route to access the NTPA is by following the paved road No. 13 North for approximately 50 km and then to follow the earth road for about 20 km through the Phou Phanang mountain range until one reaches Nahoypang in Santhong district. This route is shorter than the first one if the middle part of the NTPA is the destination. The third possibility to reach the NTPA is to follow the paved road No. 13 North for approximately 100 km to Huai I Leuth village, Hinheup district and then to turn south into an

14 earth road, which enters the pilot area after approximately 20 km. This route is only used if the upper part in the north shall be reached. All villages within the pilot area are accessible during the dry season at least by an earth road. In the rainy season, access is only possible to some areas by 4WD vehicles. Five villages are inaccessible during the rainy season due to the absence of a bridge crossing Nam Ton River. During the past 10-15 years and during the raining season (from August to October) Nam Ton River was used for bamboo transportation down to the Mekong River and then to Vientiane Municipality. Nowadays, this means of transportation has become insignificant. There are also a number of foot paths, at least 10, across the Phou Pha Nang mountain which are used by local people to reach road No. 13 North or to visit their relatives in Nasaithong District. There is public transport by bus from each village to Vientiane at least once per day, which returns at the same day. However, this only applies for the dry season. The condition of the different roads can be depicted from the maps in the map atlas.

2.6 Wildlife The information on wildlife has been derived from wildlife surveys conducted in 1996 within the village area of Ban So and Ban Wangma (FOF/NUOL 2001b) and from information obtained from local people. The most important habitat for the key species2 are the extensive giant-bamboo-dominated secondary forest areas, the mixed deciduous forests on hillrocks and ridges in the northern and western part of the NTPA and the forests along the Nam San river and its tributaries, which are very important for otters and large herbivores and the remaining carnivores. The NTPA is still rich in wildlife diversity, although some of the species recorded are already very rare, especially those which are hunted by the local people such as Kay Khoa (bush fowl), Phan (barking deer), Kuang (deer), Len (varan), and Ling (monkey). Wild pigs, monkeys, muntiaks and a high species richness in birds occurr in the closed forest areas in the northern and eastern part. The only short-tailed Parrotbill population known in the world is found in the forest ridges southeast of Ban Napo (FOF/NUOL, 2001b). A number of key species of mammals has been recorded by DUCKWORTH (1996) inside and in the vicinity of the faculty forest and in the area of Ban Wangma village, which are listed in the table below. Beside those, villagers reported the occurrence of Pangolin sp. Black Giant Squirrel, Slow Loris, Dhole, bears and otters. Whether all of these species still occur could not been verified. Table 6: Key species of mammals Scientific Name Common Name Status Macaca nemestrina Pig-tailed Macaque Regionally at risk Macaca mulatta Rhesus Macaque Regionally at risk Seymnopithecus sp. Langu Regionally at risk Hylobates sp. Gibbon Globally threatened Prionailurus bengalensis Leopard Cat Regionally at risk Catopuma temmincki Asian Golden Cat Globally threatened Elephas maximus Asian Elephant Globally threatened Callosciursus finlaysoni Variable Squirrel Regionally at risk Callosciursus inornatus Inornate Squirrel Regionally at risk Source: DUCKWORTH (1996)

2 Key species are those of priority concern to conservation, because they are globally or regionally endangered or threatened with extinction. They therefore can be used as indicator for the conservation value of a particular area and for prioritising conservation activities.

A group of about 45 wild elephants has been reported by the local people. As large parts of their former habitat has been degraded or destroyed, they roam around in the shifting cultivation areas and cause a lot of destruction to agricultural crops. Local people have mentioned this as a serious problem. More than 210 species of birds has been identified only within the management intervention area of the faculty forest including seventeen key species. However, populations of certain birds have been reduced by hunting and some species have already disappeared such as White-winged Duck and Oriental Darter. DUCKWORTH (1996) recorded the following key species of birds: Table 7: Key species of birds Scientific Name Common Name Status Lophura diardi Siemese Fireback Globally threatened Polyplectron bicalcaratum Grey Peacock Pheasant Regionally at risk Vanellus duvaucelii River Lapwing National historic decline Glareola lactea Small Pratincole Regionally at risk Treron pompadora Pompadour Pigeon Regionally at risk Batrachastomus javanensis Javan Frogmouth Regionally at risk Picus rabieri Red-collared Woodpecker Globally threatened Carbococcys renauldi Coral-billed Ground Cuckoo Globally threatened Pitta elliotti Bar-bellied Pitta Globally threatened Riparia paludicola Plain Martin Regionally at risk Hirundo smithii Wire-tailed Swallow Regionally at risk Pericrocotus cantaonensis Brown-rumped Minivet Globally threatened Erythrura prasina Short-tailed Parrotbill Globally threatened Saxicola jerdoni Jerdon’s Bushcat Globally threatened Gracula religiosa Hill Myna Regionally at risk Erythrusa prasina Erythrusa Prasina Regionally at risk Alcippe rufogularis Rufous-throated Fulvetta Globally threatened Source: DUCKWORTH (1996)

Key species most vulnerable to hunting, trapping and nest collection are Siamese Fireback, Grey Peacock-Pheasant, Coral-billed Ground Cuckoo, Bar-bellied Pitta, Hill Myna, Pompadour Pigeon, Gibbons Pangolins, Inornate Squirrel and Black Giant Squirrel.

2.7 Land Use At this place only a general overview over the main land use types in the NTPA is given. More detailed information on land use is given in Chapter 4.3 and 6 and on vegetation and forest cover in chapter 5.2. Based on satellite image interpretation of SPOT 5 imagery from 2003, forestland of various condition covers only 24% of the total area of the NTPA, which is far below the country's average of 47%. 19% is covered by wood and shrub land, which does not belong officially to the forest area, as its crown cover is less than 20%. But, even if they would be considered as potential forest areas the total forest area would be 43%, which is still less then the average. As such the NTPA belongs to one of the poorly forested areas of Lao PDR. Mosaic of cropping accounts for 20%, which includes secondary forest and fallow areas belonging to the shifting cultivation cycle. Agricultural land covers 33% and the remaining area are water bodies or settlement areas. The distribution of main land use types is shown in Figure 6 below.

Figure 6: Main land use types within the NTPA

Water Body Settlements Forest Lowland Paddy 3% 1% 6% 24% Agriculture 27%

Wood/Shrubland Mosaic of Cropping 19% 20%

3 Socio-Economic Environment Detailed information on the socio-economic environment can be depicted from MANIVONG (2004).

3.1 Demographic Data

3.1.1 Settlement History Inhabitation started 500 years ago when the villages of Ban Sakai and Khokpheung were established at the Mekong riverbank. During the King Anouvong period, about 300-400 years ago, more people settled down in the lower part, namely at Phialat and along the Mekong river. First settlements (B. Taohai and Nahoypang) in the north were founded and until the end of the 19th only a few more villages were established. Mass settlement of the NTPA, however, occured in the 20th century, especially during the war and after the country liberation. Immigration to the area has been driven by the availability of productive land suitable for permanent agriculture (lowland paddy field). Another reason has been the government development programmes, which supported immigration, such as in the 1980s the forestry programme (State Forest Enterprise No. 9), the establishment of Sangthong district, and the recent resettlement programme at Ban Houaykham. They brought in large number of immigrants from various locations of Laos but the majority came from Xiengkhouang, Houaphanh, Xayaboury and Vientiane province.

3.1.2 Population In the NTPA there are about 31,000 residential inhabitants and a few hundred people who are engaged in government jobs, projects and other business and are temporarily residing in the area. Population density is 38.6 people/km2. Population according to village, gender and ethnicity is attached in Annex 2. The gender distribution is uneven, there are more male (52%) than female (48%), especially within the Lowland Lao community. Half of the population (50%) is of the productive age class of 15-60 years, with a higher proportion of male (26%) than female (24%). See also Figure 7 below.

Figure 7: Age distribution according to gender

30%

25%

20%

15% female male 10% 5%

0% < 5 years 5-14 years 15 - 60 years > 60 years

Source: GTZ-WSMC baseline survey, 2004.

In the whole pilot area, there are presently more than 5900 families, which make up 5550 households. The average size of the household is 5.5 persons. The single male headed and female headed households comprise of about 1% and 5%, respectively. More detailed information can be derived from the socio-economic baseline study of MANIVONG (2004). The number of households according to household category is shown in Table 8 below, for household categories refer to chapter 3.2.1. Table 8: Population according to household category Household No. of hh % category Better Off 630 11 Medium 4360 79 Poor 560 10 Total 5550 100 Source: GTZ-WSMC baseline survey, 2004

3.1.3 Population Growth and Migration On average, the annual population growth calculated based on village data during the last two years was 5.02%, this included both in-migration and reproduction. The actual net growth rate (i.e. reproduction – mortality) could only be derived from Sangthong district data. By 2000 it was just 1.23% for the whole of Sangthong district. Population growth is not only due to the birth rate but also to immigration. The NTPA is one of the areas where the rate of immigration is relatively high. During the last four years immigration into the NTPA was more then twice times (2.2) as high than the number of people who left the pilot area. From 2000-2004 altogether 215 families immigrated into the NTPA, of which 87 were settled in Ban Houaykham through the resettlement programme. Especially the flat areas in the east along the Nam Ton River with comparatively good potential are subject to immigration. Degraded forestland, which requires less effort to be converted into agricultural land is preferred for occupation. The ongoing process of immigration has led to a steady expansion of agricultural land in areas more suitable for crop production. Most of the immigrants usually came to the area through relatives who sometimes shared their land for cultivation or saw the opportunities to either encroach land or to get some land allocated by the village after they settled down. The situation varies from village to village according to village rules and land availability.

Reasons for emigration were: to join family members elsewhere, transfer for jobs and search for better opportunities. The largest share of emigrants was reported to be a group of upland Lao from the new resettlement site at Ban Houaykham, which form one third of the total households. They have not been able to adapt themselves to the new situations.

3.1.4 Ethnicity and Belief The majority (78%) of the population in the NTPA are Lao loum (Lowland Lao), which live mainly in the lower part. The upper part of the pilot area is dominated by Lao kang (Upland Lao), which make up about 22% of total population. There are only a few individuals of Lao soung (Highland Lao) who are married to other groups. Most of the people are Buddhists. Among the Upland Lao there are also some Christians and animists. Only very few people are atheists. Every religion and belief has and celebrates its own regular festival every year. In addition, the rice festival is celebrated in many Lao Loum villages in years of good rice production. The celebration takes place during December to January for one full day after all families have completed harvesting. The important feature of this festival is that all families in the village have to offer paddy to the monks to be used as fund for pagoda renovation or in the construction or maintenance of certain infrastructure in the village. The Kareu festival is practiced in one Lao kang village (Ban Khonekene) in Hinheup district.

Table 9: Distribution of religious groups in NTPA Buddhist Animist Christian Catholic Atheist 83.4% 10.3% 5.4% 0.8% 0.1% Source: GTZ-WSMC baseline survey, 2004

3.2 Livelihood

3.2.1 Living standard All households within the pilot area have been classified according to their living standard into three categories: better off, medium, and poor following the criteria developed by the Poverty Alleviation Programme3. The majority (78%) of the people living in the NTPA feel neither rich nor poor, just average. Figure 8: Living standard

Poor Better Off 10% 11%

Medium 79%

Source: GTZ-WSMC baseline survey, 2004

3.2.2 Electricity and Communication Rural electrification started in 1997 in villages along the Mekong in the south and southwestern parts of the pilot area. Today 28 villages out of 42 have electricity; all of them

3 Criteria are: permanent house, self-sufficiency in agricultural production, access to school, access to safe drinking water, access to health treatment.

19 in the lower part of the pilot area, while 14 are still without (all 9 villages of Hinheup district and 5 within Sangthong district). It is planned that the remaining five villages in the lower part will be connected by 2005 Telephone connection exists only at Phialat (Sangthong district centre) with 44 numbers (mainly for offices).

3.2.3 Infrastructure, Machinery and Equipment People living within the NTPA have access to two daily sales markets for a variety of goods. They are located in Phialat and Khok Pheung. Three nurseries are producing fruit and plantation trees (mainly teak), one belongs to the Faculty of Forestry and is located at Phialat, the other two are small village nurseries. Six villages have own village offices. There are two petrol stations, one in Paktone, the other one in Phialat. There are altogether 54 retail shops, which supply the local people with their daily needs. In general, infrastructure facilities are improving. Basic transport facilities, facilities for primary processing and agricultural production as well as for other socio-economic developments are available, although they are still far from sufficient. About 25% of all households have a hand tractor, which is surprisingly high. Television and bicycles are owned by about half of the households. A list of machinery and equipment available in the area is shown in Table 10 below. Table 10: Equipment and Machinery Type of Equipment Number Rice mill 133 Truck 120 Hand Tractor 1106 Tractor 2 Motocycle 421 Bicycle 2575 Row Boat 10 Motor boat 218 Television 2447 Loud speakers 25 Source: GTZ-WSMC baseline survey, 2004

3.2.4 Education Every village in the pilot area has access to basic education, however not all of the children in the age class 5-14 actually go to school, namely out of economic or family reasons. Right now, more than 4000 students attend primary school. There are altogether five secondary schools in the area; one for each village cluster of 7 to 8 villages. The schools are fairly well distributed to accommodate children from nearby villages, although some of them have to travel quite a long distance of up to 7 kilometres. Access to higher education is difficult. The next location where it is provided is Vientiane Capital, which is too far away to be reached daily. Therefore, quite many students, which would qualify for higher education, have currently no access to it. There is only one kindergarden in Sangthong district centre, Ban Phialat. The average illiteracy rate is 4%. For the 6-14 years old it is 3%, for the age class 15-60 years 36% and for those over 60 years 61%. Illiteracy has been considerably reduced through the efforts of the adult illiteracy component of the poverty reduction programme.

3.2.5 Access to Water There are three sources of water, which are used for the domestic supply: ground water, surface water and rain water.

Ground water is the most important source of water for the majority of the population in the pilot area. There are altogether 1334 shallow wells, however, 68% of them fell dry during the dry season from February to beginning of June, and especially critical is the month of April. Also, during the rainy season, the water in many of the shallow wells, especially in the flat lands, cannot be used as it is contaminated by infiltration of surface water due to flooding. During this period, people depend on rainwater for drinking. Most of the shallow wells are privately owned (61%), while the others belong to the village. The most secure source drinking water throughout the year comes from tube wells. Altogether 70 of them have been constructed within the pilot area since 1990 with the financial support of various donors. 36% of them are privately owned, most of them by better- off households. Maintenance of these wells, especially the hand pumps, has been very poor, presently only 40% of the hand pumps are functioning. Although different persons own wells, all people free of charge commonly use them. Water from wells is strictly used for drinking and household uses during dry season. For bathing, washing clothes, etc. the people use water from the river and streams. Phialat, the centre of Sangthong district has access to piped water, which is pumped, from a deep well. The well is operated by a group of better-off households. Altogether 8% of the household have access to it. There is no government water supply scheme in NTPA. Only few villages reported, that they use drinking water from natural rivers or streams. One village (Ban Thanasanghin) uses water from the Mekong. It can be concluded, that a large proportion of the local population in the pilot area does not have access to safe drinking water throughout the year.

3.2.6 Sanitation and Health In the whole pilot area there is only one poorly equipped district hospital with 20 beds. There are four medical doctors (two female), ten medium level (one female) and 21 lower level medical staff (six female) working in the hospital. In the lower part of the pilot area, primary health care network exists in most villages. Every village cluster has a primary health care centre, where minor illness can be treated. People with serious illness are either sent to district hospital or to Vientiane for treatment. Most villages have one to two village health care volunteers (VHV) and one local birth attendant. They were given practical training in primary health care service and were provided with a drug revolving fund of 150,000 to 500,000 kip to operate in the village. VHVs are allowed to sell medicine to villagers with a marginal profit in order to renew stock to promote self-sustenance. This programme has been in operation since 2002 with financial support from projects like CIDSE, MENNONITE, French government, and also from government funds. Only four villages out of nine have such a programme in the upper part of the NTPA. Table 11 gives details on healthcare facilities and services in the pilot area.

Table 11: Healthcare facilities (in 37 out of 42 villages) Health care facility Number No. of hospital 1 No. of medical doctor and medical staff 35 No. of villages with Village Drug Revolving Fund 13 No. of primary healthcare centres (PHC) 4 No. of healthcare workers at PHC 12 No. of village healthcare volunteers (VHV) and local birth attendants 60 % of villages having VHV 80 % of villages having village drug revolving fund 41 No. of private Clinic 2 No. of drug store 20 Villages having drug store 7 Source: GTZ-WSMC baseline survey, 2004

In the NTPA, only 58% of the households have access to pour flush toilet type. Around 12% of the population, most of them poor households, have no access to a toilet at all (see Table 12). Currently there is a sanitation programme implemented by the district to ensure that in future every household has access to proper sanitation facilities. This programme operates through the VHV-network and is supported by the above-mentioned projects. Table 12: Sanitation Access to Toilet in % of hh Household category Pour flush Open pit No access toilet toilet to toilet All households 58 30 12 Better off households 98 2 0 Medium households 55 35 10 Poor households 38 18 44 Schools 65 3 32 Source: GTZ-WSMC baseline survey, 2004

The VHV network has also been used to assist the district in disease prevention campaigns e.g. children nutrition programme, malaria and diarrhoea prevention campaigns, etc. The staff from the district health office visits the villages three to four times a year to follow up healthcare activities. Before the season of disease outbreak starts prevention measures are undertaken by the VHV following the instructions provided by the primary healthcare centre at the village cluster (Khet) or directly from district staff. This programme functions well and is quite successful. However, despite great efforts made in improving sanitation and health care, the pilot area is still affected by many diseases. Most common diseases reported are respiratory diseases, diarrhoea and malaria. The most serious disease at present is a respiratory illness, which people believe is caused by an unclean or contaminated environment. It was not possible to get the exact figure but it has been reported that this disease caused more causalities then others. Diarrhoea claimed more than 100 lives during the period of 1995-2000. Diarrhoea is still a problem today but at much reduced rate due to improved sanitation and better access to clean water. The comparatively high rate of respiratory disease and diarrhoea is related with the poor environmental condition and sanitation. Waste water and solid waste which include human excrement, urine, grey water from kitchens, laundry or bathing, industrial and all non-liquid, organic and inorganic waste from both domestic and non-domestic sources are poorly dealt with. Nam Ton River is observed to be a receiver for all kinds of effluents. Poor sanitation is getting worse during rain since most villages are located along Nam Ton bank where flooding and water stagnation are common and widespread.

Due to the absence of a sewage system, the waste is easily drained down into the rivers and into hollow areas and contaminates wells. Flooded areas, waste disposal and contaminated rivers are the main cause for malaria, respiratory disease and diarrhoea and for all other diseases which are transmitted via water, food or carriers such as flies, mosquitoes and rodents. Simple protection measures such as boiling of drinking water and the use of mosquito net are still quite uncommon. The current ongoing health care programmes are dealing with these problems through an integrated approach and it can be assumed, that the situation will improve in future. Malnutrition is still widespread. A survey conducted by the district health offices found out, that cases of malnutrition occurred in about 50% of the surveyed villages and about 3% of the children have been under-nourished. The VHVs have been trained to monitor the nutrition status and to teach parents how to prepare nutrition rich food for their children.

3.2.7 Occupation Most of the people are subsistence farmers, of which about 36% are pure lowland paddy cultivators and another 23% are engaged in both, lowland paddy and shifting cultivation. Still, about 8% of the people depend only on shifting cultivation for subsistence, especially in the upper part. In addition, those with other occupations such as government employee, retailer, local businessmen, etc. also engage in paddy or shifting cultivation. Only few people (3%) are mere cash crop growers, while 9% are engaged in both cash crop production and shifting cultivation. Only 1% of the population are government servants. A fairly high number of people also engage in daily paid labour. It has to be mentioned at this place, that it was often difficult to get precise information on occupation of individual household members.

Table 13: Occupation Occupation % Government official 1.0 Government official and farmer 4.1 Lowland paddy cultivator 36.3 Lowland paddy cultivator and shifting cultivator 23.0 Shifting cultivator 8.2 Cash crop grower 3.0 Cash crop grower and shifting cultivator 9.5 Casual daily labourer 4.3 Permanent labourer 0.1 Business man 0.3 Business man and farmer 0.5 Retailer 1.4 Others 8.3 Total 100.0 Source: GTZ-WSMC baseline survey, 2004

3.2.8 Off-farm Activities and Employment Results from household survey show that people in the pilot area are involved in several income generating activities and jobs in addition to farming production activities. Some are permanent, but most are casual jobs. These income-generating activities can be grouped into 5 major categories as • on-farm daily wage labour; • off-farm income generating activity/casual labour; • off-farm permanent employment; • services;

• and business. Poor households are mainly engaged as casual labourers in any type of activities available either on-farm or off-farm. Medium households and few better off households were also found to work as casual labour. Trading, business and services where big investment is required are mainly found among the better off and some of the medium categories. Table 14: Off-farm income generating activities and employment Household categories Activities/Employment involved On-farm daily wage labour Land clearance* Poor Weeding * Poor, Medium Transplanting * Poor, Medium Rice harvesting* Poor Off-farm income generating activity/casual labour Wood sawing* Poor, Medium Unregistered construction contractor/labour* Poor, Medium Basketry * Poor, Medium, Poor, Medium Casual labourer* Poor, Medium, Better off Sewing Poor Lottery selling Poor Gold sieving Medium Charcoal making* Medium Permanent jobs Government employee (salary) Better off, Medium Private company employee Better off Factory employee Better off Services Retailing* Better off, Medium Ferry boat Medium Bike repair shop Medium Ploughing service* Better off Transportation service* Better off Rice milling* Better off Rice threshing* Better off Log transport Better off Business Pottery Better off Workshop Better off Water supply business Better off Rice trading* Better off Construction business Better off Agriculture and forest products trade (middlemen)* Better off Animal trading* Medium Animal slaughtering Medium Source: GTZ-WSMC baseline survey, 2004: Household survey

Many of the activities shown in Table 14 are specific to certain villages or areas and involve just few people especially those engaged in the services and business categories. However, many of these activities (those marked with*) are found throughout the pilot area. Not a single household is involved in just one activity. All of them were found to engage in at least 2 activities in addition to farming.

3.2.9 Income and Income Sources The average annual income per household is about 3457 USD4. The average daily income per capita is 1.41 USD. Table 15 shows the average annual income in relation to the household category. There is a significant difference between the income of the better off and poor households. 8% of the poor households have a daily income below the poverty line of 1 USD for development countries. Taking into account an average household size of 5.5 capita, then about 2800 people have to be considered as very poor. Table 15: Average annual income Household Households in % Income per hh Income per capita Per capita income category of total (USD/year) (USD/year) (USD/day) Better Off 11.4 5830 857 2.35 Medium 78.6 3387 498 1.36 Poor 10.0 1318 240 0.65 Average/total 100.0 3457 513 1.41 Source: GTZ-WSMC baseline survey, 2004: Household survey

Household’s income comes from many sources. Amount of cash income from any particular source greatly varies between household within and between categories. A number of income sources differ considerably per household categories as specified in Table 16. The figures refer purely to cash income, which varies very much depending on the product. Self- consumed value by households was not considered. While 79% of the better-off and 77% of the medium households generate income from the sale of rice, this is only true for 19% of the poor households. 78% of the poor earn cash from casual labour (78%). The sale of livestock is another important source of income for the majority of the better off and medium households. Aquaculture is only common in medium households. About half of the better-off families are engaged in business. Surprisingly quite a number of households receive money from their relatives living outside the area and from abroad. The collection of NTFP for sale is mainly practised by poor household (28%), however with comparatively low annual income per household of 49 USD. Although only 13% of medium households generate cash from the sale of NTFPs the average annual income per household of 123 USD is almost three times as high as that of the poor. It has also been noticed that many households are involved in illegal forest use, namely illegal logging, charcoal production and poaching. Due to the nature of these activities it was impossible to provide an estimate, but in some cases it can be assumed, that a considerable share of the income comes from these activities.

4 Based on an exchange rate of 1USD = 10,000 Kip

Table 16: Household income according to sources Source of Better Off households Medium households Poor households income Annual income % of hh Annual income % of hh Annual income % of hh (USD*) involved (USD) involved (USD) involved Rice 647 79 316 77 130 19 Livestock 989 63 364 63 183 26 Daily labour 720 16 127 27 237 78 Salary 1104 5 480 13 360 4 Family support 600 5 1200 3 304 11 Service business 1716 53 199 20 0 0 Saving fund 24 5 122 13 2 4 Cash crops 208 16 367 23 19 7 Aquaculture 246 29 196 69 50 2 Charcoal 210 5 0 0 0 0 Basketry 0 0 200 3 35 11 NTFP & Fishery 29 5 123 13 49 26 Total income 6493 3694 1369 * Based on an exchange rate of 1 USD = 10,000 Kip Source: GTZ-WSMC baseline survey, 2004: Household survey.

3.2.10 Access to Credit A holistic, integrated development is widely recognized as an appropriate approach to socio- economic development at all levels. At village level, development funds are necessary means to assist in establishing self-reliance in sustainable development. In the pilot area, village savings have been strongly and widely encouraged by the district and development projects operating in the area with the aim to provide credit service to villagers. There are presently 22 saving groups with 1357 members organized and operating in 22 villages since 1999. All of them are located in Sangthong district. Many projects provided initial fund to establish village saving groups. More than 50% of the saving groups were initiated through member savings. The village authority administers saving groups; the district and the project involved provide training and advisory support. The amount of the fund varies greatly between villages, depending on the number of members and the amount deposited by each member (for more details refer to MANIVONG, 2004). The total capital available from all saving groups for credit services is about 319 Mio Kip. Credits are usually provided to group members on a short term basis (i.e. 3 to 10 month). Monthly interest rates depend on the credit purpose; it is usually 3% for agriculture production, 5% for purchases and 2% for emergency situation. Sangthong district is now requesting 40 million kips to further establish saving groups in other villages and many villages have already applied for funds. The saving group scheme is quite successful and is expanding constantly. It has become an in-dispensable element of local financing.

3.2.11 Household Expenditure It was quite difficult to get exact figures on expenditure as people are not keeping cashbooks and not all the members of the households were participating in the interviews. As such the real amount of money spent could not be identified but the relation of the various expenditure could be calculated. This is a good indicator for the economic situation of the different household categories. For this purpose the expenditure items were grouped into 12 major components and calculated per household category (see Table 17). All households spent most of their money for investments required for agricultural production. Expenditure for food is on 2nd place, with a higher ratio for poor households. While better-off and medium households are self-sufficient in rice, 6% of the poor households have to purchase some. As expected, better off households spend more money than medium or

26 poor. It has been reported that little money was available for savings, however mainly for the better-off and medium households. Table 17: Household expenditure Proportion of Expenditure in % Expenditure Item Better-off Medium Poor Rice 0 0 6 Food 11 10 19 Clothes 6 7 13 Social purposes 8 5 7 Education 10 8 7 Health Care 7 6 10 Electricity 1 1 1 Member fees 0 0 0 Interest rates 0 1 2 House repair 9 3 0 Agricultural production 37 55 31 Others 11 4 3 Total 100 100 100 Source: GTZ-WSMC baseline survey, 2004: Household survey

3.3 Seasonal Calendar People living in the pilot area are engaged in a various number of activities throughout the year. Many activities take place at the same time and within a particular period. Some activities are conducted only for a short period; others are carried out continuously throughout the year. Peak of activities, were most of the peoples are engaged, is June to July. Table 18 shows the seasonal calendar for major activities and Annex 4 for specific agricultural activities. Table 18: Seasonal calendar for major activities Activity Month J F M A M J J A S O N D Lowland rainfed paddy cultivation Lowland irrigated paddy cultivation Shifting cultivation Home gardening Cash crop gardening Large livestock raising Small livestock raising Tree planting On-farm labour Fishing and aquaculture On-farm services Off-farm activities and services Labour Source: GTZ-WSMC baseline survey, 2004: Household survey

3.4 Village Administration and Social Organization On village level, a village head and two deputies administer the village. Its administration is organized into several functional and specialized units including village quasi-police; quasi military, statistic unit, finance and tax, culture, agriculture and forestry, education, health care, post, and social welfare. The village head is elected every two years and units are staffed with new personnel. It is reported that it is always difficult to find people for the different tasks at the village level. In most villages, one villager had to be assigned to be responsible for two to three units.

There are also mass organizations such as youth organization, village women union, and village elders organization which play an important role in assisting the village administration in conflict resolution, awareness building and implementation of village development programmes. Additional to these, specific groups are often organized to perform certain tasks either for political, security, socio-cultural or economic development purposes. The whole village organization set up is under the leadership of the village party committee who provides the overall directions and guidance in village socio-economic development. The village level reports to the village cluster (or Khet) committee. This committee is often called a special task force for local strengthening which composes of a multidisciplinary team of officials from district line departments. They have been assigned by the district authority to take overall administration responsibilities for a certain period of time ranging from 2 to 4 years. The head of the village cluster is usually the district party committee member. Regular meeting with all village heads is organized weekly or fortnightly to monitor as well as to provide guidance in overall socio-economic development works. The organizational set up as described above seems to provide a strong base for socio- economic development at grass root level. However, in actuality there are many gaps to fill especially when it comes to the issue of responsive technical extension services, which respond to villagers needs. Coordination with line offices is often faced with the question of unavailability of technical staff.

4 Land Management For detailed information on land management refer to the consultants report PRIXAR (2004c).

4.1 Institutions Involved Two institutions are involved in land management on district level: 1) The District Agricultural and Forestry Office (DAFO), which is responsible for the management of agricultural and forestland. 2) The District Land Office (DLO), which is responsible for the issue of land titles, land lease and land registration.

For the upper part of the NTPA, which is located in Hinheup District both departments are located in Hinheup district center, which is about 28 km from the northern boundary of the NTPA. The DLO and DAFO for Sangthong district are located in the district capital Ban Phialat. In the upper part of the NTPA there are just a few villages, one reason why the analysis of the institutional capacity the organizations involved in land management concentrated on the Sangthong district. The Sangthong District Land Office comprises of 10 staff (8 lower diploma and 2 certificate holders). Their main activities are land measurement and land registration. Sangthong District Agricultural and Forestry Office comprises of 20 staff with the following qualification: 5 higher diploma in forestry, 4 lower diploma in forestry, 2 forestry certificate holders, 5 higher diploma in agriculture, 1 higher diploma in animal husbandry 2 higher diploma in irrigation Both offices are concerned with land use and land management and supposed to work closely together. This is however not the case. For example when DAFO carried out the land survey for the Korean GW farm (refer to chapter5.5.2) the staff of DLO was not informed and did not participate accordingly.

Due to paucity of funds, lack of coordination, inadequate material and equipment and lack of vehicles, field inspection and control is not carried out as required by both departments. Therefore, most problems occurring in land use and land management are therefore dealt with and solved on village level and just reported to the DLO and DAFO, once they were settled. Data and information management is very poor. For example for almost half of the allocated village land, the data and maps on land classification could not be found in neither of both departments (in fact both should keep records). This is a major constraint when it comes to planning of rehabilitation measures or plantation schemes. As long as there are no standards for data collection and management, overlapping responsibilities, inappropriate administrative procedures and institutional weaknesses there will be no functioning land information system on district level. These institutional weaknesses are not a specific problem of Sangthong district but are rather typical for the whole country.

4.2 Land Allocation Land registration, which was mainly introduced for land tax collection started under the Land Department in 1993. In the lower part of the NTPA, the Faculty of Forestry (FOF) begun in 1996 with land and forest allocation at some villages in the surrounding of the Faculty Forest. Between 1998 and 1999, the land allocation program was intensified and extended to the whole pilot area. By then, about 50% of the villages within the pilot area were covered. The land and forest allocation program was implemented jointly by the Faculty of Forestry and the Land Use Planning and Land Allocation Committee at different levels (central, provincial, district). Land use planning was carried out on village level. Major land use types (i.e. agricultural land and forestland) were zoned, their boundaries were jointly determined and finally mapped, but no actual demarcation took place in the field. However, in many cases village boundaries were based on physical landmarks such as streams, mountain ridges, roads, etc. In 2000/2001, the Land Use Planning and Land Allocation Committee was dissolved and the task for land allocation was handed over to the Land Departments on various levels. Under the management of the Land Department, further land allocation did not continue. Little attention was paid to village land use plans developed earlier. Land registration was done for only land plots where individual households actually declared their holdings without much attention paid to the size and location. Land allocation concentrated on households capable to pay land tax and it was assumed, that no overlapped land holdings exist. Conflicts over boundaries were reported but they were solved within the village. However, no conflict over village boundaries was reported.

4.3 Village Land Classification Altogether about 41,000 ha of village land has been classified within the NTPA. To get accurate information on the extent of village land allocated was impossible. Many villages do not have proper records. Also, in many cases it is the individual in charge who keeps them and not the village administration. Therefore, it sometimes happened, that records were not handed over, when there has been a change in personal and got lost. Data available at district and villages comprises mainly of the four to five main classes for which households have to pay land tax. Other categories are recorded under “others”. It is therefore difficult to differentiate between forestland, encroached fallow land for shifting cultivation or cash crop areas. The data shown in the table below are mainly based on field data collected at the village level. They were complemented by data from records of the District Land Office, DAFO and other concerned organizations.

It has to be pointed out, that because of the above mentioned, the area data are not very much reliable, however, the proportion of the different categories may give a good idea about land allocation and land use on village level. Approximately 40% of the classified village area is forestland, of which about 38% has been set aside for protection or conservation purposes, another 30% has been declared as village use forest and 29% have not been allocated to any category, yet. 55% of the land has been classified as agricultural land, which includes shifting cultivation areas. 5% are other land categories like mining areas and settlements. Table 19: Village land classification Village Land Classification Area Area % of (ha) (%) class Village conservation forests 4665 11.3 27.8 Village protection forests 1729 4.2 10.3 Village use forests 5096 12.3 30.4 Sacred forests 41 0.1 0.2 Cemetery 72 0.2 0.4 Individual household plantation 200 0.5 1.2 Village plantation 26 0.1 0.2 Other unclassified forest 4933 11.9 29.4 Total forest 16762 40.5 100.0 Shifting cultivation 3263 7.9 14.5 Lowland paddy field 5663 13.7 25.1 Range land 7282 17.6 32.3 Fish pond 311 0.8 1.4 Cash crop garden 2760 6.7 12.2 Home garden* 3279 7.9 14.5 Total agriculture 22558 54.5 100.0 Settlement 1780 4.3 86.0 Reservoirs 70 0.2 3.4 Mining and quarrying 220 0.5 10.6 Total other areas 2070 5.0 100.0 Total classified village land 41390 100.0 Source: village interviews and district statistics

4.4 Land Tenure Although, ownership of land is with the state (national asset), traditional tenure systems are still commonly accepted in the pilot area. People who use land have to pay tax on an annual basis (refer to chapter 4.6). Throughout the pilot area, so far no lpermanent land title has been issued. With regard to land tenure, the result of the household survey (see Table 20) shows that tenure over land has been obtained in different ways such as inheritance, purchase, encroachment and free allocation by village administration. Regardless of how land has been obtained, tenure seemed to be accepted in one way or another as long as there is no conflict and the individuals holding land pay land tax. Tenure over shifting cultivation inheritance is surprisingly high and unusual. This might be due to the fact that land usufruct rights have been traditionally highly recognized. Further, these lands, no matter what type of land use and how they were acquired, can also be transferred or sold. This encourages encroachment and land grabbing. Land holdings vary greatly among the different household categories in terms of size and land use type. Poor households, for example depend more on encroachment for land acquisition, as they do not possess enough funds to buy land. While about a quarter of the better-off household can afford to leave land fallow, this is not the case for poor households, which have to use every piece of their little land holdings intensively.

There is no individual land tenure right on forestland except for small scale plantations for which land can be leased for up to 30 years. Table 20: Land Tenure

means of land acquisition in % of Land use types Hh Area Ave. having per hh dist- total land owned land ance Encr- Inher- Alloc- (%) (ha) SD (km) oached ited Bought ated Better off Household (N=20) Paddy 95 3.2 0.4 1.5 36 32 32 0 Plantation 15 0.5 1.6 1.5 100 0 0 0 Fallow land 25 0.9 1.7 2.2 60 20 20 0 Shifting cultivat. 25 0.8 1.8 1.9 57 29 14 0 Range land 75 1.4 1.2 1.2 67 13 20 0 Cash crop gard. 60 0.4 0.5 0.5 42 42 16 0 Land for constr. 100 0.1 0.2 0 5 20 75 0 Medium Household (N=28) Paddy 82 2.3 2.0 1.5 52 35 13 0 Plantation 7 0.1 0.4 1 100 0 0 0 Fallow land 7 0.2 0.9 2 0 0 100 0 Shifting cultivat. 46 0.6 1.1 1.5 46 8 15 31 Range land 61 1.5 2.1 1.3 88 12 0 0 Cash crop gard. 43 0.7 2.2 1.1 67 33 0 0 Land for constr. 39 0.3 1.1 0 73 27 0 0

Poor Household (N=29) Paddy 54 0.5 0.8 1.8 60 33 7 0 Plantation 0 0 0 0 0 0 0 0 Fallow land 0 0 0 0 0 0 0 0 Shifting cultivat. 68 0.9 1.5 2 42 26 16 18 Range land 14 0.2 0.7 1.2 25 75 0 0 Cash crop gard. 7 0.05 0.2 0.8 50 0 50 0 Land for constr. 29 0.04 0.2 0 0 13 88 0 Source: GTZ-WSMC baseline survey, 2004: Household survey SD = Standard deviation

4.5 Land Registration From 1998 to 1999 the District Land Office registered the agricultural land of all households within the pilot area. The main purpose of land registration was not to secure land tenure, but rather to collect land tax. That is one reason why, up to now no land title has been issued. Households or families could claim used land, such as paddy fields, settlement area, rangelands, shifting cultivation areas and home gardens, regardless of the way acquired. The land was then measured by the District Land Office. Based on the measurement, actual size was calculated for land registration and the issue of land certificates. For registered land, tax has to be paid. As such the ability to claim land also depends on the capacity to pay land tax, which is difficult for the poor. Also in order to minimize land tax payment, not all land actually used was and is claimed. Another problem is with the new land acquisition. It is the task of the Land Office in collaboration with the village committee to measure the land on request of the land tenure holder. Because of budget paucity, the cost for land registration shall now be paid by the land holder. Therefore, in many cases it is the village committee that measures the land and just report to the District Land Office.

One intention of land registration was to provide a legal security on land tenure. However, this has failed so far. Once land has been claimed, a temporary land title is issued which can be converted into a permanent land title after three years upon request. But so far, this has not happened yet. Discouraged by this, people tend not to claim land they actually use in order to avoid the payment of land tax. This is one reason for land conflicts, which occur in many villages, as often other people in need of land occupy this “unclaimed” land. Beside income generation for the government, another intention of the introduction of land tax payment was, to prevent land grabbing and to stimulate agricultural production. Who likes to pay land tax if he does not get any financial returns from the land occupied? This was sidelined by just claiming less area than actually occupied, or by extending the area later on, because normally nobody checks or re-measures in the field. In the absence of secure land tenure rights, people tend to avoid investment in long-term land management activities.

4.6 Land Tax The responsibility to collect land tax is with the village authority. It appoints one or two villagers as land tax collectors, which collect the land tax from the households annually. The collected money is handed over to the District Land Office, which refunds the tax collectors with 10% of the total land tax collected, of which 7% is perdium/allowance for the collector and 3% is for the village committee. This applies only for the lower part located in Sangthong district. In the upper part (Hinheup district) 15% of the land tax is refunded of which 10% is for the collector and 5% is for the village committee. The rate for land tax applied varies between urban and rural areas and between province to province. In the upper part of the pilot area, the Presidential Decree No. 003, dated 12/08/2000 is followed, while in the lower part the temporary instructions of Vientiane Capital Governor No. 675, dated 29/03/2001 is applied. Table 21 specifies the tax rates for major land use types applied in both parts of the pilot area. In principle, the practice adopted seems fine but a lot of problem has been observed. Village authority has the rights to allocate unoccupied land to households if it finds it necessary. Hiding/non declaration of tenure to pay less land tax seems to be very common. Land encroachment by various ways has become serious, as there is no close and regular monitoring and control by the district Land Department. Loose enforcement of law and regulations concerning land use is common. Encroachment by people outside the village over parts of state forests was also reported. This seems to have intensified the encroachment problem as regulations and rules have not strictly been exercised.

Table 21: Land Tax Rates Land use type Rate for land tax (Kip/m2) (Sangthong District) (Hinheup District) 1. Land for construction 4 4 2. Land for industrial use 10 10 3. Land for commercial use and services (retailing) 30 30 4. Lowland paddies that can be cultivated in 2 seasons but are 2 20 kg of paddy/ha cultivated only one season 5. Lowland paddies cultivated 2 seasons 1.8 20 kg of paddy/ha 6. Lowland paddies affected by natural calamities > 70% Tax exempted Tax exempted 7. Lowland paddies affected by natural calamities < 70% Rates as in 4 or 5 5 kg of paddy/ha Depending on situation 8. Uncultivated lowland paddy field 2 2 9. Permanent Upland field (rice) 2 17 kg of paddy/ha 10. Rotational shifting cultivation field 1.7 15 kg of paddy/ha 11. Tree plantation 0.9 0.8 12. Fruit tree plantation 0.7 0.7 13. Agro-forestry (tree and annual crops) 1.0 1.1 14. Mixed plantation (tree and other perennial crops) 0.7 0.8 15. Naturally formed range land 0.7 1 16. Manmade range land 0.5 0.5 17. Fish pond 1.6 1.6 Sources: District Land Office, Sangthong District. September 2004. Presidential Decree No. 03 dated 12/08/00

Land tax rates were established in order to promote food and commodity production but seem to pay least attention to the problem of land grabbing. Furthermore, they seem to recognize/favour land encroachment. The rates of land tax for manmade rangeland and shifting cultivation areas are fairly low and can be easily paid by the better off households.

5 Forest Resource Use and Management A detailed analysis on forest resource use and management within the pilot area is given in the consultant’s report on land management (KETPHANH, 2004)

5.1 Vegetation Types There are altogether three different forest types in the NTPA, a map showing the location of the different Vegetation Types is included in the Map Atlas.

(1) Mixed Deciduous Forest This is the dominating forest type and it occurs almost throughout the pilot area. Deciduous tree species represent more than 50% of the stand. Forest storeys are not as dense as those of evergreen types and most of the seedlings and saplings are deciduous trees. The type appears quite open with a considerable amount of bamboo and undergrowth. In moist areas there might be a lot of climbers. Lagerstroemia sp. is the most common commercial species, other frequent commercial species are: Hopea ferrea, Diospyros rubra, Peltophorum dasyrachis, Sandoricum indicum, and Irvingia malayana. Frequent non-commercial species are Barringtonia sp. and Arytera littoralis. Two different types are distinguished depending on the altitude: • Upper Mixed Deciduous Forest: 200 m asl and above; • Lower Mixed Deciduous Forest: below 200 m asl:

(2) Lower Dry Evergreen Forest There are only a few very small patches of lower dry evergreen forests, within the pilot area (refer to Map), which are located at an altitude below 200 m. The Dry Evergreen Forest type has a proportion of 50% -80% evergreen trees. It forms normally two storeys. The second storey is dense and the height, varying from 10-30 m, is usually quite even within the stand. Except for disturbed stands there is very little bamboo. Soil is usually deep. The forest consists of a considerable number of species of which two to three species tend to be predominant. Some characteristic species of this vegetation type are Hopea spp., Pterocarpus pelatus, Dipterocarpus alatus, Lagerstroemia spp. and Anisoptera spp.

(3) Bamboo Bamboo occurs in the hilly and mountainous northwestern part of the NTPA. It normally forms dense stands with a tree cover less than 5%. Bamboo may vary in height from 2 m to 25 m depending on their species. Abandoned ray is often recovered by bamboo. Some species of bamboo may last for many years.

5.2 Land Use and Forest Cover In order to monitor changes and trends, the land use distribution within the NTPA was analyzed for two different periods based on remote sensing. The same classification system was used as introduced by the Forest Cover Monitoring Project, which was implemented by MRC in 1997. (1) Land use cover 1998: The identification and classification of open land was based on aerial photos from 1998. Forest cover was determined based on satellite image interpretation of Landsat TM imagery from 1997. (2) Land use cover 2003: Classification of land use was based on high resolution SPOT- 5 satellite imagery from 2003, which provide very good information on all types of land use. Classification was done by visual interpretation. To ensure compatibility, the same person using the same methodology and classification system did the analysis. For more information on technical aspects of image interpretation refer to the consultants report (ONGKEO, 2004). An area was classified as forest if crown cover was > 20% and average tree height > 10m (STIEBIG, 1997). Forests were classified according to forest cover and crown cover into the following three classes: Table 22: Criteria for forest cover classification Forest Category Forest Cover Crown Cover Forest dense 90%+ and 70% + Forest open 70 - 89% and/or 20 – 69% Forest mosaic 40 – 69% and > 20% Source: STIEBIG, 1997

Wood and shrub land can be described as potential forestland. It is a mixture of shrubs, grass and trees; the forest cover is, however, below 20%. Table 23 shows the land and forest cover distribution of the NTPA for 1998 and 2003.

Table 23: Land and Forest Cover 1998/2003 Land use & forest cover 1998 2003 Change (%) (ha) (%) (ha) (%) absolute relative Forest dense 4138 5.1 3853 4.8 -0.3 -6.9 Forest open 9276 11.5 8397 10.4 -1.1 -9.5 Forest mosaic 9058 11.4 7201 9.0 -2.4 -20.5 Plantation 46 0.1 75 0.1 0 63.0 Wood & Shrubland 16239 20.2 15163 18.9 -1.3 -6.6 Total Forestland 38757 48.2 34689 43.2 -5.0 -10.5 Mosaic of Cropping 12495 15.5 16381 20.4 4.9 31.1 Agricultural Land 21701 27.0 21863 27.1 0.2 0.0 Lowland Paddy 4396 5.5 4408 5.5 0 0.3 Water body 2270 2.8 2278 2.8 0 0.4 Settlement area 831 1.0 831 1.0 0 0.0 Total Non-Forestland 41693 51.8 45761 56.8 5.1 9.8 Total Area 80450 100.0 80450 100.0 0.0 0.0

In 2003, the total forest area was 19,526 ha (24%) and 15,163 ha (19%) were wood and shrub land. The total area under forestland use was 34,689 ha, which is equal to 43% of the total land area of the NTPA. Forest condition is bad. Only 18% of the forests are well stocked (dense), while all the others show significant signs of disturbance or degradation. 43% have been classified as open and 37% even as mosaic forest. Open forest and mosaic forest have very dense undergrowth mainly of bamboo. No forest inventories have been carried out so far in NTPA and there is no information available on current standing stock, species distribution, etc. Land use and forest cover distribution is shown in the map below, a larger size map is attached in the map atlas. Figure 9: Land use and forest cover 2003

[figure / map has been removed from this Internet download version]

Change in Forest Cover To identify the change in forest cover and condition, the land use cover of 2003 was superimposed on the 1998 cover. The change from one class to another is an indicator for degradation or improvement of the forest condition. The change was classified into different categories as shown in the Table 24. The result of change classification is shown in: Table 24: Criteria for identification of change in forest cover Forest Cover 1998 Forest Cover 2003 Forest dense Forest open Forest mosaic Wood/Shrub Non Forest Forest dense unchanged degraded degraded degraded encroached Forest open improved unchanged degraded degraded encroached Forest mosaic improved improved unchanged degraded encroached Wood/Shrub impossible improved improved unchanged encroached Non Forest impossible impossible reforested reforested unchanged

The forest cover and forest condition has worsened during the period 1998 to 2003. The net loss in forest area in 5 years was 4100 ha or 10%, which is equal to a deforestation rate of 2% per year. In addition, the forest condition of the remaining forests has become further degraded. Details on forest cover change can be depicted from the Table 25 below. Main forces in forest destruction and degradation are encroachment for shifting cultivation and range land, land grabbing, over-exploitation in accessible areas, unmanaged and uncontrolled resource use, illegal logging and forest fire. The change in forest cover is shown in Figure 10. Table 25: Change in forest cover and forest condition Change Area (ha) Improved 0 Degraded 1256 Encroached (forest to non-forest) -6413 Re-Forested (non-forest to forest) +2345 Total loss in forest area -4068 Source: GIS Analysis, 2004

Change from non-forest to forestland (re-forestation) only occurred from mosaic of cropping into wood and shrub land (about 2313 ha) and by a small increase in plantation area.

Figure 10: Change in forest cover

[figure / map has been removed from this Internet download version]

5.3 Forest Classification The forests within the NTPA were classified as shown in the table below (for a detailed list refer to Annex 6): Table 26: Forest classification Forest Classes (legal status) Area (ha) (%) National Biodiversity Conservation Area 84465 21 Phou Phanang Conservation Forest 6686 17 Protection Forest 399 1 Production Forest 16242 42 Regenerating Forest 3625 9 Degraded Forest 2865 7 Faculty Forest 1303 3 Total classified forest area 39566 100 Source: FIPD, Department of Forestry (2000)

Forest classification has been done on a macro-planning level; therefore within each class also non-forest areas are included. Compared with the forest area (including wood & shrub land) of 1998 the classified forest area is just a little bit larger (only 1.8%). The forest cover of 2003 is however 12.4% less then the classified area. The legal status of the above forest classes is, with exception of the NCBA, not exactly known. The location of the different forest classes is shown in the figure below.

5 The district boundary in the east has been moved to the watershed boundary. Therefore the area increased from 6601 ha (Statistics of Vientiane Municipality Forestry Office, 2000) to 8446 ha (GIS analysis.

Figure 11: Forest classification map

[figure / map has been removed from this Internet download version]

According to law no trees shall be cut within protection and conservation forests, except for scientific purpose and with special permission of the government. Degenerated forests are classified for tree planting, agro-forestry or silvo-pastoral use. Management objective of regenerating forests is to recover naturally and to become natural production forest in future. Production forests are classified for sustainable timber production.

At village level, forestland has been allocated to village community to use and manage the forest area governed by regulation given by the State. In each forest category allocated to villages, the regulation of use and management is conferred to village communities. Village forest classification is basically the same as for state forest. Within the NTPA, village forest has been classified as village utility forest 30%, village conservation forest 28%, village protection forest 10%, crematory forest and sacred forest (1%), household plantation (1%) and 30% has not been classified yet (see also Table 19). The location of these village forests is not known, as only for a few villages maps exist. It is also not known, to what extent village forest classification overlaps with state forest categories, but in most cases, village forest has been allocated outside state protection and conservation areas. Village conservation and protection forests are also protected from felling of trees, however, the collection of NTFP is permitted based on regulations imposed.

Training and Model Forest (Faculty Forest) In 1994 the Vientiane Forestry College obtained land use rights on 20,800 ha of forests in Sangthong district. The area was reduced to 1303 ha, when the Forestry College, which was by then under Dong Dok Forestry Department/MAFF was integrated as Faculty of Forestry in the National University of Laos. In November 2000, the Ministry of Finance formally allocated the Faculty Forest to the Faculty of Forestry and a Management Plan has been prepared for the period of 2001 to 2010. The faculty forest is managed for the purpose of research and training. Since 1994, the faculty forest was managed with technical and financial assistance from the German government. During this period a number of plantation and rehabilitation schemes were developed and tested. The faculty forest has been classified into four management zones as shown in the table below. Table 27: Management zones, faculty forest Management Zone Area (ha) Conservation 499 Plantation 124 Natural Forest Management 401 Trial and Demonstration 279 Total 1303 Source: Faculty of Forestry

Phou Phanang National Biodiversity Conservation Area The steep slopes along the eastern boundary belong to the Phou Phanang National Biodiversity Area and are strictly protected. The total area located inside the NTPA based on GIS-Analysis is 8446 ha6. Some parts are heavily degraded and because of their steepness prone to erosion. The NBCA is managed and protected by the Ministry of Defence. Three military field units have been set up to control the parts of the NBCA, which are located within the Sangthong district. All human activities inside the NBCA are controlled and inspected.

5.4 Natural Forest Management

5.4.1 Management Responsibility Responsible for the management of the natural forest is District Agriculture and Forestry Office. The institutional capacity has already been discussed in chapter 4.1. The management of village forests has been delegated to the village authorities, but the cutting of trees for construction purpose requires the approval of the DAFO.

6 According to the statistics of Vientiane Municipality Forestry Department, it is 6601 ha. The difference in area is due to the fact, that the district boundary was shifted to match with the topographical boundary of the watershed.

5.4.2 History Up to 20 to 30 years ago, the pilot area was covered mainly by dense forests. Most of the villages existed already, but they were much smaller and had just a few paddy fields. The situation changed with the arrival of logging companies in the seventies. It started with the arrival of a Japanese company, “Osaka”, which harvested rosewood, Pterocarpus macrocarpus and Dalbergia spp, for about three years. State Forest Enterprise No 9 (SFE No. 9) operated in the lower part of the NTPA from 1981 to 1991. After 1991, the management of this area was transferred to the Agricultural Development and Services State Company. The company has drawn back in late 90s, but still keeps three staff for the management of their plantations and the remaining company assets. Presently, the area is under the management of the District Agriculture and Forestry Office (DAFO), with a portion transferred for village based management (village forests). Beside the commercial operations, local people and Government officers harvested timber for local use. Also, retired officers received timber for house construction as incentive. Most of trees species harvested were hardwood. Furthermore, throughout the region, illegal logging was and is still ongoing. This “unregulated” use further contributed to forest degradation. How much timber has been removed by commercial and non/commercial use is not known but it must have been a huge amount, considering the present poor condition of the remaining forests.

5.4.3 Timber Production As already mentioned commercial logging does no longer takes place. At present, only small-scale logging is going on, mainly for local supply and also to supply district development activities, such as rural electrification and construction of public buildings (i.e. offices, schools, etc.). Altogether 2250 cbm of timber was delivered to Phialat sawmill in the last two years, for which the owner paid altogether 151,600 USD. An estimate of the timber officially allocated for public purposes is given in the table below. Table 28: Timber exploitation for public supply from 2000-2004 Timber Year produced for 2000/01 2001/02 2002/03 2003/04 Public purposes 761 cbm 108 cbm 170 cbm 330 cbm Phialat sawmill 0 cbm 0 cbm 1800 cbm 450 cbm Source: own investigation At present the amount of timber to be harvested inside the NTPA is less than the average demand of the timber processing industry, which is estimated at 1800 cbm. Most of the supply comes from outside the NTPA, namely from other parts of Vientiane province and from Bolikhamsey Province. Village forests are managed by village forest committees, but cutting trees for construction requires the approval from the district. From the interview in most villages, the use and management of these forests are entirely in the hand of the village authority. Villagers, which require trees for house construction, have to submit an application to the village authority. This application shall include a detailed description of the construction and a specification of the number and species of trees required. According to the Forest Law each family is entitled to 5 cbm of timber for the purpose of construction and maintenance of houses. The village authority will check if the request is reasonable or not. Decision is taken by the village forest committee, which usually consists of village heads and all the people responsible for different units, as well as village elders, and village women union. Permission is in some cases even granted, if the required amount exceeds 5 cbm. According to the rules, timber must be sawn within the village and resource tax must be paid for each cubic meter of log removed. In case high quantity of timber is required as for example for the

41 construction of bridges, school maintenance, etc. the village has to apply through the head of the village cluster to the district governor who would further ask DAFO staff to follow up and verify before decision is made. Although, the Forest Law requires a forest management plan for each village forest, so far none has been prepared in the pilot area. This is mainly due to the limited capacity of DAFO in terms of budget, and human resources.

5.4.4 Illegal Logging Illegal logging is quite common in the pilot area, especially in the remote parts of the district conservation and protection forests, where the sound of the chainsaw is unlikely to be noticed. Also illegal logging is preferably done during holidays or festival days, when most of the people stay in their villages. Extraction of timber is done during nighttime. Most of the illegal loggers are poor and depend on the income from the sale of illegal timber to buy rice. They work in groups of 3 to 10 people. Timber is sold to businessmen or timber traders. Also timber is produced on order. Some of the illegal loggers even continue with illegal logging, although they were caught and arrested before and their tools were confiscated. This shows how some of them depend on this source of income for livelihood. It is impossible to quantify the amount of illegal timber extraction, but it might exceed the official production by far. For example, only within the first 6 month of 2004, the Protected Area Unit, which belongs to the army, has reported 25 cases, involving 10 villages and 101 people in Sangthong district. The detection rate is up to speculation. Recently, efforts to stop illegal forest activities have been undertaken by the government by giving attractive incentives to anyone who reports illegal activities. A special committee was formed at district level (in Sangthong district) to deal with the problem. During the last few years the average fine collected was about 5 million Kip per year. In minor cases (i.e. value of confiscated products less than 500,000 Kip), the culprits were not fined but just warned.

5.4.5 Encroachment Encroachment of forestlands is common. From 1998 to 2003 altogether about 5270 ha of forestland was converted into other land uses (refer also to Table 25). Encroachment takes place in state forests and village common land irrespective of its category. However, village use forests are main subject of encroachments. One reason for this is, that forest boundaries have so far not been proper surveyed and demarcated in the field. Encroachment is one way people try to get land titles. For example, in Taohai and Hainua villages, which are located in the lower part of the pilot area, in 2002 about 70 ha of forestland has been encroached for shifting cultivation. This area was later on converted into paddy or grazing land for which the 38 involved households applied for land titles. Although the village committee reported this problem to the district authorities, no action was taken. This is another reason, why many people loose confidence in government and local authorities. Due to lax law enforcement, people feel encouraged to further encroach land for the purpose of land grabbing which will lead to a further destruction of forestland.

5.4.6 Forest Fire Forest fires are almost exclusively caused by human. They normally occur in the dry season and affect wood and shrub land, shifting cultivation areas (mosaic of cropping) and forest mosaic. The fire risk is especially high during drought.

5.4.7 Fuel Wood and Charcoal Fuel wood is the most important source of energy for villagers in Nam Ton pilot area. All households interviewed use fuel wood for preparing their food and boiling water. Fuel wood is collected mainly from village forests and partly from smallholders’ lands. The price of fuel wood in the NTPA is about 10,000 kip or 0.93 US$ per ster. On average, fuel wood

42 consumption is calculated at 13.0 ster per household. Based on this, total annual demand of firewood can be estimated at about 50,500 cbm7. There is a small difference between fuel wood consumption of households of each better off, medium and poor groups. The quantity of fuel wood consumed per household ranges from 10.4-14.9 ster (see Table 29). Fuel wood collected is of mixed species although preferences over certain high-density species were reported, such as Mai Khom, Mai tio, Mai bok. Collection of fuel wood for home consumption is free. Collection for sale requires a permit and royalty must be paid. There is still plenty of fuel wood available in large part of the pilot area; only villages along the Mekong have some problems with fuel wood supply. The average distance for the collection of fuel wood is about 1.6 km. Fuel wood is by far the dominating energy source used by people for cooking, heating, and several other purposes even within the district centre like Ban Phialat. Table 29: Fuel wood collection and consumption per household Quantity collected (stack of 1mx1m) Better off 10.4 Medium 14.9 Poor 13.0 Household member involvement (%) Male 50 Female 48 Child 2 Average distance for collection (km) 1.6 Source: GTZ-WSMC baseline survey, 2004: Household survey.

Transportation by hand tractor has almost completely replaced the traditional back-carry mode. Households having tractor did not collect much fuel wood themselves, as they receive a 50% share from the firewood transported from the collector as payment for transportation. Charcoal is another source of energy mainly for cooking and ironing. According to household interviews it is only produced for self-consumption, as commercial charcoal making is prohibited in the NTPA. However, during household interviews it was noticed, that in reality many households of all categories are selling charcoal for an average price of 17,000 kip per bag of 25 kg. How much charcoal is actually produced and how many households are involved could not be quantified, as most villagers were not willing to report on this illegal issue.

5.4.8 Non Wood Forest Products Detailed information on NWFP production and marketing are given in the consultant’s report of Khampay Manivong (socio-economist) and Dr. Lamphouane Xayvongsa (forest economist). According to law, the collection of NWFP for household consumption shall be based on village regulations, which needs to be officially approved by DAFO. For commercial collection of NWFP villagers have to form groups or associations and collection needs to be based on a management plan approved by DAFO. However, so far no single management plan has been prepared for NWFP in any part of the pilot area neither in village forestland nor in state forests. For the forestry staff of DAFO, it is sometimes very difficult to enforce the law since there is no clear distinction between levels of commercial use and home consumption. NWFP play an important role in the livelihood of the local people. A great variety of forest products are collected, for self-supply as well as for sale. In Annex 7 a list of NWFP species collected and used inside the pilot area is attached. NWFP collection is for many households

7 The conversion rate from ster/cbm is 0.7. The total number of households is 5550, and each one uses firewood for cooking. The total demand is then calculated as follows: 13*0.7*5550 = 50505.

43 a major cash income generating activity, especially for the poor. People tend to collect as much as they can as they are hardly controlled. The major share on the collected NWFP have plant products, such as canes and bamboo, tree barks, plant roots and tubers, edible wild fruits, wild vegetable, mushroom, and medicinal plants. Table 30 illustrates the quantity of important products collected in the pilot area. Both gender are involved in the collection of NWFP, women collect more eatable NWFP, while men collect NWFP for construction and other purposes. Children play an important role in poor households. Main NWFP collected are various species of bamboo shoots and culms for self-consumption as well as for sale. Other important products include berberin vine (Coscimum fenestratum) and Bong bark (Persea kerzii), which are collected in huge quantities and sold. Table 30: NWFP Collection and fishery by household categories

Average Self- Involved Quantity/ collection Male Female Childre Consump- Sale Products Hh (%) Hh (kg) / Hh (Kip) (%) (%) n (%) tion (%) (%) Better off Households Bamboo culm 12 1900 0 67 33 0 100 0 Bamboo shoot 60 15 28000 11 85 5 86 14 Berberin (Coscimum fenestratum) 4 40 60000 50 50 0 0 100 Fishery 4 2000 0 70 20 10 100 0 Medium Households Bamboo culm 14 1025 0 70 30 0 100 0 Bamboo shoot 29 812 0 5 95 0 100 0 Rattan 11 141 94000 27 73 0 67 33 Berberin (Coscimum fenestratum) 4 2000 4000000 50 50 0 0 100 Khamphaep (Dialum indum) 4 20 20000 0 100 0 50 50 Wildlife 7 65 97500 50 50 0 0 100 Khaem (Thysanolaena latifolia) 4 2000 1000000 30 60 10 0 100 Fishery 21 93 187000 92 8 0 83 17 Poor Households Bamboo culm 12 1960 197000 67 33 0 67 33 Bamboo shoot 60 254 11200 11 85 5 67 33 Rattan 4 40 0 50 50 0 100 0 Berberin (Coscimum fenestratum) 4 2000 1000000 70 20 10 0 100 Khamphaep (Dialum indum) 4 30 41000 0 50 50 10 90 Wildlife 8 0 100 0 0 100 0 Fishery 36 53 31000 100 0 0 94 6 Source: GTZ-WSMC baseline survey, 2004: Household survey

Bamboo culms are being heavily exploited every year by villagers for home consumption such as for fencing their fields (to prevent from free grazing livestock during dry season) and their rangeland, for walling and building/repairing of animal sheds, etc. It is estimated that not less than 1000 culms of bamboo were used annually per household. Apart from culms, bamboo shoots are collected in high quantities as almost all households whether wealthy or poor are engaged. The amount of bamboo shoot collected per household per year is estimated to be not less than 200 kg/year. Preserved bamboo shoots are found everywhere in the area. There is a potential to promote processing of preserved bamboo at commercial

44 scale for the Thai market, since bamboo is found to extensively cover the pilot area and the product was found to be sold to the market in Thailand. Many other plant products including fruits, wild vegetables and mushroom were also commonly sold at local market but at a comparatively less amount. Bamboo culms and shoots, broom grass and Kham Pheap are normally sold to buyers or middlemen from outside for their own consumption or for commercialisation. Most of the bamboo is goes to Vientiane. Wildlife and fish are normally sold among villagers within the same village. Processing is only done for bamboo for example into mats or other handicraft products and sour bamboo. Other NWFP are marketed without any further processing. The marketing system of NTFPs is very complex, with many intricacies (XAYVONGSA, 2004). For more on processing and marketing refer to chapter 9. Table 31: Prices of Major Commercial NTFPs in Nam Ton Pilot Area Unit price (US$) NTPFs Unit In village Vientiane Market Bamboo (culms) culms 0.05-0.09 0.19 Bamboo (shoot) kg 0.05 0.15 Bamboo mat piece 0.15 0.46 Bamboo rice container piece 0.46 0.95 (small sized) Bamboo rice container piece 0.74 1.40 (medium sized) Berberin vine kg 0.05 0.15 Kham Phaep kg 0.15 0.56 Broom grass kg 0.05 0.15 Fish kg 2.00 2.5 Sourced: GTZ-WSMC: market study, 2004

There is one factory in Khok He village, in lower part of Nam Ton pilot area, which produces bamboo mat and bamboo fish containers. The mats are normally used for fencing and are sold to Vientiane. The fish containers are exported to Thailand directly from the factory across the Mekong River where they are used as container for dried fish. The export price of this product is 0.09 US$/piece. The factory’s demand on bamboo is about 1,000 culms per week. The factory employs 30 workers. By using the current price of bamboo culms (0.05 US$/clump) the value of bamboo consumed by the factory is calculated at 800 US$/year.

Animal products and insects The whole length of the eastern side of the pilot area shares the boundary with Phou Phanang National Biodiversity Conservation (NBCA), which is well known for it’s rich wildlife. Three military field units of the Ministry of Defence are responsible for control within Sangthong district. Officials collected guns and rifles owned by individuals as effort to stop illegal poaching. Now, it is not easy to find people openly eating wild animal as it is regarded as illegal. However, many wildlife species are reported to be still hunted, but less intense than before due to decreasing animal population and stricter regulations being applied. For animal products, quite well established rules exist for protection and conservation. Actions were taken in out-posting conservation squads at three places to control hunting and trade movements of animal products. Several illegal poaching cases have been reported but were difficult to track off. Like timber, control has often been constrained by the lack of staff, budget, vehicle, communication equipment and other facilities. Quite often secret trade is involved. In the face of poverty, even awareness campaign could not help much. Heavier penalties have been used for animal poaching than timber. A combined seizure and fine is the most common punishment applied. However, the detection rate of poaching and illegal wildlife trade is quite low.

5.4.9 Timber Market and Wood Processing Industry There is one sawmill and two furniture factories in the pilot area, all located in Sangthong district centre, Ban Phialat. Phialat sawmill was established in 1994 with approval from PAFO of Vientiane Capital and is privately owned. The total investment costs are estimated at 270,000 US$. The mill has six permanent skilled employees and about 35 temporary labourers. The salary is 3.70 US$ for permanent workers and 1.40 US$ for temporary labourers. From 2002/3 to 2003/4 the mill received 2250 cbm of logs which all came from Sangthong district. How much of it has been produced inside the NTPA is unknown. The costs spent on logging are specified in the table below. In the past, the main product of the mill was lumber and most of it was sold to Vientiane capital. From the beginning of 2004, the mill started also with the production of parquet flooring. Production depends on the availability of logs, which are difficult to get within the region. Table 32: Logging costs of Phialat sawmill Items Cost (US$/m3) Commission 4.88 Village fee 17.00 Felling 3.66 Skidding + Transporting to mill 69.45* Total 94.99 * For controlled timber species 64.30 US$/m3. For prohibited timber species 74.08 US$/m3. Source: Field Data, 2004

Bounchan Furniture Factory was established in 1994 with approval from the PAFO of the Vientiane Capital City as a part of the Phialat sawmill. In 2003, his furniture factory was separated from the sawmill. It is also owned by a private investor. Six permanent and six temporary employees work for this factory. All workers are from Ban Phialat. In 2002/03, the factory consumed 10 m3 of lumber and 30 m3 of logs for manufacturing products. Lumber was bought from the Phialat sawmill and logs from surrounding villages. The factory produces mainly furniture, windows, doors and outside products. Production is rather limited by demand than on the raw material supply of logs.

Amkha Furniture Factory was established in 1999 with the approval of the PAFO of Vientaine Capital City. It is also privately owned. Six permanent employees work for the factory: all are from Ban Phialat village. No temporary workers are recruited. The factory produces mainly furniture, windows, doors and outside products, and does not have regular customers. The portion of each product annually manufactured depends on the orders from the customers. The annual demand of lumber or short logs, therefore, varies from year to year. With 35 m3 of lumber and 50 m3 of short logs, the raw material consumption was highest in 2002/03. The sources of raw material are Phialat sawmill and the forests in the surroundin. In 2002/3, the owner of the factory paid for the lumber about 230 US$/m3 and for the short logs about 60 US$/m3. The Amkha furniture factory sells its products at factory gate. Due to the small quantity required, the supply with raw material has been no problem, so far. The total demand of the timber processing industry is about 1200 cbm per year.

5.5 Tree Planting and Plantations

5.5.1 Enrichment Planting Enrichment planting in natural forest has only been carried out so far on a trial basis in the Faculty Forest. This trials are still monitored and evaluated by the Faculty of Forestry.

5.5.2 Established Plantations There are altogether 694 ha of tree plantations in the Pilot Area (see Table 33). Table 33: Tree plantations within the NTPA Ownership Area (ha) (%) Private household 348 50 Private households & company 45 7 Villages 26 4 Jitviraporn Company 91 13 Faculty of Forestry 124 8 State company (former SFC No. 9) 60 18 Total 694 100 Source: GTZ-WSMC, Baseline survey, 2004

Tree planting and plantation establishment started in 1985 at Ban Natiem in the lower part of the pilot area, where State Forest Enterprise No. 9 planted about 60 ha with Tectona grandis (teak), Afzelia xylocarpa, Pterocarpus macrocarpus and some other species. In 1998, the Faculty of Forestry started with the establishment of plantation in a species trial program and established altogether 124 ha of trial plantations. Beside teak, eucalyptus, Acacia mangium and other typical plantation species, a large number of indigenous species have been planted as monoculture plantation or in mixture with others. Trial plots were established together with villagers under the Taungya system, whereby tree seedlings were intercropped between the planting rows with upland rice or maize, chilli and cucumber. Growth and yield of the plantations are periodically measured and plantation activities are monitored and recorded. At present, with the support of GTZ-WSM data are compiled and analyzed. It is expected that valuable information can be obtained from the results for the future establishment of plantations. The private sector has been involved in tree planting since 1993, when Bounmy Company supported local people in the upper part of the pilot area in planting teak and eucalyptus in their land. After 7 years, the company was bankrupt and sold everything to France Company in 2000. France Company cleared all the plantations and replanted it with cotton, but gave it up after one year, because of low production. In 2002, Jitviraporn Company obtained the concession to use land in the upper part of the pilot area for establishment of tree plantations on an area of 91 ha, of which 22 ha is village land and the rest is State land. Village land was acquired by barter. For the establishment of paddy fields, the company would provide a tractor for 2 hours for the exchange of land. The land title had to be transferred to the company. For planting of trees on their land, the company paid 1 mio Kip (i.e. 100 US$) per ha. In 2003, Eco-Asia Company invested also in tree planting in the upper part of the pilot area in collaboration with villagers. The company provides funds of 6 Mio kip (i.e. 600 US$) per ha established plantation to the villagers, which is paid in 5 installments within 2 years. During the first two years, the villagers have to pay for the land tax, as they still can intercrop the plantation area with paddy (Taungya system). After that, the company will be responsible for the payment of land tax. A contract is signed between the villagers and the company for a term of 30 years. During this period, the company will hold the copy of the land certificates of the villager, which is returned, once the plantation is harvested. All revenues from the plantation will belong to the company. Until now, there are 35 households involved with a total area of 45 ha. There is quite some interest in this plantation scheme by the local people, as it provides cash income for at least 2 years, which is urgently needed. The winner in the long-term is of course the company, which will get all the returns. In 2003, the Korean Kiang Won Farm Company leased 1087 ha of common village land for tree plantation In the lower part of the pilot area of which 310 ha belong to Hiensiew village, 235 ha to Natan village and 188 ha to Pathaep village. The original plan of the company was

47 to lease altogether 2000 ha of land, but based on a survey conducted by DAFO only about 1200 ha could altogether be identified. Reason for this is, that large pieces of degraded and unused land, which are commonly owned, are very difficult to find, and the company does not like to work on small plots with individual households, although many villagers have expressed their interest in growing trees on their private land if the company supports them with seedlings and initial investment funds. Private households established about 50% of the plantations in the NTPA. Altogether, about 300 families have established small scale private plantations mainly of teak but also some eucalyptus. As the result of household interviews show, about 6% of the better off and medium households have tree plantations with an average size of 1.5 ha for better off and 0.6 for medium households. Poor households are not engaged in tree planting, as they cannot afford the high cost for plantation establishment and because they have too less land. But in many cases they are hired for plantation establishment especially for land clearing and weeding. The interest in small-scale plantation schemes on private degraded land is quite high, as many villagers see the long-term benefit and the economic security (saving box) plantation provide. Major bottlenecks however are the lack of funds, access to land and the required formal approval from DAFO for felling of trees (includes thinning) within ones private plantation. In general, people’s knowledge in plantation management is quite poor. In many cases, activities stop after planting of trees; weeding and tending are inadequately carried out. Thinning and other silvicultural operations are not implemented at all, which results in poor growth and bad quality. So far, no extension service exists which provides technical assistance for plantation management to villagers. There is a good local market for timber. Especially Phialat sawmill is always short on logs. The initial investment for the establishment of 1 ha of teak plantation is about 360 US$ and for rubber about 620 US$. This includes the purchase of seedlings, fencing material and fertilizer, but it does not include the labour cost. Stumpage value of teak is about 24 US$ (SOUTHITHAM, 2001), local market price 85 US$ for small logs (i.e. diameter < 25 cm) and up to 180 US$ for large logs. For more details on economic aspects on plantation management refer to the consultants report on forest economy (XAYVONGSA, 2004). The Agricultural Promotion Bank (APD) is the only institution in Laos providing long-term credit for tree plantation for all categories of borrowers. Conditions for loans to farmers are: Repayment period: 8 years Grazing period: 6 years Interest rate: 7% per year Conditionality: farmer has to contribute labour, written agreement with a commercial enterprise is required. For loans to private enterprises the conditions are different. More details are given by the consultants report on forest economy (XAYVONGSA, 2004). The government supports plantation establishment. According to the Land Law up to 3 ha of degraded forestland can be allocated for each “labour unit” for plantation establishment. Plantations are now exempted from land tax payment. Land can also be leased from the state for a period of 30 years. In order to promote tree planting, the government has declared 1st of June as tree planting day and local authorities and government officials plant every year about one to two plots of about 1-2 ha of tree plantations. However, due to lack of follow up and maintenance, these plantations in most cases fail. Small scale plantations which are intermixed with other land uses, do not have the same negative environmental and ecological effects than large scale plantations.

5.5.3 Potential Areas for the Establishment of Plantations As small-holder or community based plantation schemes may provide a good opportunity for income generation on village and household level, a rough estimate of the total area suitable for plantation is given at this place. It has to be mentioned that it is simply impossible to come up with a reliable estimate because of the many factors involved such as land allocation, legal status (forest class), land suitability, topography, forest condition, etc.. For many of this criteria only macro-planning data exist, others are incorrect and cannot be used (i.e. land suitability), others are not localized (i.e. village forests), and for some the legal status is not clear. As such the estimate has to be based on expert assumption and the result as such is a best guess. It has therefore been decided to provide estimates for three different scenarios, which will result in a minimum and maximum estimate. The assumptions and scenarios are described in the following. The identification of degraded areas is based on the result of the Land and Forest Cover Map, 2003. Potential areas for plantation or rehabilitation measures are forest mosaic, wood and shrub land and mosaic of cropping (i.e. shifting cultivation areas). However, not all parts within these land use categories are really degraded (i.e. mosaic forest), some sites may be unsuitable and some other parts may already be used for other purposes. These areas must be somehow quantified and subtracted from the total area. This is done by calculating a correction factor (potential area factor) based on the average forest cover % and an estimated use %. The potential area factors for the different land use types are shown in the table below: Table 34: Calculation of potential area factor Degraded areas derived from Forest cover % Other Type of Use Potential area Land Use Cover 2003 (STIEBIG, 1997) uses/unsuitable factor (own estimate) Forest mosaic 40 -70% 30% Bamboo 0.32 Wood & Shrubland < 20% 30% Rangeland 0.56 Mosaic of cropping > 70% 50% Shifting cultivation 0.35

In a second step, then the areas unsuitable for timber production from the legal and ecological point of view (slopes > 60% should not be converted into plantations, according to FIPD) have been excluded. As the legal status of some of the identified categories is not clear (it might also be possible to change the status), three scenarios are calculated: Scenario (1): excludes NBCA and slopes >60% Scenario (2): excludes NBCA, slopes >60% and district protection and conservation areas. Scenario (3): excludes NBCA, slopes > 60% district and village protection and conservation areas The areas for Scenario (1) and (2) are derived by GIS-analysis using Land Use Cover 2003 and the State Forest Land themes. Unfortunately the location of village conservation and protection areas is not mapped. The only information available is, that they altogether have a proportion of about 40% on the whole village forestland8. For scenario (3), therefore the area of forest mosaic is multiplied by factor 0.6. This is not done for the others land use classes, as it is unlikely that village protection and conservation forest are located in wood and shrub land or shifting cultivation areas (mosaic of cropping). Once the areas are calculated for each land cover class, they are multiplied by the potential area factor. The result for each scenario is shown in the table below.

8 Remark: it is assumed, that unclassified forests can be considered as village use forest

Table 35: Estimate of potential areas for plantation schemes Type of degraded area Scenario 1 Scenario 2 Scenario 3 (ha) (ha) (ha) Forest mosaic 2287 1234 741 Wood and shrub land 7869 5201 5201 Mosaic of cropping 5290 4601 4601 Total 15446 11036 10542

Depending on the scenario, the potential area available for plantation scheme ranges between 10500 ha and 15400 ha. It has to be mentioned at this place, that the establishment of plantation is not considered as a rehabilitation measure. Ecological and environmental values of secondary forests, wood and shrub land or forest mosaic may be higher than that of a monoculture tree plantation. However, the impact of small scale plantations which are intermixed with other land uses may be of low significance from the watershed management point of view. Small scale plantations do not have the same negative impacts on the environment and ecology as large scale commercial tree plantations. Enrichment planting with local species may also be a good option in sensitive sites and in village use forests.

6 Agriculture According to village data altogether 22,558 ha of land has been zoned for agriculture, which is classified into paddy field, shifting cultivation, rangeland, garden, and fish pond (refer to Table 36. Table 36: Agricultural land in pilot area Agricultural land Total area9 Proportion (ha) (%) Lowland paddy field 5,663 25 Shifting cultivation 3,263 14 Rangeland 7,282 32 Fish pond 311 1 Garden 6,039 27 Total 22,558 100 Source: GTZ-WSMC baseline survey, 2004: village data

The average proportion of land for different agricultural systems varies greatly depending on the household category. Better-off and medium households have a high proportion of paddy fields and rangelands, while poor households have a high proportion of shifting cultivation areas (refer to Table 37).

9 The area figures are derived from village data. They do not correspond with the results of the Forest Cover Mapping based on Spot imagery from 2003 because of different land classification systems used. Also area data on district and village level are not necessarily correct, as they have in most cases not been actually measured. As tax on land has to be paid, there is a tendency to register less land than is actually used.

Table 37: Average agricultural land holding per household categories (ha) Household Paddy Shifting Rangeland Garden Fishpond category cultivation Better off 3.2 0.8 1.4 0.4 0.15 Medium 2.3 0.6 1.5 0.7 0.33 Poor 0.5 0.9 0.2 0.1 0.25 Source: GTZ-WSMC baseline survey, 2004: household survey

6.1 Rice Production Rice is produced by different agricultural systems: irrigation schemes, lowland paddy and shifting cultivation (slash and burn).

6.1.1 Irrigation There are six irrigation schemes within the pilot area. One small gravity irrigation scheme exists at Ban Phialat. Water from Nam Ton tributary is filled into a reservoir via an earthen weir dam. This scheme is able to irrigate about 50 ha during wet season and 35 ha during dry season. The other five schemes comprise of medium irrigation pump stations, which are located along the Mekong River. These stations use twin electric water pumps of capacities ranging from 50 to 100 KVA. Water is pumped from the Mekong into the main canal. All these schemes together have the capacity to irrigate about 500 ha lowland paddy fields. However, at present, only 241 ha are actually irrigated because of problems with the canal system. The irrigation schemes are managed by water user groups through the collection of water fees. Crop raised was mainly irrigated rice with an average yield of 3.9 t/ha. To optimise the use of these irrigation schemes it is planned to introduce the production of less water demanding crops during 2005 dry season. Beside the above-mentioned schemes there is a number of small-scale irrigation systems which irrigate in average about 1 ha paddy rice. They are fed with water from nearby natural small streams, which is transported by wooden and earthen weirs. Information on efficiency and quality of maintenance of structure is not available. Water from perennial river and streams including Mekong and Nam Ton rivers and its tributaries were also drawn by hand or small pump to supply water for home garden and other uses during dry season. In general, there seems to be a lack of water for agriculture in major part of the pilot area. During the dry season, there is very little water in Nam Ton River due to heavy sedimentation. Irrigation was reported to be the most pressing need of most villages. One irrigation project has already been planned by Sangthong district and has been forwarded to the government for funding. The scheme proposes to construct a concrete weir across Nam Ton river about 1 km upstream of the Mekong. For details on the above irrigation schemes refer to Table 38.

Table 38: Irrigation schemes in the area Location Type of irrigation Water Potential Actual Crops raised source Capacity capacity (Ha) (Ha)

B. Phialat Gravity irrigation Nam Ton 50 35 Rice (earthen weir) tributary B. Samphanna Twin electric pumps Mekong 120 38 Rice, vegetables, maize, beans B. Sakai Twin electric pumps Mekong 60 37 Rice, Vegetables, maize, beans B. Khok Pheung Twin electric pumps Mekong 150 37 Rice, Vegetables, maize, beans B. Ang Noy Twin electric pumps Mekong 120 50 Rice, Vegetables, maize, beans B. Kengmor Twin electric pumps Mekong 50 31 Rice, maize and beans Scattered Gravity irrigation Nam Ton 15 13 Vegetable from small weirs tributaries Total: 565 241 Source: Sangthong District DAFO, 2004

6.1.2 Lowland Paddy Lowland rice farming is an ingenious system of producing rice under inundated condition. Compared to upland rice lowland rice, production is less labour intensive and produces higher and more stable rice yields. Paddy fields have low erosion risk, but require a well protected watershed to provide sufficient water. The total area of paddy fields in the NTPA is 5,700 ha or 25% of the total agricultural land area. The average size of paddy field per household varies greatly depending on the household category. Better-off households have about 3.2 ha, medium 2.3 ha and poor households only 0.5 ha in average. While almost all (92%) better-off households own paddy fields, this is only true for every second (54%) poor household, for medium the rate is 82%. Poor farmers who have not enough rain fed paddy fields have to lease paddy field from better off households, or they have to buy rice. Also, in many cases, they can’t even afford the investment cost to cultivate paddy. Each household has access to land for cultivation, but there is difference in quality and size of landholding, especially in the flatland area where there is high competition in producing different commodities for markets. The majority of the population is engaged in lowland paddy cultivation, especially in rainfed cultivation. Less than 5 % are engaged in irrigated cultivation due to the lack of irrigation facilities. Paddy cultivation is the main household activity and all members of the family are involved, except for children. Contractors do a lot of activities in paddy cultivation. Both gender, male and female are equally involved in paddy cultivation (Table 39). Table 39: Household involvement in rice production Lowland paddy Irrigated paddy Shifting cultivation Involvement of Mediu Mediu Mediu household member Better m Poor Better m Poor Better m Poor Male (%) 50 50 50 50 50 0 50 50 48 Female (%) 50 50 45 50 50 0 50 50 52 Children (%) 0 0 5 0 0 0 0 0 0 Own consumption (%) 60 70 10 50 25 0 0 80 82 Sale (%) 40 30 90 50 75 0 100 20 18 Source: GTZ-WSMC baseline information survey, November 2004: Household survey

Most of the farm work is done with the help of machinery. Hand tractors have completely replaced the use of buffalo for ploughing and transportation. They are also used for pumping water, transportation as well as generating electricity. Others hire households having tractors for ploughing and transportation. The cost of land preparation (ploughing and harrowing together) varies from 62,5000 – 750,000 kip/ha. Threshing is done with the help of threshing mills, which are hired on contract basis. For transportation and threshing the cost is charged at about 10% of the produce. The traditional method of labour exchange is almost completely replaced with service-oriented relationship. This opens up employment opportunities in the area not only for the poor but also for the medium and better off households. Household labour is no longer a major constraint in lowland paddy cultivation for most farming households, especially the better off and the medium households. In addition to easy access to tractors, there are plenty daily paid labourers in the village or in the vicinity who are ready to work on farm operation such as e.g. transplanting and harvesting. The daily wage varies from 13,000 –17,000 kip/day. However, many poor households have to less time to cultivate their own fields proper. Therefore, others often consider them as “lazy”. Rice varieties used are mainly improved varieties brought from relatives in nearby villages many years back. Symptoms of genetic depletion have been observed across the area. Pests and diseases such as trip (Phiafai), gallmidge (Bua), brown and green plant hoppers (Phia), rice bug (Mengkheng) and snail were reported to be common and on the increase. Among these, trip was most frequently reported. Pesticides and fertilizers are hardly used. However, almost all farmers apply herbicides when the seeds are sown. How this affects the environment is not clear. Productivity is generally low and constantly declining. Yield ranges from 2.0 to 3.4 t/ha for rainfed rice and from 2.2 to 3.9 t/ha for irrigated lowland paddy. According to the household level survey in Table 40, financial investment in rice production is high among the better off and medium households. Most investment is spending for hiring labour and for services such as ploughing, harrowing and threshing and for fertilizer. No investment is done on good quality seeds. Investment costs for pesticide and herbicide are insignificant.

Table 40: Investment cost lowland paddy Average investment (Kip/hh) Type of Investment Better off Medium Poor Hiring labour 564000 644000 85000 Seeds/Variety 0 0 0 Fertilizer 66000 51000 2000 Pesticide 1000 1000 0 Herbicide 10000 25000 9000 Mechanisation 117000 291000 26000 Interest to loan 40000 148000 276000 Tax and other costs 1265000 737000 162000 Total 2063000 1897000 560000 Source: GTZ-WSMC baseline survey, 2004: Household survey.

6.1.3 Shifting Cultivation Shifting cultivation is still the dominant system of agriculture in the pilot area in terms of both land area and number of people involved. The total area presently under shifting cultivation is about 3,300 ha and covers 14% of total agricultural area as reported by village committees. This area however refers only to the cultivated part; the area under the shifting cultivation cycle (including fallow) is much larger. In general, most households have shifting cultivation field, regardless of whether they have paddy field or not. Due to the strict regulation imposed by the government to reduce shifting cultivation many people have started to convert areas in the vicinity of their paddy fields or grazing lands into permanent agricultural land. However, due to limited access to land and low yield from paddy

53 fields, many households still depend on shifting cultivation for food security as well as for cash income. The percentage of households practicing shifting cultivation varies depending on the household category, as more poor the people are as more they depend on shifting cultivation (see Table 41). The average cultivated area per household based on household classification better off, medium and poor is 0.8 ha, 0.6 ha and 0.9 ha respectively. Households in the upper part of the pilot area depend more on shifting cultivation then those in the lower part. Table 41: Shifting cultivation in relation to household category Household category % of hh engaged in Average fallow land Average size of shifting cultivation cultivated area Better off 35 % 0.9 ha 0.8 ha Medium 46 % 0.2 ha 0.6 ha Poor 68 % 0.0 ha 0.9 ha Source: GTZ-WSMC baseline survey, 2004: Household survey.

Land cultivated within the shifting cultivation cycle is cleared normally through slash and burn. No erosion control measures are practiced which leads to surface run–off of rainwater and subsequent soil erosion and loss of soil fertility. In general local upland rice varieties are planted which are robust but have low yield. A major problem in shifting cultivation is the intense growth of weeds, especially if young fallow is re-cultivated. Weeding requires a lot of manual work. This is a major problem for poor households as they depend on on-farm and off-farm employment for cash income and have little time to work on their own fields. Therefore, most of the paddy fields of the poor are not well maintained. This is a reason for the very low yield of 500-600 kg/ha, which was reported by most villages for the poor households. Poor households comprise mainly of new married couples who have just left their parents and of immigrant settlers. In most cases, these people encroached the unoccupied part of the village lands by practicing shifting cultivation and later on claimed their rights over this land. Most of them have about 1 to 3 small plots of less than half a hectare and where they found the land suitable, they convert it into lowland paddy field. Limited access of suitable land for agriculture is the main bottleneck for the poor. To eradicate poverty would require, that more productive agricultural land is allocated to the poor families and newcomers by the village authorities. The problem is only, that productive land has in many cases already become short. Nowadays, shifting cultivation has also become a mean to acquire land. The process is very simple. After rice is harvested, the area is converted into rangeland. Grass is grown and a certain number of trees are left standing to provide shade for the livestock. Once converted into rangeland, land rights are claimed. This process continues year-by-year and as such more and more former shifting cultivation areas are turned into rangelands. This is now widely practiced between the better off and medium households. How far the newly expanded rangelands are reported for paying land tax is up to speculation. New forest encroachment for shifting cultivation is still a problem. During the last two years within the whole district of Sangthong about 260 ha of new forestland was converted annually for shifting cultivation. How much have been cleared within the pilot area could not be assessed. Another problem is the reduction of the average rotation period of the shifting cultivation circle to 3-4 years (VFC-GTZ, 1997). This is definitely too short and leads to exhaustion of the soil and increased erosion.

6.1.4 Rice Production and Sufficiency MANIVONG (2004) has estimated the local demand of rice within the pilot area at around 15,000 tons per year. The total annual production capacity as estimated in the table below is 19,960 tons, as such there is a surplus in production.

Table 42: Rice production Production system Area (ha) Productivity Production (t/ha) (t) Rainfed lowland paddies 5660 2.7 15290 Shifting cultivation 3260 1.2 3920 Irrigated lowland paddies 240 3.1 750 Total 19960 Source: GTZ-WSMC baseline information survey, November 2004

6.2 Home Garden and Cash Crops Gardens in the pilot area comprises of two types: cash crop garden and home garden. The total garden area is about 6,000 ha and covers 27% of total agricultural land area of which 54% are cash crop gardens and 46% are home gardens. About half of the better-off and medium households own gardens, while this is only true for few poor households. Also the average garden size of poor households is much smaller than compared to the others (refer to Table 43). Table 43: Gardens in relation to household category Household category % of hh having Average garden gardens size Better off 60 % 0.4 ha Medium 43 % 0.7 ha Poor 7 % 0.1 ha Source: GTZ-WSMC baseline survey, 2004: Household survey.

Home gardening is part of daily live. Each and every household grows something around their houses or in small plot in their farmlands. Growing vegetables on the riverbank during dry season is also commonly practiced along Nam Ton and Mekong rivers. A wide range of crops is raised in home gardens ranging from annual to perennial crops. Most common crops are leafy vegetables; egg plant, chilli, banana and papaya, which are grown for own consumption. Also in many cases, few fruit trees of different species are grown. Few households grow garden products for sale. Table 44: Household involvement in cash crop production Involvement of household members Household involved in cash cropping by category Better off Medium Poor Male (%) 46 45 50 Female (%) 54 55 50 Children (%) 0 0 0 Self-consumption (%) 87 80 90 Sale (%) 13 20 10 Average income/hh (consumption and sale) in Kip. 1960000 2910000 139000 Source: GTZ-WSMC baseline survey, 2004: Household survey

Cash crops are produced for the local market. Most common crops raised are banana, eggplants, chilli, watermelon, and cucumber, which are raised in home garden and in small plots with fertile soil and in lowland paddy field. A significant portion of the produce is sold at pretty low price during the peak period and quite a big amount was perished. Certain produce like watermelon apart from the above losses was also damaged by erratic climate (early rain). So, in the situation of serious marketing problem and water insufficiency growing these cash crops at commercial scale is not yet seen as viable option for people in greater part the pilot area. Table 44 illustrates household involvement and the proportion home consumption and sale.

In 2004, job’s tear and sesame have caught the interest among many farmers when the Salavanh Import-Export company provided guarantee to buy the produce at harvesting time. The company provided seeds (1950 kg for job’s tear; 289 kg for early sesame variety; and 115 kg for late sesame variety) to farmers through Sangthong DAFO who was requested to provide technical support. These crops are mainly grown in forestland and fallow and it was reported that each involved household cultivated about 3 ha on average. This seems to be a good opportunity to increase farmer’s income, especially those of the poor. On the other hand, it may also lead to further forest destruction and forest degradation. Herbicides and pesticides are frequently used in cash crop production, while this is not very common in the other agricultural production systems. As such expansion of cash crops may have a negative effect on water quality, especially if they are not applied properly.

6.3 Livestock and Rangeland Livestock keeping is an essential component of the household economy. It is raised to gain cash income and to ensure household security. It is a capital that can be mobilised at any time when required. As such livestock raising forms an important part of the livelihood in the pilot area. Major livestock kept are buffalo, cattle, pig, and poultry. A few households have recently introduced Goat. One household has raised rabbit on a trial basis. Among the large animals cattle is the most preferred one. Farmers preferably sell buffalo rather than cattle as they eat much more than cattle and also need more water, which is becoming scarce in these days. Table 45 shows the number of animals kept in the surveyed villages (38 out of 43). The total number of animal in the NTPA will be a little bit higher. Dogs are also included on the list of animals as they consume a significant quantity of rice. Table 45: Livestock population (in surveyed area) Type of animal Number Buffalo 3631 Cattle 8665 Pig 3727 Poultry 103040 Dog 1467 Goat 532 Source: Village statistics (38 villages out of 43): 2004

There is a mixed situation in regard to household involvement in livestock production. Large livestock production is not necessarily linked to household land holdings. Raising animal for other people and share 50:50 of the production with the owner is common. People having range land but are not engaged in raising livestock is quite common, too. They sometime lease the land to other people to raise animal and charge about 100,000 kip/head/year. The results of a household based survey, which are shown in the table below, may provide a rough estimate on the current situation. Table 46: Household category involvement in large livestock production

Large Livestock Production Better off Medium Poor Total No. of observations 20 28 29 Hh having range land (%) 70 64 16 Average size of range land per hh (ha) 1.4 1.5 0.2 Hh with range land but not raised (%) 25 32 48 Hh with no range land but raised (%) 50 32 32 Source: GTZ-WSMC baseline survey, 2004: Household survey

Most of better off and medium households have rangeland and are engaged in raising different kind of livestock as one of their main sources of income. Most animals raised are for sale except for poultry (see Table 46). Livestock raising is a preferred activity as it requires little time and labour inputs. In general livestock production can be used to determine the socio-economic status of the village and households. . Table 22: Livestock Production (Household (HH) level)

Hh Average Hh members Ave. annual Self- Type of Livestock having Number of involvement (%) income consumpt. animal animal per per hh (%) hh Male Fem. Child (Kip) (%) Poor household Buffalo 12 3 93.3 6.7 0 2667000 0 Cattle 12 3 66.7 33.3 0 2667000 0 Pig 16 1 to 2 5.0 92.5 2.5 105000 0 Poultry 36 23 5.6 92.2 2.2 187000 75 Medium household Buffalo 8 5 100 0 0 167000 0 Cattle 64 6 75.6 11.9 0.0 1645000 0 Pig 40 9 3.3 95.5 1.1 1730000 0 Poultry 84 43 8.1 89.1 2.9 274000 81 Goat 8 17 85 10 5 0 0 Better off household Buffalo 30 4 90 8 2 2366000 0 Cattle 70 11 90 5 5 4594000 0 Pig 35 4 3 94 3 657000 0 Poultry 75 74 9 87 5 770000 77 Goat 10 6 95 5 0 1500000 0 Source: GTZ-WSMC baseline survey, 2004: Household survey

Rural communities have free access to forestland for livestock keeping. During land allocation village land is partly allocated to households for livestock raising. Large livestock are kept in the rangeland during rain season and are allowed to graze freely from December to May. Strong fencing is needed for most of cultivated land. Diseases such as Haemorragy septicemy and foot and mouth disease pose a serious problem to large livestock like buffalo, cattle and also goat. In 1994, the area was hit by serious outbreak of Haemorragy septicemy, which was believed to be spread from Vientiane Province killing most buffaloes in the area. Foot and mouth disease causes serious damage every year especially to calves because of the absence of prevention measures. The increasing number of livestock, which roams around freely, creates a lot of problems to agricultural production and even for tree planting as without proper protection (guarding or fencing) a lot of damage will be caused by browsing and trampling and as such production costs will raise. Based on village statistics, the total area of rangelands is about 7,300 ha and covers 32% of the agricultural land. In reality it may be much larger, as not all the grazing land is registered in order to avoid the payment of land tax. As already mentioned, conversion of shifting cultivation areas into rangelands has recently become a common way of land grabbing.

6.4 Agro-Forestry So far agro-forestry has not been introduced in the pilot area, although some trials has been carried out by the Faculty of Forestry.

7 Fishing and Aquaculture

7.1 Fishing Fish is one of the most important sources of animal protein in the diet for people in the pilot area. Fishing activity is part of the daily activities of majority of the population for their daily supply of household food. It is not their main cash income source but it is ranked third among the most important economic activities after rice farming and livestock rearing in term of people involvement. Villagers do not go far for fishing. On average they travel less than 2 km. Villagers catch fishes and other aquatic animals in the rivers, streams and in paddy fields. They take all whatever is caught no matter what species and size they are. Fishing in big rivers such as Mekong is mainly practised during rainy season. Year round fishing was more concentrated in small streams nearby the villages and in Nam Ton river. Paddy field is another important source of fish and aquatic animals and amphibians during rainy season. Compared to the last 30 years, it was reported that, fish and aquatic animal population is dramatically declined. The causes contributing to the decline include: • Over-fishing, mostly due to increasing number of human population and outside market demand; • And heavy sedimentation along the water courses which causes changes in river flow regimes as a result of watershed degradation; Reduced water quality (muddy water), also causes decline in fish population and other aquatic resources but would still be at insignificant level since commercial farming using chemicals is still very limited. The use of dynamite, chemicals and poisoning of fish was not reported. The diversity of aquatic resources has changed since 1971/72 when an unusual drop in temperature occurred in the area. All fishes and other aquatic animals in Nam Ton river all died at that time and some fish species are reported to be extinct. However, some new fish species including Pa kheng (Anabas testudineus) and Pa Kadeut (Trichogaster trichopterus\), which was not indigenous to the area before, are surprisingly found in great numbers since then. Due to the great demand from restaurants in Vientiane, frogs and swamp eel are increasingly threatened. A detailed list on the status of fish and aquatic resources is attached in Annex 8.

7.2 Aquaculture Starting five years ago, aquaculture has become an increasingly important activity for people in the pilot area. This is probably due to the decline of fish as a result of heavy sedimentation in the rivers and streams. There are several hundreds of small fishponds in the area. In addition to raising fish in man made ponds, a number of households also raise fish in impoundments, where small earthen weirs are constructed across small streams for irrigation purpose and also in water reservoirs. Caged fishery is also practiced in water reservoir. There were about 10 cages reported in total. In the whole pilot area, manmade fish ponds cover about 320 ha of which 5 ha belong to state company and the remaining are household owned fish ponds. Fish species commonly raised include tilapia, silver carp, common carp and catfish. Fingerlings were mainly brought in from Vientiane Capital and from Ban Kilometer 52 at the cost of 200-500 kip/head depending on the species and size. A huge amount of money is spent for the fingerlings. Concentrated fish food is feed in the beginning, which is replaced by rice bran later on.

Table 47: Household category involvement in aquaculture Aquaculture Better Off Medium Poor Households having fish pond (%) 29 69 2 Average pond size (ha) 0.15 0.33 0.25 Average annual investment per hh (Kip) 205000 387000 0.0 Average investment per ha (Kip) 908000 600000 0.0 Average production (kg/ha) 1280 450 230 Average annual income per hh (Kip) 2460000 1962000 500000 % Self-consumption 78 69 65 % Sale: 22 31 35 Source: GTZ-WSMC baseline survey, 2004: Household survey

Mainly medium households are engaged in aquaculture and some of the better-off. It seems that the poor cannot afford the required investment costs. So far, no technical assistance or any other support is provided for interested people neither by the government nor from any project. People engaged in aquaculture depend on the experience made by others or through trial and error. Taking this into account and the number of people already engaged in fish raising, it can be assumed that this would be a good option for many households for income generation and would also help to improve food supply and diet in the pilot area. It can be imagined that with a little support in extension, marketing and fish breeding aquaculture could become an economic viable option for many households.

8 Mining and Quarry There are two gold mining sites and four quarrying sites concentrated in the southern part of the pilot area close to the Mekong River. These operations are under the supervision of the District Industry Office. Although they operate in the area for quite some time, only few jobs were created for local residents.

9 Processing and Marketing Just a few agricultural and forest based products are processed on a small scale and sold to the local market (refer to Table 48 below). Processing is normally done at home. Table 48: Household based processing (for involved households) Produce Product produced % of involvement by hh members % own % sold Male Female Children use Rice Soft noodle 30 70 0 10 90 Local spirit 50 50 0 0 100 Fish Dried fish 30 50 20 90 10 Fermented fish (som) 20 80 0 90 10 Fermented fish (Padek) 40 60 0 100 0 Bamboo Tobacco drying mats 50 50 0 0 100 Basketries 80 20 0 20 80 Roofing sheets 50 50 0 Culm (cut to specified length) 70 30 0 0 100 Preserved bamboo shoots 5 90 5 100 0 Banana Dried banana 10 80 10 10 90 Fried banana chips 10 80 10 0 100 Fuel Charcoal 70 30 0 10 90 Animal meat Dried meat 10 80 10 95 5 Fermented 10 90 0 95 5 Source: GTZ-WSMC baseline survey, 2004: Village and Household Interviews.

It was very difficult to get information on the extent and nature of processing of agricultural and forest-based products. Processing depends largely on the characteristics, status, skills, occupation, etc. of the household and several external factors like the nature of demand, type of market, physical location of the village, etc. The table above may provide a rough overview on the nature of processing of various products and the involvement of family members as well as on the use of the product. Processing at household level is mainly done for self-consumption especially for food products. Processing for sale has not been practiced widely for food products and was restricted to a few households in each village (less than 1%), with the exception when there was ample production. Women mainly do food processing, while men are engaged in charcoal production, and bamboo processing (preparation of culm and basketry). A little more than 10 agriculture and forest products are sold by villager of which paddy is the most important one. Most of the products are produced/collected by individual households and are sold in unprocessed form. Groups sometimes manufacture handloom and bamboo mats. Little efforts are made to increase the value of the product. Produced quantities are small and not attractive for external markets. There are two types of market oligopsony (i.e. there are few buyers but more sellers) and monopsony (i.e. there is only one buyer). Traders normally control prices. Few products such as bamboo mats and handloom products can reach outside markets. Villagers have very little knowledge on marketing and marketing mechanisms and normally depend on the trader or buyer. They are neither promoting nor active selling their products. Some individuals interviewed expressed the need for marketing support. In many cases, wealthy families act as middleman, they collect the products produced by the individual households and sell it to the trader. In the case of paddy, however, the tradesmen buy directly from the producer. Some wealthy households also act as traders themselves. They buy paddy from other villagers and sell it off when the market price is good.

Table 49: Marketing Product Form of Type of marketing Market place Buyer product Paddy/Rice Raw and milled Oligopsony- individual Local Traders and Wealthy households are sellers residential families Local spirit Finished Individual Local Open market Bamboo mats Finished Group/ cooperative Export- Thai traders product marketing Thailand Handloom products Semi-finished Group/ cooperative External- Retail shops marketing and individual Vientiane. Bamboo culms Crude Oligopsony- individual External- Production group processed households are sellers Vientiane prov. (basketry) and on order Basketries products Finished Individual Local Local residents and on order by retailers Food products Finished Individual Local Local residents Banana Raw and Individual Local Traders/ assemblers processed Job’s tear and Raw Individual tied to Local (farmers Contracting company. sesame agreement and bear the monopsony (only one transport cost) buyer). Chilli; cucumber; Fresh Individual Local and Open market water melon; chilli, some to egg fruit, papaya, external beans, vegetables. markets Tobacco Semi-finished Monopsony and Local Contracting company individual Barberin vine, Bong Crude Individual Local Traders bark and some processed important NTFPs Charcoal Finished Individual/ (illegal) Local Open market Bamboo roofing Semi-processed Individual Local Individual buyers sheets outside -based on order Fish Raw and Individual Local Open market processed Large livestock Live Individual Local and Slaughter house (Local external and in Vientiane) Poultry Live Individual Local Open Meat products Semi-processed Oligopsony (few Local Open producer) Source: GTZ-WSMC baseline survey, 2004: Village and Household Interviews; District Trade Office

At the district level (Sangthong District), marketing effort was made to invite private investors to invest in commodities production in the area. As earlier mentioned, in 2004 the Salavanh Import-Export Company has invested in the promotion of villagers to grow sesame and job’s tear. The company has provided improved seeds to farmers for which they have to return twice the quantity provided. It buys the products at current market price at storehouse gate at Done Noune (Vientiane). The company furthermore provided funds for Sangthong DAFO for the provision of extension and follow-up (i.e. to ensure, that the farmers sell to the company and nobody else).

10 Summary of Problems, Issues and Constraints Main problem reported by the local people is the low level of cash income, which makes it difficult to invest in the improvement of agricultural production systems. This results in low yields and in an increased demand on land. Also, there is too less funds available to invest in long-term production systems, such as tree plantation and agro-forestry systems. People have expressed openly, that they would engage in any type of activity, which creates cash income. However, investments are only made if there is no risk, and a secure and sufficient return. Population growth is fairly high due to immigration. New settlers need land and as such more forest are cleared. Encroachment of forestland has become increasingly popular for grabbing of land, due to lack of law enforcement. Also forest areas are not properly surveyed and demarcated and forest boundaries are unknown. Land allocation has not given people security on land. So far no temporary land title has been converted into a permanent one, although this should be the case after 3 years. So many people see land allocation just as a mean for the collection of land tax. As land is not proper surveyed and measured, people tend to claim less land as they actually occupy. This is a source of conflicts among villagers in some of the villages. Processing of agricultural goods and NTFPs by local people is poorly developed and products are sold without added value. People have little knowledge in marketing mechanisms and fully depend on local markets or traders, which dictate the price. Especially poor people depend on income from forests such as the collection of NTFP, but also on illegal logging and poaching. The risk of being caught is low. The capacity of DAFO in terms of fund, equipment and manpower is too low, to ensure proper control and law enforcement. There is little interest of villagers to engage in forest management activities. Village forests are common property and as such are just regarded as a resource for wood and NTFPs and not as a production system, which requires management interventions. Although there is the legal obligation that all forests are managed based on a management plan, none exists so far. The same applies for the collection of NTFP for commercial use, which shall be based on a management plan, too. Exploitation is rather driven by demand than by the production capacity of the forest and sustainability is not ensured. Forests are converted into other land uses at an estimated annual rate of 2%. The condition of the remaining forest resources is continuously degrading through uncontrolled and unmanaged use, illegal logging, over-exploitation of accessible areas, and forest fires. There are large areas of forestlands, which are seriously degraded and insufficiently stocked which would have good potential for timber production if proper managed. Also villagers own quite some areas of fallow land, which are currently not used, because fertility is too low for paddy or vegetables. However, these areas would be suitable for tree crops. At present, the wood production capacity of the timber processing industry is higher, than the annual quota specified in the harvesting plan for the NTFP. So far little timber comes from plantations. Tree plantations owned by villagers are poorly maintained; tending and thinning is not done at all. This leads to poor growth and low average quality. Main problem is the lack of knowledge and experience in plantation management. So far, no extension service exists, which addresses this problem. Bamboos occur in abundance in the pilot area. It is mainly used for local demand. The current exploitation rate is far below the production potential. District Land Offices and DAFOs suffer from lack of funds, poor infrastructure and equipment and lack of vehicles. Coordination and cooperation between both administrations are insufficient. No integrated development plans exist, both on district and village levels, which result in a lack of concerted efforts between different government agencies.

11 Potential Fields of Intervention with Special Reference to NRM Within the framework of this baseline study some potential field of intervention have been identified which are briefly described in the following

1) Establishment of small-scale tree plantation or agro-forestry systems on household level The objective is to provide households in the medium and long-term with a continuous flow of cash income by establishing privately owned small scale plantations or agro-forestry systems, on fallow or degraded land unsuitable for agricultural production. This additional income could then be invested in the improvement of agricultural production systems and may also substitute the need of income from irregular and illegal forest use. The small-scale plantation could also be regarded as saving box, from which funds can be mobilized whenever required. There has been practiced in the northern provinces of Laos since two to three decades quite successfully and is politically supported by the government (refer to Forest Strategy Chapter 3.4.5.3). The framework for the establishment of such a system is favorable. According to law, for each “labour unit” within a household, 3 ha of degraded land can be allocated for plantation establishment and a land certificate will be issued. Also plantations are now exempted from tax payments. People are already engaged in plantation establishment in the region and others are highly interested. There is no problem with acceptance of such a scheme. The areas suitable for plantation/agro-forestry establishment are estimated at 10500 to 15400 ha. Major bottleneck is the lack of funds for initial investment. Cash is required for the purchase of seedlings and fencing material, the remaining is manual labour. Current financing schemes require the payback of loans within 8 years, however within this period, no financial returns can be expected yet. Also the interest rate of 7% is too high. Another problem is, that loans are only provided, if a written contract between the household and a commercial enterprise can be produced as security (refer to chapter 5.5.2 for more information). For the establishment of small scale plantations a profit sharing system between DAFO and farmers has been developed by GOL/JICA Forest Conservation and Afforestation Project (FORCAP), and implemented on a pilot basis in two districts of Vientiane Province. This may be of particular interest in this context (refer to Forest Strategy Chapt. 3.4.5.2). Main activities, which would need to be addressed, are among others: • Provision of funds for initial investment or in kind (seedlings and fencing material) • Capacity building in plantation management through the establishment of an extension service and implementation of village based training programs • Establishment of a marketing structure and marketing organization for plantation timber • Improvement of accessibility and transport infrastructure • Support in land use planning and identification of suitable sites • Institutional strengthening of DAFO

It is the opinion of the baseline study team, that this option would have the highest impact on increase of livelihood of the people and may contribute significantly to poverty reduction.

2) Identification, Demarcation and Management of Village Forests and State Forests Village forests have to some extent been identified during land and forest allocation. However, the classification has not been done properly, and in many cases it has not been done at all. Boundaries were only drawn on maps (if at all) and never demarcated in the field. No management plan has been prepared so far and the use and management of these forests is rather driven by demand than by the forests production capacity. Required activities: • Identification of village forest areas and their classification based on integrated and participatory land use planning. • Technical and financial assistance in demarcation of forest areas. • Elaboration of simple planning guidelines for the elaboration of forest management plans for village forests and state production forests • Elaboration of guidelines for the preparation of management plans for NTFP production, namely bamboo • Elaboration of community based forest management schemes • Elaboration of simple silvicultural guidelines for the management of village use forests

3) Expansion of Bamboo production, processing and marketing Large areas especially in the western part of the NTPA are covered with dense bamboo vegetation of commercial and marketable species. Currently this potential is hardly used. Required activities: • Identification of bamboo production areas • Elaboration of management plan for sustainable production • Set-up of a small scale processing units • Identification of potential uses of bamboo for commercial marketing (e.g. mats, flooring, chips??). • Establishment of marketing organizations and marketing structure

4) Improvement of range land (silvo-pastoral systems) More and more land is being converted into range lands, however the quality of fodder is poor and the cattle carrying capacity is low.

5) Support local people in aquaculture and fish ponds Aquaculture has been introduced several years ago and has been spread out increasingly throughout the NTPA. It has become a source for income generation and food supply, especially for better-off and medium households. Required activity • Set up of extension services and training programs for aquaculture and fish raising • Production of fingerlings to supply private fish ponds with healthy and high quality fish species • Assist poor households with funds or means for the establishment of fish ponds

6) Improvement of transport infrastructure River crossing along the main road to Vientiane require urgently some repair. Also, the access road to Km 52 through the Phou Pha Nang Mountain requires maintenance and reconstruction of all bridges.

7) Set-up of hydrological measurement stations Hydrological measurement stations need to be established at the Nam Ton River before it flows into the Mekong in order to measure the impact on watershed management activities.

Note: More recommendations on potential interventions, also concerning other sectors, are given by the individual consultants in their report.

Annex 1

Literature and References

Literature

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MAF/DOF; 2000: Criteria and Indicators for Sustainable Forest Management in Lao PDR. MAF/NAFRI; 2001: Lao-Swedish Upland Agriculture and Forestry Research Programme 2001-2005. Programme Document. MANIVONG, K.; 1996: Forest Resources Dependency of Rural Community: A Case Study in Two villages of Thaphabath District, Bolikhamxay Province, Lao PDR. A Self-Directed Study Submitted for Master of Rural Development Management, Khonkean University, Thailand. MANIVONG, K.; 2002: Report on Nam Khan River Basin. MRC and National Mekong Committee. MANIVONG, K.; 2004: Socio-economic Study Nam Ton Pilot Area. WSMC/MRC: NAFRI; 2004: Summary Report from a Workshop on Poverty Reduction and Shifting Cultivation Stabilization in the Uplands of Lao PDR, Held in Luangprabang, January 27-30, 2004. National Agriculture and Forestry Research Institute. Vientiane, Laos.MCBR; 2003: Rural and Microfinance Statistics in Laos. Joint Project between NERI and Concern Worldwide. Vientiane. MIDAS/SCC/CIRAD; 2003: Draft final report on Tree Plantation for Livelihood Improvement Project. TA No. 3794-Lao. MOC; 2002: Statistic of Exportation of Laos in Year 2001/02. MOC; 2003: Statistic of Exportation of Laos in Year 2002/03. MOC; 2004: Statistic of Exportation of Laos from 1995-2004. MOHR, B.; 2003: Participatory land use planning. Lao-German Development in Mountainous Area in Northern Laos. MOUNHEUANG, P.; 2004: Institutional Need Assessment and Gap Analysis. National Performance Assessment. National Performance Assessment and a Strategic Environmental Framework for the Greater Mekong Sub-region (SEF II). MRC; 1997: Mekong Watershed Classification. The WSC Map Users Guide. MRC; 2004: Development of Social Impact Monitoring System. Draft Proposal. Environmental Programme, MRC. Vientiane. NAFRI/FRC; 2001: Final Report on Botanical Survey of National Biodiversity Conservation Areas in Lao PDR. NATIONAL STATISTIC CENTRE; 2004: The Households of Lao PDR, Social and Economic Indicators: Lao Expenditure and Consumption Survey 2002/03. National Statistic Centre, Committee for Planning and Cooperation. Vientiane, Lao PDR. NINCHALEUNE, B; 1999: Report on Soil Survey in Training and Model Forest at Na Po and Nong Bua Villages Sangthong, Vientiane Municipality. NORAD, UNEP; 2001: State of the Environment, Lao PDR. NUOL/PROFEP; 1998: Socio-Economic Study in the Training Model Forest in Sangthong District, Lao PDR. Report. Vientiane. OBERNDORF, R.B.; 2004: Comparative Analysis of Policy and Legislation related to Watershed Management in Cambodia, Lao PDR and Vietnam. Working Paper 07, WSMC. PAFO OF VIENTIANE CAPITAL CITY; 2003: Annual Report. PARUA; 2004: Baseline Survey Data in the Six Project Villages, Samet-Saysana Special Zone. Report. Vientiane: CARE International Laos. PROFEP; 1996: Integrated Forest Management Plan for College Intervention Area VFC, Training and Model Forest, Sangthong District, Vientiane Municipality. PROFEP/FOF; 2000: Management Plan for Forest Resource Development, Training and Research. PRIXAR, S.; 2002: Master thesis on village forest management after land and forest allocation. A case study of Ban Nalong, Bolikhamxay Province, Laos.

PRIXAR, S.; 2004a: Report on economic value of commonly planted tree species in Laos. Lao Tree Seed Project NAFRI. PRIXAR, S.; 2004b: Economic value of commonly planted tree species in Lao PDR. A report of Lao Tree Seed Project supported by DANIDA. PRIXAR, S.; 2004c: Land management in Namtone watershed area. Final report. MRC/WSMC. SAMONTRY, X. et al.; 2000: Evaluation of Lao-Swedish Forestry Program Joint Forest Management Pilot 1&2. SANGTHONG DAFO; 2002a: Technical Design for Namtone Spillway. Sangthong DAFO. VV Survey and Design. Vientiane, Lao PDR. SANGTHONG DAFO; 2002b: Socio-economic survey in the Proposed Namtone Spillway Project. Sangthong DAFO. VV Survey and Design. Vientiane, Lao PDR. SILAVANH, S.; undated: Country Outlook: Lao PDR-Forestry Sector. SOUTHITAM, T.H.; 2001: Study on Teak Plantation in Luang Prabang. SUSSWEIN, P. M., VAN NOORDIJK, M., VERBIST, B.; undated: Forest watershed functions and tropical land use change. STEA/WORLD BANK; 2004: Lao PDR Environment Monitor 2004. Lao PDR Environment Monitor Series. Vientiane. STIEBIG, H-J.; 1997: Interpretation and Delineation from Satellite Imagery. Technical Notes 2. Forest Cover Monitoring Project MTC/GTZ. RINA MARIA, P., et al; 2003: The Economic returns From Conserving Natural Forests in Xekong, Lao PDR. Lower Mekong Ecoregions Technical Paper Series 1. WWF- UK(DFID)/Belgium Embassy. TSECHALICHA, X., GILMOUR, D.A.; 2000: Forest Rehabilitation in Lao PDR, Issues and Constraints. IUCN with support from the: Sustainable Management of Resources in the Mekong Basin Project (MRC/GTZ) and the Forest Reborn Project (WWF). VONGSAVANH, V.; 2002: Growth and yield of Ailanthus malabarica and Cassia siamensis, Namxuang and Management intervention Areas, Sangthong District, Vientiane Municipality. Diploma thesis, Faculty of Forestry, NUOL. WAN RAZALI, W.M.; 1992: Forest Management Planning and Silviculture of Natural Forest in Lao, Department of Forestry, Vientiane, Lao PDR. WSMC; 2002: Watershed Management in the Lower Mekong Basin. A Component of the Agriculture, Irrigation and Forestry Programme of the Mekong Commission. Working Paper 01a and 01b. WSMC; 2004: Country Status Report on Watershed Management in Cambodia. Discussion Paper prepared by Min Bunnara.

Statistics and Unconsolidated Reports and Records Village Land use Records in Sangthong Districts, 2004. Village Status Statistics in Sangthong district produced by the District Planning and Statistics, 2004. Annual Report 2004 of the Livestock and Fishery unit of Sangthong DAFO. Village Statistics 2004 of Ban Khonkaen. Annual Report 2003/04 and Plan for 2004/05 of the Vientiane Capital Poverty Eradication Programme special Group for Ban Thanakham. Annual Report 2003/04 of Hinhuep District DAFO.

Annex 2

Village population according to gender and ethnicity

Villages and Population S/No. District Village name Total Population L.Lao U. Lao H. Lao M F Tot M F M F M F

1 2 3 4 5 6 7 8 9 10 11 12 1 Sangthong Paktone 610 693 1303 610 693 0 0 0 0 2 Sangthong Nahoy 381 408 789 381 408 373 404 0 0 3 Sangthong Hinlap 166 180 346 166 180 0 0 0 0 4 Sangthong Houaykham 420 426 846 na na na na 0 0 5 Sangthong Phialat 849 852 1701 836 849 13 3 0 0 6 Sangthong Hinsio 284 290 574 284 290 0 0 0 0 7 Sangthong Haitai 1047 587 1634 1047 587 0 0 0 0 8 Sangthong Nasaonang 194 182 376 194 182 0 0 0 0 9 Sangthong Pakthep 289 288 577 289 287 0 0 0 1 10 Sangthong Thanakham 275 271 546 272 271 3 0 0 0 11 Sangthong Nalat 147 137 284 147 137 0 0 0 0 12 Sangthong Taohai 334 304 638 329 300 5 4 0 0 13 Sangthong Haineua 118 119 237 118 119 0 0 0 0 14 Sangthong Natane 177 148 325 177 148 0 0 0 0 15 Sangthong Nathiem 221 223 444 221 223 0 0 0 0 16 Sangthong Namieng 164 169 333 164 168 0 1 0 0 17 Sangthong Koa 531 480 1011 466 408 65 72 0 0 18 Sangthong Nahoypang 190 195 385 190 195 0 0 0 0 19 Sangthong Nongboua 170 136 306 170 136 0 0 0 0 20 Hinheup Khon kene 560 578 1138 22 19 548 558 0 1 21 Hinheup Naxam 420 444 864 355 363 65 81 0 0 22 Hinheup Viengkham 576 555 1131 29 20 547 535 0 0 23 Hinheup Naway 617 407 1024 45 13 549 407 0 0 24 Hinheup Nathong 141 128 269 135 120 6 8 0 0 25 Hinheup Namthom 582 552 1134 27 9 555 543 0 0 26 Hinheup Mouk 222 219 441 198 199 26 22 0 0 27 Hinheup Souanemone 351 342 693 na na na na 0 0 28 Hinheup Naphong 721 740 1461 8 6 713 734 0 0 29 Sangthong Sakai 671 334 1005 671 334 0 0 0 0 30 Sangthong Samphanna 807 777 1584 807 777 0 0 0 0 31 Sangthong Khokpheung 583 557 1140 583 557 0 0 0 0 32 Sangthong Thanasanghin 164 169 333 164 169 0 0 0 0 33 Sangthong Ang Noy 326 343 669 326 343 0 0 0 0 34 Sangthong Sanot 370 361 731 na na na na 0 0 35 Sangthong Khok He 381 387 768 381 387 0 0 0 0 36 Sangthong Nasa 475 488 963 na na na na 0 1 37 Sangthong Napor 221 171 392 221 171 0 0 0 0 TOTAL IN SURVEYED AREA: 14755 13640 28395 10033 9068 3468 3372 0 3 % of Total : 51,96 48,04 38,67 34,95 13,37 13,00 0,00 0,01

Annex 3

List of Villages Surveyed and Names of Respondents

Village selected for household survey and number of household selected Village S/No. District name Status No of household in each category Total Better off Medium Poor 1 Sangthong Nahoy Poor 93 33 2 Sangthong Houaykham Poor 8 4 4 3 Sangthong Phialat Better off 93 33 4 Sangthong Nasaonang Better off 93 33 5 Sangthong Koa Poor 83 23 6 Hinheup Naxam Better off 93 33 7 Hinheup Nathong Poor 8 4 4 8 Hinheup Souanemone Poor 93 33 9 Sangthong Khok He Poor 82 33 Total: 77 20 28 29 Source: District report 2004; GTZ-WSMC baseline information survey, November 2004: Village interviews Name of respondents

Village Name of HH Village Name of HH Village Name of HH Name Respondent Category Name Respondent Category Name Respondent Category Naxam Tham Poor Huaykham Khamman Medium Khok He Khaek Poor Phou Poor Singchan Medium Bounlap Poor Phon Poor Thaew Medium pao Poor Mon Medium Khao Medium Donh Medium Kheut Medium Mrs. Ian Poor khamphoi Medium khamthip Medium Khounphet Poor Sanit Medium Eun Better off Mrs.Ynaem Poor Oun Beeter off Bountheung Better off Seng Poor Phaeng Beeter off phet Better off Nathong Bounthan Medium Phialat Mang Poor Na Hoy Kongphai Poor Phonkham Medium Wai Poor sisongkham Poor Phom Medium Amphipon Poor Khounsy Medium Somtham Medium Lho Medium Daeng Medium Lhae Poor Om Medium Leung Medium Sing Poor Chai Medium Beeter Somphone off Lian Poor Seuth Better off Beeter Luat off Thong Poor Sone Better off Beeter Khoune off Koa Phan Poor Chantho Better off Na Saonang Won Poor Loang Poor Suanmone Doy Poor Heet Poor Waen Poor Pha Poor Bounpheng Poor Ynaeng Medium Chanthon Poor Thongdy Medium Out Medium Waat Medium Siphong Medium Bounchan Better off Pheng Noy Medium Thongdy 2 Medium Khian Better off Mrs. My Medium Khambon Better off Khong Better off Phommy Better off Lang Better off Khamlian Better off Vilay Better off Pheung Better off Source: GTZ-WSMC baseline information survey, November 2004.

Annex 4

Seasonal Calendar for Agricultural Activities

Month Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec

Activities

1. Wet rice cultivation

Ploughing and harrowing

Seed sowing

Transplanting

Weeding

Harvesting

2. Off-season rice cultivation

Ploughing and harrowing

Seed sowing

Transplanting

Weeding

Harvesting

3. Shifting cultivation

Bush and shrub cutting

Burning

Planting

Weeding

Harvesting 4. Home garden 5. Livestock

Annex 5

Indicators for Social Impact Monitoring

Links to Physical Topics resource MRC proposed Indicator Local Indicator at Pilot area level Namtone Pilot Area Infrastructur e Access to Basic Number and percent of Household according to development facilities wealth/Income categories: Better off: 632 (11.4%) Medium: 4357 (78.6%) Poor 558 (10.1%) Villages with road acccess (% of total within the observed area): Rain season: 88 Dry season: 100 Average No. of taxi trips to nearest main town: 4 Distance to nearest main town (km): 40-70 Distance from district centre to farthest villages (km): 24

Villages with acccess to electricity (% of total within the observed area): 67 Number of telephone : 44 Number of offices connected to internet service: 1 Average annual immigration to migration Ratio Demography Population growth rate ( during 5 years): 2.2 to 1 Birth rate Na Death rate (total): Na Total fertility rate (children born/woman): Na Death rate (infant < 2 years old): Na Net annual growth rate (%): Na Average annual overall growth rate (%): 0

Proportion of population with access to water; Prevelance of diarrhea; No. of malaria cases, severe and complicated; Percentage of household access to a more or Access to safe Proportion of population with access to less clean drinking water source by wealth Health water sanitary toilets. income categories: Better off: 100 Medium: 100 Poor: 100 Distance, Time spent by HH members Living Water collection to collect water; Quantity of water used Percentage of household access to piped water Condition and use per capita per day (separately for rural and urban villages ): Urban: 60 Rural: 0.02

Percentage of household using natural water source by wealth/income category: Better off: 10 Medium: 60 Poor: 8 Number of months with insufficeint water 5 Quantity of drinking water supplied by factory in the area Na Distance for HH members to collect water (km): 1 Time (Hour) spent by HH members to collect water: 0 Average annual immigration to migration Ratio ( during 5 years): 2.2 to 1 Birth rate Na Death rate (total): Na Total fertility rate (children born/woman): Na Death rate (infant < 2 years old): Na

Nutritional level Under-nurished children < 5 years old (%): 3%

Proportion of population with access to water; Prevelance of diarrhea; No. of malaria cases, severe and complicated; Water born Proportion of population with access to Percent of household having access to sanitary diseases sanitary toilets. toilet (Total and by wealth income categories): Total: 58 Better off: 98 Medium: 55 Poor: 38 Number of cases affected by diaahrea by wealth income categories: Na Number of cases affected by malaria by wealth income categories: Na Access to Number of population per medical and primary health care healthcare worker (all categories): 633 Percent of villages having drug revolving fund: 41 Percent of villages having village health volunteer: 80 Distance to nearest hospital of remotest villages (24): 24 Percent of drug addicts: Na Average household expenditure on medical treatment by wealth/income categories (in Kips and in % of total household spending): Better off: 1195100 (7%) Medium: 596000 (6%) Poor: 260000 (10%) Average annual quantity of waste disposed: Na Access to Literacy (from age 15 and above) in percent of education total population within category: 3.9 Illiteracy rate among Children below 15 (% of total population) : 0.1 Net primary enrollment: Na Access to Access to Proportion of population with access to Cultivated land area excluding shifting resources agriculture agricultural lands cultivation (percent of total land) 26.3

lands

Percentage of irrigated land (rain season): 4.3 Percentage of irrigated land (dry season): 2.1 Shifting cultivation (percent of total land): 6.8 Average yield by type of agricultural land (ton/ha): Rainfed lowland paddies: 2.7 Irrigated lowland paddies (dry season): 3.1 Shifting cultivation: 1.2 Access to Per capita fishery production (capture and aquatic Proportion of population with access to aquaculture) in (kg/year) resources aquatic resources 17.3

Access sources of fuel and Proportion of population with access to energy sources of energy Percent of population using fuel wood. 100 Firewood Distance and Time spent by HH collection and members to collect firewood; % of Distance for HH members to collect firewood use population using traditional fuels. (km): 1.6 Time spent by HH members to collect firewood (hour/stack of 1 cu.m): 4 Average annual quantity of fuelwood used per household category (stack of 1 cu.m): Better off: 10.4 Medium: 14.9 Poor: 13 Labour force participation in agriculture and fisheriess; % of irrigated area in Livelihood total cultivated area by wealth/income Percentage of labour force in agriculture (% of Livelihood activities categories; total population): 50 Percentage of labour force in fisheries by wealth income categories: Na

Percentage of labour force engaged in off farm activities as main occupation by wealth income categories: 7.4 Overall Poverty rate; poverty gap; GDP per Average annual household consumption by consumption capita ($); wealth income categories Income from Average annual household income by wealth land Share in GDP income categories (X 1000 kips): Better off: 58000 Medium: 33874 Poor: 13177 Average annual per capita income by wealth income categories (X 1000 kips): Better off: 8571 Medium: 4981 Poor: 2396

Income from Average per capita annual production value forest products (cash and non cash by wealth income and fisheries Share in GDP categories): Na Food security Rice sufficiency Per capita annual rice production (kg): 703 Period of rice sufficiency by wealth income by wealth income categories: Na Percentage of household with rice insufficiency: Na Households rendered homeless from Likelihood of floods/landslides per year by being victim of income/wealth quintiles; No. of deaths Households rendered homeless from disasters and from natural disasters by floods/landslides per year by income/wealth Vulnerability accidents income/wealth quintiles. quintiles; Na No. of deaths from natural disasters by income/wealth quintiles. Na Investment on flood control and natural calamities: Na Annual expenditure on maintenance of structures for natural calamities: Na

Adequacy of Institutional institutional Number of cases of illegal timber poaching per framework support year: 5 Total amount of fine and seizure per year (X 1000 kips): 5000 Number of cases of illegal wildlife poaching per year: Na Total amount of fine and seizure per year (X 1000 kips): Na Number of technical field staff at DAFO by sector MSc: 0 BSc: 0 Forestry (5); Agriculture (5); Animal husbandry Higher Diploma: (1); Irrigation (2). Medium Level Tschnician: Forestry (4) Lower Level Techinician: Number of technical field staff at District Land Office MSc: 0 BSc: 0 Higher Diploma: 0 Medium Level Tschnician: 8 Lower Level Techinician: 2

Empowerment Villages with production groups (% of total for self help villages): 12 Total funds available for credit per household (kips): 63000 Percent of households having access to credit : 26.7 Note: Suggested additional indicators are typed in italics

Annex 6

State Forest Classification

State forest categories in Sangthong district S.N Forest category Total area in Total area fallen in % fallen in Sangthong lower part of pilot lower part of district(ha) area (ha) pilot area

I. Conservation forest 13,287 13,260 29 1.1 Phou Phanang 6,601 6,601 1.2 Phou Kalai 1,370 1,370 1.3 Phou Kho 363 363 1.4 Phou Donho 203 203 1.5 Phou Phaduan 254 254 1.6 Phou Paa Taekha 4,469 4,469 1.7 Phou Paa Khaen 27 II. Protection forest 7,909 399 1 2.1 Nyod Houaytaen 197 197 2.2 Phou Takeup 114 114 2.3 Houay Xangpheuak 88 88 2.4 Houay Lha 7,510 III. Production forest 16,242 16,242 36 3.1 Phou Ngeun Phou kham 16,242 16,242 IV. Regenerating forest 3,625 3,625 8 4.1 Phou Nya xai 995 995 4.2 Haitai village 2,630 2,630 V. Degraded forest 2,865 2,865 6 5.1 Khoa village 2,865 2,865 VI. Faculty of Forestry forest 1,303 1,303 3 61 Natural forest management 401 401 62 Plantation forest 124 124 63 Species trials 279 279 64 Nam Ynong conservation forest 106 106 65 Phou Phaduan 396 393 Total 45,231 37,694 83 Source: Vientiane Municipality Forestry Office and FOF, 2000.

Annex 7

NWFP Collection in the Pilot Area

NTFP collected by villagers in the pilot area Month S/No Local name Sc. Name/common name Part collect. collect./duration Status 1 2 3 4 5 7 I. Rattan 1 Boon Deamonorops jenkinsiana Cane Year round Scarce 2 Thor Calamus solitarius Cane Year round Scarce 3 Nhea C. tenuis Cane Year round Scarce 4 Thun C. poilanei Cane and shoot Year round Very scarce 5 Nam luang C. rudentum Cane Year round Very scarce

II. Bamboo

Year round for culm, 1 Hia Cephalostachyum virgatum Culm and shoot July-Aug. for shoot Scarce 2 Xot Oxytenanthera parvifolia Culm and shoot as above 3 Lay Gigantochloa albociliata Culm July-Sept. Still abundant

Dendrocalamus Year round for culm, 4 Phang lonoifimbriatus Culm and shoot July-Aug. for shoot Scarce

Year round for culm, 5 Khao lam Cephalostachyum pergracile Culm and shoot July-Aug. for shoot Scarce

Phay paa Year round for culm, 6 (manhmoo) Bambusa arundiana Culm and shoot June-Sept. for shoot Scarce

Year round for culm, 7 May ko Bambusa sp. Culm and shoot June-Sept. for shoot Scarce

Year round for culm and 8 Ka sa Bambusa chunii Culm and shoot shoot

Year round for culm, 9 Phay ban Bambusa blumeana Culm and shoot June-Sept. for shoot Planted

Year round for culm, Planted in 10 Sang phay Dendrocalamus brandisii Culm and shoot June-Sept. for shoot home garden

Year round for culm, 11 Bong Bambusa multiplex, B. nutans Culm and shoot June-Sept. for shoot Scarce 12 May lo Dinochloa pendulus Culm Oct.-dec. Scarce

III. Bark 1 Sisiet Pentacmea burmanica Bark and timber scare 2 Puak bong Litsea kerrii Bark all year scare

3 Hat Artocarpus species generally Bark Year round Still abundant

IV. Fruit 1 Kham pheab Dialium indum Fruit March Scarce 2 Kheng Dialium cochinchinensis Fruit Feb. March Scarce 3 Khoo Livistona saribus Fruit and leaves Dec. Jan-Feb. Scarce 5 Kho some Scheleichera oleosa Fruit Oct.- Nov. Scarce 6 Kho len Xerospermum laoticum Fruit Nov.-Dec. Scarce 7 Kor Castanopsis sp. Fruit Nov.-Dec. Scarce 8 Linmay Oroxylum indicum Fruit and leaves Jul.-Dec. Still abundant 9 kharm porm Emblica officinalis Fruit Jan-Feb. Still abundant 10 Bok Irvingia malayana Fruit March-May Scarce 11 Fai Baccaurea sapida Fruit Jan-Feb. Scarce 12 Yang Bousigonia angustifolia Fruit Jan-March Scarce 13 Waa Eugenia cumini Fruit Jun-Aug Scarce 14 Tong Sandoricun indicum Fruit Jun-Aug Scarce

Root and V. Tubers 1 Man thien 2 Man luang 3 Man heup Dioscorea sp Tuber Oct.-Dec. Still abundant 4 Koy Dioscorea hispida Tuber Oct.-Dec. Still abundant VI. Muschroom 1 Het bot Lentinus kurzianus Year round 2 Hetpuak Termitomycetes apecies Jun-July Still abundant 3 Hou nou Auricularia polytricha Jun-Sept. Still abundant 4 Het khao Lentinus sp Jun-July Still abundant 6 Het nam mak Lagenaria siceraria Jun-July Still abundant 7 Het pho Astraeus hygrometrivus Jun-July Still abundant VII Medicinal plants Stem and 1 kem ont Achyranthes bidentata leaves Year round Abundant 2 Saphangdeng Ceasalpinia sappan wood Year round Abundant 3 Kham pha ma Saraca declinata Whole plant Year round Abundant 4 En a khua Ipomoea mauriliana Whole plant Year round Abundant 5 Kua muai Gnetum latifolium Whole plant Year round Rare 6 Kua khao ho Tinospora crispa Whole plant Year round Abundant 7 Kua pao luat Stephania longa Whole plant Year round Abundant 8 Mouk kua Jasminum sp Whole plant Year round Abundant 9 Bee khon khone Micromelum hirsutum Whole plant Year round Rare 10 Song pha Clausena sp Root Year round Rare 11 Phen din yen Scoparia dulcis Root Year round Rare 12 Kon tha Harrisonia perfolata Root Year round Rare 13 Ya hua Smilax megalanthera Root Year round Rare 14 Hea nok kho Helicteres glabriuscula Root Year round Rare 15 neng deang Amomum ovoideum Fruit Aug-Sept Abundant 16 neng khiew A. villosum Fruit Aug-Sept Abundant

17 khua hem Berberin vine Whole plant Year round Rare VIII Wildlife 1 Kay Khoa Wild fowl Very rare 2 Mou pa Wild pig Rare 3 Kuang Deer Very rare 4 Phan Barking deer Very rare 5 Kahok Squirrel Rare 6 Nok Birds Extinct 7 Len Monitor Very rare 8 Kapom camelon lezard Rare 9 Nou Rat Abundant 10 Ling Monkey Very rare 1 group of 45 11 Xang Elephant individuals 12 Ngou Different species of snakes Rare IX Insect 1 Chilo/Chinai Criket Aug.-Oct. Abundant 2 To/ten Beetles April-Jun Rare 3 Pheung Honey/bees April-Jun Rare 4 Red ant Feb.-April Abundant Sources: (1) Khamleck XAYDALA, October, 2003. Inventory of the Edible Forest Product in Sangthong District, Vientiane Municipality. (2) ASEAN Regional Center for Biodiversity Conservation, RE-LAO-002. (3) Final report on Botanical survey of National Biodiversity Conservation Areas in Lao PDR (April 2001) of the ForestryResearch Centre.

Annex 8

Fish and Aquatic Species found in the Pilot Area

Fish and Aquatic species found in pilot area Fish

S/No Local name Sc. Name/common name Status 1 Pa Khor Channa striata (snakehead) Still abundant 2 Pa Dook Claria batracus (catfish) Still abundant 3 Pa Kod Hemibagrus nemurus Still abundant Pa Kha 4 nheang Mystus singaringan Still abundant 5 Pa Pak Barbodes gonionotus (barbodes/puntius) Still abundant 6 Pa Lot Macrognathus siamensis Still abundant 7 Pa Lat Mastacembelus armatus Still abundant 8 Pa Ka thong Xenentodon sp. Still abundant 9 Pa Siew Opsarius pulchelus (rasbora spp) Still abundant 10 Pa Ka deut Trichogaster trichopterus Still abundant 11 Pa Khop Belodontichthys Very rare 12 Pa Sood Hampala dispar Very rare 13 Pa Tong na Notopterus notopterus Rare 14 Pa Tong kai Chtala blanci Very rare 15 Pa Do Channa micropentes Very rare 16 Pa Pao Tetraodon spp. Very rare 17 Pa Lang Khon Labiobarbus leptocheilus Very rare 18 Pa Soi Henicorhynchus spp. Extinct 19 Pa Khae Bagarius yarrelli Extinct 20 Pa Xeum Ompok bimaculatus Very rare 21 Pa Menh Osphronemus exodon Very rare 22 Pa Sua Coius undecimraditus Very rare 23 Pa kheng Anabas testudineus Abundant Other aquatic animals and Amphibians 1 Kop Frog Getting rare 2 Khiet Frog (small) Still abundant 3 Kapou Crabs Still abundant 4 Hoi Snail Still abundant 5 Kung Macrobrachium (srimp) Still abundant 6 Ian Swamp eel Getting rare 7 Tao Tortoise Rare 8 Pa Faa orng Pelochelys cantori Very rare Source: GTZ-WSMC baseline information survey, November 2004: Village interview

Annex 9

Map Atlas

[maps have been removed from this Internet download version]