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Securing the Future Managing Risk and Building Resilience Within Locally Controlled Forest Businesses

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Securing the Future Managing Risk and Building Resilience Within Locally Controlled Forest Businesses Securing the future Managing risk and building resilience within locally controlled forest businesses Editors: Anna Bolin and Duncan Macqueen Securing the future Managing risk and building resilience within locally controlled forest businesses Edited by Anna Bolin and Duncan Macqueen About the editors Anna Bolin, researcher, Forest Team, Natural Resources Group, IIED. See www.iied.org/users/anna-bolin Duncan Macqueen, principal researcher, Forest Team, Natural Resources Group, IIED. See www.iied.org/users/duncan-macqueen Produced by IIED’s Natural Resources Group The aim of the Natural Resources Group is to build partnerships, capacity and wise decision- making for fair and sustainable use of natural resources. Our priority in pursuing this purpose is on local control and management of natural resources and other ecosystems. Published by IIED, March 2016 Bolin, A. and Macqueen, D. (eds.) (2016) Securing the future: Managing risk and building resilience within locally controlled forest businesses. IIED, London. See: http://pubs.iied.org/13587IIED Design by: Eileen Higgins, email: [email protected] Copyediting by: Holly Ashley, email: [email protected] Cover photo: Honey collection, Mondulkiri Forest Venture, Cambodia © Mr. Khorn Sophoeun/WWF Cambodia Printed by Full Spectrum Print Media, UK on 100% recycled paper using vegetable oil based ink. International Institute for Environment and Development (IIED) 80-86 Gray’s Inn Road, London WC1X 8NH Tel: +44 (0)20 3463 7399 Fax: +44 (0)20 3514 9055 Email: [email protected] www.iied.org @IIED www.facebook.com/theIIED Download more publications at www.iied.org/pubs Contents Acronyms, initials and abbreviations iv Acknowledgements vii Executive summary ix 1. The importance of risk management for locally controlled forest businesses 1 by Anna Bolin and Duncan Macqueen 2. Cambodia: Mondulkiri Forest Venture 19 Improving the livelihoods of forest-dwelling communities by Emmanuelle Andaya 3. Ecuador: Allpabambu 45 A family bamboo enterprise by Shoana Humphries and Alvaro Cabrera 4. Ecuador: Asociación Rio 7 63 Plantation workers become owners of a bamboo enterprise by Shoana Humphries and Alvaro Cabrera 5. Guatemala: Fedecovera forestry division (Federación de Cooperativas de las Verapaces) 79 Uniting small-scale producers by Juan José Ochaeta Castellanos 6. Guatemala: Impulsores Suchitecos del Desarrollo Integral, Sociedad Civil (Suchitecos) 101 A community forest enterprise in the Maya Biosphere Reserve by Juan José Ochaeta Castellanos 7. Kenya: Kisii Tree Planters’ Association (KTPA) 123 A youth group association by Cyrus Muthui Kilonzi and Wycliff Omondi Obuola 8. Kenya: South Coast Forest Owners Association (SCOFOA) 147 Making forest farmers stronger together by Cyrus Muthui Kilonzi and Wycliff Omondi Obuola 9. Vietnam: Association of Quang Tri Smallholder Forest Certification Groups (AQTSFCG) 173 Sharing risks, shaping solutions and sharing benefits by Ton That Minh Khanh and Emmanuelle Andaya 10. Conclusions on how to build resilience within locally controlled forest 197 businesses through proactive risk management by Anna Bolin and Duncan Macqueen References 217 www.iied.org ii List of boxes, figures and tables Box 1.1 Participatory action research Box 5.1 Investing in local development initiatives Box 6.1 Forest conservation in the Maya Biosphere Reserve Figure 1.1 Indirect and direct influences on the business environment Figure 2.1 MFV business structure Figure 2.2 MFV value-chain map for NTFP products Figure 3.1 Map of the location of Allpabambu’s office Figure 3.2 A diagram of the common commercial sections of a bamboo cane Figure 3.3 Value chain for Allpabambu for the export of bamboo canes to the US Figure 4.1 Map of the study area Figure 4.2 Value chain for the bamboo enterprise to be taken over by Asociación Rio 7 Figure 5.1 Fedecovera’s business structure Figure 5.2 Fedecovera’s forestry value chain Figure 6.1 Map of wildlife conservation areas in the Maya Biosphere Reserve Figure 6.2 Suchiteco’s business structure Figure 6.3 Suchiteco’s value-chain map Figure 7.1 Map of Kisii County showing the sites visited for the study Figure 7.2 KTPA’s business structure Figure 7.3 KTPA’s value-chain map Figure 8.1 SCOFOA’s business structure Figure 8.2 Map of Kwale County showing the sites visited for the study Figure 8.3 SCOFOA’s value-chain map Figure 9.1 AQTSFCG business structure Figure 9.2 AQTSFCG value-chain map for timber products Table 1.1 Proposed framework for risk self-assessment of locally controlled forest business Table 1.2 Example of summary table for risk categories and options to reduce risk Table 1.3 Structure of the case studies Table 1.4 Summary of case studies presented in this book Table 2.1 Summary of risks identified by community enterprise members Table 2.2 Solutions to reduce risk for MFV Table 3.1 Summary of risks identified by Allpabambu Table 3.2 Risk-management options for Allpabambu Table 3.3 Solutions to reduce risk for Allpabambu Table 4.1 Summary of risks identified by Asociación Rio 7 Table 4.2 Risk-management options for Asociación Rio 7 Table 4.3 Solutions to reduce risk for Asociación Rio 7 iiii www.iied.org Table 5.1 Summary of risks identified by Fedecovera’s forestry division Table 5.2 Risk-management options for Fedecovera’s forestry division Table 5.3 Solutions to reduce risk for Fedecovera’s forestry division Table 6.1 Summary of risks identified by Suchitecos Table 6.2 Risk-management options for Suchitecos Table 6.3 Solutions to reduce risk for Suchitecos Table 7.1 Summary of risks identified by KTPA Table 7.2 Risk-management options for KTPA Table 7.3 Solutions to reduce risk for KTPA Table 8.1 Summary of risks identified by SCOFOA Table 8.2 Risk-management options for SCOFOA Table 8.3 Solutions to reduce risk for SCOFOA Table 9.1 Woodchip and FSC-certified timber: profit and loss analysis (ha/VND) Table 9.2 Summary of risks identified by AQTSFCG Table 9.3 Solutions to reduce risk for AQTSFCG Table 10.1 Summary of main risk and risk-management options www.iied.org iiiiii Acronyms, initials and abbreviations AB Allpabambu, Ecuador ACOFOP Association of Forest Communities of Petén (Asociación de Comunidades Forestales de Petén) AGEXPORT Guatemalan Association of Exporters (Asociación Guatemalteca de Exportadores) Agrocalidad Agency for Agro Quality Assurance (Agencia Ecuatoriana de Aseguramiento de la Calidad del Agro), Ecuador Alianza National Alliance of Forest Communities (Alianza Nacional de Organizaciones Forestales Comunitarias), Guatemala AmCham American Chamber of Commerce Anacafé Guatemalan National Coffee Association (Asociación Nacional del Café de Guatemala) APROGUADUA Bamboo Producers Association (Asociación de Productores de Guadúa), Ecuador AQTSFCG Association of Quang Tri Smallholder Forest Certificate Groups, Vietnam ASSIST Asia Society for Social Improvement and Sustainable Transformation Banrural Rural Development Bank (Banco de Desarrollo Rural), Guatemala BGV Bambusa Global Ventures CATIE Tropical Agricultural Research and Higher Education Centre (Centro Agronómico Tropical de Investigación y Enseñanza) CBHE Cambodia Federation for Bee Conservation and Community-Based Honey Enterprises CCF Community conservation forestry area, Cambodia CEDAC Center for Study and Development in Agriculture, Cambodia CF Community forest/community forestry CFA Community forest agreement, Cambodia CFAs Community forest associations CHF Swiss franc CoC Chain of custody CONAP National Council of Protected Areas (Consejo Nacional de Áreas Protegidas), Guatemala CONFECOOP Confederation of Cooperatives (Confederación de Cooperativas), Guatemala CPA Community protected areas, Cambodia EC European Commission EIA Environmental impact assessment EII Earth Innovation Institute ELC Economic land concessions, Cambodia EMCA Environmental Management and Coordination Act, Kenya FA Forestry Administration, Cambodia FAN Forest Action Network, Kenya FAO Food and Agriculture Organization of the United Nations Fedecovera Federation of Cooperatives of the Verapaces (Federación de Cooperativas de las Verapaces), Guatemala FFF Forest and Farm Facility FF-SPAK Farm Forestry Smallholder Producers Association of Kenya FLEGT Forest law enforcement, governance and trade FSC Forest Stewardship Council GAP Good agricultural practice GDP Gross domestic product ICC International Cooperation of Cambodia iviv www.iied.org ICT Information and communications technology IIED International Institute for Environment and Development IESS Ecuadorian Institute of Social Security (Instituto Ecuatoriano de Seguridad Social) INACOP National Institute of Cooperatives (Instituto Nacional de Cooperativas), Guatemala INAB National Institute of Forests (Instituto Nacional de Bosques), Guatemala INBAR International Network for Bamboo and Rattan INE National Statistical Institute (Instituto Nacional de Estadística), Guatemala IUCN International Union for Conservation of Nature KEBS Kenya Bureau of Standards KEFRI Kenya Forest Research Institute KES Kenyan shilling KFS Kenya Forest Service KHR Cambodian riel KPLC Kenya Power and Lighting Company KTDA Kenya Tea Development Agency KTPA Kisii Tree Planters’ Association KWS Kenya Wildlife Service LCFB Locally controlled forestry business M&E Monitoring and evaluation MA&D Market analysis and development MAE Ministry of Environment (Ministerio del Ambiente), Ecuador MAFF Ministry of Agriculture, Forestry and Fisheries, Cambodia MAGAP Ministry of Agriculture, Livestock, Aquaculture and Fisheries (Ministerio de Agricultura, Ganadería,
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