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World Bank Document ReportNo. 12874-IND Indonesia ImpactEvaluation Report lransmigration I (Ln.1318-IND) Transmigration11 (Ln.1 707/Cr.0919-IND) TransmigrationIII (Ln.2248-IND) Public Disclosure Authorized March22, 1994 OperationsEvaluation Departmnent FOR OFFICIALUSE ONLY Public Disclosure Authorized Public Disclosure Authorized MICROGRAPHICS Report No: 12874 IND Type: IER Documentof theWorld Bank Public Disclosure Authorized Thisdocument has a restricteddistribution and may be used by recipients only in theperformance of their official duties. Its contents may not otherwise be disclosedwithout World Bank authorization V - CURRENCYEQU1VALENIS (1992) US$1.00 Ruplah(Rp) 1.950 Rp I million = US$513 ACRONYMS,ABBREVIAIONS AND LOCALTRMS AARD - Agencyfor A£ricufturalResearch and Development Bangda - DirectorateGeneral of RegionalDevelopment BAPPENAs - ProvincialPlanning Agencies CRIA - Centerfor ResearchIn Agriculture DGE - DirectorateGeneral of Est. s DGFC - DirectorateGeneral of Food Crops FAO - Food and AgricuHtreOrganIation Gabah - Unmilledrice GOI - Governmentof Indonesia IFAD - internationalFund for AgriculturalDevelopment Inner Islands - Java, Madura,Ball and Lombok JMT - Junior Ministerfor Transmigration Kabupaten - District IUCN - internationalUnion for Conservationof Natureand NaturalResources MOA Ministryof Agriculture MOF - Ministryof Forestry MOT Ministryof Transmigration MOH Ministryof Health OED - OperationsEvaluation Department OuterIslands Sumatra,Kaiimantan, Sulawesi, Irlan Jaya and a number of smallIslands PAR PerformanceAudit Report PCR ProjectCompletion Report PIR - Domesticallyfinance estate projects PMU - ProjectManagement Unit, provides Inputsand labor compensationto farmers PRPTE - Govemment-financedtree crop developmentprogram PTP - Publiclyowned estate Repelita - Fivs-yeardevelopment plan SAR StaffAppraisal Report SRDP - SmaliholderRubber Development Project TSP - TripleSuperphosphate UNDP - United NationsDevelopment Programme WWF - World Wildlie Fund GOVERNMEWOF IN1ONESIA FISCALYEAR April 1 - March31 WEIGHTAND MEASURES 1 kilometer(km) 0.62 miles (mi) 1 square kilometer( = 100ha = 0.39 mP I hectare (lta) .47 acres (ac) 1 kilogram(kg) = 2.2 pounds (lib) 1 metricton (t) = 2,206pounds FOROFFICIAL USE ONLY THEWORLD BANK Washington,D.C. 20433 U.S.A Offic, OfOtlretor4,neral OpewalonsEvaluation March 22, 1994 MEMORANDUMTO THE EXECUTIVEDIRECTORS AND THE PRESIDENT SUBJECT:Impact Evaluation on MINONESIA TransmigrationI (Ln.1813-IND), TransmigrationII (Ln.l707/Cr.919-rND)and Transmizrationm (Ln.2248-IND) Attachedis the ImpactEvaluation on INDONESIA- TransmigrationI (Ln.1813-IND), TransmigrationII (Loan 1707/Credit919-IND) and Transmigrationm (Loan 2248-IND) prepared by the OperationsEvaluation Department. Attachment Tnisdocument has a restricteddistribution and may be used by recipientsonly In the petformance of theirofficial duies. Its contentsmay not otherwise be disclosed wihout World Bank authoriation. FOR OFFICIAL USE ONLY IMPACrEVALUATION INDONESIA TRANSMIGRATIONI (LA.1318-IND) TRANSMIGRATIONII (L.1707/Cr.0919-lND) TRANSMIGRATIONi1 (LuM48-IND) TABLEOF CONTENTS Page No. Preface . ......................................................i BasicData ................................... .................. iii Executive Summary... 1. Backgound .................... ...........................1 A. Historyof Transmigration. .......................... B. The Proe%cts. .......................... 2 .L The Trausmiagtion Sites .. 7 A. Location. 7 B. Topography. 7 C. SoilsandSoil Fertllity. 8 D. Surveys. 8 K Land Clearing .9 F. Water and Water Qualty. 9 G. Fuelwood .10 H. Roas .10 L Conclusion.10 M. The Transmgration Vllage. 11 A. Size and Population .11 B. Social Infrastructure.12 C. InstitutionalInfastructure .14 D. Socio-culturalRelations .15 E. Conclusion ........... 16 IV. The TransmtgratFamily .. 17 A. Origin of Settlers .17 B. Land Tenure .17 C. Income .18 D. Standard of Living .24 E. Conclusion.26 V. Agricultural Development .. 27 A. Land Allocationand Use ...... 27 B. Tree Crops .30 C. FoodCrops .34 D. Livestock.40 E. Sustainabsity.40 F. EconomicAnalysis .41 G. Conclusion.42 Vi. The Regionaland National Aspects .. 43 A. Regional Development .43 B. IndigenousPeople .45 C. Environment.46 D. Conclusion.49 This documenthas a restricteddistrbution and maybe usedby recipientsonly in the performanoeof their Iofficialduties. Its contents may nototherwise be disclosedwithout World Bank authodzation. I Page No. Annex I (Tables) 1. Population (By Sex and Religion) ................................... 51 2. Education .52 3. Educational Facilities .53 4. Settler Perception of FamilyPlanning and Health Care Services .54 5a. Percentage of FamiliesSurveyed Who Have Suffered from Malaria .55 Sb. Families in which Members have suffered Illnesses other than Malaria 56 6. Number of Respondents using Village Cooperative ..... 57 7. Identity of Survey Respondents .58 8. Average Ages and Education Levels .59 9. Migration of Second Generation .................................... 60 10. Survey Respondents who have not received Land Certificates .61 11. Average FamilyIncomes Compared to Incomc BenchmrE-.ks. 62 12a. Unearned Incomes .62 12b. Off Farm and Unearned Income Sources per Family.64 12c. Averagc Off Farm Incomes ....................................... 65 13. Home Improvements.66 14. Percentage of Families Owning Material Goods .67 15. Level of Satisfaction Among Sponsored Transmigrants .68 16. Level of Satisfaction Among Spontaneous Tramsmigrants.69 17. Respondents Perception of the Future .70 18. Land Utilization .71 19. Land Use Types .72 20. Food Crop Yields ...................................... 73 21a. Tree Crop Yields and Farmgate Prices .74 21b. FamilyLabor Days in Food Crop Production .75 21c. Non Family Labor Days in Food Crop Production .76 22. Capital Invest in Livestock .... ................................... 77 23. Wood and Fodder .78 24. Transmigration I - Economic Rate of Return Calculation .79 25. Transmigration II - Econom;c Rate of Return Calculation.83 26. Transmigration IH - Economic Rate of Retur Calculation .85 Annex II Socioeconomic Survey of Transmigrats:Methodology .88 Annex III 1. Comments received from the Department of Transmigration.89 2. Comments received from PT Kresna Duta Agroindo .91 3. Comments received from PT Sari Aditya Loka .93 Maps: IBRD 25113, 25114 Figure in Text 4.1 FamilyIncome and Poverty Level .19 Tables in Text 2.1 Transmigration Sites and Areas. 7 4.1 Average FamilyIncome and Poverty Levels, 1992 .18 4.2 Average Annual Income, 1992.20 4.3 Distribution of the Average net Agricultural Incomes, 1992.21 4.4 Off-Farm Incomes, 1992 .22 4 5 Percentage of Families Owning Durables Goods .25 5.1 Allocation (ha) and Utilization (%) of Land .27 5.2 Crop Patterns .29 5.3 Cropping Intensities and Yields .34 5.4 Labor in Food Crop Framing ........................ , .... 38 5.5 Economic Rates of Return .41 -i- IACI EVALUATION INDONESIA TRANSMIGRATIONI (Lu.1318-IND) TRANSMIGRATIONU L1707/Cr.0919-IND) TRANSMIGRATIONm (Ln=48-IND) PREFACE The TransmigrationProgram is complexand controversial and has been undertaken for many reasons, prime amongst which has been to redress the inequitable distribution of resources and population in Indonesia. The program is also an instrument to harmonize a society which is ethnically,culturally and religiouslydiverse. These implicit geo-political objectives also need to be recognized when assessingthe transmigrationprojects. OED audited the first project' in 1984 and a cluster of four projects in 1 99 1b In preparation for the latter, it was concluded that an audit was not an adequate instrument to review those elements of the projects which have been the most controversial, both within the Bank and in the international community. Critics have argued that considerable resources have been wasted in settling people who have not progressed beyond subsistence level, and with significantdamage to the environment - including loss of rainforest and wildlife, topsoils, and with major disruptioil to tribal peoples. Accordingly,it was decided that the technical and institutional effects of these Bank- supported projects would be evaluated by the cluster audit, and that the social,environmental and economic impact would be assessed by an impact evaluation, drawing upon a socio-economicsurvey, with detailed treatment of environmental issues and re-stimating the economic rates of return. Overall findings of both audit reports and this impact evaluation will be combined in an Overview which will summarize OED findings with respect to Bank-financed projects in support of the transmigration program. This Impact Evaluation Report covers the first three Bank-supported transmigration projects. Thus, the projects evaluated here constitute only a small part of the Indonesian transmigration program as a whole. The evaluation draws on a socioeconomicsurvey specially commissionedby OED and carried out by Ms. Gillian Brovn and Mr. Hamid Ahmad, under the leadership of Mr. WilliamCollier, all of PT INTERSYS Kelola Maju. The survey was undertaken between 1992-93. The survey comprised structured interviewsof 300 familiesin 15 villages,stratified by sponsored and spontaneous settlers and supplemented with group discussions and unstructured interviews with village leaders in each village. The methodologyand main results of the survey are contained in an annex to this report. a PerformanceAudit Report: Indonesia - Transmigration I (Ln.13184iND).OED Report No.5157. June 25, 1984. b PerformanceAudit Report: Indonesia -
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