This is the third issue of the Nepal NTFP Network (NNN) Newsletter and the first inaugural issue under the newsletter's new name Himalayan Bioresources. The network continues to expand its scope of activities (see Network Updates) and we are all proud to see such a breadth and depth of NTFP-related activities taking place in Nepal and the rich exchange of experiences and ideas that are being shared through the NNN. Himalayan Bioresources will be published twice a year and will cover a variety of NTFP issues including, but not limited to, sustainable harvesting, marketing, forest user groups, enterprise development, sustainable use strategies, plant profiles and new information on NTFPs.
In this issue, we have reports on field initiatives from five areas of Nepal (Humla, Koshi Hills, Dolakha, Ramechhap, and Bajura). Some groups are just embarking on their activities while others have years of work completed. The spectrum should be interesting and useful to other groups and assisting organizations as they can see through the stages of development and the progress that is possible. The newsletter will also provide "implementation tools". These are methodologies, biological study results, policies explained, and how to articles. Our regular features plant/product profile; network updates; workshops, meetings and trainings; and publications & reports are also loaded with interesting information.
Nepal Non-Timber Forest Products Network (NNN), established in 1995 is the first forum in Nepal that brings together community, business, environmental and government representatives to discuss and work together for promoting sustainable use and management of NTFP resources. The Network is coordinated by ANSAB and has been conducting several activities to achieve its objectives. It has successfully provided support services to various groups and individuals interested in NTFPs. A sample of past activities include:
By Bhishma Subedi1 & Ann Koontz2
Too often the amount harvested becomes the primary focus of extraction permits and resource management plans at the expense of timing and methods of harvest. Our biological monitoring studies in Humla revealed that the main commercial NTFPs were actually found in large quantities and less than one percent of the available stock had been harvested each year.
When further investigated it was found that the most accessible areas were coming under pressure, but more because of inappropriate methods and season of harvest. The method of extraction was by far more critical than the amount harvested. Regeneration studies that documented the optimal harvesting conditions were then examined and are being shared with the collectors. This will allow the collectors to maintain the biological health of the more accessible areas.
A summary of the recommended optimal harvesting practices for selected NTFPs as determined from the biological field research and studies completed in Humla is presented in Table 1.
Table 1. Recommended Optimal Harvesting Practices for Sustainable NTFP Use
Plant Species and Parts Harvested Optimal Harvest Season Optimal Rotational Interval Optimal percentage of plants not harvested Optimal Harvesting Method Jatamansi (rhizomes) Fall 5 years 20% plants undisturbed Whole plants pulled from bushy areas and dug out carefully with prescribed tool (kuto) from open grasslands Kutki (rhizomes and roots) Fall 3-5 years 20% of plants undisturbed Plant is dug out with kuto or hand picked if rhizome is long Sunpati (leaves) ? 1 year 30% of leaves left on plant Leaves handpicked or cut with scissors The time of year the product is harvested also impacts on its ability to regenerate, but as Box 1 (the case of Jatamansi) highlights, this is much more difficult (though not impossible) for the collectors to change.
Box 1: Reconciling Social Factors with Ecological Factors the Case of Jatamansi
When is Best to Harvest Jatamansi?
Jatamansi is dormant from late Autumn until early Summer. During the Winter, plants are covered in snow, making harvest impractical. The plants sprout in early Summer, after the Winter snow melts, and grow until Autumn. The social and ecological effects of Autumn (mid-October to mid-December) versus Summer (mid-May to mid-July) harvesting were examined to determine when it is best to harvest Jatamansi. Both seasons are similar in terms of spare time available to the collectors.
From the collectors point of view, Summer is comfortable weather for harvesting work. Whole roots can be pulled up easily from the moist and less compact soil during Summer. During Autumn, the soil is very hard due to freezing and it is difficult to pull out the roots. The collection of Jatamansi is a hardship on collectors during cold weather. There is also a high risk that collectors may have to return empty handed if snow falls early.
As it is easy to pull or dig up the plants during Summer, collectors have a tendency to harvest a higher percentage of plants at this time. Loosening of soil surface and the trampling damage by the grazing animals after Summer harvests also accelerate soil erosion during the rainy season. Harvesting in Summer is also detrimental to the remaining plants and propagules as most of them decay after the harvest during the rainy season. Finally when Jatamansi is harvested during the beginning of its growing season (Summer), its annual yield is reduced.
The quality of Jatamansi harvested in Autumn was found to be better than that harvested in Summer. The Jatamansi harvested in Autumn has a low moisture content, is less likely to be damaged by fungi and other factors, and produces heavier high quality essential oils. The Jatamansi harvested in Summer contains high moisture, is likely to be damaged by fungi, and produces poor quality essential oils. Therefore, Autumn is recommended as a more appropriate season of harvesting from the biological point of view.
Appreciating the tradeoffs that must be made between the social and ecological factors, the method of harvesting and other management considerations (e.g. grazing practices, burning, etc.) is important when devising management plans.
1 Mr. Subedi is Coordinator of ANSAB
2 Ms. Ann Koontz is Commodity Director (Natural Products) of Enterprise Works Worldwide,
e-mail:[email protected] An Innovative Approach to Sustainable Use of in situ Biodiversity: Highland Non-Timber Forest Products and Forest User Groups in Humla, Nepal
By Bhishma Subedi Introduction
An innovative approach of establishing a system of sustainable use of in situ biological resources for the benefit of local people was designed and implemented in Humla. Initiated in January 1995, this was a four-year project funded by US Agency for International Development, and Biodiversity Conservation Network (BCN), a program developed by the Biodiversity Support Program (BSP). The Project was implemented by Asia Network for Small Scale Bioresources (ANSAB), Appropriate Technology International (now called EnterpriseWorks Worldwide), Humla Conservation and Development Association (HCDA), and the people of Humla. This paper summarizes the initial situation analysis, approach and strategies followed, and conservation and socio-economic impacts of the project.
The Location
Situated in the high mountains and Himalaya of the Northwest corner of Nepal, Humla is one of the most remote and neglected districts of Nepal. Humla lies between the distinct botanical regions of the Eastern and Western Himalaya. Its geography, remoteness and isolation have created a region of high floral diversity, with distinctive vegetation, including many internationally traded plant species.
Biological Resources and their Significance
The main biological resources used in the project area are forests and alpine grasslands. The project's more than 51,000 hectares of forest, scrub and grassland, representing almost three-fifths of the total land area, are the natural habitats for about 1,500 species of plants. These resources not only fulfill the subsistence needs of the local people but also help them generate cash income. These resources provide trees, shrubs, herbs and a variety of products from them - timber for building houses, wood for making agricultural tools and implements, fuel-wood for cooking and heating, fodder for animals, and a variety of non-timber forest products (NTFPs) for medicine and trade. For local people, NTFPs are found to be more valuable than timber products from an economic as well as cultural point of view.
Develop local capacity to harvest, process, and market NTFPs combining indigenous knowledge with external expertise.
Internal and External Threats to Biological Diversity
Our assessment in 1995 revealed that the complex ecosystem of Humla is threatened by over-harvesting of commercial plant species as well as overgrazing, slash-and-burn farming, uncontrolled burning of pasture and forests, and unmanaged harvesting of timber, fuel wood and fodder. These practices were the results of several socioeconomic factors such as poverty, immediate cash needs of local people, lack of alternative income generating opportunities, defective property rights, lack of incentive for conservation, limited knowledge on conservation, and increasing market demand for these products.
Challenges and Opportunities
The main challenges for the sustainable use of in situ biodiversity identified fall under (a) policy, regulation and practices, (b) market system and marketing support services, and (c) science and technology. After the analysis of these challenges and opportunities we concluded that proper support to forest user groups (FUGs) in including NTFPs in the management plans for the management, harvest and sale, along with the establishment of enterprises that use these products, can achieve the broad objectives of community development, income generation to rural poor, and conservation of biodiversity. It was expected that the additional benefits from the biodiversity resources will provide an incentive to local communities to identify and take action against both internal and external threats to biodiversity.
Approach and Strategies
With the clear objective of creating conservation incentives for our approach was participatory, flexible and innovative. The main strategic actions undertaken together with local people and other stakeholders (not necessarily in an order of time or importance) include:
*Use enterprise as a key entry point to provide an opportunity so that local people see tangible value of biodiversity and realize threats to local biodiversity
* Build local capacity by organizing and supporting local community based organizations
* Help institutionalize local biological resource management and conservation practices under Nepal's community forestry policy, legislation, and procedure
* Facilitate FUGs in selecting best management practices offering a range of options to choose from
* Provide innovative community resource mapping and conflict resolution skills
*Integrate conservation education programs with the conservation activities
* Provide market and business support services
* Integrate participatory monitoring with conservation and enterprise activities
* Establish linkages and coordination among FUGs
* Get support from national level forum for policy formulation and implementation
Conservation Impacts
We have achieved several levels of conservation impacts as well as developed a methodology for determining sustainable NTFP harvesting practices that take into account time of harvest, amount harvested, and method of harvest. The conservation impacts documented through the biological study include:
a. Area Brought Under Improved Management
Before the project there were no community FUGs in Humla. Within the project area, 24 FUGs, representing 1,966 households were formed. Nineteen of these FUGs now formally manage over 10,000 ha of forest and pastureland in the project area. It is important to note that the enterprise activities of the project were a key entry point that rallied the community members and collector groups to become organized into FUGs as well as actively participate in the conservation activities.
The Humla FUG development process was also the first in Nepal to include NTFPs in forest management plans. While there are 7,000 FUGs nationwide in Nepal, the management plans focus on timber, even though NTFPs were of much greater commercial value to most communities. The project has also encouraged FUG formation in non-project areas of Humla. There are 15 FUGs outside the project area, making a total of 39 FUGs for the entire district of Humla.
b. Threat Reduction
Communities and project staff estimated 54% of threats have been mitigated during the project period using the same criteria from the baseline study. These criteria reflect the change in area being threatened as well as the intensity of the threat.
c. Documentation of Sustainable Harvesting Practices
While the detailed biological studies and documentation for sustainable harvesting practices have been done for selected commercial NTFPs, the methodology is now tested and documented so that it can more easily be done for other products. Another important aspect of the documentation on sustainable harvesting practices is the emphasis on methods and timing of extraction. Previous emphasis was on amount harvested. But the monitoring result shows that the amount harvested was not the most critical factor in instituting sustainable harvesting practices.
d. Adoption of Conservation Practices
There have been several promising trends in the area of adoption of conservation practices. Since these practices are new to the communities, we are not yet able to provide quantitative environmental impacts that are tied to the practices. Yet we are encouraged that the following sustainable practices have been adopted by some villages in the project area with positive economic and environmental results.
1. Reduced pasture burning in the major NTFP collection areas.
2. Implementation of rotational harvesting and enforcement of group collection practices at the village level.
3. Institutionalization of rules and regulations and effective policing by FUGs.
e. Initiation of biological and social monitoring of harvesting practices by FUGs
These experiences serve as solid models for other communities and we would expect to see more communities adopting the conservation practices in the future. The main vehicle for communicating the conservation practices was the integrated conservation.
education and training through literacy programs and specialized conservation publications. As a result, local communities have adopted several conservation practices. From the socio-economic monitoring we found that adult literacy increased by 47% in the project area because of these classes. This increased literacy along with community led adoption should make expansion of the conservation practices easier in the future.
f. Socio-Economic Impacts
Local capacity for conservation and development activities has increased with the formation of FUGs, their federation and other local organizations. This has been strengthened with the increased literacy and conservation awareness.
With the establishment of a community owned processing company, the collectors price of a commercially valuable plant (Jatamansi) doubled without any change in the existing market price and demand. The total collectors' annual income from NTFPs tripled from Rs 2,665,436 (US $39,783) to Rs 10,096,725 (US $150,697). This mechanism provided equitable returns to local community groups and hence incentives for conserving the resource base.
The FUGs that have had forest areas formally handed over to them now receive royalties on the NTFPs that are collected from their forests. Previously these royalty payments went to the government. The FUGs of Humla collected a total of Rs 2,187,314 (US $32,646) for the last three years ending 1998.
The FUGs that have been receiving royalty payments are now discussing ways to invest their group funds. The options under discussion include: village electrification using solar power; trail construction activities; small scale edible oil pressing; and planting tree saplings near villages to control soil erosion and landslides. Some money has been used for paying watchmen's salaries, in order to protect forest areas from the illegal harvesting of products. All investments from the royalties collected from natural products will have some connection to general village development or natural resource conservation. The individual groups will decide for themselves how to best use these funds.
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Mr. Subedi is the Coordinator of ANSAB
By Shankar P. Dahal
Koshi hills is one of the potential areas for different NTFPs. There are 1,021 forest users groups in Koshi hills and among them more than 100 have initiated the farming of different NTFPs in community forests (CF). The FUGs have successfully planted Bamboo, Amliso, Cardamom, Nigalo, Argeli, Lokta, and Parayang.
a. Changes occurring through NTFP management
Awareness level of FUGs on NTFP management has increased in the Koshi hills in the past few years. The local indigenous knowledge has also been recognized and promoted. The management of NTFPs is also contributing to increase a FUG fund, which is being spent on different community development activities. The management of NTFP in CF is contributing to income of the FUGs, while also enhancing biodiversity. However, there are issues related to NTFP management which require further discussions among the stakeholders.
Examples of Active FUGs in Koshi Hills
There are 25 FUGs involved in resin collection in Dhankuta. Chitre Dhodre FUG of Dhankuta is involved in Allo processing. FUG of Chaite in Terhathum and Okhre in Snakhuwasabha are actively managing Lokta and Argeli (Mitsumata) where as Tinjure Baisakhetalo in Terathum is involved in cultivation of Chiraito.
b. Some issues related to NTFP management experienced in the Koshi Hills
1.Limited participation of poor, women, and disadvantaged groups in decision making and benefit sharing
2. Over-exploitation of NTFPs, mainly medicinal plants
3. Inapplicable government policy for NTFPs
4. Limited links between research and extension
5. Limited market system analysis, value additions and processing practices at local/national levels
6. Inadequate Government support and encouragement for cultivation of NTFPs for individuals and FUGs
7. Limited documentation and dissemination of local knowledge on management of NTFP
8. Limited access to credit facilities to NTFP entrepreneurs
9. Limited training, extension and pilot action research in NTFP management at FUG level
10. Inadequate mechanism to enhance experience-sharing on NTFP management among FUGs
c. Conclusion:
There is good scope to manage NTFP in Community Forests. This can contribute to poverty alleviation through the generation of income and employment opportunities in a short period of time. The FUGs need support from the public, private and donor agencies to initiate NTFP management practices. At the same time, concerted effort is required to address the issues relating to policy, technology, marketing, gender, equity and environment. The action research by FUGs and other stakeholders can be a first step to initiate a participatory management of NTFPs.
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Mr. Dahal is Community Forestry Adviser of Nepal UK Community Forestry Project, Koshi Hills Area
e-mail: [email protected]
By C.B. Lama
Humla is the remotest high mountainous district of western Nepal. According to some Tantric Buddhist texts, this district, which is rich in natural resources including high-value medicinal plants, is considered a holy place of the high mountains.
In Humla two types of cultural beliefs exist about conserving the natural resources. They are-a) the belief system of the "Bhot" (Tibetan speakers Buddhist communities); and b) the belief system of "Mon" (the Shamanists communities of both Aryan and Mongolian origin, who follow the system of caste and speak Nepali language as their mother tongue).
In the culture of both communities, the conservation of natural resources is considered essential. Both of these cultures have a system of protecting religious forests around Shamans' Shrines and Lamas' Gompas. But Buddhist culture is more sensitive and it elaborates details about the concept of conservation.
According to Tibetan Buddhism (also known as Lamaism), "Lu" (Naga, the spirit of the underneath world) is the master of all sorts of natural resources and the Lu has a power of balancing the nature. The Buddhists believe that the Lu resides in lakes and their watershed areas. Therefore extraction of the NTFPs and cutting of trees especially in those areas are strictly prohibited. A general belief is that, NTFPs are under Lu's protection and his curse will harm those who offend him by collecting the NTFPs from the restricted area. For example, in Limi VDC, there is a restriction on hunting animals and collecting wild herbs in the areas near Gompas and holy lakes. Anybody, who breaks this moral rule, is believed to be harmed by the Lu and he/she will have fatal diseases like leprosy and other natural misfortunes.
Lu is believed to have power of giving rain, sun, wealth and prosperity in general. Some specific medicinal plants are considered to be as organs of Lu. If such medicinal plants are collected from the wild, where Lu is believed to reside, Lu will be injured. And if the Lu becomes unhealthy, it directly affects human beings. If the Lu is happy, nature is automatically balanced. If nature is balanced, it is believed that timely rainfall and sunshine happens. In Lamaism, Lu is considered to be the god of environment who keeps the balance of nature.
To get rid of these dangers, Lamas perform rituals of healing the Lu's injured organs. Some specific medicinal plants and different kinds of jewelry are kept in a magical earthen vessel and are offered to Lu to restore Lu's divine power, which will in turn restore prosperity and happiness to the humankind. In this way, Lamaism, is an example of the culture that discourages animal hunting and collection of NTFPs from certain areas thus contributing in biodiversity conservation.
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Mr. Lama is Director of Humla Conservation and Development Association
By: Dinesh Poudel
Nepal Swiss Community Forestry Project had conducted a study on the economic potential for FUGs through sustainable management of cardamom, Allo and Machino in the districts of Dolakha and Ramechhap.
This study focused on the chain of production of the three NTFPs. Costs and benefits at various steps and potential income for FUGs were also analyzed.
Information was gathered by visiting the selected FUGs, which are already involved in the management of these NTFPs and using the PRA methodology. Markets and processing factories were other sources of information. Some contradictory but interesting issues were identified during the study.
1. The management of NTFPs is not easy at the beginning for the FUGs that are less experienced and institutionally less capable. For example, cardamom plantation was done in some community forests without any difficulties but when the time came for harvesting, drying and selling, many Community Forests were unable to reach consensus as there was mistrust among the members.
2. Some FUGs have started to categorize FUG members according to their income and wealth ranking. Poor people are involved more in the management of NTFPs so they can secure extra income for their survival. It was observed that involving poor people has shown good results.
3. The poor and disadvantaged people are merely involved in the harvesting, drying and hauling (and sometimes processing) of NTFPs. They would have gained more opportunities if the products were less commercialized. With the commercialization, the products have high values and demands and are mostly dealt with by rich people. For example, processing of Allo for textile was usually done by poor people since it is time-consuming and manually done. But with increased demand and high commercialization of this product, big businessmen have started investing in this product. Special attention should be given to help poor people by providing new technology and access to finance. In Chuchure VDC of Ramechhap, nearly 80% of the total household are involved in the harvesting, processing, transportation and selling of NTFPs. This increased involvement in NTFP collection and sale has sharply decreased the migration rate from the area.
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Mr Poudel is currently studying at University of Cambridge, UK
By Kenneth Nicholson
Nepal is rich in NTFP resources, which present a unique economic opportunity for the poorest of the poor farmers living in the mountains where agricultural expansion is limited. NTFP offers both cash income for farmers and an important source of many items used for consumption, including foods, medicines, clothing, household implements, ritual materials and so on. However, unsustainable exploitation of these resources has led to a decline in quantity and in the number of species available. In addition, the forest collectors are getting only a small percentage of the total income potential of these products.
Drawing from the lessons learned from over 18 years of experience in enterprise development (including the initiation of Gorkha Ayurvedic Company) and applied to small, natural resource-based enterprises, a methodology called Market Analysis and Development (MA&D) has been developed by trainers at the Regional Community Forestry Training Centre (RECOFTC) in Bangkok, Thailand (Lecup I. et al 1998). This methodology uses a step by step process for decision making and planning of viable tree and forest product enterprises, within the context of sustainable forest utilization and equitable distribution of benefits. A major emphasis of the process is the use of a set of inter-related social/institutional, economic/ market, resource management/ environmental and technological criteria in the selection and development of products for marketing.
MA&D is different from conventional business and enterprise planning. Rather than considering only commercial aspects of the enterprise, in the MA&D approach, the environmental (level of harvesting etc.), social (gender and disadvantaged groups, local capacity, policy etc.) and technological (type of technology needed, etc.) are also considered in the development of the enterprise.
This methodology can be used by project staff or enterprise managers in order to help them select products, which can be marketed sustainably. It can also be used in an action-research approach in order to involve the farmers and entrepreneurs themselves and build their capacity to select appropriate products and test them in a pilot phase.
The methodology is now being taught in Nepal through projects such as SNV, and at the Institute of Forestry in Pokhara. It is currently also increasingly used in Vietnam, Laos and China. Within SNV, the methodology is being applied in projects in Chitwan (The Praja Community Development Programme, PCDP) and in the Karnali Local Development Programme (KLDP). In PCDP, SEACOW (an NGO) is implementing MA&D, which has been useful as a pilot for using the methodology in other districts. SEACOW is developing participatory tools in order to ensure that the local people be involved at every stage of the analysis and decision making. Issues which have come up are subsistence versus income generation uses of a product; womens roles in the product; control of tree products which are not in community forests; roles of middlemen, financing needs and so on.
MA&D also uses sub-sector analysis in order to carry out a feasibility study once a product has been selected. The market chain for a product is surveyed and weaknesses or bottlenecks are identified and strengthened with project activities. Common project strategies include building storage sheds, processing technology, cultivation or harvesting technology, management systems for common property resources, group formation of entrepreneurs, workshops and coordination with other stake holders such as line agencies, private sector businesses and banks, market information systems and study tours.
As MA&D is used more and more in Nepal and the techniques are implemented in the field there is an opportunity to develop case studies documenting the experiences in order for others to be able to build on them. There have been suggestions put forward for the Nepal NTFP Network to assist in the sharing of experiences amongst projects implementing these activities. Readers are encouraged to begin this process by formulating their field experiences using this method and providing suggestions for improvements.
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Mr. Nicholson is working as NTFP Development Specialist at SNV.
By: Bhishma Subedi
A study was undertaken to 1) generate sufficient information to identify opportunities and constraints to developing businesses based on sustainable utilization of identified forest products within the Environment and Forest Enterprise Activity (EFEA) project area, and 2) transfer marketing study skills to the EFEA project team to apply throughout the life of the project. The study was conducted during February - July of 1997 by ANSAB together with representatives from New ERA, Biodiversity Support Program (BSP) and EnterpriseWorks Worldwide (formerly ATI).
Based on the product selection criteria, 11 products found in three different geographic zones were studied in detail. Other products are noted in the recommendation section. Five districts within the three zones were included in the market study. The different geographic areas represent three of the major climatic and altitudinal zones of Nepal
1) the inner Terai consisting of the Dang valley;
2) the mid hills, represented by the districts of Salyan, Rolpa, and Pyuthan; and
3) the mountain areas, specifically the district of Dolpa.
The study used techniques borrowed from subsector analysis (SSA) to explore potential enterprise options (see Haggblade and Gamser 1991). Subsector analysis looks at all the functions, players, and potential hard and soft technologies associated with a given product. These are arrayed in relationship to market conditions. Opportunities and constraints are identified and a range of potential enterprise options are generated. The study also incorporated conservation and social forestry issues.
Recommendations
Two sets of recommendations are made. The first set of recommendations is product, location and enterprise specific. The second is a set of general recommendations and have implications for all EFEA enterprise work.
Enterprise Options. Based on the 11 main products and the three geographic zones, the study team came up with several enterprise options that are explored in detail and profiled. The main recommended options include:
* Organize collector groups and forest user groups in preparation for processing and improved trading enterprises
* Establish a distillation enterprise to process aromatic plants starting with Jatamansi (Nardostachys grandiflora) and Sugandhwal (Valeriana jatamansi) as an example of a buffer zone commercial activity in Dolpa (mountains) before a Dang-based (mid hills) enterprise to process Sugandhwal and Timur (Zanthoxylum armatum) that would be supplied from Pyuthan, Rolpa and Salyan
* Establish an improved trading and minor processing (mid hills) enterprise for Timur, Sugandhwal, Dalchini (Cinnamomum tamala), Chiraito (Swertia chirayita) and Ritha (Sapindus mukorossi) as a model for EFEA project enterprise work
* After proving the model in mid hills, pursue improved trading and minor processing (mountains) of Atis (Delphinium himalayai), Jatamansi, Sugandhwal, Guchichyau (Morchella conica) and Kutki (Picrorhiza scrophulariiflora) as an additional enterprise activity to a distillation enterprise in Dolpa
General Recommendations
The following recommendations are made for the enterprise sustainability and social equity:
* Increase awareness on NTFP issues and prospects in community forests
* Gauge community interest in proposed commercial activities and finalize criteria for enterprise selection of demonstration and development sites
* Monitor land status (including community forests) as a key factor in sustainability of NTFPs
* Promote recognition of Nepals community forest model and potential as a major vehicle of NTFPs management.
*Organize domestic NTFP trade association & set up market information system
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Mr. Subedi is Coordinator of ANSAB
By Nani Ram Subedi
In the northern part of Nepal, per capita distribution of forest and highland meadows including valuable Non-Timber Forest Products, is comparatively higher than in the South. The collection and sale of NTFPs plays an important role in subsistence livelihood of the people living in these remote districts.
Recently, a small study conducted by CARE Nepal in Bajura district recorded over 80 species of NTFPs, which are categorised into the following nine groups as per their utility:
Plants of medicinal value: 46 species Plants used for spice: 3 species Essential oil bearing plants: 13 species Plants used for dye: 5 species Fatty oil bearing plants: 7 species Plants used for resin tapping: 2 species Fibre bearing plants: 6 species Plants for miscellaneous value: 8 species Plants of food value: 13 species
Besides medicinal and aromatic and edible NTFPs, fibre plants like Bhango and Allo are playing a significant role in the village economy in most of the hill districts of Nepal. Many items such as cloth, bags, hats, rope, namlo, and damlo are produced from the fibre of these species. In the Far West, Bhango is cultivated in the private land while Allo is collected from the wild state. In these districts, Lokta plant is also important for making paper although in limited quantity.
High altitude forests and meadows are the most important places for potent and valuable NTFPs. These places are under the jurisdiction of forest department. Because of high altitude, the area is isolated and the systematic management is not being practised either by the government or from users. The villagers living near such areas and local middlemen are running to grab as many benefits as they can. Due to unorganised collection and legal confusion, local collectors do not have bargaining power.
The study identified that five tiers of middlemen are associated with NTFPs trade ranging from primary collectors to Indian traders. The local traders, who obtain permission from District Forest Offices for the collection, are the most benefited layer among the middlemen. Looking at the whole range of NTFP trading and listening to the problematic histories of various levels of stakeholders, it is a business of uncertainty with high risk.
The time is ripe to adopt a workable management model and policy for such land and resources. Sustainable management of NTFP are only possible if we can involve local villagers and communities within an effective policy umbrella. The basic challenge is how to increase the business margin of local collectors from NTFP trading while maintaining sustainability of the products in the area. Promoting community based NTFP income generating activities can be helpful for the poverty alleviation battle in the country.
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Mr. Subedi was formerly affiliated with CARE Nepal
By: Surya Bandhur Binayee NTFP is an important category of forest products that provide cash income to the poor village, particularly in the high mountains where other alternative income generating opportunities are very limited.
Apart from collector's millions rupees income from collection and sale, it contributes more than 30 million rupees to the government as the revenue from collection permit of Medicinal and Aromatic Plants (MAPs) every year. It is estimated that MAPs worth USD 18 millions are traded from Nepal mainly to India.
Because of its multi-millions trade transaction and income generating potentiality, this sub-sector has attracted many stakeholders of commercialization and conservation interest.
The government has formulated some policies and regulation to promote conservation and utilization of NTFPs. However, the smooth implementation of rules and regulations are often in question.
The Forest Act, 1993 and Forest Regulation 1995 provide regulatory framework for NTFP trade in Nepal. Almost all products categorized under the NTFP are found in the national forest and are in control of government jurisdiction in one way or the other. The government has put a ban on the collection of Yarsagumba and Panchaule as well as a ban on the export in crude form Jatamansi, Sugandhawal, Sarpagandha, Sugandh Kokila, Jhyau, Lauth, Silajit, and Talis Patra. Under community forestry laws, a forest user group can manage and utilize forest products including NTFPs in accordance with an operational plan. The FUG can issue a collection permit for the products that are prescribed for harvesting.
The general procedures/steps of NTFP trade are as follows:
Certificate of Income Tax Registration: Traders of NTFP have to register their business with the Office of Income Tax and obtain the certificate of tax clearance.
Collection Permit: A Collection Permit either from the DFO (in government-managed forests) or from a FUG (in the case of Community Forests) is required for harvesting NTFPs. An application should state the type of NTFPs, the area, the quantity, and the purpose of collection.
Royalty Payment: According to the Article 8 (3) of Forest Regulation 1995, royalty should be paid before getting the Collection Permit. But Article 11 (3) of the Regulation mentions that the authorized officer shall collect the fee or royalty while issuing the Release Order. If the NTFPs are collected from a FUG, the fee or the royalty should be paid to the FUG that provides the Collection Permit.
Checking and Weighing: After harvesting the products, the respective forest office (DFO/Range Post) or FUG shall check and weigh to tally the amount of NTFPs collected against the licensed amount.
Release Order or Transit Permit: For the sale, transport, and distribution of herbs collected in the district, a Release Order must be obtained from the DFO. The Release Order is valid for fifteen days but can be extended for seven more days at a time.
Local Taxes: With the provision of the new Local Governance Act that came into effect in May 1999, the local development bodies have a right to impose tax on any product including processed and unprocessed NTFPs at any level of transaction and trade. Many District Development Committees and Municipalities have started taxation on trade of NTFP from the districts.
Checking and Endorsement: The traders are required to show both Collection Permits and Release Order at Forest Check-post/Beat located en rout and they shall transport only after having been endorsed by the Check-post/Beat.
Export Recommendation: DFO recommends the concern Customs Office for the granting permission to export the products.
Product Certification and Export Permission for Some NTFPs: Department of Plant Resources (DPR) provides product test and certification services for processed as well as unprocessed NTFPs. To export the processed NTFPs that are prohibited to export in crude, a Product Certification and Export Permission must be obtained from the DPR. The Department tests the products, seals the containers and grants the export permission.
Export Recommendation for processed NTFPs to India: Only the processing and manufacturing industries can export processed NTFPs to India. For this, the company should apply with Federation of Nepalese Chambers of Commerce and Industry (FNCCI) for an export recommendation letter. The FNCCI forwards the letter to the Department of Industry. The technical committee of Department of Industry makes necessary inquiries and provides an Export Recommendation to the processing company for the products processed by the company in Nepal.
Certificate of Origin: Certificate of Origin must be obtained from the branches of FNCCI or from the Nepal Chamber of Commerce (NCC) to export NTFPs. To export processed NTFPs to India, the Certificate of Origin is provided to the processing companies that have the export recommendation letter for the products from FNCCI.
Certificate of General System of Preference: If exporters want to have the privilege of exemption of import duties aboard, they must obtain a Certificate of General System of Preference from Trade Promotion Center (TPC) and Customs Office of Nepal.
Export Permission and Duty: Export Permission is granted by Customs Office en rout after taking the Export Duties equivalent to 0.5 percent of the Free on Board (FOB) value of processed and unprocessed NTFP.
Import Permission and Duty: The Customs Office of importing country grants Import Permission. Import Duty on Cost, Insurance, and Freight (CIF) value must be paid to the Customs Office. For processed or unprocessed NTFP, the Import Duty can be exempted from Indian Customs Office if the Certificate of Origin is shown. And for the developed country, Certificate of Origin and Certificate of General System of Preference should be shown to exempt the import duties if the country has given such privilege to Nepalese products. When importing the forest products from foreign country, the importers have to submit an application along with the customs declaration form and the authentic evidence from the concerned country.
Government policies in some cases are supportive for the trade of some NTFPs. Almost all NTFP based manufacturing enterprises can entertain income tax holiday for an initial five-year period, which can be extended up to 10 years. To assist the trade and processing of NTFPs, the export companies are given the tax exemption facility for the export value of the products.
However, to boost the NTFP trade, the ban and taxation provisions and trade and export procedures of NTFP have to be reconsidered. Market support systems and a mechanism for the fair distribution of profits among the NTFP stakeholders have to be promoted.
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Mr. Binayee is the Enterprise Development Officer of ANSAB.
* Forest Product Market/Enterprise Options Study. A study report prepared for Environment and Forest Enterprise Activity (EFEA) Project, HMG/USAID, Nepal (1997).
*Sub-sector Analysis of High Altitude NTFPs in Karnali Zone. A study report jointly prepared by ANSAB and CECI (1999).
* Monitoring the Effects of Community Based Conservation & Commercial Utilization of Natural Products on Biodiversity in Humla, Nepal. A Biological Monitoring Report for the BCN Funded Project: Community Based Ecosystem Management for Humla, Nepal through Local Enterprise Development (1999).
*Socio-Economic and Institutional Impacts of Community Based Ecosystem Management Project in Humla, Nepal. A Socio-economic Monitoring Report for the BCN Funded Project: Community Based Ecosystem Management for Humla, Nepal through Local Enterprise Development (1999).
* Non-timber forest products sub-sector in Nepal: Opportunities an challenges for linking the business with biodiversity conservation, by Bhishma P. Subedi (1999)
* Participatory utilization and conservation of medicinal and aromatic plants: A case from western Nepal Himalaya, by Bhishma P. Subedi (1998).
* Community managed enterprise: participation of rural people in medicinal and aromatic plants conservation and use, by Bhishma P. Subedi and N.K. Bhattarai (1998).
* Utilization of non-timber forest products: issues and strategies for environmental conservation and economic development, by Bhishma P. Subedi (1997).
By: Bhishma Subedi1 and Rupa Shrestha2
Nardostachys grandiflora DC . is the only species of this genus found in Nepal (HMG/Nepal 1976). It belongs to family Valerianaceae. It is locally known as Jatamansi.
It is an erect perennial herb growing 10-60cm long. It bears elongate spathulate (spoon like) radical leaves and few oblong or sub-ovate cauline leaves. The flowers are rosy, pale pink or blue, in dense cymes.
The rhizome, which is an item of commerce, is long stout and woody. It has an agreeable odor with bitter aromatic taste. The rhizome is used as a substitute for valerian. The whole plant has a distinct and lingering smell.
The rhizome of Jatamansi has high medicinal value and the essential oil extracted from the rhizomes is used in perfumery. Jatamansi is also locally known as Bhulte, Balchhad, and Masijara in different parts of Nepal. It is known as Spikenard in English.
Distribution and Habitat.
Jatamansi in Nature It is commonly distributed in an elevation range of 3500m to 4500m in the northern aspect of the sub-alpine and alpine pastureland of the Himalayas in Nepal. Though found in eastern to western region of the country, Jatamansi is more abundant in the western regions. The plant is mostly found growing in steep areas with a 25 o- 45o slope. It grows well on open, stony and grassy slopes, and on the turf of glacial flats. It is also found growing under the Silver Birch forest, where its growth is good with large leaves and long rootstock. This may be due to the abundance of rotten leaves (humus) and shade under the Birch forest.
The flowering takes place during June to July and fruiting in August-October. In the beginning of October, all leaves turn yellow and become ready for pereniation. During the winter, the herb sheds all leaves, gets buried under the snow and remains dormant. With the melting of the snow in the beginning of summer, Jatamansi starts growing.
The main associated plant species of Jatamansi are Bukephool (Anaphalis spp), Dhupi (Juniperus indica), Kutki (Picrorhiza scrophulariiflora), Panchaunle
(Dactylorhiza hatagirea), Padamchal (Rheum australe), and Sunpati (Rhododendron anthopogon).
Regeneration
Natural regeneration takes place by rhizome and seeds. Jatamansi is a wild plant but is occasionally cultivated in India and China (Shrestha and Joshi 1996). The plant can be cultivated from the cuttings of underground parts or rhizomes as well as from seeds. The plants coming from the cuttings of rhizome grow faster than that from the seeds. According to our study in Humla, this plant regenerates easily from the underground propagules when harvested in autumn. There is high risk of underground rhizome decay when harvested in summer.
Harvesting
A collector harvesting
Jatamansi The appropriate time for harvesting Jatamansi is October through December. The early snowfall in some years disturbs the harvesting during the main harvesting season and makes the harvesting job difficult and sometimes impossible due to the thick layer of snow in the harvesting site. Because of this, it is sometimes harvested during May or June which is detrimental for its future growth. Jatamansi is generally collected by pulling out the rhizomes with or without the help of a Kuto (a small spade like handtool). The long rhizomes under shrubs and trees are handpicked. Rhizomes are gathered into a basket, or sac after removing leaves and roots. Collectors dry the raw Jatamansi partially at the collection point before transporting it to their home, processing unit, or to a selling point.
Sustainability Issues
The early snowfall in the autumn compels people to collect Jatamansi in May or June which affect the herbs regeneration because the fruits mature only after October. Unscientific collection causes a decrease in the production of Jatamansi.
Rotational harvesting practice by the FUGs of Humla in the community managed forest has encouraged the sustainable management of Jatamansi to some extent. This practice should be adopted by FUGs in other parts of the country too.
Utilization
Jatamansi is harvested for local use as well as for the trade of its valuable roots/rhizomes. Traditional healers use the root for different purposes. It is used as a stimulant, antiseptic, insect repellent and for the treatment of epilepsy, hysteria, convulsive affections, stomachache, constipation and cholera. The rhizome is used as an aromatic adjunct in the preparation of medicinal oil. It is also believed to be useful for leprosy. Mixed with sesame oil, it is rubbed on the head as a nerve sedative. Its oil is also believed to promote growth and impart blackness to hair. The local people also use the rhizome for making incense by mixing it with the powder of Juniper and Sunpati.
A case example from Humla
Jatamansi was overexploited from the natural forests because of cash needs and free access of the people to the resources. The collectors used to collect Jatamansi before seed ripening without caring for future regeneration. Deliberate fires set by the local people for their livestock to graze on the new sprouts was also common in the area. However, the situation has improved in the management of the forest resources after ANSAB, EnterpriseWorks Worldwide, and HCDA implemented the Humla Ecosystem Management Project. A number of FUGs have been formed since 1996 and control over the resources has been initiated from the local communities. A community initiated management plan has been developed for the sustainable management of the natural resources. A rotational harvesting system is practiced by dividing the whole forest into a number of management units, usually adopting a rotational length of four to five years. Some FUGs have also adopted appropriate methods and timing of harvesting for Jatamansi and other NTFPs.
Commercialization
Weighing Jatamansi
(File Photo) The rhizome of Jatamansi is used in the preparation of medicinal oils and in perfumery. The dried rhizomes are steam-distilled to yield between 1 - 2% of essential oil , commercially known as Spikenard oil . Spikenard oil of good quality has a greenish color and an odor suggestive of patchouli and Indian valerian (Valeriana officinalis L.), which has a sweet, woody, and spicy animal odor.It can be used in perfumes with an oriental basis, heavy florals, animal amber types, etc. It blends well with Cedarwood and Lavender. The oil resinifies on exposure to air. Processing & Market. The volatile oil cells are generally located on the fine fibrous hairs of the rhizome. The quality of essential oil is influenced by the maturity of the rhizomes at the time of harvest, form of preparation, and duration of storage. Rhizomes harvested from the 2-3 year old plants give higher yield than young plants. The rhizomes are graded, packed in distillation apparatus evenly with several layers to avoid chanellization of steam, and distilled with low pressure and relatively dry steam for 9 to 18 hours. The price of the spikenard oil ranges from Rs. 5,500 to Rs 7,800 per kg in local markets and US $150 to US $225 per kg overseas depending on the quality. The oil is exported to India, Europe, Japan and the USA.
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1 Mr. Subedi is Coordinator of ANSAB
2 Ms Shrestha is Network Support Officer of ANSAB
1. ANSAB in collaboration with NUKCFP and DFO, Parbat conducted a two day participatory and field-oriented training on "NTFP Management " in March 1999 in Parbat. The objective of the training was to provide the basic knowledge to the NTFPs stakeholders about the valuable NTFPs, their management and trade. The main participants of the training were forestry staff from Parbat, Baglung and Myagdi, FECOFUN district committee members, District Soil Conservation office staff, FUGs, NTFP collectors and entrepreneurs.
2. A four-day-workshop cum training on
"Entrepreneurship Development on Natural Products" was conducted by ANSAB and NSCFP. The main objectives of the workshop were to bring all stakeholders/entrepreneurs of Dolakha together to share and disseminate knowledge and experiences and to identify effective strategies to overcome constraints and realize opportunities in community based enterprises. Entrepreneurs, district forest office staff, project staff, NTFPs traders, collectors, FECOFUN members, district cottage industry office staff, agriculture development bank staff and private nursery owners participated in the training.
3. The Nepal NTFP Network Coordination Committee Meeting held on June 1999 reviewed network activities and discussed over membership strategies, and several other issues. As the government is revising the forestry regulations, the Network decided to provide recommendations for the revisions of forestry regulations to MFSC. Twelve main issues were identified and recommendations made for the economic benefit of the user groups and conservation of the resource base.
4. A National Workshop on "Management and Sustainable Utilization of Medicinal and Aromatic Plants (MAPs) in Nepal" was held on July 16, 1999. The workshop was jointly organized by Ministry of Forests and Soil Conservation (MFSC) and International Development and Research Center (IDRC) and facilitated by ANSAB. Sixty nine participants representing GOs, NGOs, private companies and donor agencies were involved in the workshop. Two theme papers: Key Issues and Problems faced by MAP Sector in Nepal (by Dr. Keshav Kanel of MFSC) and NTFP Sub-sector in Karnali, Nepal: Opportunities for Leveraged Intervention for the Benefits of Local Communities (by Bhishma Subedi of ANSAB) were presented.
The workshop participants made recommendations in three areas: policy and legislation, conservation and sustainable management, and trade and marketing. Inaugurating the workshop Honorable Minister of MFSC Mr. Mahant Thakur stressed the need for participatory management and sustainable use of MAPs. Addressing the same function the Minister and Secretary Rabi B. Bista assured that the workshop recommendations will be taken into full account by the Ministry.
5. A three-day workshop on Community Forestry and Forest Based Enterprise Development was held in November 1997 at Humla Oil Pvt. Ltd. (HOPL) factory site in Rodikot, Humla. Fifty-six community members representing twenty-nine community forest user groups (FUG) in the district and representatives of various other organizations including DDC and DFO joined this workshop. The participants discussed on community enterprise management, sustainable harvesting and management of natural resources, and coordination of FUG activities in the district.
The workshop recommended that the ownership of HOPL be handed over to the FUGs in the district, Humla Conservation and Development Association (HCDA), and employees of the company. It also suggested different enterprise operation and management modules for the company. During the workshop, the participants, particularly community members, listed out the prospects and problems associated with the sustainable resource management and also presented solutions for the problems in the series of presentation. The workshop also evolved the district level network to strengthen community forestry activities for sharing experiences and ideas and coordinating the community forestry activities in the district.
6. To enable the government organizations, professionals and experts to adopt appropriate strategies and plan of action which are essential for the proper utilization, conservation and marketing of NTFPs, a one-day workshop on "The Utilization of NTFPs for Environmental Conservation and Economic Development" was organized by ANSAB in Kathmandu on March 29, 1997. A theme paper on Utilization of NTFPs: Issues and Strategies for Environmental Conservation and Economic Development was presented by Bhishma Subedi of ANSAB. Selected four papers from 18 ANSAB-supported studies on NTFPs were also presented. Altogether 65 people from various organizations participated in the workshop.
Himalayan Bioresources is open to contributions by the network members and readers. Contributions may be edited to fit into the focus and size of the newsletter. If you have any material that could be included in the next issues of Himalayan Bioresources, kindly send it, before December 31, 1999, to:
The Coordinator
ANSAB
Min Bhawan
P.O. Box 11035
Kathmandu, Nepal
Email: [email protected],
Tel: 977-1-497547, Fax: 977-1- 487916
URL: www.panasia.org.sg/nepalnet/ansab/home.htm This Newsletter is published by ANSAB, with financial support from the Ford Foundation, New Delhi, India.
Editors: Bhishma Subedi, Hemanta Ojha & Rupa Shrestha
Layout: Rupa Shrestha
Acknowledgement for Suggestions:
Dr. Jack Croucher & Ann Koontz
