Researching incomplete markets: a strategy for timber market research in Leyte

Small-scale Forestry, 2011

Data collection and maintenance of databases concerning smallholder forestry presents special problems in developing countries. This paper examines forestry data collection experiences in a series of research projects in Leyte, Philippines, supported by the Australian Centre for International Agricultural Research, and the prospects for developing forestry accounting networks. A variety of financial data have been collected in relation to seedling production, plantation performance and timber marketing. Seedling production cost and revenue data have been obtained through snapshot surveys conducted in 2002 and 2008, and repeated attempts have been made to estimate financial returns from growing the most popular tree species. Diverse sources have been identified for timber market information. On the supply side, these include government records of registered plantations, obtaining inventory data from barangay (community) leaders, and reporting information about timber available for harvest on community notice boards. On the demand side, official records of registered timber merchants have been accessed, a detailed survey of timber processors has been conducted, and estimates are being made of apparent per capita timber consumption by district. Experiences in the Philippines reinforce that the potential for forestry accounting networks is limited by the resource-constrained situations of developing countries, placing greater reliance on one-off surveys. Use of pre-existing local networks and institutional structures offers potential for routine collection of forestry data, such as through barangay (village) leaders in the Philippines.

2007

The lack of information by smallholders about market opportunities and the timber product requirements of buyers may be a major impediment to development of formal or regular timber markets. Anecdotal evidence suggests that growers fare poorly in terms of prices obtained under current arrangements, with consequent inadequate market signals to encourage tree planting. This paper presents preliminary results of a survey conducted to investigate the status and prospects of timber enterprises in Leyte and Cebu in the Philippines. The operators were interviewed in 51 timber enterprises, of which 34 are registered with the Department of Environment and Natural Resources. The majority (74%) of the enterprises were engaged in retailing sawn timber. About 58% obtained some or 61% obtained timber from timber merchants while 33% directly from tree growers. Respondents identified proper plantation management as one of the measures to improve the quality of timber from smallholder tree farmers. The present forest policies, support from the government, low quality of timber and insufficient supply of timber were nominated as problems experienced by the respondents.

The lack of information by smallholders about market opportunities and the timber product requirements of buyers may be a major impediment to development of formal or regular timber markets. Anecdotal evidence suggests that growers fare poorly in terms of prices obtained under current arrangements, with consequent inadequate market signals to encourage tree planting. This paper presents preliminary results of a survey conducted to investigate the status and prospects of timber enterprises in Leyte and Cebu in the Philippines. The operators were interviewed in 51 timber enterprises, of which 34 are registered with the Department of Environment and Natural Resources. The majority (74%) of the enterprises were engaged in retailing sawn timber. About 58% obtained some or 61% obtained timber from timber merchants while 33% directly from tree growers. Respondents identified proper plantation management as one of the measures to improve the quality of timber from smallholder tree farmers. ...

The forest estate in the Philippines has declined from approximately 52% of the total land area to less than twenty percent over the past fifty years. In addition to the serious environmental and ecological implications that this trend presents, the loss of forest area has severely impacted the wood processing sector in the Philippines. Timber harvests have declined from 11 million m3 in 1970 to just 865,000 m3 in 1995. The resulting impact on the forest products industry has been rising lumber prices, raw material supply shortages, and a consolidation of the timber processing industry that has resulted in the loss of over 25,000 jobs since 1990. Over the past five years the Philippines has gone from being an exporter of primary forest products to a net importer. However, two recent developments that have tremendous potential for the forest products industry are: 1) the current focus on the establishment of industrial tree plantations and 2) the recognition that lesser-used tropical...

Forests, 2016

Forest tenure reform has no doubt attained significant gains in promoting social justice and equity in the forest sector, through legal recognition of the communities' property rights over forest lands in many developing countries. This includes the right to harvest and market trees that the communities planted. Along these lines, the Philippines' community-based forest management (CBFM) and smallholder forestry have the potential to meet the country's wood demand and contribute to its poverty alleviation goal. Realities on the ground, however, make this lofty aspiration seems too far-fetched. Formal and informal barriers along the timber value chain restrict the growth and obstruct opportunities for community-based timber enterprises (CBTEs) and smallholder forestry. Using the case of CBFM and smallholder forestry in the Visayas and Mindanao Islands in the Philippines, respectively, this paper examines the hurdles posed by regulations and informal practices, such as restrictive policies and increased transaction costs, through a segment analysis of the timber value chain. It argues that failure to address these barriers would lead to the decline of CBTEs and smallholder enterprises, thus undermining the merits of the forest tenure reform.

1997

This study, utilizing the existing data and reviewing the related materials, is an investigation directed toward three research questions as to the position of nonindustrial private forest (NIPF) owners of the USA as timber marketers in the market environment, and from which these owners acquire information on timber markets and marketing process. Rather than conducting a new survey on forest land owners or carrying on formal statistical analyses based on the available data, various written and personal sources are consulted to garner necessary and pertinent materials comprising the findings of the previous works as well as the most recent data and information; all the materials obtained are then scrutinized. In this investigation, preponderance of the evidence and personal judgment serve as the basis for addressing the proposed research questions and reaching the conclusions.

2015

At present, there is still a high market potential for timber on Leyte Island. A big bulk of the timber supply is imported from the neighboring islands of Cebu and Mindanao and from other countries. With the continuous increase in population, demand for residential housing is growing and consequently timber for construction purposes. This is accompanied by an increase in the demand for wood products like furniture. The timber shortage is likely to continue especially with the government’s campaign for log ban. The gap in supply and demand can be filled by the harvests from the tree farms of small holders. Tree growers have to be educated with the DENR rules on tree farm registration and cutting to facilitate the harvesting of trees in their farms.

One way to more fully utilize the tropical forest resource, and an important component of sustainability, is the development of markets for non-traditional forest products (NTFPs). Non-traditional forest products (e.g., gums, resins, leaves, fibers, and medicinal extractives) are typically produced by rural groups for whom these products can provide substantial economic benefits. NTFPs also provide an opportunity to generate income and employment opportunities on forest lands that are protected from timber harvest (i.e. watersheds) or are uneconomic to harvest (inaccessible, poorly stocked forests). However, given the unique characteristics of this category of products, the marketing of NTFPs possesses its own set of unique problems. The primary challenge associated with marketing NTFPs is identifying and developing markets suited to the unique characteristics of these small-scale industries. In most cases, the volume of products harvested is quite limited and well below the volumes...

Marketing of Farm- …, 2011

As the harvest of timber from native forests has contracted in north Queensland, the traditional supply chain from forest to final consumer has to a large extent broken down. As a result, landholders and non-farmer investors cannot assume that timber markets will automatically exist when ...

2019

Trade in non-timber forest products (NTFP) is important in enhancing livelihoods of communities adjacent to forests. However, knowledge about actors and NTFP income determinants in Uganda is scanty. Yet this information is important in targeting profitable NTFP enterprises. This study explored factors that determine involvement in and income from NTFP trade. A survey of NTFP traders was conducted in eleven markets adjacent to Mabira Central Forest Reserve using semi-structured questionnaires. Dominant traders (50%) were females aged above 30 years and with low educational levels. Cross tabulations were done to assess the relationship between NTFP income and several independent variables. Significant variables were then modelled using Logistic Regression which revealed that season of the year, education level, market, nature of stall, level of trade, product and market accessibility were significantly associated with 39% variation in NTFP income (LR chi = 89.35, P = 0.000). Selling p...