1f bamboo pres final research 2009

8/11/2019 1f Bamboo Pres Final Research 2009

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BAMBOO: Poor Mans

GoldBestow upon us a hundred

Bamboo clumps

Rig Veda


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CONTENTS:

Characteristics

Supply

Demand

Policy & Legislation

Livelihood

Environment

Case Studies

Recommendations

2


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Characteristics

Tree like, woody grass

136 species ( 36 genera in India)

Versatile & highly renewableresource

Short Growth cycle (commercially

imp species mature in 4-5yrs)Up to 30 days - BB shoots as foodB/w 6-9 months - for basketryB/w 2-3 yrs -for laminates &boardsB/w 3-6 years - for construction

Source of Energy

Hardy, Light and flexible soughtfor nutritional and environmentalvalue


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TRIV IA

Hiroshima ,1945: BB

provides firstre-greeningafter atom

bomb blasts

Limon, CostaRica: Only BBhouses fromthe National

BB Projectsurvive violentearthquake of

1992

A. Bells first

phonographneedle wasmade of BB

Some

species ofBB grow @1.5 m/day

TensileStrength ofBamboo is

greater thanthat o mild

steel

Taiwanesecomp

launched firstever laptopwith outer

casing made

from BB

Edisonsuccess

-fully used acarbonized BBfilament in his

experimentwith the first

light bulb

Polo ballsmade from BB

rhizomeA bicycle

Artificial teeth

MahatmaGandhi set outon his famousDandi march

armed with hisconviction and

BB stave!


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Supply Side

Area: 8.96 m ha ( 12.8% of forestarea)

28% of area and 66% of growingstock of bamboo in NE region

20% of area and 12% of growingstock in MP & Chattisgarh

Grows in all parts of India exceptKashmir valley

Second Richest country afterChina in Bamboo resources

Availability of Bamboo

Growing Stock: 80.43 m MT,

Annual Harvest: 13.5 m MT(demand: 27 m MT)


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Supply Issues

Poor management and lowproductivity ( forest areas:1tonne/ha of avg. production

Large bamboo forests under

protected areas with no harvesting Ban on felling and restriction on

use in many districts

Lack of intensive management

Overexploitation, fires, grazing

Flowering patterns


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Demand Side

1500 documented uses

Wood Substitutes &Composites/ Industrial Use &Products/ Food products/Construction & Structural

Applications

Indias Share in current for BB :

Rs. 2043/ 50, 000 cr*

Bamboo industry can grow toRs. 16,000 cr by 2012 and Rs.26,000 cr by 2015

The industry is expected toearn about USD 5.7 bn inrevenues by 2015

India looking at capturing 27%of this market


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SWOT ANALYSIS

STRENGTHS WEAKNESSES

Vast resources

Bamboo from the North East are hard

and durable

Cane and Bamboo handicraft has good

market

India has strong roots in

handicrafts

Labor cost is low

Bamboo is less versatile than the

bamboo from China

Finished products from the other Asian

countries are superior

Lacks aesthetic appeal &Quality control

In controlling cost, Quality is low

Product is bulky and transportation cost

is high

Industry and cultivators yet to recognize

potential

OPPORTUNITUES THREATS

Market for Bamboo Gazebo can be

developed

Development in design and quality of

handicraft products

There is scope for creating category

product market

There will be strong competition from

other Asian countries.

Established players like China & Taiwan

Poor treatment procedures may lead to

loss. Treatment should be standardized


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POLICYENVIRONMENT

Demand & Supply

Shortfall in supply even for currentdemand

Location of industry away fromgrowing areas

Unscientific and Inefficient use

Shortage of quality bamboo orsustained supply

Paper & Pulp ind. Importing woodpulp worth Rs. 3500 cr

Illegal Smuggling to Bangla. and

Mymr. & NepalRs.255cr

Low &poor

qualitysupply

Lowdemand


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Policy Features

Objective Formulation Execution

Laws promulgated to

extend state control

extraction of forest

produce esp. timber

1988 FP marked change

Definitional anomalies-

of BB & Forests

Lack of harmonization of

laws

Extensive regulation

Tedious procedures

Red Tapism

Inefficiency

Rent seeking behavior

Central Laws Court Judgments

Indian Forest Act (1927)

Definition of tree includes BB

Harvested BB is timber

Forest Produce : (a) Timber regardless of

where it originates(b) Plants not being trees which originate

from forest

Act 2006 classifies BB as NTFP ( minor)

Supreme Court:

BB is grass thus felled BB is not timber

BB removed from non forest areas

including pvt lands are not forest produce

Areas under pvt plantations are notforests & will be guided by State Laws

Orissa HC: Irrespective of BB being tree or

grass BB originating in pvt land not FP


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Most bamboo is located on government owned lands, Government ownership of

forests has been well established in both forest laws and policies.

Forest Dept : 93% Revenue Dept: 4 % Private landowners: 3% of forest area

On its land govt pays unskilled day laborers to manage 4-year rotations of BB

Amendment of the 1988 Forest Act, the government restricted the role of the privatesector on government forestlands.

FP 1988 shifted it key focus of promoting forest industry and extraction of naturalresources to almost exclusively being managed for ecological services and meetingcommunity needs

Only local communities are currently treated as stakeholders in managing govtforests and have now been granted rights to NTFP*

Government introduced the Joint Forest Management (JFM) program- bambooforestlands have not been brought under JFM

Since granting greater authority to communities necessarily entails a reduction in

power by the state there has been bureaucratic resistance

BB Forests on govt. land BB forests on pvt. land BB on pvt plantations

Lack of tenure security Lack of full and equal

rights

Lack of free market

mechanisms


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State Wise Study

Prior to 1976 forests a State Subject,now in Concurrent

Most states have Primary Acts onforests modeled on IFA or rules withthe IFA as the primary reference

use and management of pvt BBforests is governed either by separatePrivate Forest Acts or by provisions inthe State Forest Acts

10/ 19 states have State Laws/ Actsfor Pvt. Forests

2 States -Andhra Pradesh & Sikkim donot follow definitional pattern of IFA

Nagaland is a spcl. case-majorityforests are pvt. Forests. All regulatoryreq.s have been removed

1 Kerala

2 Gujarat

2 Madhya Pradesh

4 West Bengal

5 Maharashtra

5 Uttar Pradesh

6 Bihar& Jharkhand

6 Orissa

6 Tamil Nadu

10 Karnataka

Index of Regulation


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Implications

Potential largely unrealized under thisset-up

Unorganized Subsistence BB economy

Productivity in govt owned forests islower than potential compared to othercountries & that in homesteads

Policies Distort incentives: Cost of 1Pole of Dendrocalamus Strictus: Rs.10

Cost on reaching Hyderabad City: Rs.40/Pole

BB has to compete with otheragricultural/ food crops which are

subsidized / Inferior good existing restrictions limit the effort and

input provided by the owners toincrease the productivity of pvt. lands

Industry ForestDept.

Politicians

Why MoEF could

oppose lifting ofrestrictions:1. Could encourage

illegal felling &extraction fromgovt. forests

2. Loss of royalty


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New Approach

Earlier BB was considered a minor

forest product compared to wood andtherefore did not receive the kind ofsupport from government as otherforest res

Mission Approach adopted- NationalBamboo Mission

Micro Missions under differentMinistries. Important among them-

M.M on Technology Development/Policy/ Marketing/ Trade&Development

Requires a mammoth coordination

effort Overlapping Jurisdictions

25 different institutions including 5ministries have been roped in

Underlying Forest managementsystem also needs to change


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Livelihood

CurrentStatus

Bamboo Sector generates 432 Mnworkdays annually

Bamboo based handicrafts employs 10million people

Women constitue a majority of themap weaving and Bamboo crafts work

Bamboo mat production in Indiagenerates 3 mn workdays annually

Out of 68 million tribal population, 50%depend on NTFPs for their livelihoodrequirement

Traditional uses- support agriculture,horticulture, animal husbandry,sericulture and in small industries

Targets and Issues

Unavailibility of raw materials forartisans & NTFP for forest dependentcommunities

Cross Subsidization of poor Traditional communities moving away

from BB Crafts

Can generate employment orunskilled, semi skilled and skilledworkers

Target was 8.6 mn jobs (new) anduplifting 5.01 mn BPL families

New Bamboo Plantations ( forest andnon forest areas)

In the long run establishment of newindustries can generate employment to50 mn people


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Environment

Uses Reduces Carbon Dioxide levels in the

atmosphere*

Lowers light intensity, protects againstUV rays- acts as atmospheric and soilpurifier

Versatile high yield renewable naturalresource

Substitute for wood- grows faster, lesswater req.

Prevents soil erosion

Food source, has anti tioxidantmedicinal value

Source of energy- foremost inBiomass prodn. ( burnt directly) orgasification of Bamboo

Benefits Offset climate change factors*

Rehabilitation of degraded land,controlling landslides, floods,protection of sea banks, riverbanks,damsites etc.

Can be used for Watersheddevelopment

As a substitute for wood- will mitigatepressure on natural forests

New innovative bamboo products canreplace products made from non

biodegradable material Ensure nutritional security for rural

people

Clean renewable source of energy


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CASE STUDY: China

Recognized as Kingdom ofBamboo

5 mn ha of Bamboo resources

Total Bamboo production valueover US $ 6 billion (exportvalue- US $ 600 mn)*

First mover Advantage

Result of 4 decades of efforts

Post 1985 old system of stateprocurement abolished

Mkt for BB opened completely

prices determined by SS & DD

Export & pvt enterprise culture

Facilitate formation of Dragonhead enterprises

Bamboo industry zones


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Development Sequence

Later 1970s- Early1980s

Rural System Reform

Collective Responsibility->Household ResponsibilityScheme

Bamboo product marketingsystem: State Monopoly ->Free Market

Middle 1990s: 3Pronged Stabilization

Stabilization of

Mt. & Forest Property Self Processes Mt.

Property HRS

Incentivized investment byfarmers

2006 onwards

Forestry System Reformsincl. Bamboo

Right to ownership whichallows farmers to transfer,transact or circulate asproperty

Sundry taxes & feesexempted In 2001*

Subsidized funds andfertilizers


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Comparative StudyChina India

Ownership & Management Rights with

individuals

O & M rights not clearly defined. Differ

from state to state

BB related Institutional Arrangements

cover all aspects

Till recently the institutions focused on

dist of BB to local and industrial units.

NBM, NMBA, CTBC etc launched

Organizational Arrangements forBamboo Management- Multi layer and

Multi regional ( Forestry Bureau also

follows the same form

Administrative structure U form-Independent forest depts exist only at

the state level

Local level govts have little bargaining

power but greater autonomy. Ability to

design dynamic institutions

Institutions designed at the state level.

Institutional inertia, attitudinal inertia

and non-accountability

Mkt Research and Product

diversification- pvt enterprises put great

emphasis on mkt research. Responds to

world demand. Consumer items+ new

industrial items

Till recently even basic data abt BB was

absent. Traditional products, Industrial

use limited to Pulp


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China India

In BBdominant areas BB has played a

critical role in poverty eradication

BB mainly used for benefit for ind. Org.s

( pulp mills) & subsistence at village

levels

Diverse ownership and management

arrangements, all units compete for BB

( raw material) in an open competitive

mkt. State has no role to play in supply

to these units

In some states industrial units still

dependent on state for supply of raw

materials so are rural artisans. Classic

case of cross subsidization of rich by

poor

Institutional Arrangements are:

Complete

Decentralized

Diverse

FlexibleResponsive to local needs

Responsive to other subsectors

Aimed at equity consistent economic

efficiency

Institutional Arrangements are:

Partial

Centralized

Narrow

Full of rigiditiesNon responsive to local needs

Non responsive to other sub sectors

Aimed at profit maximization of ind.

Units and subsistence of poor


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Case Study: States

BB based livelihood, the SindhudurgModel ( Konkan region, Maharashtra):Traditional BB working communities are SCs

Widespread use of plastic has reduced demand and limited opportunities

Dev of BB based craft & Ind. Requires relatively low capital, raw material,tools and machinery inv. Compared to other handicraft activities

Konkan Bamboo& Cane Dev Centre ( KONBAC) & Univ Dept of LifeSciences, Univ of Mumbai Initiated a community based BB dev Prog.

Estb. & demonstration of

1 Community - based BB treatment Plant

BB Furniture Manufacturing Unit

BB based marketing Hubs ( BAMHU)

Passenger Resting Shade at RatnagiriRlwy. Station

First ever All BB Resort


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Case Study: States

Tamil Nadu Contract Farming Model: Mismatch of demand and Supply atPaper mills lead to massive wood pulp import.

TN Newsprint and Papers ( TNPL) initiated farm and agroforestryprogrammes through tri and quad partite models

A contract in this case is an agreement btw growers & processors. CF isviewed to benefit user agency by ensuring sustained raw material supply

In the age of liberalization & Globalization there is a danger that smallscale farmers will find it difficult to fully participate in the marketeconomy. In many cases small farmers could be marginalized as largefarms become more profitable

Involves increasing area under farm and forestry plantation through

industrial participation Key reasons for failure of industrial plantation schemes are non

involvement of local people, lack of assured buy back and minimalsupport price

This constraint can be overcome through contract farming system


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Quadpartite

Industry

Growers

Fin.Insitution

ResearchIns.


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CASE STUDY: (APIL)

Features Converted from Plywood factory to BB

board manufacturing unit

1996 (Ban on timber by SC)

FIPPI agreed to convert it into a

bamboo board industry Faced numerous procedural

handicaps

Factory closed 18 times duringconversion process due to differentinterpretations of the SC order bydifferent forest officers

Functioned regularly from 2006intervention by PC

Ancillary units in remote villages with abuyback arrangement

Lessons Procedural impediments must go

Systematic not piecemeal approach tobe adopted

Takes care of demand supply problem

local entrepreneurship and sustainablelivelihood opportunities for localpopulace

E.g. Agreement to procure mats from38 villages in Nagaland ( earliersupplying 700->10,000 units/month

Req. of 1 lakh mats can generateemployment to 33,000 persons ( 90%of mat makers are women)

More than 100% value addition inSplint manufacturing units


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CASE STUDY: Individuals

Andhra Pradesh CommunityForest Management (APCFM)project

Implemented by the AndhraPradesh Forest Department

(APFD), with funding support fromthe World Bank

50.000 ha of degraded BB foreststargeted for treatment . Targetexceeded by 10 %

Community level manufacturingfacilities ( for incense sticks)generate 1 mn man days/ annum

Annual turnover of Rs.16 crore

Fetches revenue of Rs. 18,000

per tonne as against Rs. 500 pertonne realized from pulp andpaper mills


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I am the Vice Chairperson Van Samrakshana Samithi (VSS) in

Chinthapally village of Adilabad District (Andhra Pradesh). I am

one of 91 women members. I earn Rs. 50-60/ day making agarbathi

sticks from bamboo slats. This arrangement suits me as I can

supplement the household income working at my own pace and

completing my household chores too. Importantly the correct wages

are paid regularly

The opportunity to generate income legally from forest produce

has created a vested interest for the community to nurture andmaintain the forests. This inturn has extended the States forest

management capacity to such an extent that it is keen to create

more VSSs& CFCs

Muthamma now has a regular income which she now earns from

the security of her neighbourhood and her home a life of dignity


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Hi, my name is Arif. I work at the at the Common Facility Centre

(CFC) in Mancherial, Andhra Pradesh. I had spent a year idling

after college before this opportunity came along. A four monthtraining period later I was ready to start making bamboo slats on a

regular basis. These slats are supplied to the women from nearby

VSSs for making agarbatti sticks. I earn Rs. 150 on a good day

and about Rs. 100 on a regular day. Though the work gets repititve

and also leads to backaches sometimes I am proud to be helping inthe upkeep of my six member family

There are many young men like me here who used to migrtae to

urban areas earlier in search of work. We would end up mostly

underemployed or in worst case indulge in unlawful activities in

desperation.

Th V S k h S i hi (VSS) f hi h I h


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The Van Samrakshana Samithi (VSS), of which I am the

Chairperson, was constituted with the formal consent of more than

half the families in Rawanpally village, in Kagaznagar, Andhra

Pradesh. It was selected to be developed as a model village under

the APCFM project. Of the total 88 VSSs in KagaznagarDivision, Rawanpally is one of the 24 that use bamboo for income

generation. Bamboo has provided the women a productive and

remunerative leisure time activity of agarbatti stick making. All

able-bodied VSS members lend their muscles and traditional

knowledge for the upkeep of the forest. Trenching, earth moulding,pit digging, planting, pruningthey have work round the year.

Another opportunity to work and earn in the vicinity of their

homes.

Rawanpally VSS is fully into forest maintenance and conservation.

herever parts of the forest have been handed over to the

villagers for conservation they have developed a sense of

ownership


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CASE STUDY: Communities

Bamboo artisan communities ofChattisgarhKandra & Basod (ST)

Issued Bamboo Ration Card forgetting BB from govt. at lower rates

Articles like Mats, hats, baskets etc.

They sell items themselves in Local

weekly markets or through wholesellers and retailers

Most shift away from BB handicraftProduction as a source of livelihood

Shortage &Poor quality of BB suppliedon cards and high prices of BBavailable in the market are factors

Use of outdated and very laborioustechnologies & lack of proper &systematic marketing channels

Reg.Basods ActualTarget Propos-ed

Target

Available Sold

5227 1500

(100%)

908.2

(60%)

556

(37%)

427.6

(28.5%)

Source of

Income

Families (%)

Central North Southern

BB Craft only 10% 5% 5%

Source of

Income

Share of Income (%)

Central North Southern

BB Craft only 60% 70% 40%


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The North-East

Bamboo Flowering Gregarious flowering

Seed Shed attracts seed

predators (rats)

Generates large ratpopulation

Seeds become Seedlings.Rats attack standing

crops and grains

Flowering of Melocanna bacciefera ,Bambusa Tulda & Dendrocalamuslongispathus in North East with itsepicentre in Mizoram

Cycle of 48 years. The BB dies afterflowering. Regeneration is a problem

Last occurred in 1959 lead to famine

Expected to reoccur btw 2004-07

26 MT ( of which 10 MT accessible)will be available if harvested beforeflowering

failure of the then Assam Govt. toadequately respond to the demands offamine relief requirements whichresulted in insurgency in Mizoram


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Policies

BAFFACOS, a five-yearprogramme

Early Harvesting of BB Rodent Control

Agricultural Diversification

The Govtof Mizoram declared theMautam as a disaster in 2007

lifting of ban on export of mulibamboo & removal of harvestingand Felling restrictions on Forestand Non forest areas in NE

The Achievement Report onBAFFACOS at variance withActionAid Study

Accusations of Corruption andMisreporting. Sporadic protests

Status & Potential

Reviving Closed Paper & PlywoodFactories

BB Shoot industry great exportpotential

Mostly non-clump forming BB

Smuggled BB can fetch 2.6 timesthe value of raw BB

Special BB zone : Boost to localhandicrafts ( tribals) & new ageitems


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amboo Sector has to be liberalised and it should

be treated as a plantation and Horticulture crop

without any restriction on its movement and felling

for commercial purposes

amboo is often called the Orphan crop as in the

Government no Department or Agency has taken up

its potential in a holistic manner

Planning Commission, 2003

QUOTE UNQUOTE


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Way Ahead...

Allow forces of demand and supply to operateUndertake market complementary interventions

Incentivise prodRemove informational asymmetriesFacilitate expansion of markets ( incl promoting exports)

Result: EFFICIENT OUTCOME

Indicator: Productivity and opportunities not lost ( DD-SS gaps)

Improve on outcome by incorporating livelihood and env. concernsContract Farming: provide people friendly legal frameworkTribal Artisan communities/ Forest dependent:

R&D activities to allow them to access markets& develop new products, introduce best practices

Result: EFFICIENT & EQUITABLE OUTCOMEIndicator: Employment levels, Poverty alleviation, Resource situation

,(relevant sections)


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Recommendations

Supply

SUPPLY

(govt. land)

DEMAND POLICY & LEG. LIVELIHOOD

&ENV.

Resource

Inventorization and

Monitoring

Sustainable

Harvesting & BestCollection/Non

Destructive

Practices

Training of JSS

members

ScientificRegeneration

Handling the

phenomena of

gregarious

flowering effectively

Promoting the use

of bamboo and

bamboo products

in government

infrastructuredevelopment and

housing programs

Product Specific

R&D/ Designing/

Range through

design institutesMarketing

Strategy: Branding,

Certification and

Standard codes

Amend 1927 Act

MoEF should

declare BB a grass

Bamboo to be

clearly classified asNTFP and

regulations in

cutting, transport

and use of bamboo

should be relaxed

Orientation ofPeople on Tribal

Right Act in relation

to NTFP harvesting

and tenure rights

Creation of a

Bamboo Board

Integrating BB

based livelihood

options into poverty

alleviation

programs thattarget SC/ST popn.

like NREGA

Rehabilitation of

Plywood factories

using Bamboo as

raw materialExpansion of

Handicrafts and

Cottage & tiny

industry- bamboo

shoot production,

agarbattis etc


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Recommendations

SUPPLY

(pvt. Land)

DEMAND POLICY & LEG. LIVELIHOOD &ENV.

Managed

Plantations should

be encouraged

Suitable

agroforestry models

developed

Investment in

infrastructure to

attract pvt.

Investment

Establish NationalBamboo Institute

Promotional

Campaign

Market

Information System

Relaxation of

Taxation policies

Import Duty to be

levied on imported

pulp in the short

run

Credit madeeasily available for

SMEs

Govt to declare it a

horticulture crop

Farm grown

Bamboo trade &

transit rules need to

be abolished

Include BB as a

Plantation crop

wherever separate

laws exist

Remove landceiling restrictions

North East

converted into

Special Bamboo

Zone

BB to be included

under JFM program

and planted in

degraded areas

Explore BB as a

source of energy for

rural Households

Policy

Make BB eligible for

Carbon Credits

Scientific HarvestPolicy to apply to

pvt producers as

well


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Thank you!

1f bamboo pres final research 2009

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