Progress ReportProject: „bamboo processing for Sri Lanka“

UNIDO team April 2018

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UNIDO is UN specialized agency for ISID

• SDG 9: Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

• Thematic priorities• Creating shared prosperity,

• Advancing economic competitiveness

• Safeguarding the environment

• Strengthening knowledge and institutions

• Core functions• Technical cooperation

• Analytical and policy advisory services

• Standard setting and compliance

• Convening partnership

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PROJECT : Bamboo Processing for Sri Lanka

• Objective: To develop a bamboo supply chain and product industry in Sri Lanka leading to reduced global environmental impact from GHG emissions and a sustainable industry base

• Start : June 2012• End : May 2019• Mid term evaluation Nov 2016

• GEF funding: 2,3555,000

• Co financing planned: 21,297,000

• Total expected project budget 23,652,000

Progress report Nov 2017

Total realized Budget 2,355,000

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Project Outcomes

1. Assessment of existing policy framework, shortcomings and adoption of a supportive framework

2. Transfer of Bamboo reproduction technology – national capacity to provide bamboo planting material on a large scale

3. Plantations established to provide feedstock for bamboo industry

4. National know how to maintain bamboo plantations

5. Bamboo processing technology transfer to Sri Lanka

6. Biomass pelletising / briquetting / chipping technology transfer and development

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1. Policy Framework

Project outputs

1.1 Assessment of existing framework and shortcomings and adaption of a supportive framework

1.2 National policy adjustments supported

1.3 Land policy adjustments

1.4 Supportive policies and regulations on a local and regional level

1.5 Information on the project activities disseminated to the public and decision-makers

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Result: Comprehensive policy review

• Review of the National, Regional and Local Policy and Regulation Support for Bamboo

• Review of the National Land Use Policy

• New state policy

• National forestry policy

• National Strategy Planning

Recommendations

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Policy Framework finding and recommendation

• National policy framework is conducive to plant bamboo but raises problem for harvesting and transporting:

• It depends on the land type (ownership)

• It depends on harvesting and transport permit (administration procedures)

• Recommendations:

• Coordination Committee to assess how to ease the harvesting and transport permit

• Coordination Committee to review the existing Land Use Plans of Sri Lanka to see how Bamboo could be integrated to the relevant plans. Land Use and Policy Planning Department (LUPPD)

• Introducing bamboo in REDD+ would increase access to investment

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Policy Framework: follow-up

• Inter-ministerial consultation meeting under Prime-Minister’s Office

• Inter-departmental consultation on harvesting and transport authorization

• Review of the National Land Use Policy

• Need of mapping• Need to held a Symposium

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2. Bamboo Tissue Culture production (technology transfer)

Project outputs

2.1 Acquisition and installation of laboratory equipment for appropriate species

2.2 Functional laboratory and availability of high quality planting material for appropriate species

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Result: good portfolio of species, suitable for different climatic and soil conditions is available

Large Scale Lab tissue culture (TC)

• Lab of Mahaweli Authority produces 2 timber bamboo species (Dendrocalaums gigantheus and Dendrocalamus hookeri), plus several ornamental size bamboos.

• Private Lab (Euroasia agro pvt ltd) should have started to produce Dendrocalamus asper, and a dry zone species, Dendrocalamus strictus

• One entrepreneur imports dry zone species, of Bambusa balcoa in large numbers from TC cultivation from India

Conventional propagation

• A seed farm of the Agricultural Ministry produces 3 variants of bamboo (Dendrocalamus latiflorus, Bambusa oldhamii, Melocanna baccifera)

• Inclusion of bamboo into the training of community forestry FD projects

• Ruhuna University collects germplasm of priority species such as Dendrocalamus asper, Bambusa bambos and others, to study effective propagation and cultivation techniques

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Project outputs

3.1 Bamboo plantations established in unused land in the dry zone and wet zone

3. Plantation establishment

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Result: 700 Ha planted

Public Land

• 700 ha of land planned bamboo to provide biomass feedstock for 10 MW dendropower project

• Currently the largest area resource of planted bamboo exists along Mahaweli River system

Private Estate Land

• At least 5 plantation companies started planting - total of 700 ha of land

Farmer Land

• 65 ha of land for plantation from community group

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4. Plantation operation (know-how transfer)

Output

4.1 Economically sustainable, functional bamboo plantations running in currently unused dry lands and wet lands

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Result: 3 models of plantations for business

• In the Northern dry zone, a bamboo dendropower plantation is being set up under low precipitation conditions – high density plantation ;

• A tea estate in Galle district, cultivates Dendrocalamus latiflorus for the production of edible shoots – Planting density much lower under wet zone conditions and focus on quality of the shoots.

• The third strategy for plantation management, which is currently being set up is the scheme for plantation of bamboo as timber substitute.

• Ruhuna University develop methodology for planting intercropping system with tea, coconut, spices,etc..

Training material in local langage

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5. Bamboo processing equipment

Project outputs

5.1 Bamboo processing machinery for industrial use bought and installed

5.2 Establishment of bamboo flooring production capacity

5.3 Establishment of bamboo shoots by product industry

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Result: $600’000 in a revolving fund

• UNIDO Market study available

• Private sector invested modern hot press machinery and processes bamboo tea boxes

• Private company currently active in glue-laminated bamboo boards

• Provision of borax-preserved bamboo culms as construction material

• UNIDO Launched of call for proposals to receive loan up to USD 50’000 without interest to be reimbursed between 5 to 10 years, (potential 5 years of grace period for planting)

• 12 applications

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Bamboo Sri Lanka Imports

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Bamboo Sri Lanka Exports

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Result: bamboo flooring and shoots

• Bamboo flooring industry (partner of the project) went bankrupt

• Bamboo shoot industry: the planted Dendrocalamus latiflorus is by now fully yielding on a pilot planting of about 5 ha. Further marketing is needed and it could be scale up but investment decision has to be taken.

• Additional trials are underway for planting Dendrocalamus asper for edible shoot production.

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6. Pelletising, Briquetting, Chipping technology transferProject Outputs

6.1 Pelletising, Briquetting, Chipping machinery bought and installed for bamboo

6.2 Production of biomass pellets, briquettes, chips.

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Result: 10 MW dendro-power plant in Vavunia• bamboo based dendropower could add to the priorities of the

ministry of energy, since it has a higher yield potential than the currently promoted Glyricidia. Also intercropping of both species should be considered

• Ruhuna university is testing the potential of bamboo charcoal (low cost kilns) also for activated carbon or the fabrication of biochar

• Biochar is being promoted as soil amendment in the plantation industries. Private sector plantations are taking up this product. Fast growing bamboo, and processing waste from manufacture could be sustainable and responsible feedstock sources.

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Way forwards • Bamboo has the

potential for high value addition

• Income from planting bamboo only as energy crop is small compared to its potential

• therefore integrated proposals (material use and energy resuource) should be supported

• At all stage waste can be used for energy

Edible shoots: vegetables

Biomass material, energy, charcoal, pulp

Splits for glue-lminated board, flooring,furniture, timber substitute

Thin splits for weaving window blinds, table sets, chopsticks, toothpicks, agarbati sticks, handicraft

Twigs: brooms

Poles: construction material, fences, props (e.g. For banana cultivation, beans, vines etc.)

Leaf: livestock feed, mulch and vermi-compost, leaf extract, traditional medicine

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Questions ?

1. policy framework,

2. Transfer of Bamboo reproduction technology

3. Plantations

4. Bamboo management and harvesting

5. Bamboo processing

6. Bamboo in energy sector

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Way forwards component 3

• support commercial planting activities;

• The project will encourage nurseries at community level to support bamboo planting of smallholder farmers;

Revolving Fund Partnership

Joint implementation with other donor funded projects.

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Way forwards: component 4

•Additional technical assistance for some beneficiaries of the revolving fund

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Revolving Fund Partnership

• Mahaweli Development and Environment is encouraged to document lesson learn from plantations

• Boost bamboo in new circular economy model.

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Way forwards : component 6

• Several applications for the revolving fund have an element of bamboo for energy use, or for charcoal making included

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Revolving Fund Partnership

• New private sector partners are interested to invest in bamboo for dendropower.

• land availability and policy uncertainty to cut and transport is restricting their activity

• Potential for cooperation is also identified with the sugar processing industry