LAO PEOPLE’S DEMOCRATIC REPUBLIC

AN ENVIRONMENTAL IMPACT ASSESSMENT OF ADDITIONAL FINANCING FOR THE

SUSTAINABLE FORESTRY FOR RURAL DEVELOPMENT PROJECT

LAO PDR/THE WORLD BANWGOVERNMENT OF FINLAND (SUFORD-AF)

A REPORT PREPARED BY THE POST GRADUATE AND RESEARCH DIVISION

FACULTY OF FORESTRY, NATIONAL UNIVERSITY OF LAOS FOR THE

DEPARTMENT OF FORESTRY MINISTRY OF AGRICULTURE AND FORESTRY

OCTOBER 8,2008

46245

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

TABLE OF CONTENTS

LIST OF ABREVIATIONS AND ACRONYMS

1.

2.

3.

4.

INTRODUCTION AND BACKGROUND

1.1 Introduction

1.2 A B r i e f Overview Activities and Achievements under SUFORD

1.3 Objectives and Activities proposed f o r SUFORD-AF

1.4 Project Design

THE GOL LEGAL AND INSTITUTIONAL SETTING FOR SUFORD-AF

2.1

2.2

THE ENVIRONMENTAL AND RESOURCE MANAGEMENT SETTING IN THE NEW PROJECT AREAS

3.1 Environmental Conditions

3.2

3.3 Land Use and Tenure

ANALYSIS OF KEY ENVIRONMENTAL ISSUES AND IMPACT MANAGEMENT STRATEGIES

4.1

4.2

Changes in Forest Regulations during SUFORD

Roles and Responsibilities in SUFORD-AF implementation

Cultural Aspects o f Forest Resource Use

Criteria F o r and Selection o f New PFAs

M a j o r Project Issues and Recommended Management Actions

ANNEX I. CAPSULE DESCRIPTIONS OF SUFORD-AF PFAs

ANNEX 11. INFERRED OCCURRENCE OF MAMMAL SPECIES IN SUFORD- AF PFAs

REFERENCES

2

LIST OF ABREVIATIONS AND ACRONYMS

DAFES DAFO DOF EIA FIPD FMP FOMACOP GIS GOF GOL MAF NAFES NAFRI N B C A NGO NTFP OP PAFES PAFO PFA PMO PPT PRA PSFM RRA S IA SFM STEA SUFORD SUFORD-AF

TEK USD VA VDC VFA VFC WB wcs WWF

District Agriculture and Forestry Extension Service (or FSEW) District Agriculture and Forestry Office Department o f Forestry Environmental Impact Assessment Forest Inventory and Planning Department Forest Management Plan Forest Management and Conservation Project Geographical information system Government o f Finland Government o f Lao People’s Democratic Republic Ministry o f Agriculture and Forestry National Agriculture and Forestry Extension Service National Agriculture and Forestry Research Institute National Biodiversity Conservation Areas Non-governmental Organization Non-Timber Forest Products Operational Policy (of the World Bank) Provincial Agriculture and Forestry Extension Service Provincial Agriculture and Forestry Office Production forest area Prime Ministerial Order Project Preparation Team Participatory Rural Appraisal Participatory Sustainable Forest Management Rapid Rural Assessment Social Impact Assessment Sustainable Forest Management Science and Technology Agency Sustainable Forestry and Rural Development Project Sustainable Forestry and Rural Development Proj ect-Additional Financing Traditional ecological knowledge United States Dollar Village Administration Village Development Committee Village Forestry Association Village Forestry Committee World Bank Wildlife Conservation Society World Wide Fund for Nature

3

AN ENVIRONMENTAL IMPACT ASSESSMENT OF ADDITIONAL FINANCING FOR

THE SUSTAINABLE FORESTRY FOR RURAL DEVELOPMENT PROJECT (SUFORD)

1. INTRODUCTION AND BACKGROUND

1.1 Introduction

SUFORD, a cooperative project between the World Bank and the Governments o f Laos and Finland, has been under implementation since February 2004, and currently operates in 8 Production Forest Areas (PFAs) in Southern Laos. SUFORD was originally scheduled to conclude in December o f 2008, however, in view o f the substantial progress the project has made since i t s mid-point, the three partners (WB/GOF/GOL) are examining the possibility o f extended support for three years through the World Bank’s ‘Additional Financing’ mechanism (World Bank Operational Policy 13.20).

During original project inception and preparation in 2001, SUFORD was determined to be a Category A project under WB Operational Policy (OP) 4.01. This meant that i t was subject to a detailed Environmental and Social Impact Assessment (ESIA), which was subsequently completed in September o f 2002 (Dick and Williams 2002). Likewise the Bank’s operational policy decrees that environmental and social impact assessments must be carried out for the continuation o f a project under “Additional Financing” to cover issues that may have arisen during project implementation and new issues associated with project extension. This Environmental Impact Assessment (EIA) report and the separately-prepared Social Impact Assessment (SIA) report (Chamberlain et aZ2008) are intended to fulfill the World Bank’s requirements under OP 4.01. Taken together, these two reports should be considered as supplemental to the original 2002 ESIA, covering environmental and social aspects that may arise during the implementation o f SUFORD- AF .

1.2 A Brief Overview of Activities and Achievements Under SUFORD

SUFORD i s the main pillar o f World Bank/GOF engagement in forestry in Lao PDR and focuses on sustainable management o f natural production forests. SUFORD has been under implementation since February 2004. The current closing date i s December 31, 2008. The project i s financed until December 2008 through an IDA Credit o f US$9.9 mi l l ion with parallel financing from GOF in the amount o f EUR8 million. SUFORD currently operates in 8 Production Forest Areas (PFAs) in Champasak, Khammouane, Savannakhet, and Salavan. The development objective o f the project i s to achieve the sustainable management o f natural production forests to alleviate rural poverty. Specific project objectives are to:

4

(a) Improve the policy, legal and incentive framework enabling the expansion o f Participatory Sustainable Forest Management (PSFM) throughout the country;

(b) Bring the country’s priority natural production forests under PSFM; and (c) Improve villagers’ well-being and livelihoods through benefits from sustainable

forestry, community development and development o f viable livelihood systems.

The project has been comprehensive in scope and designed along the following four components:

(a) Support Services o f Sustainable Forest Management; (b) Sustainable Forest Management and Village Development; (c) Forest Sector Monitoring and Control; and (d) Project Management.

Field implementation o f SUFORD has covered about 640,000 ha o f natural forests in Khammouane, Savannakhet, Salavan and Champassak provinces, including 270 000 ha o f the previous FOMACOP and JFM project sites. Project areas contain about 412 villages and an estimated population o f between 100,000-1 05,000 villagers, most o f whom benefit either directly or indirectly from the project. A special attempt has been made to target the poor, and village development support has been adjusted in many cases to account for different levels o f poverty. The majority o f the project beneficiaries live in remote districts, where the percentage o f the population rated as “poor” i s higher than the national average.

The project has also contributed to in situ biodiversity conservation through the maintenance o f natural forest composition and structure, through the establishment o f “high conservation value forests” within PFAs, and through creating buffers around and connectivity between National Biodiversity Conservation Areas (NBCAs). Sustainable management o f production forest areas has entailed management o f all resources: commercial timber; household wood; botanical NTFPs; biodiversity; and environmental services provided by the forest landscape. Forest management and control systems sufficient to achieve init ial forest certification by Forest Stewardship Council (FSC) have been established, though as will be discussed later in this report, these systems will require additional emphasis during the proposed extension to be considered fully effective.

1.3 Objectives and Activities proposed for SUFORD-AF

Considering SUFORD’ s implementation successes and GOL’s obvious commitment, the World Bank and GOF are prepared to provide further support to the project. ”Additional Financing” (under Wor ld Bank Operational Policy 13.20), i s an instrument that provides additional IDA resources (on IDA grant terms), and allows for a project extension o f up to 3 years after the current closing date. IDA resources will be complemented by GOF grant resources, which will be governed by bilateral agreement between the Governments o f Finland and Lao PDR.

5

SUFORD-AF i s proposed to extend project implementation into five new provinces (Xayaboury, Vientiane, Bolikhamxay, Sekong, and Attapeu) and include 8 new PFAs with a total area o f 539,630 ha. About 438,660 ha i s intact forest, and o f this about 352,150 ha i s on slopes that are potentially harvestable. An estimated 329 villages with a population o f 150,000 will be potential participants and beneficiaries in the project.

Given that the implementation period i s limited to three years, and in light o f limited capacity at sub-national levels, the project will have to carefully prioritize a set o f project activities that can be implemented within the given timeframe to achieve the intended outcomes. Upon completion o f the project extension, a future agenda for the forestry sector in Lao PDR should come into clearer focus and be considered for longer-term implementation.

1.4 SUFORD AF - Design

Component 1. Support Services for PSFM

This component will support the further consolidation and completion o f the regulatory and policy framework defining the national production and protection forest estate o f Lao PDR and for the implementation o f PSFM. It will support DOF to be an effective leader in forest policy formulation and implementation and strengthen government capacity to provide forest management services at national, province, district and village levels. This component will consist o f four sub-components, each with a specific set o f proposed activities:

Sub-component 1. Sectoral Policy and Regulatory Reform. This sub-component will support: (i) inter-sectoral conferences and working groups that involve the PMO, MAF , MOIC , M O F to complete and apply inter-agency agreements on transparent competitive log sales, wood pricing procedures, and fair benefit sharing and revenue transfer systems; (ii) annual consultations o f Government on the determination o f sustainable yields and the conduct o f logging and timber sales, including infrastructure-related logging; (iii) National Forestry Policy Conference; and (iv) a sector-wide economic analysis to determine the long-term economic sustainability o f the PSFM approach to production forestry based on equitable benefit sharing.

Sub-component 2. Establishment o f the National Production Forest Area System. The forests o f Lao PDR are classified into three categories: National Biodiversity Conservation Areas (NBCAs), Production Forests, and Protection. While a system o f NBCAs has already been established a few years back and the formal establishment and operation o f the national PFA system i s expected to be completed soon, this sub- component will expand policy support to the init ial formulation o f a regulatory framework, procedures, guidelines and criteria for the establishment o f a nationwide Protection Forest System and management approaches under the overall forest land allocation process.

6

Sub-component 3. Strengtheninp o f PSFM Capacity. This will support: (i) the expansion o f the country-wide permanent-sample plot system and growth and yield studies for important timber species; (ii) studies on the properties and marketing o f lesser-known timber species and non-timber forest products; (iii) reduced impact logging; (iv) forest certification in the context o f ASEAN cooperation; and (v) research on new management models for the diverse forest types occurring in new project areas such as Mixed Deciduous and Dry-Dipterocarp forests.

Component 2. SFM and Village Development

This project component will provide support to GOL’s dual forest policy goals o f instituting sustainable forest management on priority natural production forests and o f improving the livelihood o f forest-dependent communities. Thus the component comprises two closely related themes: participatory forest management and village development. Though these two themes will be carefully integrated during field implementation, the activities they entail are sufficiently different that they are presented in project design as separate sub-components. Implementation o f this component will be geographically expanded based on the existing and proven PSFM practices from currently four provinces (Khammouane, Savannakhet, Salavan and Champasak) to an additional five provinces (Attapeu, Sekong, Bolikhamxay, Vientiane and Xayabury). In total, the project will include 16 PFAs covering a total area o f approximately 1.3 mi l l ion hectares and 600 villages.

Sub-component 1. Participatorv Sustainable Forest Management. Under the PSFM sub- component, the project will provide goods (vehicles, computers, satellite images, and field equipment), incremental operating cost, and training for the preparation and implementation o f PFA management plans and sub-FMA annual operation plans and for strengthening PSFM capacity o f provincial and district Forest Management Units and villagers. In existing project PFAs, support will be limited to providing incremental operating cost and focused on deepening and consolidating capacity to routine operations, while investment support will be directed at the new project areas to build basic implementation infrastructure and focus on land use and forest management and operational planning, capacity building, and piloting o f harvesting operations towards the end o f the Additional Financing period. Sub-component implementation will apply the detailed guidelines and steps laid out the in PSFM Operations Manual.

Subcomponent 2. Village Development. Under the Village Development sub- component, the project will continue to finance incremental operating cost and training for provincial and district staff and villagers for the preparation o f village development plans and provide for Village Development Grants for the implementation small-scale village infrastructure and income generating activities. Implementation o f VD grants will be embedded in the PSFM approach and guided by the project Village Development Manual.

7

Component 3. Forest Sector Moni tor ing and Control

This component will support the implementation o f an efficient and comprehensive forest monitoring and internal and external control system as well as independent forest management certification. The component will provide for technical assistance, workshops, specialized training, equipment (computers, vehicles, field tools, office infrastructure, I T soft- and hardware), incremental operating cost and allowances, and forest management auditing services. The component consists o f four interrelated sub- components:

Sub-component 1 : Forest Cover Monitoring. This sub-component will build on existing work o f FIPD and the recent forest cover surveys and will include: (i) training for FIPD staff in forest cover monitoring based on newly available satellite imagery (ALOS) and point sampling interpretation to compare most recent forest cover changes for selected ‘hot spot’ provinces; and (b) the development o f a comprehensive technical design for an integrated forest inventory and cover monitoring and data management system. This design will take the needs and requirements for monitoring forest cover, forest quality, biomass, and forest carbon stocks into consideration to provide inputs into the REDD process. Implementation o f such system may be financed separately under FCPF or by other interested donors.

Sub-component 2: Internal Control and Management Information System. This sub- component will support the development o f an internal control and reporting system covering forest management operations, conduct o f timber sales procedures, and revenue flows. It will support the formulation o f management standards to be attained in routine operations and the development o f guidelines and protocols for internal control procedures, including field inspections and analysis, monitoring o f corrective actions implementation to improve compliance with such standards, and clarification o f staff responsibilities at all levels. It will also support the further development o f a management information system (MIS) where all forest management and timber sales information i s stored along with internal control information for decision-making purposes. This sub-component will be closely integrated with sub-component 3.3.

Sub-component 3 : Regulatory Compliance Monitoring and L a w Enforcement. This sub- component’s principle focus i s the development o f the capacity to monitor and enforce compliance with regulations, standards, management plans, and approved permits and contracts. This sub-component will build basic capacity in the Department o f Forest Inspection (DOFI) to become - in partnership with other agencies - effective in preventing, detecting and suppressing crime across the range o f forest landscapes and forest products supply chains. Project activities will include: (i) Intelligence Systems Development, such as the establishment o f information tools and capacity to manage and disseminate law enforcement intelligence; formulation o f “red flag” indicators; development o f a Case Tracking System; case management and handling; and procedures for disseminating intelligence to other law enforcement agencies and policy making

8

authorities; (ii) Interaaencv Agreements and Omrations to develop partnerships and engage with other law enforcement agencies (e.g. Customs, Economic Police, the Bank o f Lao PDR Anti-Money Laundering Unit, etc.) in their appropriate roles in forest law enforcement. A specific focus will be the development o f arrangements with DOF with regard to divisions o f labor and protocols that conform with the mandates o f each agency; (iii) Forest Law Enforcement Trainina and Public Awareness, including specialized training to DOFI and DOF (and other agency) staff at national, provincial and district levels, and development and dissemination o f public awareness material for the general public and private sector audiences (such as forest industry and agro-industry and mining enterprises) on Lao forest law and law enforcement policies; and (iv) Forest Law Enforcement Stratem, entailing the integration o f project experiences and from other sources and the formulation o f a long term and formally endorsed strategy for forest law enforcement in Lao PDR.

Sub-component 3.4: Independent Management Certification. This sub-component will cover the cost associated with the maintenance o f the Forest Stewardship Council (FSC) group certificate held at the DOF and the expansion o f the pool o f certified sub-FMAs in project areas attaining PSFM standards.

2. THE GOL LEGAL AND INSTITUTIONAL SETTING FOR SUFORD-AF IMPLEMENTATION

2.1 Regulatory Changes during SUFORD

Several pertinent regulations have been issued, some with considerable technical support from SUFORD, since project inception in 2002. These are, in chronological order:

Decree on Sustainable Management of PFAs. (No.59/PM, Vientiane 22/5/2002).

This Decree covered the identification, establishment, planning, management and harvesting o f Production Forest Areas (PFA) and the key principles for monitoring the implementation o f sustainable forest management on PFAs throughout Lao PDR. It further covered the duties and functions o f relevant government agencies (MAF, PAFO, DAFO), local authorities and villagers in participatory management o f PFAs.

Procedures for transparent, competitive log sales “to maximize revenues for Government and villagers were defined, including a provision that village forestry representatives shall participate in log-sale decisions on an annual basis. Revenues from log sales were to be distributed to the national budget, the forest development fund, forest operation costs, and to local development funds. The proportions to be managed and used for each purpose were to be determined by the Prime Minister on recommendations from the Ministry o f Finance.

MAF was instructed to develop specific regulations for a forest monitoring and control system governing implementation o f long-term management and annual operational

9

plans, forest management agreements and forestry activities in a PFA. STEA was to have an oversight function, monitoring forest condition and environment in PFAs in collaboration with MAF.

Finally, the decree made provisions for rewards for exemplary performance in forestry, and established procedures for regulatory enforcement and dispute resolution.

Decree on Industrial Tree Plantations and Environmental Protection. (No. 96/PM, Vientiane 11/06/2003).

This decree promoted the planting o f industrial fibre plantations o f fast growing indigenous and exotic species, and the planting o f trees for land re-greening and environmental protection. MAF i s to coordinate with local authorities to select and survey areas o f “barren land, degraded forest, vacant land and secondary forest for such plantations. Technical assistance and financial incentives are to be provided to encourage plantation development.

Regulation on Establishment and Sustainable Management o f Production Forests. (No. 0204/MAF, Vientiane, 30/10/2003).

This regulation appears to be a further elaboration o f Prime Ministerial Decree 59 o f 2002 in that it defines principles and procedures for establishing PFAs and instituting sustainable forest management “on PFAs throughout the country”. It refined the criteria for PFA selection given in Decree 59 (See Section 5.2 for a more detailed description o f PFA criteria), and provided direction on both the preparation o f PFA Management and operational plans and on important management activities within the PFA (boundary demarcation, timber harvesting, forest regeneration, biodiversity conservation and NTFP management). This regulation provided much more detailed direction for timber sales: PAFO i s to coordinate the process with Commerce, Finance, FMU staff and VFCs, bidding shall be competitive and transparent, and a floor price will be established for the bidding. Benefit sharing after royalty payment shall be disbursed according to the Budget Law the following manner: 30% to the national budget as an additional royalty payment and the remaining 70% shared 20% to the forest development fund, 25 % to operational costs and 25% to village development accounts. The final sections o f the regulation deal with internal monitoring and control, roles and responsibilities o f participants, and incentives, enforcement penalties and conflict resolution.

Order on Increasing Control in Forest Management, Conservation, Wood Business and Promoting Production of Finished Wood Product in the Processing Industry. (No. 31/PM Vientiane, 23/08/2006).

This order was a response to the report on the assessment o f forest change between 1992 and 2006 (MAF 2005). After a preamble outlining the causes o f the negative changes in forest cover and forest quality, the President directed that:

more effort be directed into public education campaigns on the value o f forest resources, biodiversity and forest services;

0

10

MAF press forward with plans to implement participatory sustainable forest management (PSFM); log sales through competitive bid would henceforth be open only to members o f the Lao Wood Industry Association; factories that are confirmed to produce finished products o f an acceptable standard for domestic and export markets shall receive priority in timber allocations; harvesting plans for infrastructure development (Nam Theun I1 and Xekhaman) should be expedited; MOIC i s to collaborate with MAF to develop criteria and programs for the downsizing and consolidation o f wood processing capacity; Priority attention should be paid to the detection o f forest crime and the punishment o f offenders; determine more effective ways to control the allocation o f wood for domestic purposes (house building and repair); no harvesting permits shall be issued on any forest area unless a pre-harvesting inventory has been completed and approved; and anyone, private citizen or government official, who violates forest law shall be punished to the full extent o f the law and any materials or benefits obtained through illegal acts shall be confiscated.

Order Regarding the Enhancement o f Forest and Timber Business Management for the Year 2007-2008. (No. 31/PM, Vientiane, 17/08/2007).

This i s an exhaustive l i s t o f orders and directives from the Prime Minister to Ministries involved in the forest sector. Among the most important o f these are:

all Ministr ies and organizations must place more emphasis on information dissemination and public education programs on forest management and the wood processing industry, the need to obey forest and natural resource laws, and the consequences o f violating the laws; senior officials at a l l levels o f government shall promote the government’s direction that forest conservation and rehabilitation i s the country’s primary forest management objective, and that harvesting and use must take second place to resource sustainability; the approved timber harvesting plan for 2007-2008 sets a harvest volume o f 150,000 m3, apportioned as follows: 20,340 m3 for domestic needs, 57,560 m3 for infrastructure and government debt, 57,560 m3 for wood processors and 14,540 m3 in reserve; MAF must develop and pilot projects for the participatory management o f protection and conservation forests; a process must be establish to control and permit proposals for the establishment o f domestic and commercial plantations; land concession rates must be revised and a process established to monitor and assess the performance o f tree and crop concessions and recommend improvements to the system;

11

MAF will be the centre o f coordination to implement land allocation programs to reduce or prevent slash and burn cultivation; all aspects o f the wood stream - timber harvesting, transport, trading and processing - shall be subjected to rigorous compliance monitoring and law enforcement through increased check-points, and increased patrols and inspections; wood harvesting will be allowed in PFAs only where an inventory has been conducted and an approved sustainable forest management plan i s in place - where these conditions are not met, harvesting i s strictly prohibited; MOIC must expedite the program for rationalizing the capacity o f the wood processing industry; and MAFF must strengthen i t s commitment to enforce all aspects o f forest and natural resource law, and prosecute those who carry out illegal acts.

Wildlife and Aquatic Animal Law (NO. 07/NAS, Vientiane, 24/12/07).

This new act, to be administered by MAF, covers a whole range o f activities and issues relating to wildlife management and use including the:

definition o f various categories o f wildlife to establish protection and management priorities; development o f wildlife inventories, information management systems, species and habitat management plans, and research and education programs; regulation o f zoos and captive breeding programs; regulation o f recreational and subsistence hunting, wildlife trade and other forms o f wildlife use; definition o f the rights and obligations o f wildlife users; description o f illegal and prohibited acts; roles and responsibilities o f management agencies within MAF, DOF, PAFO and DAFO; roles and responsibilities o f MAF agencies in compliance monitoring and inspections and enforcement o f the law and regulations; and range o f penalties (fines and court prosecution) for regulatory violations.

NOTE: A satisfactory translation o f this law i s not yet available

Forestry Law (No. 06/NAS, Vientiane, 24/12/07).

This new law supersedes the Forestry Law 13NA o f 9/11/2005. It i s organized in the following XI1 chapters.

Chapter I: General Provisions Chapter 11: Forest Categories Chapter I11 : Forestry Activities Chapter IV:. Forestland Chapter V: Scope O f Preservation And Development

12

Chapter VI:

Chapter VII: Chapter VIII: Chapter IX: Chapter X: Chapter XI:

Chapter XII:

Rights And Obligations O f Natural Forests, Forest Plantations And Forestland Users Prohibitions The Management And Inspection O f Forest And Forestland Areas Settlement O f Conflicts National Arbor Day, Uniform, Logo And Seal Rewards For Persons With Outstanding Performance And Measures Against Violators Final Provision

Chapter I: The objective o f the law i s to define the basic principles, regulations and measures on inventory, management planning, sustainable management, protection, development and utilization o f forest resources and forest land. Natural forests are the property o f the national community as represented by the government. Use can be allocated to individuals or organizations in accordance with established regulations. Conservation and maintenance o f forest resources for watershed protection, biodiversity, forest services and the livelihood o f local peoples i s the primary objective o f sustainable forest management.

Chapter 11: Categories o f forest land are defined as: Protection Forest (watershed, soils, environmental services). Conservation Forests (biodiversity); and Production Forests (timber and non-timber resource production).

Chapter 111: Defines and describes approved forestry activities, which include forest inventories, zoning, classification, planning, regeneration, development, management, environmental resource protection, biodiversity conservation and harvesting o f wood and non- wo o d products . Chapter IV: Defines in detail the management, preservation and utilization o f forest land. Forest land in Lao PDR i s classified into three (3) categories for the purpose o f management: Protect ion Forest land, Conservation Forest land and Production Forest land. These 3 categories o f forestlands cover o f the regeneration forestland, dry forestland, degraded forestland or barren forestland and village use forestland. The chapter defines also the Development o f forestland. The Ministry o f Agriculture and Forestry i s authorized to develop forestland by creating a coordination mechanism between sectors concerned, local administration authorities and all parties in the society including people to take part in forestland development by formulating policies, methods and measures related to preservation, improvement and rehabilitation o f land to be in better condition with higher values and maintaining a healthy forest ecosystem.

Forest utilization i s regulated according to the Categories o f forestland utilization. Forestland utilization in the Lao PDR i s divided into three categories: utilization for public benefits, utilization for households, and utilization for business operations.

The chapter further defines procedures regarding conversion and lease o f forest land.

13

Chapter V: Defines scope o f preservation and development o f forest at the central, local and household level, including articles defining allocation o f forest land, and ownership o f forests and trees.

Chapter VI: Defines the rights and obligations o f users o f forest resources and forest-land and the conditions under which such rights may be revoked or terminated.

Chapter VII: Defines activities and measures which are prohibited including prohibited acts by civ i l servants and forestry officers such abuse, bribery, and prohibited behaviour by businessmen and organizations and public.

Chapter VIII: Establishes the organization for management and inspection o f forest land and defines the respective roles, responsibilities and qualifications o f MAF, DOF, PAFO, DAFO, VFCs, forest inspection organization (Note: later to become DOFI).

Chapter IX: Settlement O f Conflicts

Chapter X: Defines on National Arbor Day, Uniform, Logo And Seal.

Chapter XI: Defines rewards, measures against violators, educational measures, disciplinary measures, fines, c iv i l measures, and penalties

Chapter XII: This law replaces the Forestry Law, No. 13/ NAY dated 9 November 2005.

3.2 Roles and Responsibilities for SUFORD-AF Implementation

Several recent administrative changes have been effected by the GOL that will influence and facilitate SUFORD-AF project implementation. In summary these changes are as follows (SUFORD-AF 2008a).

0 Project implementation will be the responsibility of: Department o f Forestry (DOF) through the National Project Office (project coordination and management, procurement, financial management, and monitoring and reporting) at the national; Provincial Forestry Sections (PFS) in P M O S at the provincial level; and D A F O D F M U s at the district level. The PSF will be under the direct supervision o f DOF.

0 DOF will coordinate and facilitate the constructive participation o f the other implementing agencies: Department o f Import and Export o f the Ministry o f Commerce and Industry (MOIC), and NAFES.

0 PFS will be responsible for coordinating inventory, planning management and development o f PFAs.

14

0 DAFOs will continue to be the core organization responsible for operational implementation o f PSFM activities.

NAFES will continue to provide national level guidance, support and training to village development activities and exercise an oversight function through i t s Rural Development Division. Responsibility to deliver technical and support services to, and provincial oversight of, VD field implementation will be transferred to the Planning Section o f PAFO (because PAFES i s no longer operational). DAFO will provide on-the-ground technical assistance to local people in village development.

0 MOIC authorizes the operation and establishment o f finished wood processing facilities on the basis o f confirmation o f the level o f sustainable wood supply by MAFF. M O I C governs the activities o f the commercial forest sector and will be responsible for rationalizing processing capacity with current and long-term sustainable wood supply. In terms o f SUFORD, M O I C has the responsibility for timber pricing and for establishing and administering the competitive bidding system for logs at the second landing.

0 The Department o f Forest Inspection (DFI) and the Provincial Forest Inspection Services have the responsibility to enforce forest laws and regulations through monitoring and inspection o f timber harvesting operations, log transportation activities and timber processing facilities. DFI works closely with police, customs services, the army, state prosecutors and the courts to detect forest crime and punish violations.

0 External organizations collaborating with DOF in the PSFM process are the Lao Woman’s Union (LWU), Lao National Front for Reconstruction (LFNR), Lao Wood Industry Association and the Faculty o f Forestry, National University o f Laos.

3. IN THE NEW PROJECT AREAS

THE ENVIRONMENTAL AND RESOURCE MANAGEMENT SETTING

3.1 Environmental Conditions

Togo graphy

Lao PDR comprises three major physiographic units: the Northern Highlands; the foothills and mountains o f the Annamite Range; and the lowlands o f the Mekong Plain. The existing SUFORD PFAs primarily occupy the Mekong lowlands, encroaching only marginally into the lower Annamite foothills in eastern Salavan. O f the FMAs proposed for SUFFORD-AF, those in the north-central provinces Vientiane (Nongpet Naxeng and Phouvouy) and Xayaboury (Phouphadam) occur in the Northern Highlands while those in the southern provinces Attapeu (Banvilay, Nampa Houyi), Sekong (Huay Pen), and

15

Bolikamxay (Paxang and Pakbouak) occur in the complex topography o f the Annamite foothills.

The Northern Highlands consist o f rugged hill topography ranging generally between 400 and 2000 m in elevation, with a few isolated peaks over 2000 m. Most o f the main massifs, containing the highest peaks, are in the southern part o f the region. Elevations in the project areas range from 400 to 700 my with peaks up to1200 m in Xayaboury, and 450 to 750m with heights up to 1750 m in Vientiane. All project areas in the northern highlands drain to the Mekong River.

The Annamite foothills consist o f rolling uplands between 200 and 600 m elevation, which form the transition between the Mekong lowlands and the higher Annamite mountains and plateaus. Elevations in project areas vary between 300 and 600 m with occasional heights to 1300 m in Attapeu and Sekong, and from 500 to 700, with occasional heights to 1600 m in Bolikhamxay. These uplands are dissected by Mekong tributaries flowing westward from the mountains.

Geologic formations in both areas include sandstones and siliceous mudstones and siltstones, with scattered inclusions o f acidic metamorphic rocks (schist and gneisses) and calcareous l ime stones.

Climate

Tropical monsoon climates generally occur between 10' C and 22' C o f the equator and dominate large parts o f Indochina, including all o f Laos. The distinct seasonality o f the climate i s caused by moist, warm, tropical maritime air masses flowing on-shore at times when the s u n i s overhead, and dry continental tropical or sub-temperate air masses flowing off-shore at times o f the year when the sun i s lower in the sky. The annual passage o f the sun back and forth between the Tropics o f Capricorn and Cancer determines the timing o f rainy and dry seasons. Thus in Laos, the maritime, southwest monsoon brings rain from mid-April to October and the continental, northeast monsoon brings dry conditions from November to March. Total annual rainfall in Laos varies from over 3000 mm on windward slopes o f the Bolaven Plateau and Annamite Mountains in the south to less than 1500 mm in the more arid lowlands o f northern and central areas, depending on location, elevation, and mountain "rain-shadow" effects. Lowlands o f the project area generally receive 2000-3000 mm annual rainfall with a 4-5 month dry season, while uplands receive 2500-4000 mm with a 2-3.5 month dry season. Temperatures at l ow elevation vary l i t t le throughout the year with mean annual maximums between 30-32' C and mean annual minimum temperatures between 20-22' C. Upland and mountain are cooler, with mean temperatures decreasing with elevation by about 0.6' C per 100 m.

The following section provides a simple and brief overview o f the dominant soil orders and some o f the important sub-orders occurring in and around SUFORD-AF project

16

areas. For simplicity in the following discussion, soil orders are shown in bold, sub- orders are underlined and other synonymous names are shown in (brackets).

Ancient, highly weathered, acid, infert i le soils: Ultisols

Ultisols (acrisols, red-yellow podsols) are the dominant red-yellow soils o f humid, tropical Asia, generally derived from acidic or neutral sedimentary and metamorphic rocks, and comprising the vast majority o f soils currently remaining under lowland forest cover in the region. Physical properties are generally good, but chemical properties are very poor and include: l o w pH; aluminum toxicity; deficiencies o f phosphorus, potassium, calcium, magnesium, sulphur, zinc and many micro-nutrients; and low cation exchange capacity (which means they have a high leaching potential). They are deep, friable, well-drained soils with a marked increase in clay content with depth and are extremely susceptible to erosion.

Youthful soils: Inceptisols and Entisols (Regosols)

Inceptisols are young soils o f sufficient age to have developed distinct A, B and C horizons through leaching. The two most common sub-orders o f Inceptisols in project areas are likely to be Andepts and Tropepts. Andepts (Andosols, Volcanic Regosols) are derived from volcanic ash. They generally have excellent fertility (especially calc- alkaline volcanics) and physical properties. Throughout the region they have been converted to permanent agriculture, on all but the steepest slopes. Tropepts (Cambisols, brown forest soils) are well-drained soils that usually occur either at higher elevations or in areas with a distinct dry season, and thus have higher fertility because they have not been subject to the same degree o f leaching and nutrient loss as soils in hotter, perhumid climates. Many o f these soils have been converted to agriculture wherever slopes are favorable: for subsistence, rain-fed production (upland rice, maize and millet); for intensive agriculture where irrigation i s feasible; or for perennial tree-crops.

Entisols are soils o f such recent development, or continuing deposition, that they do not show any significant vertical differentiation. The most important regional sub-orders o f Entisols are Fluvents and Orthents. Fluvents (Fluvisols) are well-drained, actively- accreting alluvial soils not subject to water-logging or prolonged inundation. They are the most highly productive soils in the tropics along with Andepts, and are important both to agriculture and in supporting riparian gallery forests that are critical food sources for native stream and river fish. Orthents (Lithosols) are shallow colluvial soils on steep slopes derived from bedrock weathering. Depending on the nature o f the underlying bedrock they can be quite fertile, however, their shallowness, steepness, erodibility and droughtiness constrain their productivity. They have been successfully and sustainably farmed for centuries under l o w intensity traditional swidden farming systems.

Soils with high base status: Alfisols and Mollisols

These three orders contain soils o f moderate to good fertility that are high in bases such as calcium and magnesium. Alfisols (Luvisols, Eutric Nitosols, Altisols, Terra Roxa) are

17

soils derived from the long weathering o f older, base-rich rocks. They are deep, well- drained, red-yellow soils that look much l ike Ultisols in appearance but, because o f their high base-status, are neither acidic nor infertile. They often cannot be distinguished from Ultisols except by chemical analysis, but are known and valued by indigenous cultivators. Mollisols (Chernozems, Rendzinas) are fert i le soils, similar to temperate grassland soils that are usually associated with limestone rock formations. Productivity i s limited by shallowness, steepness and erodibility.

Laos has considerable soil variation, spanning an array o f soil types that have vastly different inherent productivity and capacity to respond to cultural inputs. Some are amenable to sedentary agriculture while others are not. In particular, the dominant soils o f the tropics, such as those derived from ancient, neutral to acidic sedimentary and metamorphic rocks, are not capable o f sedentary agriculture without serious site degradation and disruption to indigenous food security. These soils have been farmed sustainably for centuries by traditional rotational agricultural systems, many o f which are environmentally sound and ecologically appropriate. The focus o f improved agriculture on such soils should not be on curtailing rotational cultivation. Rather the emphasis o f land use planning, zoning and allocation should be on:

0

0

ensuring adequate land zonation for agriculture to allow safe, sustainable rotations (minimum 7-1 0 years); incremental improvements to agricultural practice to moderate the length o f the fallow recovery period and improve residual fertility (thus reducing the total amount o f land needed); and low-intensity perennial cropping for food, fodder, NTFPs and cash crops on land under fallow.

0

The one country in the world that has made major progress in building on the inherent strengths and knowledge o f traditional, upland, rain-fed, swidden agriculture i s Mexico and there i s much that could be learned in Southeast Asia from a closer examination o f the Mexican experience.

Major Forest Zonation

Many o f the project areas (existing and new) have high significance for terrestrial ecosystem conservation because o f significant forest diversity. Lowland rainforests are the most threatened forests in Laos (and most o f Southeast Asia), due to their easy conversion to permanent agriculture, and their accessibility for logging, huntings, NTFP extraction, and road-construction. FIPD land classification maps show that the original SUFORD project areas contain a mix o f lowland semi-evergreen forest, dry Dipterocarp and riverine wetlands, while the proposed SUFORD-AF project areas are dominated by mixed deciduous forest, dry Dipterocarp forest, and savanna forests at lower elevations and Lower Montane forests on upper slopes. Three o f these habitats are weakly represented in the Lao N B C A system: semi-evergreen, dry dipterocarp and wetlands [Berkmiiller, 19951. They are priorities for conservation and wise management wherever they occur in project areas. The most important are the semi-evergreen forests and

18

wetlands, but dry Dipterocarp (along with mixed deciduous) forests are becoming a priority because o f the mistaken impression that they are “degraded” and thus candidates for conversion. The following section presents a brief description o f major forest formations in SUFORD and SUFORF-AF based on nomenclature employed by Whitemore [ 19901 and Rundel [2001].

The boundary between evergreen and semi-evergreen rainforest i s difficult to delineate and thus most forest statistics lump the two. However, there are important ecological differences. Lowland evergreen rainforest i s the most luxuriant and complex o f all plant communities. The main tree canopy regularly achieves a height o f 45 m or more. These forests are characterized by tremendous species diversity, often containing as many as 10,000 plant species and 1500 genera. True evergreen rainforest in Laos i s confined to escarpments o f the Bolaven Plateau and windward slopes o f the Annamite mountains; areas with over 2500 mm o f precipitation annually and a 1-2 month dry season. These forests are dominated by the family Dipterocarpaceae, the most common genera o f which are Shorea, Dipterocarpus, Anisoptera, Hopea, and Vatica. Semi-evergreen rainforest occurs as a transitional belt between evergreen rainforest and seasonal (monsoon) forests (see below). It occurs in areas o f the Mekong lowlands and uplands with annual rainfall between 1400 and 2600 mm and a 2-5 month dry season. There i s somewhat less species diversity, a slightly more open canopy and a somewhat smaller stand structure than in evergreen rain forests. In addition to the Dipterocarp genera noted above, deciduous trees such as Walsura, Lagerstroemia, Irvingia and Koompassia may comprise up to one third o f the upper canopy, and the lower canopy may contain genera normally characteristic o f drier forest formations such as Albizia, Pterocarpus, Dalbergia, Diospyros, Sindora and Tetrameles. Semi-evergreen rainforest constitutes the richest lowland forests in the current SUFORD PFAs.

Seasonal forests, or monsoon forests as they are more commonly known in Asia, are more or less open-canopied formations growing in areas with a distinct dry season (usually more than three months with rainfall less than 60 mm) and generally at elevations below 800 to 1000 m. Distinct dry seasons may be the result o f either macro- climatic air movements or topography where “rainshadows” occur in the lee o f mountains. Different formations occupy habitats o f increasing drought severity, but there i s a complex interaction between local variations in rainfall, soil moisture and soil texture. This mosaic of ecosystems has been made even more complex by the actions o f human cultivation, livestock grazing and regular, usually anthropogenic, fire. In fact, f i re has exerted such a dominant, historic influence over the composition and structure o f many o f these forests that they are often termed “fire-maintained” forests. For purposes o f this discussion, monsoon forest will be considered to fa l l within three broad types: mixed deciduous forest, dry Dipterocarp forests, and savanna woodlands. These may be artificial differentiations, since there does not always seem to be well-recognized boundaries between the three types. Nor i s it often possible to separate climatic climax monsoon forest from fire-maintained edaphic climax forests or degraded forests. This creates significant interpretive problems in forest-change mapping programs.

19

Mixed deciduous forest occurs in areas with fairly high rainfall (> 1,500 mm annually) but with a strong dry season o f 4-5 months. It i s semi-closed forest, often o f good height (30-40 m), in which the upper story i s composed largely o f deciduous species. A bamboo understory i s common, mixed with evergreen shrubs and small trees, though understories are often depleted by over-grazing. The most characteristic tree genera occurring in deciduous forest include Acacia, Afielia, Albizia, Caesalpinia, Cassia, Dalgergia, Diospyros, Irvingia, Lagerstroemia, Pterocarpus, Sindora, Terminalia, Xylia, and Dipterocarps such as Shorea, Vatica and Dipterocarpus. Certain Dipterocarp species such as Dipterocarpus alatus and Hoopea odorata may be present in riparian areas along stream courses. This formation comprises the overwhelming majority o f potentially harvestable forests in the SUFORD-AF PFAs.

Dry Dipterocarp forests are characteristic o f lowland areas with annual rainfall o f 4 5 0 0 mm., a 4-5 month dry season and shallow, rocky or sandy, nutrient-deficient soils. Stands are more or less open with a grasdforb understory, and o f l ow stature (5-10 m in height). Communities are often simple in composition and dominated, depending on soil type, by the five Dipterocarp species - Dipterocarpus intricatus, D. obtusifolius, D. tuberculatus, Shorea obtusa and S. siamensis - these are the only deciduous species out o f approximately 550 in the Family Dipterocarpaceae - and the Combretaceae species Terminalia alata. The structure and composition o f these forests i s maintained by regular, low-intensity fire.

Savanna forests occur either in strongly seasonal rainfall regimes where the ratio o f dry months to wet months exceeds 1:l or on localized very coarse-textured sandy soils (Spodosols). Pine savanna i s maintained by frequent, low-intensity ground fires and i s characterized by open-canopied forests o f Pinus merkusii over either grasslands or communities o f the bamboo genus Arundinaria. Dipterocarpus obtusifolius may be locally co-dominant where savanna communities arise from degraded mixed deciduous or dry Dipterocarp forest.

The Lower Montane Forest i s the zone o f transition between tropical and sub-temperate vegetation, where lowland rainforest trees o f families such as Dipterocarpaceae, Fabaceae, Meliaceae and Datiscaceae gradually give way to trees and shrubs o f the families Fagaceae, Lauraceae, Myrtaceae, Magnoliacece and the order Coniferales. This transition occurs at elevations between 700 and 1000 m with annual rainfall o f 2000 to 3000 mm. The Lower Montane Forest i s characterized by large numbers o f oaks o f the genera Quercus and Lithocarpus, chestnuts o f the genus Castanopsis, laurels o f the genera Litsea and Cinnamomum, the magnolia genus Michelia, the myrtle genera Syzygium and Tristania and the tea genera Schima and Anneslea. These broadleafed hardwoods are often found in association with tropical conifers o f the genera Keteleeria, Pinus, Podocarpus, Dacrycarpus and Fokienia.

Terrestrial Faunal Diversity

As might be expected o f an area o f such landscape and vegetative diversity, Laos has a r ich fauna that includes several species o f international conservation significance. The

20

l i s t o f species includes an estimated 227 mammals, over 700 birds, 57 amphibians, and 109 reptiles. Mammals include: 87 species o f bats; 17 species o f primates (loris, macaque, langur and gibbon); 40 carnivors/omnivors (tiger, leopard, clouded leopard, small cats, bear, wild dog, hog/ferret badgers, otter, civet, mongoose, weasles, binturong); and1 6 large herbivores (elephant, wild pig, deer, sambar, banteng, guar, kouprey, and serow). Birds include sunbirds, hornbills, woodpeckers, pheasant, partridge, quail, junglefowl, flower peckers, raptors, kingfishers, babblers, warblers, thrushes, bulbuls, pittas, weavers, parakeets and a host o f waterfowl including geese, ducks, heron, bittern, storks and adjutants.

All o f the SUFORD-AF PFAs, with the possible exception o f Nongpet, have significant biodiversity values in themselves and also supplement the biodiversity function o f adjacent NBCAs. Annex I1 provides a rough estimate o f mammalian biodiversity in seven PFAs, inferred from the species that occur on adjacent NBCAs. WWF has a major biodiversity corridor program in Attapeu and Sekong and Chapasak focused on the Dong Ampham, Xe Pian and Dong Hua Sao NBCAs. Nampa Houyi and Banvilay PFAs (as well as Salivangveuane o f current SUFORD and the new Namkhong which i s not included in SUFORD-AF) are integral components o f this connectivity system. WWF has also been involved in studies on a major elephant population in XayabouryNientiane that moves between N a m Pouy N B C A and Phouphadam and Phou Youy PFAs. WCS has a permanent presence in Nam Kading N B C A and has expressed great interest in collaborative management on Pakbouak and Paxang PFAs.

Aquatic Systems

The most common freshwater systems in the uplands characteristic o f SUFORD-AF PFAs, will be torrents or hill streams which are upland, high-gradient streams with fast- flowing, highly-oxygenated, clear, and cool to cold water. They often have a well- developed ‘pool and r i f f le ’ morphology with substrates stabilized by stones and boulders at higher elevations and coarse woody debris at lower elevations. Higher elevation torrents may have l i t t le fringe vegetation, and a poor fauna composed mainly o f aquatic insects. Lower elevation torrents have more diverse riparian vegetation and a much richer fauna including aquatic insects and fish, Stream f low in these systems varies from permanent to highly ephemeral depending on climate and their order in the watershed.

Aquatic Faunal Diversity

Despite limited survey work, 87 families o f fish are known from Indochina. By comparison, only 74 are known in all o f Africa, and just 60 in South America [Kottelat 19891. The f i sh diversity per unit area o f the Mekong basin is three times that o f the Amazon, and much higher than even that estimated for coral reefs [Coates 20011. Fish diversity in the entire Mekong River basin i s highly speculative with estimates ranging from 400-1200 species [Kottelat & Whitten 19961. A recent identification guide to fish in Laos [Kottelat 2001 b] l is ts 48 1 species. Given the great diversity o f freshwater habitats in Laos, a disproportionate amount o f Indochina’s aquatic diversity i s concentrated here. For example, fish diversity i s known to be much higher in the streams and basins on the

21

west (or Lao) side o f the Annamite drainage than on the east (Vietnam) side [Kottelat, 20011. While largely unsurveyed, the diversity o f other aquatic vertebrates (frogs and reptiles) and aquatic invertebrates (such as mollusks and arthropods) i s also known or predicted to be high [Coates 20011.

Kottelat [200l] has identified "small streams in lowlands and foothills and swamp forests" as aquatic habitats that harbor distinctive communities and are therefore o f high conservation priority. These occur in all o f the SUFORD/SUFORD-AF sites. In particular, streams draining lowlands (>250 m elevation) are relatively rare in the Lao protected area system, but they are common in the SUFORD sites. Fish distribution in Laos i s patchy and localized, with high endemism (sometimes to a single stream). The national protected area system, which was designed to capture a representation o f forest diversity in Laos, has probably le f t unprotected a major share o f the country's aquatic diversity (even if the diversity o f the Mekong River which i s not protected at all in the N P A system i s excluded from consideration). Consequently, SUFORD could play a significant role in the conservation o f aquatic diversity in Laos providing sufficient attention i s given to these systems in management prescriptions.

Use o f Biodiversity

Traditional forest dwellers in Laos rely on the forest directly for a great array o f services: to replenish the nutrients on land farmed under rotational agriculture; for plant foods and medicines; for livestock fodder; for fuel; for building, tool and artisanal materials; for traditional handicrafts (fibres and dyes); and for income generation from activities such as rattan collection medicinal and food plant collection and resin tapping. In addition to these direct "forest" products, many traditional communities rely on natural forest ecosystems for a large part o f their annual protein consumption; either as terrestrial mammals, birds, repti les and insects, or as aquatic amphibians, reptiles, fish and arthropods. In particular reference to aquatic systems, Lao rural communities, l ike many others in the region, derive a higher proportion o f their annual protein intake from freshwater sources (fin-fish, crayfish, frogs, and turtles) than in any other part o f the world. Healthy natural forests play a vital role in sustaining the terrestrial and freshwater systems that produce these important food resources.

Each day, most rural Lao families eat something they have harvested wild from the local environment. For the poorest families, wild foods form the majority o f their non-rice diet [Asian Development Bank, 20011. Major components are terrestrial and aquatic vertebrates, bamboo shoots, greens, wild tubers, and invertebrates such as insect larvae and aquatic snails, mollusks and arthropods. Many rural poor report that virtually all o f their protein comes from wild sources. Domestic animals are generally saved for ceremonial purposes and as repositories o f wealth, though many villagers have said in consultations that they prefer the taste o f wild game and fish. The dependence on wild protein i s greatest among people in southern Laos, where the SUFORD sites are concentrated [J. Chamberlain, pers. comm. quoted in WCS 20021. Furthermore, since few rural households have surplus rice, vegetables or livestock to sell, much o f their

22

annual caswtrade income i s derived from the sale o f natural resources found in the forest [Asian Development Bank, 200 11.

The value o f non-timber forest products (NTFPs) consumed annually by the average rural Lao family has been estimated at US$280 (in a country where the annual salary o f a mid- level c iv i l servant i s US$240). This represents $224 mi l l ion nationwide per year or 20% o f GNP [Foppes and Ketphanh 20001. The figure would be far higher if the trade value o f wildlife and botanical NTFPs was considered. It i s important to note that the $280 annual figure i s an average for all rural families, including those living in areas where l i t t le forest remains. The figure for residents o f villages in or near intact forest areas, such as those o f the SUFORD-AF PFAs, will be far higher [J. Foppes, IUCN/NAFRI NTFP Project, pers. comm. quoted in WCS 20021.

Threats to Biodiversity

The most significant direct threats to biodiversity in the project sites are habitat degradation and fragmentation from unsustainable forest harvesting and clearance, and unsustainable harvest o f terrestrial and aquatic wildlife and botanical NTFPs.

Many sites visited during field visits and the WCS field surveys showed signs o f recent intensive logging and conversion o f land to agriculture. Forest degradation i s presently by far the most serious threat to freshwater fishes and the habitats they occupy throughout Southeast Asia [Kottelat et al 19931. In general terms, the impacts o f forest harvesting are similar in nature to those in temperate systems, but they are exacerbated by high precipitation (both total and intensity) and by the deeply weathered, highly erodible nature o f the dominant soil types. The most serious effects o f vegetation loss and site disturbance are direct or indirect loss o f food resources and habitat, higher temperatures and lower oxygen levels due to decreased shading, altered stream f low and suspended sediment levels, and stream channel destabilization.

Wildlife species in several SUFORD sites have been lost in recent decades to overhunting (by the residents' own admission). Key species used as food in rural Laos include muntjac, sambar, wild pig, bats, squirrels, civets, chevrotains, junglefowl, monitor lizards, pangolins, primates, snakes, and turtles. Many other species are probably declining because o f commercial wildlife trade. Wildlife trade has been increasing in recent years due to improvement o f road networks, increasing wealth in provincial towns, and the expansion o f trade networks. The principle species that are targeted for commercial trade, and are thus particularly vulnerable to over-harvest, include most turtles (especially soft shell turtles), monitors, snakes (especially pythons and King Cobra), pangolins, macaques, bears, otters, civets, mousedeer, munjaks and all flying squirrels. The only significant trade species that i s probably relatively secure i s Eurasian Wild Pig. I t should be noted here that many o f the species under greatest hunting pressure are ecological "keystones" with important contributions to long-term forest health. These species include pollinators (bats, primates, and birds), seed- dispersers (bats, birds, squirrels, civets, pangolins, mongooses, primates, elephants and

23

pigs) and preditors that limit herbivour populations (cats, wild dog, raptors, hog/ferret badgers, civet, mongoose, weasles, binturong).

Official fish capture statistics are relatively low for Laos [FA0 19991. However, the volume o f freshwater fish caught i s severely underestimated as much o f the fishery i s subsistence only, and thus landings are unrecorded. The Department o f Livestock and Fishery recorded captures o f less than 30,000 metric tons per year 1984-1997. A recent survey o f freshwater fisheries estimated that total production for fish and aquatic animals in the whole country i s closer to 205,000 metric tons per year, more than 6 times the official statistics [Sjorslev 20001. In most parts o f Laos even official catches o f freshwater fishes increased significantly over the period 1984-1 997. No reliable estimates o f aquatic productivity are available, however, it i s probable that the fishery i s approaching levels that are unsustainable. Fish catches are dominated by carps, loaches, and catfishes, although other species may be locally important such as snakeheads and featherbacks. Other aquatic animals harvested include frogs, turtles and crayfish.

Other threats to biodiversity are livestock grazing and the commercial harvest o f some NTFPs under demand-driven quota systems imposed by National and Provincial administrations, with l i t t le or no attention to sustainability. Several commercial botanical NTFPs are currently harvested in Laos, however, there appears to be little control over, or even recording of, harvest and l i t t le knowledge o f what sustainable levels o f use might be. These products include: spices (cardamom); aromatic products (Aloewood, sa pan, bong bark, benzoin); foodstuffs (sugar palm, bitter bamboo shoots, malva nuts); fibre and handicraft products (paper mulberry, pandanus leaves, rattan, tiger grass); oils and resins (Cassia bark, damar, yang oil); medicines (calumba or berbitine, iane dorne, fern roots, yaa hua tubers, strychnine tree); and horticultural products (orchids). Assistance in quality control and simple value-added processing could make significant improvements to sale prices and returns to local villagers for these products [Lamxay 20011, thus possibly reducing the amount needed to be harvested for an acceptable economic return.

3.2 Cultural Aspects of Forest Resource Use

Ethnicity.

The most common ethic groups in the SUFORD-AF project areas are as follows (Chamberlain 2008) :

Attapeu Province: Brao, Harak, Tariang Sekong Province: Harak, Ngkriang Bo likhamxay : Vientiane: Lao, Khmou, Hmong Xayaboury : Hmong, Lao, Mien

Moey, Khmou, Hmong

These groups belong to three broad ethnic families: Thai-Kadai (Loa), Mon-Khmer (Tarieng, Harak, Khmou, Brao, Ngkriang) and Hmong-Mien (Hmong, Mien)

24

Based on the expected relationship between these groups and the forest (see SIA report), the major challenges for the project in working in these areas will relate to lower levels o f development, higher levels o f poverty, language and communication issues, and incorporating traditional ecological knowledge (TEK) in forest and NTFP management prescriptions. This situation will need to be addressed through the Project’s extension strategies and training programs.

Many Mon-Khmer ethnic groups continue to practice swidden or rotational cultivation and swidden accounts for over 80 percent o f all rice cultivation in most upland ethnic communities. In addition to swidden cultivation and other farming practices, ethnic groups vary in their use o f the forest, gender issues, and other cultural practices that shape their overall lifestyle. Unfortunately, however, relatively l i t t le has been documented about this cultural diversity. At the same time, it should be remembered that these different ethnic groups are not practicing wholely traditional l ifestyles and living in isolation in the forest. Rather, their societies are dynamic, responding to changes in their overall environment, whether brought on by logging operations or government programs. SUFORD-AF should work with such villagers, providing them the opportunities to decide about their involvement in participatory forest management activities, and the use o f timber revenues for development according to village priorities.

The implications o f this multi-ethnic situation for project implementation include:

communicatiodlanguage issues (Le. the constraints to communication between villagers not fluent in Lao and government and project staff not fluent in ethnic languages), with respect to project design, implementation, and training; the need to establish a frameworWprocess for important ethnic issues to be adequately considered in working with each village; examining the implications, if any, o f the delineation and management o f production forest on existing swidden agriculture systems; the challenge o f building traditional ecological into forest and NTFP management prescriptions determining, through consultation, what types o f village development activities would be most suitable for different ethnic groups; and determining which ethnic groups may have difficulty participating in SUFORD-AF , the reasons behind those difficulties, and possible solutions to achieve fuller participation.

Gender.

The relative roles and situation for women varies from one ethnic group to another. But in general, women are disadvantaged in comparison with men with respect to access to development benefits, education, health conditions, and poverty.

Through the project area, women make use o f the forest, particularly for farming land (upland rice cultivation), non-timber forest products, and grazing for their livestock. Despite this, and considerable efforts in SUFORD to encourage women’s participation, to date, participatory forest management activities have been primarily undertaken by men.

25

Furthermore, most government officials - whether village chiefs or agriculture, livestock, and forestry staff working at the provincial and district levels - are men.

SUFORD-AF must continue to stress programs to work specifically with women on their particular development problems through implementation o f the "Guideline on Addressing Gender Issues in VD" (SUFORD 2005). The guidelines aim at full integration o f gender issues into project planning, implementation, monitoring and reporting. All participation and key impact data for project activities should be dis- aggregated by gender. Where appropriate, the project should collaborate with the Lao Women's Union in addressing village women's needs in development activities on the project sites such as food security, income-generating activities, micro-credit and revolving funds.

3.3 Land Use and Tenure

A stated goal o f the GOL i s to increase forest cover to 70% and in order to achieve this it i s undertaking efforts to rationalize agriculture in the upland and mountainous regions. These efforts also aim to improve food (rice) security and to reduce acute poverty in upland communities. At the same time, these programmes are also expected to contribute to national objectives o f environmental protection and conservation o f biological diversity. As outlined in the GOL's agricultural sector strategy, the approach to upland agricultural improvement i s multi-dimensional:

0 sedentarization o f agriculture in sloping land areas through farming systems diversification and agro-forestry development; opening market access through road development and market information delivery; land use zoning based on slope and land capability;

0 rural savings mobilisation and credit extension; and 0 land allocation and land use occupancy entitlement.

In order to effect these improvements, GOL has initiated a land and forest allocation programme, involving the allocation o f land to villages and the demarcation o f village boundaries, and the allocation o f land to individuals, villages and commercial organizations. This programme i s undertaken with the aim o f achieving a number o f national goals; such as reducing deforestation, restoring land productivity, improving land use efficiency, enhancing rural livelihoods, diversifying agricultural production, and reducing or eliminating "shifting cultivation". Unfortunately, these goals appear to have become secondary to the last, Le. that o f imposing more sedentary agricultural practices on village farmers, without much qualification o f where that might be possible and desirable, especially in relation to soil productivity. As discussed, the soils o f Lao have vastly different inherent agricultural capability and capacity to respond to cultural inputs. Some are amenable to sedentary agriculture while others are not. Those soils not capable o f supporting sedentary agriculture have been farmed sustainably for centuries by traditional rotational agricultural systems involving fallow period o f 5 to 15 years. Such systems are both ecologically sound and technically sophisticated, involving a considerable traditional knowledge o f inherent soil fertility and a great diversity o f crop

26

species. The focus on such soils should be less on stopping rotational cultivation and more on moderating the length o f the fallow recovery periods (thus reducing the total amount o f land required) by improved practice, and on low-intensity perennial cropping for food, fodder, NTFPs and cash crops on land under fallow.

Livelihood and land use systems in Laos have been described by Raintree and Soydara [2002]. They stress that most rural households in Laos practice "multi-livelihood" strategies that involve a mixture o f subsistence and income-earning activities. Recent studies indicate that rural villages engage in no fewer than 8 and sometimes as many as 1 5 distinct activities; combining hunting and gathering with agriculture, horticulture, animal husbandry and forestry to achieve a measure o f livelihood security. The principle elements o f livelihood security are farming systems, dependency on the forest and the harvest o f wild animal and plant NTFPs.

There are basically three main systems o f agricultural cultivation in project areas: lowland rice paddies (both irrigated and rain-fed, though there i s very little irrigation in the SUFORD or SUFORD-AF project areas); upland rotational (swidden or shifting) cultivation; and plateau plantation agriculture. Raintree and Soydara [2002] stress that these three systems are actually points on a continuum o f practices that most often grade into one another. Any one o f these systems i s almost never practiced to the exclusion o f the others, particularly at the points o f transition from lowland to upland and upland to highland. The characteristics o f these three systems are described as follows.

0 Lowland rain-fed systems involve one annual cropping o f traditional paddy rice varieties (2-4) with yields between 1 and 3 tons/ha. Buffalo and cattle are used as draft animals, for cash income and sometimes for meat. They are free-ranging during the dry season and confined by tethering, often in adjacent forest areas, during the wet season. Domestic pigs, poultry (chickens, ducks and turkeys) and aquatic/terrestrial NTFPs are important for food and cash. One to four month rice shortages are common and household incomes are generally low.

0 Upland rain-fed systems involve rotational swidden cultivation o f rice (yields o f 1.5 - 2 tons/ha), inter-cropped with cucumber, chilis, taro and sesame with fallow periods o f 3-10 years. Maize for sale and animal fodder i s the second most important crop, but sweet potato, ginger, cassava, groundnuts, soybean, sugarcane, papaya, coconut, mango, bananas and citrus are also important. Melons and watermelons may be important dry season crops. There i s a very high dependence on animal and plant NTFPs both for subsistence and for cash income to purchase rice. Adoption o f rain-fed paddy i s common wherever topography and soils (both serious limitations) allow. Three to four month rice shortages are characteristic o f these communities, along with low income, poor health, high infant mortality, low l i fe expectancy, and litt le access to services.

0 Plateau farming systems in the project area are principally situated on rich volcanic soils (i.e. Bolaven Plateau) that allow commercial cropping o f coffee, tea, and cardamom, supplemented by tree f ru i ts and vegetables in home gardens.

27

Financial returns are limited by poor product quality and yields due to poor management including: inappropriate crop varieties and poor cultural practices (lack o f shade, fertilization and weeding, and poor harvesting/processing techniques). These communities have adopted a commercial agricultural strategy (probably because o f the high native soil productivity) and have no problems with food security. Household income i s moderate, but i s capable o f significant improvement with better agricultural practices and harvesting/ processing techniques.

Swidden or rotational cultivation utilizing long-term (+/- 10 year) rotational cycles i s a sustainable and environmentally appropriate agricultural strategy in many areas. Land allocation programs are predicated on the lowland belief that only permanent agriculture, consisting o f paddy, gardens, orchards and plantations, i s appropriate and acceptable. This agricultural paradigm has become a dogma o f dominant ethnic groups all over Southeast Asia who farm highly-productive soils either in alluvial floodplains or those derived from base-rich volcanic or calcarious geological formations. These people (whether Javan, Thai, Lao Loum, lowland Vietnamese or Bumiputra Malaysians) consider those who farm poorer soils by rotational methods as "backward and primitive". In fact, peasant rotational farmers have evolved highly sophisticated and sustainable practices to deal with the reality o f their environments. Clearings are small and irregular with high retention o f useful trees, stumps and roots, which minimize soil erosion and promote rapid re-growth when the site i s returned to fallow. Cropping i s characterized by complexity and diversity; often involving as many as 20-25 varieties o f exotic and native plants. These peasant farmers carry in their heads a significant wealth o f sound knowledge about plant species and soil capability, referred to by Richards (1985) as "the single largest knowledge resource not yet mobilized in the agricultural development enterprise".

4. ANALYSIS OF KEY ENVIRONMENTAL ISSUES AND IMPACT MANAGEMENT COMMITMENTS BY PROJECT COMPONENT

4.1 Criteria for and Selection of New PFA

Current SUFORD PFA sites are located mostly in lowland areas o f Khammouane, Savannakhet, Salavan and Champasak. The PFAs are characterized by flat or very slightly sloping terrain; relatively simple forest zonation with contiguous blocks o f evergreedsemi-evergreen forest types; a generally well-established network o f district and inter-village roads; well-distributed wood processing facilities. PFAs proposed for inclusion in SUFORD-AF face much more challenging conditions:

0 Bolikhamxay, Sekong and Attapeu Provinces are located in the foothills o f the Annamite Mountains; Xayaboury and Vientiane are located in the Northern Highlands.

Both areas are characterized by: (a) complex topography with steep mountain slopes and often deeply incised tributary gullies; (b) complex and fragmented forest zonation, with

28

intact Mixed Deciduous Forest Types largely confined to steeper hill-slopes; (c) a sparse network o f district roads which are generally in poor condition; (d) few wood processing facilities, generally located at considerable hauling distances from PFAs. Given the characteristics o f these areas, the application o f the ‘SUFORD PSFM Model’ may not be simple or straight-forward. Therefore, a careful selection o f PFA sites and a simple feasibility analysis has been required as part o f project preparation, and this assessment o f environmental suitability forms a major component o f this EIA analysis from the perspective o f environmental impact avoidance.

P M Decree No. 59 o f 2002

GOL has developed several sets o f criteria for PFA selection (see Table 1) that are sufficient only for f i rs t approximations o f future potential PFAs. However, these criteria do not provide adequate guidance for selection o f priority PFAs for inclusion into SUFORD-AF because they: (a) do not take socio-economic conditions (such as traditional land use, proximity to access roads, economic hauling distances etc.) into consideration and (b) allow for access planning and road construction and harvesting on slopes approaching 33 degrees, which i s presently beyond the technical capability o f forest management organizations and thus may cause significant negative environmental impacts.

MAF Regulation No. 0204 o f 2003

MAF Regulation/ Agreement No. 0108 of

Therefore, the WB/Finland March 2008 project preparation mission requested that the selection o f PFAs for inclusion into the project be conducted according to the following criteria:

. In the proposed new provinces o f Bolikhamxay, Sekong, Attapeu, Vientiane, and Xaiyabouli, the following 5 criteria should be used to prioritize PFAs for project inclusion:

o PFAs must contain relatively concentrated blocks o f evergreedsemi- evergreen forest o f at least 7,500 ha on slopes o f 25 degrees or less.

o Forest blocks should constitute at least 40% o f the total PFA area.

o PFA to only be considered where potentially operable forest i s within 15 km o f an existing district road; and within 75 km by district road o f an existing processing facility and the provincial capital to ensure economic viability o f hauling and easy management and control by authorities.

o The SUFORD model o f PSFM can be implemented and i s l ikely to have a positive impact within a time frame o f three years.

o The project i s not restricting access to traditional resources or results in potentially negative impacts to local communities.

29

FFAs must be forest and forested land with a suitable geographical condition and not cover land designated for national defense or other purposes.

PFA Tota l Area (ha) Phouphadam 95,029

PFAs must be covered by forest that can be harvested sustainably for timber production now and in the future.

Total Forest (ha) Forest<25" Slope 63,973 46,447

PFAs must be o f adequate size to support a profitable timber harvest operation.

MAF i s responsible for refining these criteria.

PFAs should not cover land designated for protection, conservation or biodiversity corridor areas.

PFAs should exclude areas required for national defense, industrial and infrastructure land, permanent agriculture, and culturalhouriism land.

PFAs shall not include forest and agricultural land allocated to village management and use.

PFAs may incluse many villages and may overlap district and provincial boundaries.

PFAs can be no closer then 5 km from Lao's international boundary.

PFAs must be at least a minimum o f 5000 ha.

2005 PFAs should preferably be a contiguous area o f 5000 ha, however, several smaller areas (>500 ha) in close proximity may be grouped together to achieve the 5000 ha.

PFAs must not include national protection o f conservation forests, national defense areas, large infrastructure projects such as reservoirs and permanent agriculture.

PFAs should have well-defined, easily-recognized boundaries such as heights o f land, rivers, etc and be located at least 5 km from international boundaries.

PFAs should contain at least 20% currently harvestable forests and at lease 60% capable o f providing a harvest in future after recovery. The remainder o f the area may include village protection forest, conservation forest and utilization forest and land >33' slope.

These criteria were applied in a study by the Post-graduate and Research Division, Faculty o f Forestry, National University o f Laos (SUFORD 2008c) o f identified PFAs in Xayaboury, Vientiane, Bolikhamxay, Sekong and Attapeu provinces. In addition the authors undertook a critical review o f the three sets o f GOL criteria and proposed a new set o f criteria that could be more practically applied using existing information systems. Not all o f the criteria discussed during preparation could be met, specifically: almost no evergreen and semi-evergreen forest exists in the new provinces and the majority o f intact forests are mixed deciduous; and access criteria could not be incorporated because reliable information does not exist on the CIS database.

The study identified 13 o f 25 PFAs that met the majority o f the agreed criteria; and the 13 were subsequently reduced to 8: 1 in Xayaboury, 2 in Vientiane, 2 in Bolikhamxay, I in Sekong and 2 in Attapeu. Area statistics for these 8 PFAs are summarized in Table 2 and more detailed characteristics are shown in Annex 1.

Table 1. Area Statistics for the Eight SUFORD-AF PFAs (SUFORD-AF 2008

30

4.2 Major Project Issues and Recommended Management Actions

Harvesting of Timber and NTFPs by the Quota System

The regulations reviewed above are consistently clear that no commercial harvesting of forest products shall occur on PFAs until a Participatory Forest Management Plan supported by a compete forest inventory has been prepared and approved. Despite this clear legal direction, quota permits continue to be issued by provincial and district governors for commercial harvest o f trees and NTFPs. Project preparation field trips to Bolikhamxay, Sekong and Attapeu observed logging in several o f the PFAs proposed for SUFORD-AF that were nothing more than opportunistic “high-grading” and will simply degrade the economic value o f these forest management units. Quota permits are reported to have been issued for the commercial harvest o f calumba or berbitine (Cosciniumfenestratum), to supply a new factory, that have led to the total elimination o f local populations o f the plant (locality unknown).

Quotas are entirely “demand-driven” by revenue or processing capacity requirements, rather than by any consideration o f long-term sustainable harvest. It i s absolutely essential, if Laos i s not to suffer further resource depletion, that the current “top-down” imposition o f artificial quotas be terminated, and that future harvesting targets be based on the “bottom-up” aggregation o f properly calculated, long-term estimations o f sustainable yield and subject to harvesting rules to protect productivity.

Benefit Sharing of Timber Royalties

A fundamental principle o f PSFM i s that the benefits to local communities should be seen as a fair reflection o f their contribution and must provide sufficient incentive for their continued participation. MAF Regulation 0204 o f 2003 requires that a floor price be established to cover royalties and harvesting costs, and that any benefits going to villagers will be paid from extra revenues over and above the floor price. The regulation specifies the following distribution o f these extra revenues: 30 % to the national treasury; 20 % to the Forest Development Fund; 25 % to District FMUs for costs related to the preparation and implementation o f annual operating plans; and the remaining 25 % to be used for village development activities.

31

Table 2 attempts to estimate, in relative terms, the respective distribution to al l stakeholders o f benefits f rom a hypothetical bid price o f $120 per m3. This analysis i s based o n estimates o f average royalties and harvesting costs provided by SUFORD staff. If only net revenues (e.g. minus contract logging costs) are considered, the government’s share o f benefits rises to 89.5%, with total village receipts (wages and VDF contributions) at 10.5%.

32

Table 2. Estimates o f Revenues, Costs, and Benefit Distribution per M3 (Assuming a bid price o f $120/m3

us$/m3

Assumed total bid price O f which:

Primary royalty (@ $70/m3) Harvesting costs* (@ $30/m3) N e t (additional) revenue

Distribution o f net revenues (MAF Regulation 0204): 30% to National Treasury (Secondary Royalty 20% to Forest Development Fund 25% to Operational Planning (FMA, Sub-FMA) carried out by District FMUs. 25% to Village Development Funds

Distribution to:

Government all levels (Royalties, FDF and operational costs) Logging Contractors @ $25/m3) Villages

VDF Wages a $5/m3 Total allocation to village level

120

70 30 20

6 4 5

5

% Gross Revenue

71

21

(4) (4) 8

* Harvesting costs include pre-harvest inventory, tree selection and marking, preparation o f the harvesting plan, harvesting control, logging and extraction, and post logging evaluation. I t i s estimated that o f total harvesting costs o f about $30/m3, about $25/m3 wil l be paid to logging contractors and about $5/m3 to participating villagers.

There appear to be three aspects o f the current benefit sharing arrangement where GOL has flexibility for adjustments to accommodate further benefit distribution to communities: the primary royalty; the secondary royalty and the Forest Development Fund (FDF). Discussions o f benefit sharing earl in the SUFORD project assumed an average primary royalty rate o f about US$ 55/m , which i s consistent with the royalty rates for natural Dipterocarp species elsewhere in the region. The combined (primary and secondary) royalty rate o f US$ 75 .80/m3 seems extraordinarily high, particularly when one considers that the primary royalty i s risk free because o f i t ’s inclusion in the floor price. The application o f the 20% contribution to the FDF from a project that has natural forest regeneration and biodiversity conservation as main objectives seems illogical. It would be more reasonable to require that those development projects that result in forest depletion and forest cover loss, i.e. major access construction, conversions to plantations, agricultural developments and reservoir clearances - be the main source revenue for the FDF. Such projects should be assessed a relatively high FDF surcharge for salvaged

Y

33

commercial timber, with participatory sustainable natural forest management projects assessed either a minimal surcharge or none at all.

Competitive Timber Sales and VFC Participation

A second fundamental principle o f PSFM i s that log sales must be competitive, market- oriented, and transparent, using methods that maximize revenue generation. Sales decisions must be based on a transparent decision-making process amongst members o f the sales committee, which will include V F C N F A representatives. The mechanism and regulatory framework for competitive log sales and involving villagers actively in log sales has been developed early in SUFORD implementation but the interministrial agreements are s t i l l pending. Log sales revenue will be used to pay royalties and taxes, costs o f logging and transport to the place o f sale, and benefits to participants according to a price-sensitive benefit-sharing formula, which would include a guaranteed minimum return to villagers that will ensure their continued participation.

Integrating PSFM and Traditional Swidden Cultivation

The program to delineate PFAs as a basis for PSFM must not be seen as a means to dedicate land solely to timber production. PFAs must be treated as a mosaic o f forest lands and resources, the management o f which will embrace all o f the elements important to village livelihoods and food security, including revenues from forest harvesting, lands necessary for traditional agriculture, NTFP collection, wildlife management and cultural/ spiritual resources. Specifically land allocation programs and village forest management plans must not be used as a mechanism to limit traditional rotational swidden cultivation. Land use planning and allocation must shift from a preoccupation with distributing individual parcels o f land, to land use zoning based on a real appreciation o f soil capability. Local farmers must be allowed to employ their traditional rotational farming methods on those lands that are zoned for agricultural production. Care must be taken during village forest planning to ensure that sufficient land is available to allow appropriate fallow periods, which will probably be in the neighborhood o f 7-12 years rather than the unsustainable present periods o f 3-4 years.

As discussed in earlier sections, traditional swidden cultivation i s a sophisticated, sustainable agricultural system that can make a significant contribution to local food security. Such systems have been a part o f the ecology o f upland forests for centuries and have actually contributed to the diversity o f these landscapes.

Swidden systems observed in Bolikhamxay, Sekong and Attapeu showed no evidence o f erosion and were re-greening very quickly after abandonment. By contrast, permitted commercial tree crop projects in the area were employing very poor practices involving complete vegetations removal and subsequent clean-weeding that will quickly lead to site degradation. Ill-considered programs o f community resettlement to sedentary agriculture, often to inappropriate soil types, has caused serious hardship and there i s already evidence that many people are returning to their previous locations. A secondary impact o f re-settlement i s that it has removed from the forest the very people who are the basis

34

for the participatory approach to forest management. SUFORD-AF should therefore begin a program to integrate forest-dwelling swidden farmers into PSFM, with constructive support to increasing the productivity o f forest-based rotational cultivation.

Developing Market ing and Utilization Strategies for Lesser-Known Species

Past and present harvests in natural forests are concentrated on a relatively few commercially-desirable species and this may be resulting in significant species composition shifts and an accumulation o f growing stock in “lesser-known” species. The management plans for several PFAs indicate that only 3 0% o f the potentially-harvestable volume i s in presently-preferred species. The current Annual Allowable Cut for two PFAs in Salavan Province i s about 4700 m3 if only marketable species are included but could increase to 7800 m3 if only 15% o f the lesser-known species were utilized. Current processing capacity in the Province i s at least 3.5 times the sustainable A A C o f desirable species, and it i s apparent that one o f the only ways o f even partially bridging this gap i s

to begin to market lesser-known species. It i s also apparent that neither the provincial nor the national institutions currently have a coherent strategy to encourage such a shift. This problem will be further intensified in SUFORD-AF where the dominant Mixed Deciduous Forest formation i s overwhelmingly composed o f “lesser-known” species.

Forest health and composition requires that secondary species be harvested, but this can only be done (in the absence o f a biomass market) by offering lower value logs and less preferred species at a price that i s financially viable for the buyer or by active market development for lesser known species by Government and Industry in cooperation. This will require that DOF undertake a program to educate officials in the Ministry o f Industry and Commerce on the problems associated with current species preferences and the significant potential o f lesser-known species.

It i s recommended that, in SUFORD-AF, a detailed study be undertaken on the conversion, utilization and marketability o f a selected number o f lesser-known species to inform discussions on tree selection, royalties and possible revenues. Such a study could start with a “desk exercise” looking at the utilization o f local species elsewhere in the region and o f trees o f the same genera elsewhere in the tropics.

NTFP Management and Control.

Over the last 18 months o f SUFORD, in light o f considerable evidence o f declining botanical NTFP populations and the considerable role these forest resources play in forest health and village food security and livelihood activities, there has been increasing emphasis on improved management o f these resources. This period has seen the hiring o f an experienced NTFP consultant and the preparation o f a handbook on participatory inventory and management plan preparation for NTFPs (SUFORD 2008b). Development o f village management plans i s now underway on current SUFORD areas, that includes codification o f village rules for NTFP collection and use. As the project acquires the social and translation expertise to operate in ethnic minority areas this program can extend into SUFORD-AF PFAs. Some consideration should be given in relation to

35

botanical NTFPs, to horticultural assistance so that harvesting can be shifted from the forest to areas dedicated to permanent or short-term NTFP cultivation (swidden fallow lands for example), with the natural forest reserved as a source only o f materials for initial propagation and to maintain genetic diversity.

Thus far the project has not dealt with wildlife NTFPs - mammals, birds, reptiles and amphibians. In view o f their importance to villagers as a protein source and the ecological keystone function many o f the most intensively-harvested species play in plant pollination and seed dispersal, it i s recommended that the project initiate a participatory inventory and management process for faunal species, perhaps in cooperation with WCS and WWF.

Silvicultural Prescriptions

The move into upland Mixed Deciduous Forests will require the development o f a somewhat different silvicultural system from that employed on Semi-evergreen Forests in the current SUFORD PFAs, especially in relation to:

0 tree selection (cut constraints) - because these forests are generally more open- canopied, limiting gap-size may be much less o f a consideration than in Semi- Evergreen forests; and

0 harvest intensities - the generally slower growth rates in these dry forest types may dictate lower harvesting rates and/or a longer return periods.

The extent o f these modifications and innovations (at least in a Southeast Asian context) that may be proposed for upland sites dictates that the system should be piloted in a few selected areas f i r s t before it i s applied extensively in SUFORD-AF PFAs. Some o f the historical forest management experience acquired in the deciduous monsoonal forests o f India and Burma might be obtained from the Tropical Forestry Institute in Oxford, UK and reviewed to guide the development o f management prescriptions in Laos (see also Whitmore 1984).

Artificial Regeneration Programs

Harvesting prescriptions o f PSFA under SUFORD are designed to facilitate natural regeneration through the retention o f seed trees and by limiting gap size. I t i s puzzling, therefore, to see so much emphasis in forest regulations on artificial regeneration and a “forest regeneration model” based almost entirely on planting programs (Prixar undated). Artificial regeneration on any significant scale i s a very expensive proposition, invariably employs limited genetic stock, i s seldom very successful, and i s always inferior in results to natural regeneration f rom well-conceived silvicultural prescriptions. So-called enrichment plantings have also resulted in some jurisdictions, such as Malaysia, in significant distortions o f natural stand composition and loss o f biodiversity. Any attempts at artificial regeneration activities should:

36

0 have clearly established objectives; be limited to areas o f significantly degraded forest where natural regeneration i s unlikely, as determined by well-designed regeneration surveys; and utilize the widest possible range o f species and genetic materials native to the particular area.

Natural regeneration should be confirmed as the preferred method o f achieving adequate stocking on PFAs. Artif icial regeneration should be employed only where it can be demonstrated that natural regeneration i s not possible and where it can be justified both economically and ecologically. Artificial regeneration i s not a logical component o f SUFORD-AF, with i t s primary emphasis on natural forest management.

Forest Access, Harvest ing and L o g Extract ion Technologies

The extension o f logging operations into steeper, more environmentally-sensitive uplands must be undertaken with considerable care. The major value o f SUFORD-AF will be the ability to introduce, over three years, the concept o f economic and environmental operability under different site conditions and different harvesting systems. A modest beginning has been made in this process through the simple criteria developed for the initial selection o f PFAs for SUFORD-AF.

Part o f an operability assessment will be a detailed “zone-out” o f lands that are too steep, unstable or fragile to log safely. For the remaining lands, it will then be necessary to determine the most environmentally-appropriate and cost-efficient harvesting systems available. In the case o f SUFORD-AF sites the land will probably be divided into three slope classes - 4 5 degrees; 15-20 degrees; and 20-25 degrees - in order to select the most appropriate technology for extracting logs from the stump (first landing) to the road (second landing). Extraction using logging trucks with winches may be appropriate on slopes under 15 degrees. Tracked skidders may be appropriate on slopes o f 15-20 degrees, and more advanced technologies such as cable-yarding systems may be required on slopes over 20 degrees. The tentative identification o f extraction systems will determine the required density o f the primary haul road network. This network must be designed, constructed and maintained as a permanent forest asset.

It i s strongly recommended that early in SUFORD-AF a feasibility analysis be undertaken on representative PFA landscapes to determine if, and under what conditions, forest harvesting o f upland Mixed Deciduous Forests i s l ikely to be economic.

A major prerequisite to any proposal for developing access into previously un-roaded areas, particularly those with a high degree o f environmental and cultural sensitivity, i s the ability to control access and enforce access restrictions where and when necessary. N o logging or access development i s anticipated on the new PFAs during SUFORD-AF, which should allow time to develop access control regulations and the capacity for strict enforcement.

37

The Relationship o f SUFORD-AF PFAs to NBCAs

PSFM harvesting controls for Semi-Evergreen Forests under SUFORD involve very light cutting intensities (1-2 treesha, < 12 m 3/ha per felling cycle), very high retention standards and the creation o f high conservation value forests (HCVFs) within PFAs that are exempt from harvest. Similarly appropriate harvesting controls and forest zoning will be developed under SUFORD-AF for Mixed Deciduous Forests, along with RIL access, logging and extraction technologies. The resulting light ecological footprint o f PSFM provides the potential for:

0 significant in situ biodiversity conservation o f l ow elevation Semi-Evergreen, Mixed Deciduous and Dry Dipterocarp forests, all o f which are poorly represented in NBCAs; the creation o f buffers around, and connectivity between, some existing NBCAs; the incremental introduction o f sustainable management and use o f both botanical NTFPs and wildlife (a priority expressed by villagers to both SUFORD and WCS/WWF staff); zoning to protect wetlands, gallery forests, mineral licks, perennial river pools and channels and other critical habitats; the protection o f snags, wildlife trees, coarse woody debris, fruit and nut species, pollinators and seed dispersers and other ecological keystones; the recovery o f depleted forests ecosystems; and the protection o f important social and cultural values such as spirit trees, sacred forests and other cultural assets through villager participation in tree selection.

0

0

0

0

0

All o f these forest management activities will result in maintained or enhanced forest biodiversity that should complement biodiversity on NBCAs. Consultations with WWF and WCS have been undertaken to determine the potential contribution o f the SUFORD- AF FMAs to national biodiversity conservation through supplementing and supporting the National Biodiversity Conservation Area (NBCAs) system. This contribution comes both from native biodiversity within production forest areas and through buffering and connectivity functions around and between NBCAs. A subjective rating o f the eight selected FMAs from a biodiversity perspective i s shown in Table 3. An important component o f SUFORD-AF, both on existing and new PFAs, will be to collaborate with the Division o f Forest Resource Conservation o f DOF and WWF/WCS to integrate management activities on PFAs and adjacent NBCAs.

38

Table 3. Biodiversity values o f PFAs in Attapeu, Xekong, Bolikamxay, Vientiane, and Xayaboury Provinces.

* * * * = Extreme Significance * * * = High significance. ** = Moderate significance * = L o w significance

Enhanced Management o f Dry Dipterocarp and Savanna Forests.

Dry Dipterocarp and Savanna appear to be an under-appreciated forest resource in Laos. From discussions with Provincial and District administrators in the southern SUFORD- AF Provinces it appears that many government decision-makers consider them to be degraded and unproductive forest systems that are candidates for conversion to tree crop concessions. Nothing could be further from the truth. Laos has some o f the healthiest dry forest formations in Southeast Asia and these plant communities have their own unique biodiversity and provide a wide array o f resource benefits. The most obvious human values are a modest supply o f wood products, significant domestic grazing in the form o f grass and herbaceous bamboo species, botanical NTFPs and wildlife resources that provide protein for indigenous peoples and potential tourism values. In this later regard it i s interesting to note that as recently as 1957 Cambodia’s dry forests were described as “one o f the great gamelands o f the world,.second only to African gamelands in game abundance” and that every “effort should be made to preserve this phenomenal paradise o f hoofed animals” (C.H. Wharton in an ecological study o f the Kouprey). Similar forest formations elsewhere in the tropics are major producers o f honey and beeswax, both through the efforts o f traditional honey hunters and organized beekeepers, due to the high proportion o f leguminous (family Leguminoseae or Fabaceae) tree species.

SUFORD-AF will support an ecological study o f Mixed-Deciduous, Dry Diptocarp and Savanna forests in project areas to identify management prescriptions, including the use o f prescribed fire, to maintain the quality o f these ecosystems and to identify and enhance opportunities for human use. This study should consult widely with indigenous forest users to capitalize on traditional ecological knowledge (TEK) in formulating management prescriptions.

39

Improved Community Consultation in Ethnic Villages

The Social Impact Assessment (Chamberlain et al 2008) concludes that “a considerable communications gap exists” between MAF staff and ethnic villagers and “there i s a poor appreciation and understanding o f the implications o f ethnic diversity on the part o f PAFOs and DAFOs”. Furthermore, ethnographic studies carried out under the project have “not been sufficiently incorporated into project manuals and guidelines or into the implementation strategy o f the project generally”. There i s a real opportunity in the three-year SUFORD-AF to:

0

0

acquire a cadre o f competent translators to facilitate constructive communication and engagement with villagers in ethic communities. include an applied anthropological consultant as a permanent member o f the project TA team to coordinate and integrate ethic minority programs in both PSFM and VD; undertake a detailed ethnic survey and mapping o f the project areas; compile short ethnographies on ethnic minorities to be used in a training program for project staff on ethic group issues; and capture and incorporate traditional ecological knowledge into PSFM.

0

0

0

Sector Monitoring and Control.

SUFORD has made a distinction between internal control systems designed to monitor and improve institutional performance and external control systems designed to monitor compliance with laws and regulations and to enforce sanctions against those in violation. The existing SUFORD project has initiated the design o f an internal monitoring system but has taken only partial steps to implement it. Effective implementation o f such a system will be a priority during SUFORD-AF.

L i t t l e progress has been made in developing an effective external monitoring system, and the creation o f a Forest Inspection Department with a clear enforcement finction provides a new opportunity for system development. Enforcement i s a complex and highly-technical function involving a number o f elements that are critical to i t s effectiveness :

0

0

a regulatory regime that provides clear legal definitions o f non-compliance; enabling legislation supporting search o f property and seizure o f assets in cases o f suspected illegal acts; a senior level, “standing committee” to coordinate the activities o f those involved in compliance and enforcement - DFI, DOF, police, army, state prosecutors and courts - through the establishment o f formal, enforceable protocols and memoranda o f understanding; enforcement staff trained in techniques o f legal investigation and rules o f evidence;

0

40

0

0

a close and constructive relationship between enforcement investigators and legal prosecutors; a law-based set o f flexible enforcement actions spanning a range consistent with the severity o f the offense (i.e. administrative sanctions, stop-work and remediation orders, monetary penalties (by "ticketing"), and court prosecution resulting in fines and/or imprisonment); and a fair and transparent court system.

These elements clearly represent an "ideal" that can be achieved only incrementally, however, there must at least be an intent to introduce them if the enforcement function i s to have a chance at effectiveness, and comprehensive compliance monitoring i s to be considered. The regulations reviewed above suggest that the political will for law enforcement exists. If so, a well-conceived compliance monitoring and enforcement system should lead to improved enforcement o f regulatory compliance, better forest practices and enhanced revenue collection. Standardized reporting, recording and analysis will allow law enforcement authorities to track the status o f investigations o f unauthorized or illegal activities, and thus to conduct better structured, more systematic, and more efficient enforcement actions. Enhanced recording systems will enable timely and meaningful compilation o f reports on compliance and enforcement for political decision-makers and the public. This, in turn, may result in greater transparency and awareness o f compliance with forest law and, ultimately, in stronger political and public support for forest law enforcement

This component will also support continued FSC certification, with associated "chain-of- custody'' and independent performance auditing requirements. Certification should lead to achievement o f internationally-accepted standards o f sustainable forest management and to substantially higher prices and market shares for logs and wood products. Since certification will be based on regulatory compliance and on independent auditing (paid out o f management funds and higher product prices) it should result in a decreased regulatory and administrative burden to government.

41

ANNEX 1. CAPSULE DESCRIPTIONS OF SUFORD-AF PFAs

Sekong Province

Rice paddy Grassland

Houay Pen PFA

54 4 5284 6

Number of villages: 25 inside the PFA 45 within 5 km of PFA Boundary

TOTAL

Land Cover:

89,531 I 100

Total Forest Area: 49,168 ha. Total Forest Area <25' slope: 31,334 ha

42

Sekong: - Houav Pen PFA

43

Attapeu Province - B a n Bengvilav PFA

Vegetation Type or L a n d Use Drv evergreen

H a Y O

0 0 Mixed deciduous forest Dry deciduous forest Unstocked Bamboo

Scrub Savanna

Recovering swidden (Ray)

29,930 79 5,159 14 2,376 6

813 1 112 <1

0 0 43 <1

Rice paddy Grassland

Total Forest Area: 35,089 ha. Total Forest Area <25' slope: 30,911 h a

144 4 0 0

44

1 TOTAL 38,577 I 100

Nampa Houvi PFA

Vegetation Type o r Land Use Dry evergreen Mixed deciduous forest

Number o f villages: 9 inside the PFA

Land Cover: 22 within 5 km of PFA Boundary

H a Y o 10,640 14 36.014 49

Dry deciduous forest U n s to c k e d

5,035 7 1 1.792 16

Bamboo Recovering; swidden (Rav)

I Scrub I 01 0 I

4,787 6 98 1 4

Savanna Rice naddv

977 <1 17 4

Total Forest Area: 51,689 ha. Total Forest Area <25' slope: 46,954 ha

Grassland TOTAL

&SOB00 683000 ESSWO 689000 69

4694 6 74,937 100

0 695000 CBBOW 7010u.O 7O.IpUO 707w)u 710000 7 1 M M 716000 7llOBO 71?000 125000 f l l 0 0 0 731000 7140OU 711WO 740000 743000 7ltO)O

45

Bolikamxay Province - Phoupaxane PFA

Vegetation Type or Land Use Dry evergreen Mixed deciduous forest Drv deciduous forest

c

H a % 7,059 15

17,922 37 246 <1

Rice paddy Grassland TOTAL

Unstocked 21,906 Bamboo Recovering swidden (Ray) Scrub 0 Savanna 252

144 <1 101 0

4935 1 100

Total Forest Area: 25,227 ha. Total Forest Area <25' slope: 23,923 ha.

46

Bolikhamxay - Phakbouak PFA

Vegetation Type o r Land Use Dry evergreen Mixed deciduous forest

Number o f villages: 2 inside the PFA 20 within 5 km of PFA Boundary

H a Yo 16,988 15 71.587 64

Dry deciduous forest Unstocked

0 0 2 1.906 19

I Bamboo I 0 1 0 1 Recovering swidden (Ray) Scrub

~~ ~~

1921 2 0 0

Savanna Rice Daddv

I Grassland I 101 I <1 I

252 0 0 0

TOTAL

Total Forest Area: 88,575 ha. Total Forest Area <25' Slope: 70,040 ha.

112,759 1 100

47

a kl ti an g

0 0

x

J(j0000 370000 380000 Xi0000 410000

0 0

f 0 N

5 0 0 P 10 0 N

5 0 0 0 h 0 N

0 0 e 0 u e N

0 0 Q 0 i-8 0 N

0 0

-f 0 N

t

cg 0

CI w

I 1 1 1 36oM)o 370000 380000 390000 u30000 410000

48

Xayaboury Province -Phouphadam PFA

Savanna

Grassland TOTAL

Rice paddy

Number o f villages: 13 inside the PFA

Land Cover: 61 within 5 km o f PFA Boundary

43 4 144 -4

0 0 95,029 100

Total Forest Area: 63,973 ha. Total Forest Area <25* Slope: 46,447 ha.

49

"

3 Phou-Phadarn Production Forest Areas of Suford Pr~olsect~

50

Vientiane Province

Vegetation T y p e o r Land Use Dry evergreen 0

Dry deciduous forest 0

H a

Mixed deciduous forest 57,811

Nongpet Naxang PFA

% 0 84 0

Unstocked Bamboo

6,324 9 3.692 5

Recovering swidden (Ray) Scrub

419 <1 33 <I

Savanna

Grassland Rice paddy

51

0 0 410 <1 599 <1

52

Phou Youy PFA

Grassland TOTAL

Number o f villages: 2 inside the PFA

Land Cover: 27 within 5 km o f PFA Boundary

599 0 100.1 17 100

Total Forest Area: 66,676 ha. Total Forest Area <25' slope: 62,008 ha.

53

160000 170000 190000

0 0 0 a Lo 0 N

0 6 0 0 h x

0 0 0 0 ct % hl

0

Q w 0 ni

0 0 0 0 a E

0 0 0 0 n a

0 D 0 0 hl

a

D

5

r x

iinn

6 Nak

I 1 I

54

Annex 11. Inferred Occurrence of Mammal Species in SUFORD-AF PFAs

Species

Pangolins Large loris Small loris Pig-tailed macaque

SUFORD-AF PFAs

Phouphadam/ PakbouaW Nampa Houyi/ Phouyouy Paxang Banvilay/

* * * * * *

* * * *

Assam macaaue I I I I * *

NOTE: Occurrence i s inferred from the species’ occurrence on adjacent NBCAs as reported in Duckworth et a2 1999.

55

REFERENCES

Balzer, M.C., Nguyen Thi Dao, and R.G. Shore. (2001). Towards a Vision for Biodiversity Conservation in Forests o f the Lower Mekong Eco-region Complex. WWF Indochina, Hanoi and Washington, D.C.

Cairns, M (Ed.) (2007). Voices from the Forest: Integrating Indigenous Knowledge into Sustainable Upland Farming. Resources for the Future Press, Washington, D.C.

Chamberlin, J.R., C. Alton and A. G. Crisfield. (1996). Indigenous Peoples Profile, Lao PDR. A report prepared for the World Bank by CARE International, Vientiane. August 30, 1996.

Chamberlin, J.R. (2008). Social Impact Assessment o f Additional Financing o f SUFORD. Ministry o f Agriculture and Forestry, Lao PDR, Vientiane. July 24,2008

ChazCe, Laurent. (1 999). The Peoples o f Laos: Rural and Ethnic Diversities. Bangkok: White Lotus Press.

Collins, N.M., J. A. Sayer, and T. C. Whitmore. (1991). The Conservation Atlas o f Tropical Forests: Asia and the Pacific. Produced by The World Conservation Monitoring Centre, The World Conservation Union and British Petroleum. MacMil lan Press Ltd., London and Bassingstoke, U.K.

Department o f Forestry. (2005) Report on The Assessment o f Forest Cover and Land Use During the Period 1992 to 2002. Ministry o f Agriculture and Forestry, Vientiane. July 2005.

Dick, J.H. and P.J. Williams. (2002). An Environmental and Social Impact Assessment o f the Sustainable Forestry and Rural Development Project. Ministry o f Agriculture and Forestry, Vientiane. September 19,2002.

Duckworth, J.W., R.E. Salter and K. Khounboline. (1999). Wildlife in Lao PDR: 1999 Status Report. IUCN/WCS/CPAWM, Vientiane.

Fox, J., Dao Minh Truong, A. T. Rambo, Nghiem Phuong Tuyen, L e Trong Cuc and S. Leisz. (2000). Shifting Cultivation: A new paradigm for managing tropical forests. Roundtable, Bioscience, Vol. 50, N o 6: 521 -527. June 2000.

Gardner, S., P. Sidisunthorn and V. Anusarnsunthorn. (2000). A Field Guide to Forest Trees o f Northern Thailand. Kobfai Publishing, Bangkok. May 2000.

Lamxay, V. (2001). Important Non-Timber Forest products o f Lao PDR. I U C N NTFP Project, Vientiane. September 2001.

56

Lindenmeyer, D.B., C.R. Margules and D. Botkin. (2000). Indicators o f Biodiversity for Ecologically Sustainable Forest Management. Conservation Biology, 14:941-950.

Ling, S. (2000). NBCA Biodiversity Monitoring Training Manual. WCSFOMACOP, Vientiane.

MAF. (2005). Report on the Assessment o f Forest Cover and Land U s e During 1992- 2002. Department o f Forestry, Vientiane, July 2005.

NAFRI, National University o f Laos, SNV. (2007). Non-timber Forest Products in the Lao PDR. A Manual o f 100 Commercial and Traditional Products. NAFRI, Vientiane.

Prixar, S. (undated). Report on Development of a Forest Regeneration Model. Faculty o f Forestry, National University o f Laos, Vietniane.

Rundel, P. W. (1 999). Forest habitats and Flora in Laos PDR, Cambodia and Vietnam. Conservation Priorities in Indochina, WWF Desk Study, December 1999.

SUFORD. (2005). Guidelines for Addressing Gender Issues in Village Development.

Five PFAs in Saravan, Savannakhet and Khammouane Provinces. Report prepared for SUFORD and LFNC by Daviau, Steeve and Bounthavy Vilayvong. Ministry o f Agriculture and Forestry, Vientiane. March 2006.

. (2008a). Report on the Development o f a Forest Regeneration Model. Prepared by the Faculty o f Forestry, National University o f Laos , Vientiane.

. (2008b). Handbook: Participatory Inventory and Management Plan Preparation for NTFPs (undated Draft). Ministry of Agriculture and Forestry, Vientiane. July 22, 2008.

. (2008~). Operations Manual for Participatory Sustainable Forest Management in Production Forest Areas: Volumes I-IV. Ministry o f Agriculture and Forestry, Vientiane. May 19,2008.

Agriculture and Forestry, Vientiane. July 3 1 , 2008.

correspondence from M. Bonita, SUFORD to S. Schrader (WWF), Vientiane. August 25, 2008.

. (2006). The People and Their Forest: Ethnographc Study on Katuic Groups in

. (2008d). Operations Manual for Village Development (Revised). Ministry of

. (2008e). Brief on the Lao Forest Certification Experience. E-mail

SUFORD-AF. (2008a). Institutional Arrangements. Background paper prepared for project preparation. Ministry o f Agriculture and Forestry, Vientiane. September 5,2008.

Identification in the Lao PDR. Prepared by the Faculty o f Forestry, National University o f Laos.

Forestry, Vientiane. August 27,2008.

. (2008b). A Review on the PFA Selection Criteria and New PFA

. (2008~). Project Implementation Plan. Ministry o f Agriculture and

57

. (2008d). Project Cost Estimate. Ministry o f Agriculture and Forestry,

. (2008e). Resettlement Policy Framework. Ministry o f Agriculture and Vientiane. August 27,2008.

Forestry, Vientiane,

Whitmore, T.C. (1984). Tropical Rain Forests o f the Far East. Clarendon Press, Oxford, U.K.

World Food Programme o f the United Nations. (2007). Laos PDR: Comprehensive Food Security and Vulnerability Analysis (Prepared from data collected in October- November 2006). Rome, December 2007.

58