Forest Resources Assessment Programme Working Paper 78/e rome



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3.6.4 Additional Data 
 
This section provides information on each of the identified additional variables. It contains 
relevant definitions, source and source data, temporal trends and its assessment. 
 
3.6.4.1 Use of Traditional knowledge 
 
The local “Traditional knowledge”  (TK) related with biological resource is an inseparable part of 
resource. India is making a determined effort to use TK for sustainable management of its forest 
resources and in addition to taking a major initiative of “Joint Forest Management” it has 
developed three laws in  (the Protection of Plant Varieties and Farmers' Rights Act, 2001, the 
Biological Diversity Bill, 2000, and the Patents Bill, 1999) that also address protection and 
support to the traditional knowledge on biological resources. It is therefore necessary to monitor 
use of TK in enhancement of  sustainability of forest resources. 
 
Definition  (There is no standard national definition) 
 
Term Definition 
Traditional 
knowledge 
It is a multifaceted concept that encompasses several components. It  refers to “tradition-
based” literary, artistic or scientific works; performances; inventions; scientific discoveries; 
designs; marks, names and symbols; undisclosed information; and all other tradition-based 
innovations and creations resulting from intellectual activity in the industrial, scientific, 
literary or artistic fields. 
 
Explanation: 
1. It is "traditional" only to the extent that its creation and use are part of the cultural 
traditions of communities.  
2. "Traditional"  does not necessarily mean that the knowledge is ancient. "Traditional" 
knowledge is being created every day, it is evolving as a response of individuals and 
communities to the challenges posed by their social environment.  
3. The intellectual property, however, is not only about property. It is also about 
recognition of and respect for the contributions of identifiable, human creators. 
Tradition-based 
It refers to knowledge systems, creations, innovations and cultural expressions which: have 
generally been transmitted from generation to generation; are generally regarded as 
pertaining to a particular people or its territory; and are constantly evolving in response to a 
changing environment.  
 
Transformation Not necessary 
 
Data and Temporal Trends 
 
Data is not available for developing trend.  
 
Assessment 
 
It is political and contentious variable whose importance is steadily increasing. It has been 
recognised in India and world over which is a very positive sign. 

 
98 (114) 
3.6.4.2 Quality and Extent of Rights and Privileges 
 
This variable deals with the privilege (rights,  concessions and free grants) given to local people 
with an social obligation to protect man maintain their sustainability.  In many states of India, the 
forests are not unable to satisfy these privileges. For example,  presently, out of about 445 million 
cattle, sheep and goats in the country about 270 million graze in the forest areas when the grazing 
capacity of these forests  is about 30 millions cattle only.  
 
Definition 
 
Term  
Definition 
Privilege 
A right, advantage, or immunity granted to or enjoyed by a person or a class of people
beyond the usual rights or advantages of others. 
 
Transformation Not needed 
 
Data and Temporal trend 
 
Sufficient information is not available at national level to identify trends and to see the impact of 
rights and concessions on condition of forests. 
 
Assessment 
 
There is a general perception that quantity of rights and concessions exceed resiliency limits of 
forests at many places in India.\ 
 
3.6.4.3 Extent of Cultural and Sacred Forests 
 
The cultural and sacred forests are better protected than other forests due to social values attached 
to them. Their condition improves or decline with over their social values. 
 
Definition Not standard national definition 
 
Transformation Not needed 
 
Data and Temporal Trend 
 
The national data is weak but it indicates presence of such forests all over India with their area 
varying from less than one hectare to more than 5000 ha.   
 
Assessment 
 
The general impression supported with scattered studies in various parts of India indicate that 
there is a decline in the number and extent of the cultural and sacred forest. This indicates loss in 
social value of forests at the local and it is not a good sign for conservation of forests.  

 
99 (114) 
 
3.6.4.4 Consumption of Energy From Wood Resources 
 
In India, fuelwood is the main source of household energy both in rural and urban areas and its 
share in per capita consumption is about 68.5 % and 45.5 % respectively, therefore, consumption 
of energy from wood resources is an important parameter to define the social functions 
performed by the forests.  
 
Data and  Temporal Trend 
 
Most of the estimation on consumption of fuelwood are not compatible and thus containing 
ability to develop time series data.  
 
Per Capita Rural Household Energy Consumption 
Electricity
1%
Coal products
2%
Firewood
68%
Oil products
17%
Animal dung and 
Others
12%
 
 
Per Capita Urban Household Energy Consumption 
Coal products
14%
Oil products
30%
Firewood
45%
Electricity
6%
Animal dung and 
Others
5%
 
 
The total consumption of fuelwood far exceeds (about 3 times) the sustainable capacity of  
government forests (44 million tonnes) and private areas (35 million tones).  
 

 
100 (114) 
 
Assessment 
 
There is no temporal data at the national level due to incompatible survey designs. Most of the 
time series estimation mimic annual increase of human population at the rate of 2.1%.  
 
3.6.4.5 Extent of Grazing (Cattle Population Dependent on Forests) 
 
The “forests” in India meet about 30 percent of fodder requirements mostly through provision of 
grazing facilities in forests. This large extent of grazing, which is much more than the sustainable 
capacity of the forests, adversely affects forest and the conditions in which forest reside. The 
cattle, on the other hand, provide social and economic benefits and support mostly to the poor 
section of the society. The forest therefore serve a very important socials function by providing 
grazing facilities and its review is very important keeping in view its adverse impact on forests.  
 
Definition (No standard national definition) 
 
Transformation Not needed 
 
Data and Temporal Trend 
 
A study at FSI (SFR, 1995) analysed the extent of grazing in the inventoried forest areas to assess 
the incidence of grazing in forests India. It indicates that 77.5 percent of the total forest areas are 
subject to various levels of grazing. Same areas have not been visited again to provide temporal 
information. However, temporal statistics indicates that  number of cattle is increasing although 
slowly.  
 
Incidence of Grazing on Forests
Low incidence
28%
Medium 
Incidence 
31%
No incidence
23%
High Incidence 
18%
 
 
Assessment  
 
The increase trend of  cattle population coupled with extensive are of forest vulnerable to grazing 
do not provide conditions that promote sustainability of forest resources. 
 

 
101 (114) 
 
3.6.4.6 Participatory institutions 
 
Utility and efficiency of participation between the “state” (state government) and local 
institutions for promoting sustainable management of forest resources is now well recognized. 
Monitoring of number of participatory institutions and the extent of forest with them is a good 
indicator to monitor long-term sustainability of  forest resources. 
 
Definitions (Not standard national definition) 
 
Term Definition 
Joint Forest 
Management 
It is a forest management strategy under which the government (represented by the Forest 
Department) and the village community enter into an agreement to jointly protect and 
manage forestlands adjoining villages and to share responsibilities and benefits.  
 
Transformation Not needed 
 
Data and Temporal Trends 
 
The government attaches great importance to this change (JFM) in management regime and 
directly monitors its progress. The following figures indicates past progress in this respect. 
 
T rend In Participative Forest Management
0
5000
10000
15000
20000
25000
30000
35000
40000
1995
1996
1997
1998
1999
2000
2001
Y e ar
J
o
in
t For
e
s

M
a
na
gem
e
nt
 
C
o
m
m
it
te
e
s
 (N
u
m
b
e
r)
0
2
4
6
8
10
12
P
a
rt
ic
ip
at
iv
e
 M
a
na
gem
e
nt
 
(For
es
t i
n
 m
il
li
o
n ha
)
Committees
Area
 
 
Assessment 
 
The participative management of forests has increased at very fast rate during last decade and is a 
good sign for long term sustainability of forest resources.  
 

 
102 (114) 
 
3.7 Economic 
Functions 
 
This section provides information first on the method and approach chosen to identify and assess 
the complementary national variables and then presents the national data and its assessment 
including the global variable. 
 
3.7.1  Method and Approach 
 
The for identification and assessment of  variables, India through FSI used the “Group 
Convergence Method” (Govil, 2002).  Two workshops were organized one for briefing and 
explaining and second for implementation of  Group Convergence Method to arrive the finalist of 
identified variables. Temporal trends were developed and GCM was used to assess the state and 
change in these variables with respect to sustainability of forest resources. 
 
3.7.2 Relevant Variables 
 
Following national variables in addition to global variables (“Wood Removal”, “NWFP 
Removal”, “Value of Wood Removal” and “Value of NWFP Removal” and “Employment in 
Forestry”) have been identified to explain the “Economic Functions” of forests in India. 
 
a.
 
Financial Investment in Forests 
b.
 
Revenue from Forests 
c.
 
Trade of Wood 
d.
 
Trade of NWFPs 
e.
 
Contribution of Forest Sector to GDP 
 
3.7.3 Source Data  
 
Additional Variable  
Source 
Financial Investment in Forests 
Forestry Statistics,  1996. Indian Council Of Forestry Research and 
Education. Dehradun, India 
 
Forestry Statistics, 2000. Indian Council Of Forestry Research and 
Education. Dehradun, India 
 
Forestry Statistics, 2001. Indian Council Of Forestry Research and 
Education. Dehradun, India 
Revenue From Forests 
Same as above 
Trade of Wood  
‘Monthly Statistics of Foreign Trade of India,” Vol (I)-EXPORTS and 
Vol (II) - IMPORTS published by Directorate General f Commercial 
Intelligence & Statistics, Calcutta. 
Trade of NWFP  
Same as above 
Contribution of Forest Sector to 
GDP 
National Forest Action Plan. 1999. Ministry of Environment and Forests, 
Government of India 
 
Forestry Statistics, 2001. Indian Council Of Forestry Research and 
Education. Dehradun, India 
 

 
103 (114) 
 
3.7.4 Additional Data 
 
This section provides information on each of the identified additional variables. It contains 
relevant definitions, source and source data, temporal trends and its assessment. 
 
3.7.4.1 Financial investments in forests 
 
Financial investment in forests demonstrates the commitment of society to develop and sustain 
forest resources. It also defines the economic activity and support to livelihood that results from 
this investment. All this makes it an important variable to monitor regularly. 
 
Definition (There is no national standard definition) 
 
Term Definition 
Financial Investment In 
Forests
 
Use of current financial resources to accumulate forest capital assets and 
thereby expand productive capacity of forests for the future. 
 
Transformation Not needed 
 
Data and Temporal Trends 
 
The following figure presents public investment in forestry activities. The investment represents 
the total of plan and non plan (revenue and capital) expenditure. The figure (32.2 billion rupees) 
for 1999 has been assumed for the year 2000. 
 
Trend In Public Investment in Forestry
3.2
6.1
10.5
17.6
32.2
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
1975
1980
1985
1990
1995
2000
2005
Years
R
u
pees 
in
 "
0
0
0
"
 m
il
li
ons
 
 
Assessment  
 
Increasing exponential trend in investment in forest resources is good for the country and indicate 
increase in commitment of the government to sustain forest resources in the country. 
 

 
104 (114) 
 
3.7.4.2 Revenue from forests 
 
Revenue from forests an direct indicator of its economic function. More the revenue from the 
forest, the more is the economic contribution to or service of society by forests. It has a multiplier 
effect on the economic and social support system in a country. 
 
Definition (There is no national standard definition) 
 
Term Definition 
Revenue from 
Forests 
The gross inflow of cash, receivables or other consideration arising from the sale of 
goods, from the rendering of services, and from the use by others yielding interest, 
royalties and dividends. Revenue is measured by the charges made to users for goods 
supplied and services rendered to them and by the charges and rewards arising from the 
use of resources by them. 
 
Transformation Not needed 
 
Data and Temporal Trend 
 
The revenue from forests indicate increasing trend till 1997 but shows declining trend since then.   
 
Trend in Forest Revenue
13954
14628
16159
16456
11271
9644
9286
5928
0
5000
10000
15000
20000
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
Year
Ru
p
e
e
s
 in
 M
illio
n
 
 
Assessment 
 
The recent declining trend in forest revenue suggests need of a detailed study to find reasons for 
this decline, if it indicates that this is due to allocation of more areas for protection or substitution 
of wood by some other products then this is a positive sign for sustainability otherwise it may not 
be the case.  
 

 
105 (114) 
 
3.7.4.3 Trade of Wood 
 
The domestic and international trade of wood directly affects the demand and pressure on forest 
resources. It is very important to monitor this variable to monitor sustainability of forest 
resources. 
 
Definition (There is no national standard definition) 
 
Term  
Definition 
Trade 
Buying or selling of goods, services, securities or commodities 
 
Transformation Not Needed 
 
Data and Temporal Variable 
 
The total requirement timber has been estimated at 64 million cu.m in 1996, which will rise to 73 
and 82 million cum in 2001 and 2006 respectively. Out of 64 million cu.m demand of timber, 
nearly twenty percent comes forests as recorded removal and the rest from trees outside forests 
and other sources. This large gap in unsatisfied requirement has led to unrecorded removals, 
increase in imports and decrease in exports. The following figure present this situation 
graphically. 
 
Trend in Quantity of Export and Import of Wood
33
93
45
2,456
1,370
59
0
500
1,000
1,500
2,000
2,500
3,000
1975
1980
1985
1990
1995
2000
2005
Year
Q
u
ant
it
y
 i
n
 0
00 C
ubi
cm
e
ter
Exports
Imports
 
 
Assessment  
 
The situation is unsatisfactory, there is urgent need to increase productivity of forest and 
plantations (public and private) to address this situation. 

 
106 (114) 
 
3.7.4.4 Trade of NWFP 
 
The variable derives importance from the fact that many indigenous and local people depend on 
NWFP to meet their daily needs and to economic supplement through their trade.  
 
Definition (There is no national standard definition) 
 
Term  
Definition 
Trade 
Buying or selling of goods, services, securities or commodities 
NWFP 
Goods of biological origin, other than wood, as well as services, derived from forests and 
allied land uses.” 
 
Transformation
 
Not needed 
 
Data and Temporal Trend 
 
Data on annual production is very weak and indicates very large variation that may be due to 
seasonal variation and due to missing information. 
 
Trend in Production of NWFP
0
2000
4000
6000
8000
10000
12000
14000
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000
Year
T
hou
s
a
n
d
 Ton
ne
 
 
However, if outliers are excluded then it indicates an increasing trend.  
 
Tre nd in Production of NWFP
1081.55
1466.58
1659.36
1000.00
1500.00
2000.00
1985
1990
1995
2000
2005
2010
Ye ar
Q
u
a
n
tity
 i
n
 0
0
0
 M
T
 

 
107 (114) 
 
The quality of information on export and import of NWFP is better than on production. 
Following figures present trends in quantity and value of export and import of NWFP. 
 
Trend in Quantity of Export and Import of NWFP
2193
2593
989
1577
92
308
0
500
1000
1500
2000
2500
3000
1975
1980
1985
1990
1995
2000
2005
Year
Q
u
an
ti
ty
 i
n
 0
00 T
o
n
n
e
Qty Export 000 MT
Qty Import 000 MT
 
 
 
T rend in Value of Export and Import of NWFP
30.97
9.00
76.70
16.79
4.51
6.11
0.00
10.00
20.00
30.00
40.00
50.00
60.00
70.00
80.00
90.00
1975
1980
1985
1990
1995
2000
2005
Year
R
u
pees 
in
 "
000"
 m
illio
n
Value Export
Value Import
 
 
Assessment  
 
The quantity, price and thus value of both imports and exports of NWFP has increased. The 
increase is more in exports than imports and is therefore a good sign. Benefit of such increase 
will be still more if these benefits trickle down to the local people. This is very important 
especially when a large section of people living near to forests derive economic support form 
these products and when India has a rich resource base of NWFP that includes 3,000 species of 
plants, 1800 medicinal plants, 250 essential oil yielding plants, 100 tans and dye yielding plants 
and 120 gums and resin yielding plants.  
 

 
108 (114) 
 
3.7.4.5 Contribution of Forest Sector to Gross Domestic Product (GDP) 
 
It is direct measure of contribution of forestry sector to national economy and can be used to 
estimate its multiplier effects on other sectors of economy. It provides one of the basis for 
allocation of resources in Indian national planning system and thus availability of for resources 
for forest development. Since it measures unduplicated value-added, the GDP is may be 
considered more useful to measure economic contribution than  revenue or even employment. 
 
Definition (There is no national standard definition) 
 
Terms Definition 
Gross Domestic 
Product 
Gross domestic product (GDP), is the value of all goods and services produced 
in a year within national borders.
 
 
Transformation Not Needed 
 
Data and Temporal Trend   
 
In India, the contribution of forestry sector in GDP includes value of “round wood” and “NWFP” 
but does not include contribution of forest-based industries which is included in the 
“manufacturing sector” and is difficult to isolate. The forestry contribution interestingly, includes 
additional 10% of the value of the recorded production to account for any unrecorded production. 
Similarly, for states of India, where data on production and price of “NWFP” is not available, it 
conservatively estimates the contribution of NWFP as ten times of the royalty amount received 
by the state.  
 
Trend in Percentage Contribution of Forest  Sector to GDP
1.2
1.3
1.7
2.9
0
0.5
1
1.5
2
2.5
3
3.5
1975
1980
1985
1990
1995
2000
2005
Year
P
e
rc
e
n
ta
ge of
 G
D
P
 
 
Assessment 
 
The declining trend demands detailed study of the estimates and to identify causes of decline and 
revise the estimates if necessary.  
 

 
109 (114) 
 
3.8  Review of Sustainability of Forest Resources  
 
FSI has gone further and has carried out a quantitative review
2
 of sustainability of forest 
resources in India using group convergence method (see foot note 2) that led to a sustainability 
score of 55.8 for forest resources in India indicating a satisfactory state.  A value of 50 or below 
would have meant that the status of sustainability was a cause for concern.  Following table 
present scores by each Criterion or Thematic Area that indicates three thematic areas (Forest 
health and Vitality, Social Function and Economic Function) need more attention from policy 
planners to ensure long term sustainability of forest resources in India. 
 
Criteria 
Relative Weight 
Score 
Weighted Score 
1(a)  
Extent of forest 
14.9 
69.2 
10.3 
1(b)  
Contribution to Carbon 
10.1 
61.0 
6.2 
2  
Forest Health & Vitality 
13.3 
48.0 
6.4 
3  
Biodiversity Function 
12.7 
58.3 
7.4 
4  
Production Function 
12.3 
52.0 
6.4 

  Protection 
Function  12.6 59.7 7.5 
6(a)  
Social Function 
11.9 
47.1 
5.6 
6(b)  
Economic Function 
12.1 
49.3 
6.0 
 Total 
100.0 
 
55.8 
 
                                                 
2
 For details see Pilot Study to review Sustainability of Forest Resources – India (FRA, FAO) – implemented by 
Forest Survey of India. 

 
110 (114) 
 
4. Validation 
of 
findings 
 
FSI has validated the content of this working paper and is planning to further update and validate 
this country information before submitting its final report.  
 
 
 
5. Conclusion 
 
 
FSI by developing this process of reporting has institutionalized this process at the national level 
and has identified its strength and needs to report to FRA 2005. This working paper sets the 
baseline for further improvement and refinement for final input from India to FRA 2005. In 
addition, this working paper has enhanced the transparency of information production process, 
credibility of national and related global data, and efficiency of recording keeping.  
 
 
 
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