Community-based tree and forest product enterprises
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Through its community-based enterprise development (CBED) programme, the Forestry Department of FAO supports the development of capacity to create small-scale tree and forest product enterprises. Such rural enterprises provide local communities with better opportunities to benefit from forest resources, while also creating greater incentives to sustainably manage and protect those resources. The programme seeks to support the development of business capacity through training in the use o f the Market Analysis and Development (MA&D) methodology. MA&D is especially suitable for enterprises based on natural resources products that need to be protected or conserved because it links participatory natural resources management and conservation activities to income generating opportunities. Besides environmental sustainability, the methodology also takes into consideration social, technological, legal and commercial aspects, providing a wide scope for understanding relevant mark et systems and thus avoiding business failure. As the approach encourages planning and development of business strategies it also contributes to local communities’ investment preparedness, making it easier for them to access external capital and investments such as those related to Carbon Finance.