Liberalizing tree plantation policies in the Philippines
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The Philippine forestry sector is in a bad shape. Despite the policies to protect forests, overregulation has negatively impacted the country’s capacity to produce wood. Harvest and transport rules in tree plantation development are too restrictive up to the point that it becomes a disincentive to wood producers. A solution is to liberalize said regulations to encourage investments in tree plantation development.Current regulations protect natural and residual forests and has banned logging in these areas. As such, forest product such as logs, timber and lumber can only be sourced from tree plantations. About 75% of the country’s wood requirements are from imported sources. And despite of its potential, only a few are engaged in the establishment of tree plantations.A study was conducted by the Foundation for Economic Freedom (FEF) to determine why people do not invest in forestry. It also looks on tree plantation development as an alternative to harvesting in the natural forests and as an excellent opportunity to supply the wood requirements of the country, spur economic and inclusive growth, and promote sustainable development.The study employed the Development Entrepreneurship (DE), a development model where technically sound and politically feasible bite-size solutions, packaged as policy reforms, are pursued. Technical soundness determines whether the reform is 1) transformative (is the reform likely to change the incentives and behavior of people and organizations sufficiently, so outcomes improve); 2) scalable (is change likely to spread well beyond the initial project site); and 3)sustainable (is the reform likely to continue without additional donor support). On the other hand, politically feasible, refers to the likelihood that the reform will be advocated by government champions and be accepted by existing political actors and environment. The model in a nutshell, means getting the right reform to the right person to get the right results.The proposals of the study were adopted by the Department of Environment and Natural Resources (DENR) Administrative Order (DAO) 2020-18, or “Promoting Tree Plantation Development and Liberalizing Harvesting and Transport of Planted Trees and Tree Derivatives for Inclusive Growth and Sustainable Development“ last December 17, 2020. Prior to harvest of trees, the 100% inventory requirement was removed in private plantations and reduced to 5% requirement in State-owned forest lands. For transport, instead of securing several documents, a certification tating that the trees are from legal sources is sufficient.
Keywords: Economic Development, Policies, Sustainable forest management, Decent employment, Governance
ID: 3619348