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Poverty and Conservation

Valuation and Incentives

In recent years, significant advances have been made in the development and use of economic tools and measures for sustainable forest management (SFM). Despite this, there is still low awareness of these economic methods and tools among both economic and forestry planners and policy makers, and most economic measures for sustainable forest management are still to be institutionalised at the national level.

IUCN's work highlights economic valuation and incentives. These two tools should be viewed as means to an end, and not as ends in themselves. A more holistic set of forest values (including both use and non-use values) should be incorporated in decision making that affects forests and the communities who depend on them. Valuation studies need to pay much more attention to the distribution of market and non-market values to different socio-economic groups, particularly the rural poor.

IUCN has advocated through the international policy arena that incentives and environmental and trade-distorting subsidies for forest-related land-use activities need to be re-orientated and reformed to enhance, rather than undermine, the functionality of forest landscapes. By doing so, the future prospects of the poor can be improved. Markets should be used to provide incentives for ensuring the long-term viability and sustainability of forests and of the communities that depend on them.

Click here for IUCN Position Paper on Valuation and Incentives at UNFF-3

A Valuation Tool Kit: The South American Experience

IUCN has produced a toolkit focused on South America with the involvement of a wide range of partners and collaborators. The toolkit is divided up according to 4 key themes that contribute towards the use of economic tools and measures for sustainable forest management:

  1. Description of the concept of the total economic value of forests, and methods for quantifying these values and expressing them in monetary terms.

  2. Illustration of how in the light of information about such values, economic incentive measures can be developed and used for sustainable forest management.

  3. Generating sufficient finance for sustainable forest management, at local, national and global levels.

  4. Ways in which forest policies interact with economic management issues and tools, including a country-by-country analysis.

Throughout the toolkit, economic methods, concepts, and applications to on-the-ground forest management issues are illustrated by real-world examples and case studies from the South American region.

For more information on this toolkit, please contact:
Consuelo Espinosa
Coordinator Programa Conservacion de Bosques,
UICN Oficina Regional para America del Sur
Tel + 593 2 2261 075 Ext. 205
Email: consuelo.espinosa@iucn.org

To know more about Valuation and Incentives, click here.

To know more about IUCN's work on Economics, Valuation and Incentives, click here.