Forestry for sustainable development : policy lessons from Central America and Panama

The projects are examined within a framework of seven factors influencing sustainability: external impacts produced by the project, continuity after project completion, diffusion of positive results, distribution of costs and benefits within the project area, incorporation of measures to reduce uncertainty, future demand for and supply of project-supported goods and services, and institutional innovations. The report concludes that forestry projects should: be compatible with host country (rather than donor) interests and make efficient use of resources; emphasize the development of local capacities and participation (the most successful projects used local hires, local residents to promote the project, local institutions, and farmer-to-farmer training); and take a long-term approach, which may require including projects as components of longer term development strategies, or phasing technical and economic inputs better. In addition, the report notes that legislative support is important for sustainable forestry development; policy studies are needed that identify the positive externalities produced by sustainable forestry. Finally, the report calls for a more equitable distribution of forestry development costs and benefits; many countries have provided incentives for large-scale forestry development through larger landowners and businesses, while smaller landowners have shown that they can establish and manage forestry plantings, often with better results. A concluding matrix presents lessons learned under each of the study"s seven analytical factors.