Honduras forestry development project : mid-term evaluation

Interim evaluation covers the period 1987-1991. The first project component, institutional reorientation of the Honduran Forestry Development Corporation (COHDEFOR), has produced mixed results. A new standing timber sale program is in effect, as planned. Sales contracts now contain provisions requiring COHDEFOR to locate roads, skid trails, and landings according to environmentally sound standards. However, residual value appraisals of standing trees have yet to be initiated, and both supervision and quality control need improvement. COHDEFOR is improving its capacity to monitor private sector lumber exports; e.g., a grading manual has been produced (but not yet implemented). Planned improvements in COHDEFOR's marketing department have not yet taken place. Finally, and most importantly, though some specific objectives have been met (e.g., reduced past due receivables, and development of operational manuals), overall management at COHDEFOR has not improved, due mostly to the employment of political appointees rather than professional managers in key positions, especially in the areas of financial management and accounting. In the pilot forest management component, two model forest management units (FMU's) have been selected: La Union and Salama; a third remains to be chosen. La Union is functioning well as the training and development unit for the new timber sales program, and many of its goals have been accomplished or are in process; however, the level of harvesting has been excessive. Also, community extension work needs to be reinforced; more employment opportunities in forestry would increase the people's awareness of the forest's value, and thus help prevent forest fires. Salama has had a management plan developed, but has not yet begun timber sale operations. Two wildlife refuges have been established; their development and management will provide a basis for COHDEFOR's new mandate to manage Honduras's protected areas. The third component, to strengthen the private sector forest industry, has been well received and productive. Band sawmill production has increased from 60% to 74%, and efficiency improved from 191 bd.ft./cubic meter to 220 bd.ft./cubic meter in the mills sampled; all mills are receiving over 100% more logs in the 6 to 10 inch range as a direct result of the new timber sale program. However, improvement in harvesting methods has been nil; only one short course addressed logging. Project TA has strengthened the Honduran Association of Sawmill Operators, but more assistance in sawmill operation and technology is needed. The training program has been quite successful, though it has not functioned through the Escuela Nacional de Ciencas Forestales as originally planned. Due to a cumbersome loan process which requires buying new equipment in the United States, few mills took advantage of the credit portion of the project, which is being suspended; larger and medium-sized mills met project goals using private financing. Three significant lessons were learned. (1) The success of TA depends on the individuals selected, not on parent organizations. (2) Management by objectives requires team leaders to monitor the project by reporting. This did not occur under the long-term TA team. (3) Managerial effectiveness and improvement depends upon hiring professionals rather than relying on political appointees.