Abstract:
The study on economic valuation of Non Timber Forest Products (NTFPs) and its
implication for adaptation to climate change was conducted in four villages
surrounding Iyondo Forest Reserve (IFR). The study specifically aimed at
identifying and quantifying NTFPs for subsistence use and trade, examining factors
influencing supply and demand of NTFPs, examining the total economic value of
NTFPs and determining profit margin between different actors along the NTFPs
market value chain. Data were collected through PRA techniques, household and
market surveys. Analysis of data through descriptive and inferential statistics was
done using the Statistical Package for Social Sciences (SPSS) and Ms Excel
software tools. 14 NTFPs were identified including firewood, mushrooms, wild
fruits, herbal medicines and honey which were used for trade by local communities
surrounding IFR for their livelihoods and during adverse climatic conditions. The
results at p<0.05 showed that household income, household size and distance
influenced supply of NTFPs, probably because of their increasing vulnerability to
economic shocks due to climate variability. Other factors that constrained supply
were existing tenure system, occasional floods, drought, scarcity, fire and
seasonality. Demand for NTFPs was influenced by household size and marital
status. The total economic value of NTFPs at a discount rate of 10% was TZS 20
523 473 790 indicating the contribution of NTFPs for rural livelihood in the
changing climate which also influences adaptive capacity. High profit margin along
the NTFPs actors was found to benefit collectors of charcoal and honey followed by
retailers selling firewood. Beverage traders accrued high profit than other actors
because of value addition. The recommendations were to improve futureiii
availability of NTFPs, by sensitizing communities to practice agroforestry and
establish community woodlots, to encourage local communities, to engage in
alternative income generating activities such as beekeeping in order to improve
their income and to meet the needs of their big household size, to promote
preservation and value addition of products in order to ensure benefits to various
actors along the market value chain and sustainability of products. Also, economic
valuation for other forest services from IFR including carbon sequestration under
the changing climate condition should be conducted so as to capture the full value
of the IFR.