IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v69y2010i10p1952-1963.html
   My bibliography  Save this article

Farming vs forests: Trade-off between agriculture and the extraction of non-timber forest products

Author

Listed:
  • Illukpitiya, Prabodh
  • Yanagida, John F.

Abstract

A number of empirical studies on tropical forests have focused on the issues of agricultural development and deforestation. According to these studies, deforestation is assumed to be an increasing function of agricultural yields hence implying a negative external effect. Contrary, this article presents a case which explores the trade-off between agriculture and extraction of forest products. We measure the technical efficiency of agriculture in natural forest peripheries and test the results from forest resource extraction. The study findings show that non-timber forest product extraction is a decreasing function of agricultural efficiency, hence producing a positive externality in the conversion of forest resources. This study also determines the level of efficiency improvement necessary to compensate the current income generated by non-timber forest products (NTFPs). Improving agricultural efficiency in forest peripheries should be an integral component of forest conservation policy.

Suggested Citation

  • Illukpitiya, Prabodh & Yanagida, John F., 2010. "Farming vs forests: Trade-off between agriculture and the extraction of non-timber forest products," Ecological Economics, Elsevier, vol. 69(10), pages 1952-1963, August.
  • Handle: RePEc:eee:ecolec:v:69:y:2010:i:10:p:1952-1963
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0921-8009(10)00197-7
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Reddy, S. R. C. & Chakravarty, S. P., 1999. "Forest Dependence and Income Distribution in a Subsistence Economy: Evidence from India," World Development, Elsevier, vol. 27(7), pages 1141-1149, July.
    2. Deolalikar, Anil B, 1988. "Nutrition and Labor Productivity in Agriculture: Estimates for Rural South India," The Review of Economics and Statistics, MIT Press, vol. 70(3), pages 406-413, August.
    3. Byron, Neil & Arnold, Michael, 1999. "What Futures for the People of the Tropical Forests?," World Development, Elsevier, vol. 27(5), pages 789-805, May.
    4. von Braun, Joachim, 1995. "Agricultural commercialization: impacts on income and nutrition and implications for policy," Food Policy, Elsevier, vol. 20(3), pages 187-202, June.
    5. J. C. Burgess, 1998. "Economic analysis of deforestation in Mexico," Chapters, in: The Economics of Environment and Development, chapter 10, pages 183-222, Edward Elgar Publishing.
    6. Bravo-Ureta, Boris E. & Pinheiro, António E., 1993. "Efficiency Analysis of Developing Country Agriculture: A Review of the Frontier Function Literature," Agricultural and Resource Economics Review, Cambridge University Press, vol. 22(1), pages 88-101, April.
    7. George E. Battese & Greg S. Corra, 1977. "Estimation Of A Production Frontier Model: With Application To The Pastoral Zone Of Eastern Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 21(3), pages 169-179, December.
    8. Benjamin, Dwayne, 1992. "Household Composition, Labor Markets, and Labor Demand: Testing for Separation in Agricultural Household Models," Econometrica, Econometric Society, vol. 60(2), pages 287-322, March.
    9. Mattos, Marli Maria & Uhl, Christopher, 1994. "Economic and ecological perspectives on ranching in the Eastern Amazon," World Development, Elsevier, vol. 22(2), pages 145-158, February.
    10. Tachibana, Towa & Nguyen, Trung M. & Otsuka, Keijiro, 2001. "Agricultural Intensification versus Extensification: A Case Study of Deforestation in the Northern-Hill Region of Vietnam," Journal of Environmental Economics and Management, Elsevier, vol. 41(1), pages 44-69, January.
    11. Croppenstedt, Andre & Muller, Christophe, 2000. "The Impact of Farmers' Health and Nutritional Status on Their Productivity and Efficiency: Evidence from Ethiopia," Economic Development and Cultural Change, University of Chicago Press, vol. 48(3), pages 475-502, April.
    12. Abdulai, Awudu & Huffman, Wallace, 2000. "Structural Adjustment and Economic Efficiency of Rice Farmers in Northern Ghana," Economic Development and Cultural Change, University of Chicago Press, vol. 48(3), pages 503-520, April.
    13. Wunder, Sven, 2001. "Poverty Alleviation and Tropical Forests--What Scope for Synergies?," World Development, Elsevier, vol. 29(11), pages 1817-1833, November.
    14. Kumbhakar, Subal C & Ghosh, Soumendra & McGuckin, J Thomas, 1991. "A Generalized Production Frontier Approach for Estimating Determinants of Inefficiency in U.S. Dairy Farms," Journal of Business & Economic Statistics, American Statistical Association, vol. 9(3), pages 279-286, July.
    15. K. P. Kalirajan & J . C. Flinn*, 1983. "The Measurement Of Farm-Specific Technical Efficiency," Pakistan Journal of Applied Economics, Applied Economics Research Centre, vol. 2(2), pages 167-180.
    16. Ricardo Godoy & David Wilkie & Han Overman & Adoni Cubas & Glenda Cubas & Josefien Demmer & Kendra McSweeney & Nicholas Brokaw, 2000. "Valuation of consumption and sale of forest goods from a Central American rain forest," Nature, Nature, vol. 406(6791), pages 62-63, July.
    17. Timmer, C P, 1971. "Using a Probabilistic Frontier Production Function to Measure Technical Efficiency," Journal of Political Economy, University of Chicago Press, vol. 79(4), pages 776-794, July-Aug..
    18. Cavendish, William, 2000. "Empirical Regularities in the Poverty-Environment Relationship of Rural Households: Evidence from Zimbabwe," World Development, Elsevier, vol. 28(11), pages 1979-2003, November.
    19. Battese, George E., 1992. "Frontier production functions and technical efficiency: a survey of empirical applications in agricultural economics," Agricultural Economics, Blackwell, vol. 7(3-4), pages 185-208, October.
    20. Cooke, Priscilla A, 1998. "Intrahousehold Labor Allocation Responses to Environmental Good Scarcity: A Case Study from the Hills of Nepal," Economic Development and Cultural Change, University of Chicago Press, vol. 46(4), pages 807-830, July.
    21. Gerald E. Shively, 2001. "Agricultural Change, Rural Labor Markets, and Forest Clearing: An Illustrative Case from the Philippines," Land Economics, University of Wisconsin Press, vol. 77(2), pages 268-284.
    22. Wen, Mei & Li, Dong & Lloyd, Peter, 2002. "Ownership and Technical Efficiency: A Cross-Section Study on the Third Industrial Census of China," Economic Development and Cultural Change, University of Chicago Press, vol. 50(3), pages 709-734, April.
    23. Christian Jette, 1996. "Diversification as a Risk Management Strategy in an Andean Agropastoral Community," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1329-1334.
    24. Nickerson, Donna J., 1999. "Trade-offs of mangrove area development in the Philippines," Ecological Economics, Elsevier, vol. 28(2), pages 279-298, February.
    25. Subhrendu K. Pattanayak & Erin O. Sills, 2001. "Do Tropical Forests Provide Natural Insurance? The Microeconomics of Non-Timber Forest Product Collection in the Brazilian Amazon," Land Economics, University of Wisconsin Press, vol. 77(4), pages 595-612.
    26. Caviglia, Jill L & Kahn, James R, 2001. "Diffusion of Sustainable Agriculture in the Brazilian Tropical Rain Forest: A Discrete Choice Analysis," Economic Development and Cultural Change, University of Chicago Press, vol. 49(2), pages 311-333, January.
    27. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-332.
    28. Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
    29. Takasaki, Yoshito & Barham, Bradford L. & Coomes, Oliver T., 2000. "Rapid Rural Appraisal in Humid Tropical Forests: An Asset Possession-Based Approach and Validation Methods for Wealth Assessment Among Forest Peasant Households," World Development, Elsevier, vol. 28(11), pages 1961-1977, November.
    30. Southgate, Douglas & Sierra, Rodrigo & Brown, Lawrence, 1991. "The causes of tropical deforestation in Ecuador: A statistical analysis," World Development, Elsevier, vol. 19(9), pages 1145-1151, September.
    31. Gershon Feder & Rinku Murgai & Jaime B. Quizon, 2004. "The Acquisition and Diffusion of Knowledge: The Case of Pest Management Training in Farmer Field Schools, Indonesia," Journal of Agricultural Economics, Wiley Blackwell, vol. 55(2), pages 221-243, July.
    32. Douglas Southgate, 1990. "The Causes of Land Degradation along "Spontaneously" Expanding Agricultural Frontiers in the Third World," Land Economics, University of Wisconsin Press, vol. 66(1), pages 93-101.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nguyen, Thanh-Tung & Nguyen, Trung Thanh & Do, Manh Hung & Nguyen, Duy Linh & Grote, Ulrike, 2022. "Shocks, agricultural productivity, and natural resource extraction in rural Southeast Asia," World Development, Elsevier, vol. 159(C).
    2. Sri Astutik & Jürgen Pretzsch & Jude Ndzifon Kimengsi, 2019. "Asian Medicinal Plants’ Production and Utilization Potentials: A Review," Sustainability, MDPI, vol. 11(19), pages 1-33, October.
    3. Jyotsna Krishnakumar & John Yanagida & V. Anitha & Rajeev Balakrishnan & Theodore Radovich, 2015. "Non-timber forest products certification and management: a socioeconomic study among the Kadars in Kerala, India," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 17(4), pages 837-858, August.
    4. Kamal Hussain & Fazlur Rahman & Ihsan Ullah & Zahir Ahmad & Udo Schickhoff, 2022. "Assessing the Impacts of Population Growth and Roads on Forest Cover: A Temporal Approach to Reconstruct the Deforestation Process in District Kurram, Pakistan, since 1972," Land, MDPI, vol. 11(6), pages 1-23, May.
    5. Nayu Nuringdati Widianingsih & Ida Theilade & Mariève Pouliot, 2016. "Contribution of Forest Restoration to Rural Livelihoods and Household Income in Indonesia," Sustainability, MDPI, vol. 8(9), pages 1-22, August.
    6. Gren, Ing-Marie & Carlsson, Mattias, 2011. "Estimation of cost functions for preserving biodiversity in Swedish forests," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114596, European Association of Agricultural Economists.
    7. Do, Huu-Luat & Ho, Thong Quoc, 2022. "Climate change adaptation strategies and shrimp aquaculture: Empirical evidence from the Mekong Delta of Vietnam," Ecological Economics, Elsevier, vol. 196(C).
    8. Nguyen, Trung Thanh & Do, Truong Lam & Parvathi, Priyanka & Wossink, Ada & Grote, Ulrike, 2018. "Farm production efficiency and natural forest extraction: Evidence from Cambodia," Land Use Policy, Elsevier, vol. 71(C), pages 480-493.
    9. Heubach, Katja & Wittig, Rüdiger & Nuppenau, Ernst-August & Hahn, Karen, 2011. "The economic importance of non-timber forest products (NTFPs) for livelihood maintenance of rural west African communities: A case study from northern Benin," Ecological Economics, Elsevier, vol. 70(11), pages 1991-2001, September.
    10. Liu, Shilei & Xu, Jintao, 2019. "Livelihood mushroomed: Examining household level impacts of non-timber forest products (NTFPs) under new management regime in China's state forests," Forest Policy and Economics, Elsevier, vol. 98(C), pages 44-53.
    11. Lubna Ali & Rizwan Akhtar & Jamal Hussain & Ghazala Khan & Sameena Mumtaz & Naila Akhtar & Rashid Ali & Chenlu Tao, 2024. "Economic Performance of Forest Plantations in Asian Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 4997-5017, March.
    12. Gabriel Medina & Karim Thomé, 2021. "Transparency in Global Agribusiness: Transforming Brazil’s Soybean Supply Chain Based on Companies’ Accountability," Logistics, MDPI, vol. 5(3), pages 1-15, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Olli-Pekka Kuusela & Maria S. Bowman & Gregory S. Amacher & Richard B. Howarth & Nadine T. Laporte, 2020. "Does infrastructure and resource access matter for technical efficiency? An empirical analysis of fishing and fuelwood collection in Mozambique," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(3), pages 1811-1837, March.
    2. Coelli, Tim J., 1995. "Recent Developments In Frontier Modelling And Efficiency Measurement," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 39(3), pages 1-27, December.
    3. Coomes, Oliver T. & Barham, Bradford L. & Takasaki, Yoshito, 2004. "Targeting conservation-development initiatives in tropical forests: insights from analyses of rain forest use and economic reliance among Amazonian peasants," Ecological Economics, Elsevier, vol. 51(1-2), pages 47-64, November.
    4. Tim J. Coelli & George E. Battese, 1996. "Identification Of Factors Which Influence The Technical Inefficiency Of Indian Farmers," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 40(2), pages 103-128, August.
    5. Gabriela Pérez Quesada, 2017. "Technical efficiency of dairy farms in Uruguay: a stochastic production frontier analysis," Documentos de Trabajo (working papers) 0517, Department of Economics - dECON.
    6. Vangelis Tzouvelekas & Konstantinos Giannakas & Peter Midmore & Konstantinos Mattas, 1997. "Technical efficiency measures for olive-growing farms in Crete, Greece," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 3(2), pages 154-169, May.
    7. Bekele, Abate & Viljoen, Machiel F. & Ayele, Gezahegn & Ali, Syed, 2009. "Effect of Farm Size on Efficiency of Wheat Production in Moretna-Jirru District in Central Ethiopia," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 64(1), pages 1-11.
    8. Shone, Bryan M. & Caviglia-Harris, Jill L., 2006. "Quantifying and comparing the value of non-timber forest products in the Amazon," Ecological Economics, Elsevier, vol. 58(2), pages 249-267, June.
    9. Uvarovsky, Vladimir & Voigt, Peter, 2000. "Russia'S Agriculture: Eight Years In Transition - Convergence Or Divergence Of Regional Efficiency," IAMO Discussion Papers 14891, Institute of Agricultural Development in Transition Economies (IAMO).
    10. Yoshito Takasaki & Oliver T. Coomes & Christian Abizaid & Stéphanie Brisson, 2014. "An Efficient Nonmarket Institution under Imperfect Markets: Labor Sharing for Tropical Forest Clearing," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(3), pages 711-732.
    11. Binam, Joachim Nyemeck & Tonye, Jean & wandji, Njankoua & Nyambi, Gwendoline & Akoa, Mireille, 2004. "Factors affecting the technical efficiency among smallholder farmers in the slash and burn agriculture zone of Cameroon," Food Policy, Elsevier, vol. 29(5), pages 531-545, October.
    12. Reddy, Mahendra, 2002. "Implication of Tenancy Status on Productivity and Efficiency: Evidence from Fiji," Sri Lankan Journal of Agricultural Economics, Sri Lanka Agricultural Economics Association (SAEA), vol. 4, pages 1-20.
    13. Uvarovsky, Vladimir & Voigt, Peter, 2000. "Russia's agriculture: eight years in transition - convergence or divergence of regional efficiency," IAMO Discussion Papers 31, Leibniz Institute of Agricultural Development in Transition Economies (IAMO).
    14. Shanmugam, K.R. & Venkataramani, Atheendar, 2006. "Technical Efficiency in Agricultural Production and Its Determinants: An Exploratory Study at the District Level," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 61(2), pages 1-16.
    15. Völker, Marc & Waibel, Hermann, 2010. "Do rural households extract more forest products in times of crisis? Evidence from the mountainous uplands of Vietnam," Forest Policy and Economics, Elsevier, vol. 12(6), pages 407-414, July.
    16. Asefa, Shumet, 2011. "Analysis of technical efficiency of crop producing smallholder farmers in Tigray,Ethiopia," MPRA Paper 40461, University Library of Munich, Germany, revised 19 Sep 2012.
    17. Boris Bravo-Ureta & Daniel Solís & Víctor Moreira López & José Maripani & Abdourahmane Thiam & Teodoro Rivas, 2007. "Technical efficiency in farming: a meta-regression analysis," Journal of Productivity Analysis, Springer, vol. 27(1), pages 57-72, February.
    18. Edward Ebo ONUMAH & Bernhard BRÜMMER & Gabriele HÖRSTGEN-SCHWARK, 2010. "Productivity of the hired and family labour and determinants of technical inefficiency in Ghana's fish farms," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 56(2), pages 79-88.
    19. Baland, Jean-Marie & Francois, Patrick, 2005. "Commons as insurance and the welfare impact of privatization," Journal of Public Economics, Elsevier, vol. 89(2-3), pages 211-231, February.
    20. Imori, Denise & Guilhoto, Joaquim José Martins & Postali, Fernando Antonio Slaibe, 2012. "Eficiência técnica das agropecuárias familiar e patronal – diferenças regionais no Brasil [Technical efficiency of agricultural households and business - regional differences in Brazil]," MPRA Paper 46954, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:69:y:2010:i:10:p:1952-1963. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.