G Bhaskar Reddy,IFS Director, Watershed Mission Niranjan Sahu Manager,GIS,OWDM

1. Forest Dependency and Strategies for Promotion of NTFP based Livelihoods Interventions in Western Odisha G Bhaskar Reddy,IFS Director, Watershed Mission Niranjan Sahu Manager,GIS,OWDM

2. Background • Economy of western Odisha depends on natural resources and agriculture • Drought is a regular phenomena in this area • Dependency of poor people on forests is common • Higher the level of poverty, greater the dependency on forest products • Greater dependency of poor people on NTFP for cash income • Six months work to people living in forest fringe villages

3. Background • Western Odisha produces • 1/3rd of total kendu leaf and mahua flower • 15-20% of total bamboo production • More than 50% char seed traded in the state

4. A socio-economic survey of four WORLP districts revealed that an average household living close to the forests draws as much as 50 % of its total annual income/benefits from forests. NTFP NTFP as primary and secondary sources of income for 59 % of Poor & Very Poor households

5. Institutions for promotion of NTFP DSMS/ORMAS OFDC DSMS/ORMAS-common facility centres have been established for collection and value addition of NTFP such as neem and mahua seeds for oil, and Badhun. Oil expellers have been provided to SHGs for processing of oil from neem and mahua seed. OFDC-Procurement and marketing of kendu leaf, harvesting of bamboo and collection and sale of sal seed. NTFP TDCC TDCC-It was engaged in procurement and trade of Hill Brooms, Sal seed, Tamarind, Siali leaf etc. INSTITUTIONAL GAPS AT CLUSTER LEVEL

6. Challenges in management and trade of NTFP • Enterprises with out market development • Dearth of service providers – for technology, for storage, for standardization and also for market linkages. • Lack of well established mandis in the state for trading of NTFP • Trade in NTFP has always been determined by the buyers • Little information on value chain of the produce

7. WORLP Lessons WORLP collaborated with MART for business promotion and market development. • Collective action for procurement and trade of Mahua flower, Badhun, Char seed • Improve the quality of the produce through proper drying and storage. • Interface with traders and trained to negotiate with the traders. • Exposure to markets and market information • Increased return on investment

8. Suggested strategies • Institutions of Primary collectors and producers to promote fair trade in NTFP • Conservation and sustainable management of NTFP • Helping SHGs and cooperatives to set up NTFP enterprises. • Exploring the opportunities in the market for selected NTFP which are available in plenty in the project area. • Access quality services for enterprise development and market (Quality assurance, testing, product development and product standardization)

9. Suggested strategies • Facilitating capacity building of Panchayati Raj Institutions. • Institutional capacity is strengthened to implement programmes in NTFP sector • Convergence of efforts of different agencies on NTFP enterprise and effective coordination on NTFP management and trade • Advocating for policy reforms to enhance access of forest dependent communities to NTFP and encourage NTFP enterprises.

10. Thanks