IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Evaluating the Economic Potential and Feasibility of Producing Bioenergy from Underutilized Crops in Sri Lanka

  • Prabodh Illukpitiya

    ()

    (University of Hawaii)

Registered author(s):

    Households living in peripheral villages of the natural forests are primarily dependent on agriculture and secondarily dependent on forest gatherings. High rates of forest dependency occur, in part, from the efforts of inefficient farmers securing subsistence. Due to excessive use, the productivity of the remaining forests is at a critical stage. Technical efficiency in agriculture in forest peripheries is one aspect in which agricultural capacity and rural incomes can be enhanced. The study's main objective was to assess the efficiency of farming in forest margins and to determine its effect on dependency on forest resources by rural households. The findings of the study showed that the mean technical efficiency in agricultural farming in forest peripheries ranges between 67 - 73 percent. Factors such as age, education, experience, extension, and the nutrition status of the household head are mainly responsible for determining the level of inefficiency. Further, study findings showed factors such as technical efficiency in agriculture, off-farm income, wealth and the diversification index had negative and significant effects on dependency of rural households on forest resource extraction. It is estimated that on average, an increase in mean technical efficiency in agriculture by 10 percent would increase agricultural revenue by 2,142 - 3,987 rupees/farm. Based on the threshold efficiency levels needed to arrest forest dependency, it is estimated that increasing agricultural income through increasing technical efficiency can be partly compensated for forest resource extraction. Compared to the measured efficiency levels, the efficiency gaps needs to be addressed by policy measures range from 2-14 percent for NTFP categories and 10-26 percent for the fuelwood category. Technical efficiency in agriculture can be minimized via policies to enhance farmer education, extension and nutrition status of households. Income diversification and off-farm employment, may be other viable options to minimize forest dependency. Based on the economic value of forest products extracted from each forest reserve, it is estimated that increasing technical efficiency in agriculture by 10 percent would reduce the opportunity cost of biodiversity conservation by 27, 46, 34 and 75 percents respectively in the forest under investigation. The study findings showed that intersectoral activities such as agriculture produce positive externalities in forest conservation. Additional revenue generated by improving technical efficiency of agriculture can be partly compensated for the income gained by extracting forest goods. Hence, improving technical efficiency in farming in forest peripheries should be an integral part of forest conservation policy in Sri Lanka.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.idrc.ca/uploads/user-S/12553110831Prabodh(Tech).pdf
    File Function: First version, 2009
    Download Restriction: no

    Paper provided by Economy and Environment Program for Southeast Asia (EEPSEA) in its series EEPSEA Special and Technical Paper with number tp200910t1.

    as
    in new window

    Length:
    Date of creation: Oct 2009
    Date of revision: Oct 2009
    Handle: RePEc:eep:tpaper:tp200910t1
    Contact details of provider: Web page: http://www.eepsea.net

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eep:tpaper:tp200910t1. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Arief Anshory yusuf)

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.