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Analysis of Demand and Supply of Wood Products in Kenya
Analysis of Demand and Supply of Wood Products in Kenya
Analysis of Demand and Supply of Wood Products in Kenya
JULY , 2013
1
ABSTRACT
Carbon emissions from deforestation and forest degradation contribute significantly to the
global climate change problem. REDD+ has been identified as one of the innovative
mechanism with potential to significantly reduce forest sector emissions in developing
tropical countries and therefore contribute to global climate change mitigation efforts.
Developing countries that voluntarily opt to participate in REDD+ will be expected to
formulate effective REDD+ strategies to support implementation. A number of analytical
studies have been proposed in Kenya to provide information necessary for the strategy
formulation process. Information on supply and demand of forest wood products in Kenya is
currently lacking and has been proposed as one of the studies to be done.
This study was commissioned to provide information on current wood supply potential,
current potential demand, critical analysis of supply and demand interactions, forecasting of
future demand and supply and policy and legal environment affecting supply and demand.
The Study approaches adopted include literature reviews, workshops, stakeholder
consultations, Focus Group Discussions and site visits
The study found that Kenya has a wood supply potential of 31.4 million m3 against a national
demand of 41.7 million m3 hence a current deficit of 10.3 million m3. Timber, poles, fire
wood and charcoal supply stands at 7,363,414m3, 3,028,907m3, 13,654,022m3 and
7,358,717m3 while demand stands at 5,262,624m3, 1,409,482m3, 18,702,748m3 and
16,325,810m3 respectively. Forecasts for a 20 year period indicate a 20.0% increase in supply
and 21.6% increase in demand by the year 2032 which signifies a gradually increasing deficit.
Analysis of policies and their impacts on supply and demand balances have identified those
that support increased wood production and those impacting on demand all pursuing
sustainability. Those policies that support tree planting through incentives, sustainable
harvesting and effective distribution of wood products need to be strongly supported by the
REDD+ strategy. Policies that negatively impact on wood production, promote unfair trade in
forestry and promote consumption without reflecting on mode of production will be
recommended for review and where possible harmonization with the forest policy.
Gaps in forestry that are not adequately addressed by the policies are identified and review
recommended while inadequacy of implementing institution is also addressed and
recommendations on capacity development made.
The REDD+ strategy will use the study findings to create an enabling environment for
achievement of sustainable wood supply from the existing forest resource base. The strategy
should, among others, promote good forest management practices including increasing forest
cover, through afforestation, protecting and conserving existing forest resources, engage other
wood producers, while at the same time, improve efficiencies in wood processing and
utilization methods.
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ABBREVIATIONS
CPAs Charcoal Producer Associations
CFAs Community Forest Associations
DDCs District Development Committees
DRC Democratic Republic of Congo
EAWLS East Africa Wild Life Society
EMCA Environmental Management and Coordination Act
ESDA Energy for Sustainable Development Africa
FCPF Forest Carbon Partnership Facility
FRA Forest Resources Assessment
FAO Food and Agriculture Organization
FAN Forest Action Network
FD Forest Department
FAN Forest Action Network
GBM Green Belt Movement
GDP Gross Domestic Product
GFPM Global Forest Product Model
GIS Geographical Information System
IPCC Intergovernmental Panel on Climate Change
KEFRI Kenya Forestry Research Institute
KFC Kenya Forestry College
KFSC Kenya Forestry Seed Centre
KFS Kenya Forest Service
KFWG Kenya Forest Working Group
KIA Kenya Investment Authority
KNBS Kenya National Bureau of Statistics
KPLC Kenya Power and Lighting Company
KWS Kenya Wildlife Society
LPG Liquefied Petroleum Gas
M.A.I Mean Annual Increment
MENR Ministry of Environment and Natural Resources
MRV Monitoring, Reporting and Verification
NCCRS National Climate Change Response Strategy
NEMA National Environment Management Authority
NGOs Non-Governmental Organizations
NIC National Investment Council
NLC National Land Commission
NUDP National Urban Development Policy
PFM Public Financial Management
REA Rural Electrification Authority
REDD+ Reducing Emissions from Deforestation and forest Degradation (+) and
the role of conservation, sustainable management of forests and
enhancement of forest carbon stocks
3
R-PIN Readiness Plan Idea Note
SMEs Small and Medium Enterprises
TNRF Tanzania Natural Resources Forum
UNFCCC United Nations Framework Convention on Climate Change
WWF World Wildlife Fund
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UNITS OF MEASURE
Cm Centimeter
Dbh Diameter at Breast height
Ft Foot
Ha Hectare
Km Kilometer
Kgs Kilograms
Kshs Kenya Shillings
M3 Cubic Meter
No. Number
Tons Tones
USD US Dollar
Yr. Year
TABLE OF CONTENTS
ABSTRACT.................................................................................................................................... 2
ABBREVIATIONS ........................................................................................................................ 3
UNITS OF MEASURE................................................................................................................... 5
TABLE OF CONTENTS ................................................................................................................ 6
LIST OF FIGURES ........................................................................................................................ 9
ACKNOWLEDGEMENTS .......................................................................................................... 11
EXECUTIVE SUMMARY .......................................................................................................... 12
1.1 Forests and Climate Change ............................................................................................... 18
1.2 Rationale for the Study ....................................................................................................... 18
1.3 Objectives of the Study ....................................................................................................... 19
1.4 Limitations of The Study .................................................................................................... 19
CHAPTER 2.0 METHODOLOGY .............................................................................................. 20
2.1 Study Approach .................................................................................................................. 20
2.1.1 Supply potential ........................................................................................................... 20
2.1.2 Wood Demand ............................................................................................................. 20
2.1.3 Policy and legal environment review ........................................................................... 22
2.2 Study Methods .................................................................................................................... 23
2.2.1 Literature review .......................................................................................................... 23
2.2.2 Stakeholders consultations ........................................................................................... 23
2.2.3 Visits ............................................................................................................................ 24
2.2.4 Data analysis ................................................................................................................ 24
CHAPTER 3.0: WOOD PRODUCTS SUPPLY .......................................................................... 25
3.1 Forest Resource Base .......................................................................................................... 25
3.1.1 Public forests ................................................................................................................ 25
3.1.2 Forests in community and private lands ..................................................................... 25
3.1.3 Trees on farms.............................................................................................................. 25
3.2. Factors Affecting Supply Quantities of Wood................................................................... 26
3.2.1 Area of productive forests ............................................................................................ 26
3.2.2 Yielding capacities ....................................................................................................... 26
3.2.3 Policies and legal frameworks ..................................................................................... 26
3.3 Potential Supply Analysis ................................................................................................... 26
3.3.1 Forest areas .................................................................................................................. 27
3.3.2 Management of forests and yields .............................................................................. 27
3.4 Computing Supply .............................................................................................................. 32
3.4.1National wood supply potential .................................................................................... 33
3.4.2 Wood supply potential by Counties ............................................................................. 35
3.4.3 Imports ......................................................................................................................... 35
3. 5 Other Sources of Wood ...................................................................................................... 35
3.5.1 Wood from bush lands and wooded grasslands. .......................................................... 35
3.5.2 Illegal trade .................................................................................................................. 36
3.5.3 Farm residue and wood waste ...................................................................................... 36
CHAPTER 4.0 WOOD DEMAND .............................................................................................. 37
4.1 General Overview of Wood Products Demand .................................................................. 37
4.2 Summary of Factors Affecting Wood Demand .................................................................. 39
4.2.1Population ..................................................................................................................... 39
4.2.2 Levels of income .......................................................................................................... 40
4.2.3 Price of wood ............................................................................................................... 40
4.2.4 Processing recoveries. .................................................................................................. 40
4.2.5 Utilization efficiencies ................................................................................................. 41
4.2.6 Alternative products ..................................................................................................... 41
4.2.7 Illegal export trade ....................................................................................................... 41
4.3 Wood Demand Analysis ..................................................................................................... 41
4.3.1 Consumption or demand centers based study .............................................................. 42
4.3.2 Per capita based demand analysis ................................................................................ 43
4.3.3 Population .................................................................................................................... 45
4.3.4 National wood demand ................................................................................................ 45
4.4. Exports ............................................................................................................................... 46
4.5. Round Wood Conversion ................................................................................................... 46
4.6 Wood demand by counties .................................................................................................. 48
CHAPTER 5.0 CRITICAL ANALYSIS OF DEMAND AND SUPPLY .................................... 49
5.1 Current Supply .................................................................................................................... 49
5.1.1 National wood supply potential ................................................................................... 49
5.1.2 Wood supply potential from counties .......................................................................... 50
5.1.3 Supply Situation ........................................................................................................... 50
5.2 Demand of Wood ................................................................................................................ 51
5.2.1 Demand situation ......................................................................................................... 52
5.3 Supply and Demand Balances ............................................................................................ 52
5.3.1 National wood supply and demand net balances ......................................................... 53
5.3.2 Wood supply and demand balances situation ............................................................. 54
5.3.3 Optimum potential supply............................................................................................ 54
5.4 Supply and Demand Balances by Counties ........................................................................ 55
5.4.1 Net wood producing counties ...................................................................................... 55
5.4.2 Net wood consuming counties ..................................................................................... 57
5.5 Forecasting Supply and Demand ........................................................................................ 58
5.5.1 Forecasting of supply ................................................................................................... 58
5.5.2 Results on forecasting of supply .................................................................................. 59
5.5.3 Forecasting of demand ................................................................................................. 60
5.5.4 Results of the forecasting of demand ........................................................................... 61
5.5.5 Projected supply and demand balances of wood ......................................................... 62
CHAPTER 6.0 POLICY AND LEGAL ENVIRONMENT ......................................................... 64
6.1 Overview ............................................................................................................................. 64
6.1.1 Forest management challenges in Kenya .................................................................... 64
6.2 Policy Environment ............................................................................................................ 65
6.2.1 Policies with positive influence on wood supply and demand .................................... 65
6.2.2 Factors with positive influence on wood supply and demand ..................................... 69
6.2.3 Factors that negatively impact on wood supply and demand ...................................... 70
CHAPTER 7.0 WAY FORWARD FOR THE REDD+ STRATEGY ......................................... 75
8.0 REFERENCE LIST ................................................................................................................ 77
9.0 ANNEXES .............................................................................................................................. 80
Annex 9.1 Terms of Reference ................................................................................................. 80
Annex 9.2 Forests within Counties Area .................................................................................. 82
Annex 9.3 Forests within Counties Area under National Parks ............................................... 84
Annex 9.4 Counties Wood Supply Potential ............................................................................ 85
Annex 9.5 National Available Supply ...................................................................................... 87
Annex 9.6 Counties Population ................................................................................................ 88
Annex 9.7 Counties Wood Demand ......................................................................................... 90
Annex 9.8 Counties Suppy and Demand Net Balances ............................................................ 93
Annex 9.9 Counties Wood Supply and Demand Net Balances Summary ............................. 103
Annex 10.1 Institutional Roles and Responsibilities .............................................................. 105
LIST OF FIGURES
Figure 1: Forest type areas under different management regimes ................................................ 26
Figure 2: Graphical presentation of national wood supply potential by forest types ................... 35
Figure 4: Graphical presentation of available and lost wood volumes after processing .............. 47
Figure 7: National net balances from potential supply and current demand ................................ 54
Figure 10: Forecasting of the net balances (supply-demand) of wood products in Kenya........... 63
LIST OF TABLES
Table 1: National area for different forest types ........................................................................... 27
Table 2: Average Yields from Cypress plantations ...................................................................... 29
Table 3: Average yields from Pine plantations ............................................................................. 29
Table 4: Average yields from Eucalyptus plantations .................................................................. 29
Table 5: Plantation forests area cover ........................................................................................... 30
Table 6: Weighted yields from operations summed up from three species .................................. 30
Table 7: Yields from private and community eucalyptus plantations .......................................... 31
Table 8: Yields from trees on farms ............................................................................................. 32
Table 9: Summary of yields in m3/ ha for different products by different forests types .............. 32
Table 10: National wood supply potential .................................................................................... 33
Table 11: Summary of the per capita demand of the four wood products .................................... 44
Table 12: The national demand of forest products (m3) ............................................................... 45
Table 13: Recovered wood volumes after processing of end products ........................................ 46
Table 14: Available and lost volumes by products after processing ............................................ 47
Table 15: Summary of Wood supply potential from forested areas and trees on farms ............... 49
Table 16: National wood demand quantities ................................................................................ 51
Table 17: National supply potential and demand net balances ..................................................... 53
Table 18: National optimal supply quantities .............................................................................. 55
Table 19: List of Net wood producing counties............................................................................ 55
Table 20: Net Consuming Counties .............................................................................................. 57
Table 21: Forecasting of the supply of wood products in Kenya ................................................. 59
Table 22: Forecasting of the Demand of Wood Products in Kenya ............................................. 61
Table 23: Projection of the Net Balances (Supply-Demand) of Wood Products in Kenya .......... 62
ACKNOWLEDGEMENTS
First and foremost our sincere gratitude to Mr. Alfred Gichu, the National REDD+ Coordination
Officer for his invaluable support and guidance during the implementation of this study, the
Kenya Forest Service Director Mr. D.K Mbugua for guidance and participative engagement and
for allowing access to key KFS staff and information sources.
Sincere appreciation goes to KFS staff from different sections for valuable inputs in form of data
and information. Earnest recognition goes to individuals and institutions that have provided
valuable data and information through participation in expert group meetings, inception and the
validation workshops. We appreciate valuable inputs from forest sector stakeholders who sent
comments and proposals through emails and telephone. Finally, thanks to all who made this
study a success in one way or another including Wanley consulting services team, led by David
Maingi.
EXECUTIVE SUMMARY
Background
Deforestation and forest degradation accounts for about 18% of global greenhouse gas (GHG)
emissions. Reducing these emissions has been a global goal through REDD+, a climate change
mitigation strategy that encourages developing countries like Kenya to reduce their rates of
deforestation and forest degradation and to enhance sustainable management and conservation of
existing forests. Kenya has voluntarily opted to embrace this mechanism and is in the process of
formulating Readiness strategies and implementation framework to support its implementation.
In this endeavor, Kenya is receiving support from the Forest Carbon Partnership Facility (FCPF)
and the United Nations Programme on Reducing Emissions from Deforestation and forest
Degradation (UN-REDD). This study seeks to provide critical information on demand and
supply of forest products to support formulation of effective REDD+ strategy options as part of
this strategy development process.
Forest Sector
Forests in Kenya fall in two broad categories; natural and plantation forests. Trees on farms,
though not forests, are also considered in the wood supply analysis, as they currently provide
substantial amount of wood and have shown to be a key source of wood in future. Forests are
further classified into three groups based on their ownership and management characteristics as
public forests, community forests and tree on farmlands.
Public forests are government owned and are managed to provide goods and services like water
from natural forests and commercial and subsistence requirements of wood from the plantations.
Due the increased demand of environmental benefits, management of natural forests on
government lands has been set aside for their production leaving wood production to plantations.
Management of plantations is done through management plans detailing treatments, roles of
different stakeholder and final products.
Community forests are owned and managed by respective communities and county governments.
Forest management is done through use of management plans detailing treatments, roles of
different stakeholder and expected final products. In some cases adherence to the management
plans requirement is severely compromised. If deviation from sustainable management
negatively impact goods and services provision, the government through KFS is mandated to
declare the forest a provision forest and takes over its management until sustainability is
restored.
There exist plantations forests established by private firms and individuals on their lands or
leased land. These plantations are managed to provide wood requirements by the firms and for
commercial purposes. In most cases, these are Eucalyptus forests managed for transmission
poles, fuel wood and in recent past have been utilized for sawn timber. Some firms have made
arrangements with land owners to produced wood for them mainly tobacco and tea companies.
Tea estates requiring large quantities of fuel wood for curing purposes have established tree
plantations whose wood surplus are being sold as poles. Other private firms like Kakuzi and
individual investors in tree plantations grow trees targeting markets offering higher returns like
transmission poles and recently charcoal.
Agro forestry systems are practiced in farms through introduction of trees in an effort by famers
to meet their wood requirements increase farm productivity and raise farm incomes. Adoption of
tree planting by farmers has been well received with planted acreage increasing over the years.
The government through KFS provides extension services to farmers by training them in tree
management, harvesting and marketing.
Wood products from all these forests are harvested and processed into products for the intended
consumers. Regulation of cutting from public forests is governed by KFS while county
governments regulate operations in community forests. Trees on a farm are generally few to
support a marketing process and farmers make own decision on what and when to cut, and who
to sell to. In some cases, control in the management of trees on farms becomes difficult as tree
are owned by farmers whose operations are guided by household needs like wood fuel, finances
and sometimes food production prompting conversion of tree cover to other uses. Private
plantations are managed according to owners’ objectives which are highly commercial driven.
The study
This study aims to collate and analyze data on demand and supply of various forest wood
products and their flows within the country over the next twenty years. In particular, the study
carries out an assessment of the existing and potential demand of wood products (timber, poles,
charcoal and firewood) and supply potential of various forested ecosystems; natural forests,
plantations and trees on farms. The study establishes supply potential of wood products, their
demand, supply and demand balances and forecasting future scenario under various influencing
factors. The study also describes the policy and legal environment within which supply and
demand operates and proposes recommendations for the national REDD+ strategy.
Wood Supply
Kenya forests cover an area of 4,986,676 ha of which natural forests cover an area of 4,754,378
ha while plantations cover an area of 232,298 ha. Public or gazetted natural forests cover an area
of 905,357 ha. Natural forests in community lands cover 3,849,021ha of which 596,099ha were
found to be national parks, hence 3,252,922 ha being the forest area under community
management. Public plantations cover an area of 138,152 ha and community/private plantations
cover an area of 94,146ha.
Public natural forests are principally managed for provision of environmental services though
minimal wood fuel collection by forest adjacent communities is allowed. These forests have a
sustainable yield for wood fuel of 0.9m3 per ha per year. Natural forests within community and
private lands are managed for environmental services as well as for provision of wood products
and have been assessed in past studies (KIFCON 1994) to have an average annual yield
capacity of 1.5m3 per ha
Forest plantations cover an area of 232,298 ha comprising of 138,152ha of public plantation
forests and 94,146 ha of community and private plantation forests. Public plantations forest areas
are managed at average rotation of 28 years with a sustainable yielding capacity of 407.5m3 of
wood per ha per year based on normal forest principle incorporating thinning’s and clear fells.
Plantations in community and private lands are managed for a wide range of products for
household and farm uses. These products are managed for multiple uses and are harvested at
varying ages with an average rotation age of 21 years, (noting that most of them are harvested for
fuel at relatively young ages.) Yield calculations from these forests in 2012 was estimated at
407.35m3 per ha per year.
Farmlands in the country cover an area of 9,939,255 ha and are currently estimated to have an
average wood biomass of 17.58m3 per ha. Trees on farms are managed to meet household needs
and for commercial purposes. Farmers are believed to have relatively short investment time
horizon and end up harvesting their tree at an average age of 8 years. By application of forests
normalization principle where allowable cut is equivalent to trees in the oldest age class out of
the 9,939255 ha of trees about 1,242,406.88ha in the 8 year age class are harvested annually.
Summing up national wood supply potential from the three sources adds up to 31,372,531m3 per
year. Public forests supply 2,825,426m3, community/ private forests 6,705,592m3, and trees on
farms 21,841,513m3.
Calculation of wood supply quantities from counties was analyzed by overlaying county
boundary maps on the forests area map to show forest areas falling in each county. Using
different yielding capacities for various forest types, supply potential for each county was arrived
at. Wood supply potential from all the 47 counties was calculated with Narok County having the
highest potential of 2,973,398m3 while Mombasa, the second largest urban center, has the lowest
potential of 43,358m3. Nairobi, which is highly urban and a major wood consumption center, has
a low supply potential of 189,525 cu m3.
Wood products under study are timber (sawn wood, pulp, ply and particle boards), poles
(construction and transmission poles) and wood fuel (fire wood and charcoal). Past studies have
shown that different forests have different yielding capacities for these products depending on
the forests management objectives. Public natural forests have capacity to yield 0.9m3 of wood
fuel per ha (KIFCON 1994). Public plantations yields 262.20m3 of timber, 44.50m3 of poles,
100.80m3 of wood fuel per ha (KFS 2013). Community natural forests yield capacities for
timber, poles and wood fuel have been seen to be 0.4m3, 0.2m3, and 0.9m3 respectively per ha.
Yield analysis of plantations in community and private forests show an average yield for timber
at 88.17m3 per ha, poles at 140.66m3 per ha and wood fuel at 178.52 per ha. Trees on farms yield
timber, poles and wood fuel amounting to 3.52m3, 1.23m3, 12.83m3 respectfully. Applying yield
capacities of the different forest types for the three products, national potential supply for timber,
poles, fire wood and charcoal was calculated to be 7,363,414m3, 3,028,907m3, 13,654,022m3,
and 7,358,717m3 respectively.
Wood demand
National per capita wood demand is estimated at 1m3 per year. With a population estimate of
41,700,664 in the year 2012, national wood demand was estimated at 41,700,664 m3. Per capita
demand of various wood products was found to be 0.1262m3 for timber, 0.0338m3 for poles and
0.84m3 for wood fuel (0.4485m3 for firewood and 0.3915m3 for charcoal). Based on the national
population for the year 2012, demand quantities for timber, poles, firewood and charcoal are
calculated to be 5,262,624m3, 1,409,482m3, 18,702,748m3 and 16,325,810m3 respectively.
Demand at county level is based on each county’s population and national per capita demand to
arrive at the consumed quantities. Nairobi County has the highest demand at 3,389,582m3 while
Lamu County has lowest demand at 109,667m3.
Supply-Demand Balances
Critical analysis of wood supply and demand quantities indicated a national wood deficit of
10,328,134m3. Factors contributing to this deficit were also analyzed to be relative small forest
area, low average yield, poor processing and utilization methods as result of poor adoption of
effective technologies and practices.Net balances of wood supply and demand were analyzed for
all the 47 counties indicating Samburu County as having the highest surplus of 763,751m3 of
wood, while Nairobi County has the highest deficit of 3,200,057m3 of wood.
Projection of net balances shows an increasing deficit margin for wood into the future, increasing
by 26.5% from 10,328,130 m3 in 2012 to 13,064,250 m3 in 2032. Surplus for timber is projected
to decrease by 7.4% and for poles by 4.0% in the forecast period. Firewood and charcoal deficit
is projected to increase by 18.3% and 19.1% respectively. Proposed REDD+ intervention
measures in this study aim at enhancing supply and curbing high and rising demand so as to
attain and maintain surpluses in future. These interventions include promoting tree planting
through capacity development and incentives, reduction of wasteful processing and utilization
and streamlining research recommendations and effective monitoring in forestry development.
There is need to review existing policies enabling them to adequately address issues in the forest
sector while strengthening institutions mandated to enforce sustainable management and
conservation of forest resources.
.
Way forward With REDD
Current wood supply level needs to be improved raising it higher than demanded quantities
subsequently reducing chances of forest degradation and deforestation. There exists production
or supply enhancing opportunities which if supported by policies can greatly improve supply.
The REDD+ strategy is expected to provide management and policy options geared towards
increasing wood supply in areas such as:-
Policy review and harmonization to correct negative impacts on wood supply capacities.
Land policy review to solve land tenure issues especially in communal lands where
existing systems do not favour long term enterprises like wood production as ownership
of trees may vary over time.
Development and implementation of forest management plans to ensure long term
sustainability.
Capacity building to enhance growing, processing and marketing of wood products
enabling forest institutions implement research findings on appropriate tree species, good
management practices and relevant technologies.
Create incentives in tree planting and management for land owners such as a forestry
fund and tax exemptions for forestry tools to encourage tree growing.
Enhance forest certification and carbon trading to enable wood exports to
environmentally conscious consumers and also attract financial resources.
Demand of wood products is higher than supply creating room for deforestation and forest
degradation calling for the REDD+ strategy to create and operationalize options that will lower
and curb rising wood demand through such avenues as:-
Continued research and capacity development on efficient utilization practices to lower
wastage.
Provision of incentives to encourage adoption of viable alternative energy sources mainly
solar and biogas.
Review regulations on timber and charcoal production with intention of ensuring use of
advanced efficient technologies. This should aim at providing means of acquiring these
technologies which might be expensive for local and small scale timber processors and
charcoal producers.
CHAPTER 1.0 INTRODUCTION
Kenya has embarked on a REDD+ readiness process. As part of this, a broad national strategy
and implementation framework will be put in place to facilitate access to international finance to
reduce carbon emission and to enhance emission removal potential of forests. In order to support
key components of the REDD+ Strategy additional information is required to support
formulation of strategy options. Currently, information on demand and supply of wood products
is lacking.
Wood biomass is important to estimate emission factor and removal enhancement of carbon for
REDD+ mechanisms. Human interventions that influence wood biomass stocks affect the carbon
stocks associated with wood biomass in the forests.
The study proposed here is intended to carry out a critical examination of demand-supply
scenario of forest products in general, in particular wood products. This study is important
because its findings will be used as an input in constructing national reference emission level and
monitoring, reporting and verification (MRV) system for Kenya.
1.3 OBJECTIVES OF THE STUDY
The broad objective of this study was to carry out an assessment of the existing and potential
demand of wood products (timber, poles, charcoal, and firewood) and supply potential of various
forested ecosystems, both public and private. Specifically this study sought to, among others:-
establish the current and future demand of products (timber, poles and wood fuel);
establish the current and projected future supply potential of different forest management
develop scenario of future demand and supply of wood products under changing social
political and economic environment – including but not limited to price, food security,
economic growth, internal migration and infrastructure development,
Suggest the way forward for the national REDD+ strategy
Forests types
Forests in Kenya can be either categorized into either natural or plantation forests and are
managed under three different land tenure systems; public, community and private forests. Trees
on farms are also considered as a wood resource base from where significant quantities are
harvested and hence computed among the rest of forest types. These sources have unique
ownership and subsequently varying management objectives. It is from these forests that supply
potential of wood products for the purpose of this study is analyzed. In addition, wood imports
are also factored in as supply quantities
Products
Forests produce a variety of goods and services but this study is restricted to timber, poles and
fuel wood (fire wood and charcoal). Timber includes round woods or logs going for saw wood,
pulp wood and ply logs. Poles include wood used for construction, transmission and building
while fuel wood refers to both fire wood and charcoal.
Analyses of supply potential of wood in this study adopted the basic principle that is:
SP = A × Y
Where:
SP = supply potential from a given forest or tree cover
A = area in hectares
Y = Yield per unit area over a given period of time
To analyze potential supply of wood products (timber, poles, and fuel wood), data and
information of the resource base was gathered from literature providing information on different
forest areas in relation to forest cover, yields and management objectives. Data from KFS was
used providing data on forest areas covered by identifiable forest types. KFS has generated forest
cover maps from satellite images and on superimposing layers of administrative county
boundaries, different forests type’s areas within counties were also analyzed.
Similarly net balances at county level were arrived at by subtracting demand quantities from
supply potential for each county. In the same analysis, demand quantities for each product were
subtracted from the supply potential giving the status of each product at each county.
Reliable and timely forecasts are an important aid to weighing options in the development of the
national REDD+ strategy. A number of forecasting methods were considered for this study
which included random walk (Xt=Xt-1+et) moving average method and Global Forest Product
Model (GFPM) among others. This study however adopted the Global Forest Product Model
(GFPM) to forecast demand and supply of wood products because of its wide use.
GFPM is an economic model of global production, consumption and trade of forest products
developed as part of FAO’s on-going work on forestry sector outlook studies. GFPM model was
adopted for this study since it uses historical data collected and interpreted by FAO since 1994.
Furthermore, FAO continues to explore ways in which the quality of future supply and demand
projections can be improved through improvements in the collection of forests products statistics
and the models used to make such projections. It has been calibrated to produce forecasts of
forest resources and markets for about 180 countries including Kenya and 14 forest product
categories (commodity), timber, poles, firewood and charcoal included. It uses data submitted
from constituent countries to FAO since 1994 and is continuously being updated to increase the
accuracies of its estimates.
Year 2012 was used as the base year and magnitudes of change for each aspect considered is
projected to the year 2032. For purpose of inputs into the model quantitative parameters of
factors affecting supply and demand were collected. Supply determining factors were found to be
forest area changes, yields capacities and policies while those affecting demand included
population growth and internal migration, economic growth, policies, price of other alternative
products to wood, infrastructure and technology changes.
Supply and demand analysis provided the magnitude of deviation from the expected state for
defining intervention in policy. Analysis on optimal production levels from our forests provided
information on possibilities of increasing supply. Analysis of deviation of available quantities
from expected supply potential will inform policy review on the possibility of improving
efficiency in production, processing and by reduction of waste which are the best avenues of
improving demand.
Workshops
Workshops brought together experts enabling deliberations on specific issues, provide
information and possible sources of reliable data and information. Two workshops were
conducted, the first being at the inception of the study and the other at its culmination. The first
workshop meant to review planned activities and approaches to be adopted for the study while
the second workshop purposed to critique the draft report, where additional inputs were
incorporated. The participants were key stakeholders, experts and decision makers in the forest
sector.
Supply information
Consultations targeting supply information were held with KFS divisions mandated with
forest management planning, plantation development, natural forest conservation and
management, extension and dry lands services, private forest owners, community forest
managers, and NACOFA representatives.
Demand information
Consultations to gather information on demand were held with specific stakeholders
dealing with specific wood products. Stakeholders included KFS marketing section,
Ministry of trade for export data and saw millers associations. Poles demand data was
sourced from KPLC and Kenya Bureau of Statistics. Fire wood and charcoal stakeholders
included research scientists from energy ministry, KEFRI and KFS extension and dry
lands section officers.
2.2.3 Visits
Visits were made to offices, sites and areas where required data could be availed. Areas visited
include two forest stations, Kenya National Bureau of Statistics (KNBS), KFS and sawmills.
Discussions held during these visits provided valuable inputs into the study.
Forest areas
3500000
3000000
2500000
Area Ha
2000000
1500000
1000000
500000
0
Natural Plantation Natural Plantations
PUBLIC COMMUNITY
Forest type
Plantations in government lands were established to provide industrial wood requirements from
quick growing trees reducing pressure on natural forests. With increasing demand for
environmental services conversion of government forests to plantations is being discouraged
with planting concentrated in harvested and un-stocked areas. Within community and private
lands tree planting has been well adopted. In 1990, area under plantations forests in community
and private forest was less than 20,000 ha while plantation forests in public forests were 180,000
ha (FD Economics section reports 1990). Analysis of current plantation areas show public forest
plantations to be 98,578 ha stocked and 39,574ha un-stocked area while plantations in
community and private being 94,146ha indicating a significant shift in plantation establishment
from public forests to community, private and farm lands for provision of wood.
Public forests
Public forests are owned and managed by the government through KFS. There are two types of
forests under this category; natural and plantation forests. The constitution and the Forest Act
2005 are supportive of community participation in management of public forests. Management
of these forests is done through management plans prepared to enable realization of intended
products at optimal and sustainable levels. In areas where community and private investors have
leased part of the forest, management guidelines are provided to ensure that good practices are
adhered to. Harvesting plans are prepared and implemented centrally by KFS through licensing
of capable individuals and firms to carry out prescribed operations like thinning and harvesting.
1. Thinning
This is an operation carried out to reduce tree stocking to give room for better growth on
the remaining trees by removing poorly formed and weak trees. Volumes realized from
thinning were estimated based on the Cypress and Pine empirical growth model data and
similarly that of Eucalyptus thinning or reducing of coppices operations. For the three
species averaging of trees ages at which operations are taking place had to be done as
treatments or operations are not being done at the prescribed years.
2. Clear fell or harvesting is supposed to be at age 30 but takes place at ages between 27 to
35 years in public forests and for the purpose of this study a rotation period of 28 years
was adopted based on the average cutting age in year 2012 (KFS 2012).
Products realized from Pine and Cypress plantations include timber (round wood logs), poles,
and fuel wood from the small diameter logs, broken, deformed logs and branches. For
Eucalyptus, timber logs are assessed from large trees above poles diameters (34cm). Trees or
logs with diameters between 12 cm and 35 cm are sold as transmission and construction poles
while low diameters and branches are sold as fuel wood.
Yield analysis from public forest plantations was done by weighting areas covered by the tree
species in 2010 as reported by KFS Inventory section which was 53,266 ha for cypress, 21,585
ha for Pine and 13,932 ha for Eucalyptus which gave weighting factors of 0.6 for cypress, 0.243
for pine, and 0.157. Area covered by other species was not used in weighting as they were seen
to introduce a bias in the final calculation. Table 5 below shows areas of the three tree species
and their calculated weighting factors.
Calculation of yields was done by summation of yields from all operations and weighted as per
the species area. By use of an excel spreadsheet each species weighted volume yield for all
operation could be done on a single entry as shown in Table 6 below. E.g. Volume of wood
harvested at the end of the rotation period was summed for the three species to give 281.9 m3
which included volumes from 1st, 2nd and 3rd thinning operations. The Table show volume yields
from public plantations to be 407.4 m3 per ha, yield from 1st thinning being 16.1 m3 per ha, 2nd
operation 44.0 m3 per ha and 3rd operation 65.4 m3 per ha.
Where management committees have been formed, their main responsibility is protecting forests
from non-community members’ interference in their utilization.
Natural community forests
Natural forests, within community areas unlike public forests are managed to meet community
wood requirement both at subsistence and commercial level.
Studies on yields were initially carried out by KIFCON and later through the Kenya Forest
Master Plan indicating that yields for three wood products was 0.4m3 per ha for timber, 0.2m3
per ha for poles and 0.9m3 for wood fuel giving a total sustainable yields for wood of 1.5m3 per
hectare of natural forests in community forests (KFMP 1994) . No recent yield studies at the
national scale have been carried out and therefore the KFMP results were adopted.
From the analysis, one hectare of Eucalyptus plantation yields an average 424 m3 of wood with
61m3 coming from thinning or reduction of coppice and 364 m3 from clear-fells.
Trees on farms
Trees planted on farms supplement farmers’ incomes and provide wood for household energy
and other wood requirements. The rotation age for trees on farm was estimated to be 8 years as
most of the trees are planted for household energy where cutting start as early as year 3 from
planting. Studies on farm trees yields have been carried out in relatively small scale to be used
for national analysis leaving results by KFMP 1994 to be used for the analysis. According to
master plan, farm trees had a biomass of about 9.3m3 of wood in a hectare and was seen to grow
at a rate of 0.5m3 per ha per year. Growing this yield to the year 2012 resulted to a biomass of
about 17.58m3 per ha in farmlands which are occupying an area of 9,939,255 ha. Farm trees are
harvested at average of 8 years resulting to an annual harvesting area of 1.242,406 ha (equivalent
to the area of the oldest age class). Further analysis on this harvested volume could have been
done by application of an allometric formula to get a more precise wood volume. There existing
no allometric equation that can be used, however, Kenya, through an ongoing project “Improving
forest resources assessment in Kenya” by KFS and KEFRI will soon develop such an equation.
Product yield ratio realized through the master plan studies were adopted as yield ratios for
different wood products that is 3.52m3 for timber, 1.23m3 for poles and 12.83m3 for wood fuel.
Wood fuel yield of 12.83m3 was also distributed at 8.34m3 for fire wood and 4.49m3 for
charcoal.
Table 9 below is a summary of yields from different forests and that of different forest products
produced from them.
Table 9: Summary of yields in m3/ ha for different products by different forests types
Wood Products
Forest types Rotation Timber Poles Fuel wood TOTAL
period
Natural forests (Public - 0.4 0.2 0.9 1.5
and Community)
Public plantation 28 years 262.20 44.50 100.80 407.5
forests
Community/Private 21 years 88.17 140.66 178.52 407.35
plantations
Trees on farm 8 years 3.52 1.23 12.83 17.58
Where:
SP = supply potential from a given forest
A = area in hectares
Y = wood yields per unit area
Analysis of wood supply potential of the area covered by each forests type and the potential yield
of wood from each forest type was done.
Community/private forests
Natural forests within community lands cover an area of 3,252,922 ha and are managed to supply
the four products at an average yield of 1.5m3 of wood per ha per year. Similarly, plantations
within community and private lands cover an area of 94,146 ha, as done to the public plantations,
their annual allowable cut area is equivalent to that of the total area divided by the rotation age
(94,146/21) which is 4,483.14ha.
Trees on farms
Trees on farms are managed for wood fuel and domestic construction materials mainly for
building and fencing and if possible raising farm incomes. Area of farmlands with tree growing
potential is 9,939,255 ha with a biomass calculated to be an average of 17.5m3 per ha. Trees on
farms are harvested at average of 8 years and by application of normal forest principle where
annual allowable cut area is equivalent to the area oldest age class then harvesting area from
farms is 1.242,406 ha and with average biomass of 17.5m3 per ha gives an annual potential
yield of 21,742,120 m3.
Supply potential for different products from these forests is based on products yields as indicated
in table 10. Having established the areas covered by forest types and the yields expected from
each forest type, computation of potential yield is shown below.
National Supply
31,372,531 7,363,414 3,028,907 13,654,022 7,358,717 20,980,209 31,372,531
Potential
% CONTRIBUTION BY PRODUCT 23 10 44 23 67 100
*Forest areas divided by rotation period to present harvestable area per year sustainably.
National wood supply potential from all forest types is shown to be 31,372,531 m3 with public
forests having a potential to supply 2,825,426m3, forest in community and private lands
6,705,591m3 and trees on farms 21,841 513m3. National supply potential for timber, poles, fire
wood and charcoal is 7,363,414m3, 3,028,907m3, 13,654,022m3, and 7,358,717m3 respectively.
Figure 2: Graphical presentation of national wood supply potential by forest types
20,000,000
15,000,000
10,000,000
5,000,000
-
Timber Poles Fire wood Charcoal
3.4.3 Imports
Importation of wood products is done to meet shortfalls and bring in wood products which are
not readily available locally. In 2012, Kenya imported 93,999m3 of sawn timber from East and
Central Africa countries, 32,520m3 of poles from South Africa, Tanzania and Uganda (KFS
Annual Report). Volume of plywood imported was 3,847m3, paper and paper products about
217,000m3(Statistical abstract, 2012). A total of 347,366m3 in volume of wood products was
imported.
Wood waste is mainly used in urban areas by 3.7% of households as compared to 2.1% in the
rural areas. The consumption is about 15,600 tons equivalent to 23,088m3 (1.48m3/ton),
estimated from industrial by-product production (sawdust, timber rejects, off-cuts etc.) (Gender,
Improved Cook Stoves and Development in Kenya, 2010)
CHAPTER 4.0 WOOD DEMAND
Demand is taken to be the quantity of wood required by a given population over a period of time
to meet their needs. For the purpose of this study, national demand of wood products is the
quantity of wood products (timber, poles and wood fuel) required to meet the needs of the
41million people in Kenya. Demand studies and analysis involve determination of aggregation of
individual, house hold and institutional needs. Accurate wood products demand analysis will
feed into the REDD+ strategy options formulation in production and utilization that support
sustainable management and conservation of country’s forest resources.
Demand for wood products by consumers triggers need and quantity of round wood extracted
from forests and other trees establishments. Each wood product has unique production,
processing, marketing and utilization chain characteristics from the other product. It is this
uniqueness that brings in variation in quantity demanded for each product. For purposes of this
study, timber incorporates industrial wood which include sawn logs, veneer logs and pulp wood.
Poles include transmission and construction poles including fencing posts while wood fuel
include fire wood and charcoal.
Timber
Timber is produced from public plantations, community and private forests, and from farms.
Sourcing timber from government plantations requires the processor to be a licensee allowed to
operate on a given plantation based on firm’s capacity to harvest the wood efficiently. Public
forests have been the major supplier of timber to processing firms in Kenya until 1999
presidential moratorium of harvesting of wood from public forests. This resulted to shortage of
timber in the market prompting the then county council and private forest owners invest in
commercial wood production and managed to supply the market for the period the ban was in
effect. During the period there was proliferation of small scale wood processors who were less
skilled and used inefficient technologies and practices in timber processing. Currently public
forests have the potential to supply 17.6% of wood for timber. Forest in county lands managed
by county government and private owners has the potential to produce 23% of the timber which
is processed by operators appointed by forest management committees, and private forest owners
to convert trees into sawn timber. Farm trees have a potential to supply 59.4% of timber where
wood is processed by individuals providing the services to farmers using mobile saw benches
and sometimes power saws which are found to be cheaper and available even though they are
very costly with very low recoveries subsequently low returns to the wood owner.
Marketing and distribution of timber from the processing centers is done by the (licensees)
processors themselves in public and sometimes in community forests or sold to timber merchants
who transport the timber to the markets in community, private forests and farm trees. In most
cases, timber from farms is sold to the local people as the quantities are small to be transported to
long distances.
Markets for timber produced from public forests and sometimes community forests are not
confined to the local county or administrative boundaries but dependent on high returning market
centers as the distributers have the capacity to market widely. Wood which is potential for timber
produced from farms and sometimes from community forests is processed locally into products
with high local demand not necessarily timber. In rural setting, fire wood is a necessity which is
be met with available wood from the farm before other products are considered. Lack of credible
wood valuation and market information by small scale producers has distorted economic value of
timber production. Timber brokers have exploited the ill-informed and desperate small scale
wood producers through ill bargaining.
Timber demand have been distorted by factors such as the status of forest policy formulation and
implementation especially the timber harvesting rules, lack of proper market structure and
organization, limited access to market and market information, lack of adequate knowledge on
tree inventory and valuation and technical data on the forest products in the market. In addition
to these bottlenecks county governments are expected to come up with revised county rules on
production, utilization and marketing of wood products which are geared towards local needs. In
all these cases the REDD strategy is expected to provide inform and options for removing the
bottlenecks.
Poles
Poles production is from all forests and is produced for transmission, construction and farming
requirement like fences. Transmission poles have provided a significant incentive to private
wood producers leading to establishments of numerous tree plantations and treatment plants
across the country. In 1994 public forests had potential to supply over 60% of poles demanded
but in 2012 the order has changed with public forests have the potential to supply 7%,
community / private forests 42.3% while farms has the potential to supply 50% of all poles.
Commercial poles producers have heavily invested in woodlots where the most preferred species
is eucalyptus. In recent times, this has proved to be a lucrative investment attracting
establishment of pole scouting and processing plants across the country. Small scale tree growers
have also been engaged as out growers supplying demanding firms.
Poles processing is simpler and cheaper procedure that involves identifying quality trees in terms
of size, straightness of the trunk and species. Cutting into size and treatment involves less
wastage compared to other products like timber.
Firewood
Firewood, an important source of energy for cooking at household and commercial levels in
Kenya is produced from all types of forests. Just like timber, fire wood harvesting from public
and partly from community forests is done by licensees who cut and market it. Fire wood from
community, private forests and farm trees is cut and processed on site by the owners who after
satisfying their needs sell the surplus. Fire wood is a wood product required in almost all rural
households, can be produced by all land owners and can use any form of wood. Fire wood has
relatively lower return than other wood products a factor that limits possibility of its long
distance distribution as the costs involved cannot be met. This has limited distribution of fire
wood form forested areas to non-forested dry areas where wood vegetation’s are being exploited
unsustainably.
Most rural households plant trees or wood lots for their energy supply, however, industrial
firewood demanding firms are organizing the small land owners into groups to supply them with
wood as have been evident in tobacco and tea producing areas. Some of these institutions
establish plantations for their wood supply and also nurseries to provide seedlings to surrounding
communities in order to source wood in proximity.
Charcoal
Charcoal is mainly produced for urban markets and with increasing population and urbanization,
charcoal market share is steadily growing. Charcoal is an important energy source as it is used
by 82% of urban households (MoE 2002) and hospitality industry. Its annual retail value is
estimated to be KES 80 Billion (FAOSTAT) with livelihood support of about 2.5Million
Kenyans (ESDA, 2005). Charcoal is sourced from community and private forests including farm
trees where in most cases it is produced for income generation. Charcoal producing investors are
coming up establishing eucalyptus plantations for transmission poles and charcoal production
with good returns but the quantities involved are low to cause significant impacts. With limited
income generating options among communities with forest lands and in low rainfall areas
charcoal production has become important causing deforestation to the already over exploited
tree cover.
Charcoal processing is mainly done through earth kilns that have been reported to be highly
inefficient resulting to very low recovery rates. Attempts to promote adoption of fairly efficient
brick kilns have been met by a range of challenges including cost of equipment’s and additional
costs in charcoal production. The law respects land owners rights making it difficult to control
and regulate charcoal production from community and individually owned lands. Charcoal
demand centers are in major urban centers whereas its production and processing is done at
stump site by many small producers. In an attempt by government to control production transit
procedures and requirements are put in place. Other than streamlining charcoal production and
marketing it is forced to go underground causing more damages and more difficult to control.
4.2.1Population
Demand depends on the number of people consuming a product. An increase in population
translates into more quantities being consumed. Population changes over time cause increased
demand over time. This rate of increase is not uniform in all counties but varies from county to
another. Variation in population within counties, in addition to birth rates, is influenced by
migration of people from one region to another like the rural urban migration and refugee influx
in some areas from within and outside the country. REDD+ strategy is expected to address
current and future demand in view of population changes.
Poverty on the other side contributes to low or reduced purchasing capacities and in an effort to
meet wood requirements poor communities tend to deplete forests resources at their disposal.
qd = fp + pw
Where
Quantity of wood recovered in form of processed product is expressed as recovery rate which
varies from low rates for charcoal (16%) to high recovery rates for products like poles and fire
which require minimal processing. In cases of low recovery rates, relatively more round wood
volumes are demanded to produce same product quantities than a process with higher recovery
rates. As technologies applied improve less and less quantities of wood are lost during
processing resulting to less round wood demanded. For example, sawing round wood by use of
power saws recover at an average 25% while better technologies like band saws has a recovery
of over 48%.
4.2.5 Utilization efficiencies
Wood after processing undergoes further losses through utilization methods used. Sawn wood is
shaped into right useable size according to products being made resulting to waste through
undersize by products, saw dust and poorly processed pieces. Poles after harvesting are cut into
right lengths resulting to waste. In both cases (sawn timber and poles) the un-utilizable products
are used as fire wood in boilers and for cooking. Utilization of wood fuel is also inefficient using
relatively small proportions of products while the rest is wasted. Traditional ‘three stone’ open
fire pits are known to have a lot of wastage in fire wood. Cook stoves using charcoal have been
seen to have very high waste and deliberate attempts have been made to encourage communities
and households to adopt improved cook stoves (ICS). However, despite some progress in
disseminating efficient wood and charcoal stoves, accessibility and socio-cultural factors have
hindered wider adoption of these stoves.
Timber
Attempts to asses volume of timber consumed in Kenya by summing up intakes by processing
centres like sawmill, saw benches have been attempted. In most cases, the results have ended up
giving estimates, as data from processing centres is not be available. Harvesting of wood from
forests in community land and farmland is done by use of mobile saws, power saws and pit
sawing at stump site and no records are available. KFS record on quantities of timber demanded
is based on round wood sales from public forest and quantities reported in transit permits from
community forests and farmlands. This method that does not capture households’ consumption
quantities sourced from their lands. This leaves out wood acquired by saw mills from community
and private forests and those from farms. In a study on round wood demand it was estimated that
annual demand of timber in Kenya is between 2 and 2.4 million m3 per year (Cheboiwo and
Githiomi, 2012).
Plywood
There are three plywood mills with a total annual capacity estimated at about 40,000m3.
Pulp wood
The pulp and paper industry in Kenya comprise of 13 companies operating most of which use
recycled paper as raw material and only one (The Pan African Paper Mill) is licensed to process
paper directly from forests. The Pan African Paper Mill although not operating in 2012 had
annual capacity of 450 000m3 of round wood which was being obtained from public forests.
Poles
There are only two major consumers of treated transmission poles in the country, Kenya Power
and Lighting Company (KPLC) and Rural Electrification Authority (REA). Transmission poles
are harvested from Eucalyptus species plantations both from public and private forests. Poles and
posts for construction come from eucalypts, Casuarina species, mangrove species, Agave
sisalana among others. Demand for transmission poles by KPLC 2012 stood at 440,000m3 most
of it was produced locally with about 10% coming from imports (KPLC 2012). Poles are used in
construction industry, building and fencing at household level sourcing large amounts from
private forests and farms whose quantities have not yet been established.
Fuel-wood
In Kenya about 68% of the energy consumed comes from wood, mainly as firewood for cooking
and heating. This method require substantial amount of funds and time and has not been carried
out at national level but estimated demand of 37million m3 have been reported. (KFS 2011)
Demand quantities calculation by use of per capita consumption is expressed in the following
equation
Q = pc x p
Where:
Q = Quantity consumed
pc = per capita (average consumption by one person per given time)
p = population in the area under consideration
In Kenya, per capita consumption of wood products has been estimated through a number of
studies including:-
The criteria for adoption of per capita consumption estimates by various past studies, used in this
study was based on study area and sampling intensity in the study. Based on this, the study
adopted KFMP estimates for poles and WISDOM estimates for fire wood and charcoal due to
their wide study coverage at satisfactory intensity. It also upheld the 1m3 per capita consumption
of wood used by KFS. The per capita consumption of timber which has not been addressed in
any study was derived by getting the difference of poles and wood fuel from the KFS total wood
consumption figure making it to be 0.1262m3.
Table 11: Summary of the per capita demand of the four wood products
PER CAPITA DEMAND OF WOOD PRODUCTS (M3)
FIREWOOD CHARCOAL
TIMBER POLES TOTAL
SOURCE RURAL URBAN NATIONAL RURAL URBAN NATIONAL
WISDOM 2005 _ _ 0.648 0.249 0.4485 0.204 0.579 0.3915
KFMP 1994 0.0338 0.4444 0.0179 0.0925 0.0552
KFS Strategic
Plan 2009 _ _ _ _ _ _ _ _ 1
Per capita
adopted 0.1262 0.0338 0.4485 0.3915 1
Per capita express the average consumption per person. To establish total demand at national
level population figures are important and had to be included in the analysis.
4.3.3 Population
Population figures used in this study were those of the census carried out by the Ministry of
Planning, National Development and Vision 2030 in 2009 .The total population in the country
was reported as 38, 610,097. A population growth rate of 2.6% per annum for the years 2010,
2011, 2012 was factored in. Population estimates of 41,700,664 for 2012 were used for
computing the national wood demand by considering the per capita established.
To estimate wood demand at county level, the same population growth rate was assumed to be
consistent in all 47 counties. This gave the population for each county, as at 2012, as indicated in
Annex 9.6.
National demand for wood products: timber, poles, fire wood and charcoal were calculated to be
5,262,624m3, 1,409,482m3, 18,702,748m3 and 16,325,810m3 respectfully. Figure 3 below is a
graphical presentation of wood products demand levels.
Figure 3: Wood products demand
5,262,624
1,409,482
4.4. EXPORTS
Wood exports as recorded in statistical abstract 2012, indicates that the country exports minimal
volumes of timber. The export volumes in 2006 were 776,000m3 which declined to 25,000m3 by
2010. A study on timber movement across three Kenya-Tanzania border points for a period of
six months in 2012 indicates minimal volumes of wood exports. The study records 6m 3 of
timber, 47m3 of fire wood, 74m3 of charcoal and no poles were exported.
Total wood supply potential from the forests is calculated to be 31,372,531m3, processing this
volume by the existing technologies into the required products would realizes or recover
19,428,576 m3 in products (recoverable volume) indicating a conversion loss of 11,979,146 m3
which goes to waste as indicated in the table 14 below. If this conversion loss is minimized by
application of efficient methods fewer trees would be required to produce same volume of wood
products.
As shown in table 14 above the highest losses are made through conversion of wood into
charcoal followed by timber both putting into waste 84% and 67% of wood being processed
respectively.
Figure 4 is a graphical presentation of potential supply for each product, quantity recovered
referred to as available volume and the quantity lost.
Figure 4: Graphical presentation of available and lost wood volumes after processing
16,000,000
14,000,000
Supply
12,000,000 Potential
10,000,000
Available
8,000,000 Supply
6,000,000
Lost
4,000,000 Volumes
2,000,000
-
Timber Poles Fire wood Charcoal
4.6 WOOD DEMAND BY COUNTIES
Demand by counties was calculated using the national per capita wood consumption and
population for each county. Annual wood demand by counties was seen to range from
109,667m3 for Lamu to 3,389,582 m3 for Nairobi. Demand quantities by products for each county
is shown in Annex 9.7
CHAPTER 5.0 CRITICAL ANALYSIS OF DEMAND AND
SUPPLY
This analysis examines state of wood supply and demand assessing their interplay in various
locations, time and magnitude amongst various determining factors under current and anticipated
future environment. Within this study national and county level analysis of supply and demand
quantities has been done in the base year 2012. Forecasting of future quantities in the coming 20
years period has been done under varying supply and demand factors. The study carried out
assessment of the current and future quantities supplied and demanded with the aim of defining
and recommending possible interventions to achieve sustainability over the period.
Table 15: Summary of Wood supply potential from forested areas and trees on farms
National Wood Supply Potential
Wood products
All Timber Poles Wood fuel TOTAL
Forest Type Products Firewood Charcoal Total
Public Forests
Public natural F.
Supply Potential 814,821 - - 529,634 285,187 814,821 814,821
Public Plantation F.
Supply Potential 2,010,605 1,293,695 219,563 323,276 174,071 497,347 2,010,605
Community/Private
Forests
Community Natural
F. Supply Potential 4,879,383 1,301,169 650,584 1,919,224 1,040,935 2,927,630 4,879,383
Community/Private
Plantation F. Supply
Potential 1,826,208 395,279 630,599 520,215 280,116 800,331 1,826,208
Trees on Farms
Trees on Farms
Supply Potential 21,841,513 4,373,272 1,528,160 10,361,673 5,578,407 15,940,080 21,841,513
National Supply
Potential 31,372,531 7,363,414 3,028,907 13,654,022 7,358,717 20,980,209 31,372,531
National wood supply potential was found to be 31,372,531m3, while that of timber is 7.3million
m3, poles 3.0 million m3, fire wood 13.7million m3 and charcoal 7.4million m3. Public forests
contribution to the total supply was calculated as 2,825,426m3, community/private forests as
6,705,592m3 and farm trees as 21,841,513m3. Below (Figure 5) is a graphical presentation of
wood supply potential from the three forest tenure systems
VOLUME
VOLUME
21841513
6705592
2825426
Forest area
Wood supply is dependent on forest type and area. Comparing Kenya with other countries in the
region, forest cover area is relatively small averaging at 6.99% of national land area and falling
below the recommended 10%. Forests are found in high potential areas which are also suitable
and targeted by other land uses thus reducing the possibility of high rates of increase in forest
cover as envisioned and recommended. In the past deforestation resulting from conversion of
forest lands to other uses has one of the main causes of forest cover reduction. To ensure
reduction of forest cover loss to other land uses, and where possible reverse the trend, the
REDD+ strategy options should aim at:-
Creating awareness among tree owners on good forests management practices that make
returns from forest investment compare favorably with other land uses.
Increase incentives for increasing forest cover. This calls for improved management
practices, proper species selection, creation of awareness and incentives.
Yields
Forest yield have been looked at as the sustainably harvestable volumes in a given period of
time. Different forests types have varying yield capacities as a result of biomass stocking and
species composition. Past studies indicate gaps between current yields and expected optimal
yield capacities creating a viable entry point. Management of these forests towards optimal yield
capacities is a viable intervention in raising wood supply and subsequently reducing wood
deficit. These interventions include:-
Use of improved forest management techniques including using the right species,
adopting good management practices in existing forests, reaching out to all land owners
motivating them to enhance tree planting.
Tree planting in ASALs degraded forests pockets with the right species to raise the
supply from these areas to sustainably harvestable levels.
Protection of the existing growing stocks against fires, illegal activities and other
calamities to ensure increased wood supply in future.
Adopt policies that provide incentives in tree planting and those that protect existing
forest cover from conversion to other land uses.
Improved conversion efficiencies through tax incentives for high efficiency timber
conversion technologies
National demand for wood is 41.7million m3 with fuel wood having the highest demand quantity
of 18.8 million m3 followed by charcoal with a demand of 16.32 million m3 both adding up to
35.08 m3. Timber and poles had a demand of 5.26 million m3 and 1.41m3 respectively.
Figure 6: Wood demand quantities for various products
18,702,748
16,325,810
5,262,624
1,409,482
Figure 6 above shows the demand quantities of the various wood products.
Population control to curb rising demand require policy interventions which are long term in
nature leaving checking of wood consumption rates as viable option to limit high and rising
demand. This can be done through adoption of strategy options targeting:-
Change or improvement of wasteful utilization techniques and practices through capacity
building and tax adjustments for wood working equipment’s’
Promotion of alternatives products to wood.
Review and adoption of policy and legal guidelines that regulate timber harvesting
methods and charcoal regulations
National supply and demand net balances and their computation are shown in the table 17 below
whereas the county’s net potential balances, computed just as the national balances, are shown in
Annex 9.8.
NET
BALANCE 2,100,791 1,619,424 (5,048,726) (8,967,093) (14,048,349) (10,328,134)
From the analysis, in table 17 above, timber and poles indicate production surpluses of
2,100,791m3 and 1,619,424m3 respectively, while wood fuel (that is: firewood and charcoal)
indicate a production deficit of 5,048,726m3 and 8,967,093m3 respectively. Addition of all
surpluses and deficits from all products indicate a deficit of 10,328,134m3 per year. Although net
quantities of timber and poles are reflected as surpluses most of these volumes are utilized as
wood fuel (either charcoal or firewood) to cater for their unmet demand, hence experienced
deficits of timber and poles presently in the market.
Figure 7: National net balances from potential supply and current demand
25,000,000
20,000,000 National Supply
15,000,000
10,000,000 National Demand
5,000,000
NET BALANCE
-
Firewood Charcoal
(5,000,000)
Timber Poles Wood fuel
(10,000,000)
(15,000,000) Wood products
Figure 7 above shows graphical presentation of wood balances. There are potential surpluses for
timber and poles and deficits in wood fuel products charcoal and fire wood.
Although the overall wood supply and demand balances is negative, supply of timber and poles
shows adequate potential supply resulting in surpluses. It is due to the large deficit in wood fuel
that makes overall wood supply and demand equation negative. Wood requirements like fuel
wood is a necessity people cannot do without and under such circumstances, tend to use high
quality wood that is meant for timber to uses like fuel wood.
At national level, policies that support increased wood supply must be adopted while
discouraging those that hinder supply.
Analysis of wood supply and demand within counties was carried out and results shown in
Annex 9.8. Results on net supply and demand provided information on counties which placed
them into two categories namely: a) net producing, and b) net consumer counties.
Management of forests in these regions should aim at sustaining and where possible increase the
surplus condition through adoption of policies and governance approaches that:-
protect the existing areas covered by forests and also the growing stocks,
improve yield capacities and
reduce wasteful harvesting and utilization
Although this study tends to analyze supply from tree cover that can be considered as forests
these counties have large areas of bush land and wooded grasslands which if well managed can
yield substantial amount of wood sustainably. Currently non sustainable trees harvesting or
cutting to produce wood fuel is taking place for sale to other counties to raise incomes.
The forest resources within these counties should be sustainably managed through:-
improved management practices to enhance their production capacity,
use of management plans in the management of these forests and
reduced waste through fires and destructive utilization
From this group, of counties with a positive net balance, only 3 counties have a negative net
balance for fuel wood though all other products balances are positive. These counties include
Isiolo, Nandi, and Nyeri. REDD+ strategy should, among other recommendations, target
raising production of wood fuel and introduce energy saving utilization means to ensure
surplus in wood.
5.4.2 Net wood consuming counties
These are counties showing lower supply quantities than demand. With high demand than supply
quantities, there is high likelihood of forest degradation and deforestation to meet the existing
short falls. Management objective of these forests is to reduce or eliminate these deficits. Table
20 below shows a list of net consuming counties.
ii) High population densities with large forest areas with relatively large public natural
forests which are not managed for production of wood products like timber, poles and
commercial wood fuel. These counties include Kirinyaga, Kakamega, Muranga, Embu,
Meru, Uasin Gishu, Nakuru and Trans Nzoia
iii) High rural populations with small forest areas especially plantations making potential
supply relatively low. These counties include Bomet, Busia, Homa Bay, Kisii, Nyamira,
Siaya, Vihiga, Kajiado, Kilifi, Kitui, Kwale, Machakos, Makueni, and Taita Taveta.
Forecasts of the future supply and demand for wood and wood products are an important aid to
planning and decision making in the forestry sector. The Global Forest Product Model (GFPM)
was used to forecast the demand and supply of wood products in Kenya. As mentioned earlier
GFPM is an economic model of global production, consumption and trade of forest products
(Buongiorno et al. 2003). It has data and parameters to produce forecasts of 14 forest products
(including Timber, poles and wood fuel) for about 180 countries including Kenya. The model
will be used to forecast the supply and demand of wood products in Kenya up to 2032. The
differences between the supply and demand will then be computed over the forecasted period.
Forest area
Forest area has a direct effect in the supply of wood products. An increase in forest areas
raises capacity to produce more wood. Changes in forest areas arise from tree planting
through afforestation programs and natural regeneration. Reduction in forest areas
(deforestation) lowers the capacity to produce more wood and arises from harvesting,
forest fire and conversion of forest lands to other uses like settlements. All factors
affecting forest area were fed into the forecasting model.
Forest yield
Forest yield refers to volume of wood products capable of being harvested from a given
area at a certain time. Forest wood yielding capacity is affected by age of trees,
accessibility, forestry management regime, governing laws among other variables.
Degraded forests have lower yields. Forest yield affects the supply of wood products
since the higher the yield the higher the availability of wood products.
Economic growth
Positive economic growth enable higher resource allocation to forest management
including planting, protection and application of improved technologies all of which will
improve or raise wood supply quantities over time. Furthermore development of
infrastructure especially in heavily forested areas will give access to a wide range of
wood products.
Climate change
Changes in climatic conditions like rainfall and temperatures may result to drought,
heavy rainfall, flooding, landslides, forest fires, seeding patterns of trees all of which
have an effect on forest productivity. These factor are factored in the forecasted model
based adopted.
Wood Year
Product
2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032
(1000
Timber
3 7358.45 7550.89 7723.49 7942.39 8117.71 8352.66 8547.92 8777.35 9014.33 9244.41 9479.34
m)
Poles 3029.65 3102.52 3177.29 3265.30 3357.87 3445.37 3535.49 3618.75 3716.38 3817.79 3915.73
Firewood 13639.88 13845.77 14054.78 14254.17 14451.38 14678.82 14875.43 15064.60 15257.67 15480.56 15724.10
Charcoal 7344.55 7454.29 7566.21 7680.33 7792.73 7909.19 8028.06 8152.51 8285.16 8407.98 8528.68
Total 31372.53 31953.47 32521.77 33142.19 33719.69 34386.04 34986.90 35613.21 36273.54 36950.74 37647.85
Table 21 above shows forecast supply quantities of wood products from 2012 to year 2032
which is the forecast period. From the table supply of timber and poles is projected to increase
by 28.8% and 29.2% from 2012 to 2032, firewood by 15.3% and charcoal by 16.1%. Wood
supply is projected to increase from 31372530m3 in 2012 to 37647850m3 in 2032 an increase of
20.0%.
The figure below captures the trend in the forecasting of the supply of wood products in Kenya.
Figure 8: Forecasting of the supply of wood products in Kenya.
Timber Poles
Firewood Charcoal
According to figure 8 above, the trend in the projection of supply of wood products in Kenya is
approximately linear for all the products with firewood having the greatest inclination and poles
have the least since firewood has the greatest supply while poles are the least supplied of all the
wood products.
Economic growth
Economic growth raises the purchasing power subsequently making demand of wood and
wood products higher for a wide variety of commodities, including forest products
(primary and secondary processed wood products, pulp and paper). Positive Economic
growth catalyzes construction and electrification activities which require more wood.
Economic growth enable household to increase their budget limits subsequently buying
more wood products
Rural-urban migration
Migration of people from one area to another, shifts wood consumption levels from one
area to another. Migration from rural to urban will generally result to a reduction of
demand for fuel wood in rural areas and an increase in charcoal consumption.
Policies
Policies influence demand quantities both positively and negatively. Government uses
this fact to control consumption to required levels now and in future period.
Poles 1409.48 1473.85 1542.10 1613.93 1692.38 1768.05 1854.65 1932.33 2031.79 2122.60 2230.26
Firewood 18702.75 18936.08 19220.67 19559.70 19860.51 20135.65 20441.91 20749.93 21089.45 21412.58 21715.90
Charcoal 16325.81 16615.39 16851.66 17127.07 17415.41 17737.85 18046.41 18398.90 18653.15 18935.27 19228.18
Total 41700.66 42490.37 43289.15 44209.14 45088.97 45998.21 46971.11 47883.82 48790.44 49766.27 50712.10
Table 22 above shows the forecasted demand trends of wood products with the planning period,
between 2012 and 2032. Within the planning period, demand for wood is estimated to increase
from 41,700,660 m3 in 2012 to 50,712,100m3 in 2032, an increase of 9,011,440m3. Demand of
timber is projected to increase by 43.2%, poles by 58.2%, firewood by 16.1% and charcoal by
17.8% from 2012 to 2032 while the total wood demand is to increase by 21.6%.
The figure below captures the trend in the forecasting of the demand of wood products in Kenya.
Timber Poles
Firewood Charcoal
According to figure 9 above, the trend in the projection of demand of wood products in Kenya is
approximately linear for all the products with firewood having the greatest inclination and poles
have the least since firewood has the greatest demand while poles are the least demanded of all
the wood products.
Table 23: Projection of the Net Balances (Supply-Demand) of Wood Products in Kenya
Wood Year
Product
2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032
(1000
3
m )
Timber 2095.83 2085.84 2048.77 2033.95 1997.04 1996.00 1919.78 1974.69 1998.28 1948.59 1941.58
Poles 1620.17 1628.67 1635.19 1651.37 1665.49 1677.32 1680.84 1686.42 1684.59 1695.19 1685.47
Firewood -5062.87 -5090.31 -5165.89 -5305.53 -5409.13 -5456.83 -5566.48 -5685.33 -5831.78 -5932.02 -5991.80
Charcoal -8981.26 -9161.10 -9285.45 -9446.74 -9622.68 -9828.66 -10018.35 -10246.39 -10367.99 -10527.29 -10699.50
Total -10328.13 -10536.90 -10767.38 -11066.95 -11369.28 -11612.17 -11984.21 -12270.61 -12516.90 -12815.53 -13064.25
This deficit is projected to continue over the next 20 years of forecasting period. The deficit is
brought about by a deficit of firewood and charcoal products at approximately 5,062,870m3 and
8,981,260m3 respectively. On the other hand, during the same year there is a surplus of timber
and poles at approximately 2,095,830m3 and 1,620,170m3 respectively. This surplus is projected
all the way to 2032. The figure below gives the projection of wood products in Kenya.
Figure 10: Forecasting of the net balances (supply-demand) of wood products in Kenya
0
-5000
-15000 -10000
Total Timber
Poles Firewood
Charcoal
Figure 10 above shows the trend in net balances (supply-demand) of wood products in Kenya
from 2012 to 2032. It shows a general deficit for firewood and charcoal. This deficit is projected
to be on an upward trend during the forecast period.
CHAPTER 6.0 POLICY AND LEGAL ENVIRONMENT
6.1 OVERVIEW
Policies and legal frameworks governing wood production in Kenya largely fall in forestry,
energy and their allied sectors and are generally aimed at ensuring sustainable and affordable
supply of wood, mainly for subsistence and commercial uses. However, policy spill overs from
other sectors of the economy often have even greater impacts on wood supply and demand than
forest policies themselves. Through their implementation, practice has shown that, while some of
these policies have met their intended objectives, the reverse is true for others. Part of the
successes or failures in the policy impacts is closely related to the institutions (national and local)
mandated directly and indirectly to implement these policy frameworks. Some of these
institutions are: Central government ministries and agencies (Ministry of Agriculture, Ministry of
Environment, Water and Natural Resources, Ministry of Energy and Ministry of Agriculture).
Government agencies include KFS, Kenya Forestry Research Institute (KEFRI), National
Environment Management Authority – NEMA, County Governments (major suppliers and
consumers), National Land Commission (NLC)), Nyayo Tea Zones, private owners/entities such
as Kakuzi, tea growing companies, individual tree growers(with substantial production capacity),
Community Forest Associations (CFAs), NGOs (Kenya Forests Working Group - KFWG, East
African Wild Life Society - EAWLS, Forest Action Network - FAN, Green Belt Movement-
GBM, among others) as well as Government agencies involved in foreign investments. A matrix
showing existing institutional gaps and recommendations within these institutions is presented in
annex 10.1
Policy instruments and institutional responsibilities have an overall impact on Kenya’s capacity
to attain the current national wood production potential standing at 31.4 million cubic metres in
endeavor to meet the current national demand of 41.7 million cubic metres. The policy
recommendations made in this study are critical if Kenya is to meet the projected wood demand
of 50.7 million cubic metres against the wood supply projected at 37.6 million cubic metres in
2032.
Development of a REDD+ strategy in Kenya therefore requires an in-depth analysis of the
existing key policy and legal frameworks as well as an understanding of capacities and
institutional gaps and the conflicting positions that hamper sustainable forest resources
management. Understanding of this capacity will contribute to development of REDD+
interventions that will enhance wood supply in order to meet the country’s increasing wood
demand. This chapter provide an analysis of the relevant policy and legal instruments and
institutions that influence wood supply and demand in Kenya. It provides policy
recommendations on what is needed to curb the already high and rising demand as well as
enhance wood supply.
Policy Regulations
There are several regulations that would increase wood supply in Kenya if well enforced. These
include Timber (Harvesting) Regulations, 2009, Participation in Sustainable Forest Management
Regulations, 2009 and Agriculture Farm Forestry rules 2009, Forests (Charcoal) Regulations,
2009 and EMCA regulations such as EIA and audit regulations. Participation in Sustainable
Forest Management Regulations, 2009 allows KFS to issue permits, timber licenses (1 yr.),
contracts (e.g. for raising of seedling, tree planting etc.), joint agreements or a long term
concession agreement for a specified forest related activity. The current practice in timber
licensing has been through 1 year contracts which have been a dis-incentive to large scale saw
millers whose interests are long term in nature. Agriculture Farm Forestry rules 2009 allows
maintenance of 10% tree cover on farms, sustainable production of wood, charcoal and other
non-wood products. Compliance to the rules is lacking. Timber (harvesting) Regulations, 2009
regulate timber harvesting.
Wood demand
Most of the policies that promote economic development in Kenya have a positive bearing in
wood demand. Socio and economic environmental changes are also important factors influencing
wood demand in Kenya. Some of these policies and environmental changes that have been
considered in projecting wood demand at 50.7 million cubic metres by 2032 are highlighted
below.
Housing
Though there has been a robust growth in housing development over the last few years, there
remains a very high and un-met demand particularly in urban areas. Under the Vision 2030, a
target of over 200,000 units per year is required.
In conclusion there are good policy instruments that Kenya as a country need to take advantage
of in order to promote wood production which include policies on incentives, accessibility to
credit, tax rebates/exceptions on farm forestry inputs among others. In order to realise the
potential wood supply these instruments will be crucial. Policy recommendations are presented
in section 7 of this report.
Wood supply
While demand for timber, poles, and fuel wood in Kenya has increased over the last few
decades, forest policies and institutions have not responded adequately to improve supply. On
the contrary, most of the institutions weakened with a corresponding collapse of governance.
Negative influence is mostly attributed to policy inadequacy, retrogressive and conflicting laws.
Some of these include implementation of policies that fail to address inefficiency in production
so as to reduce wastage during processing, implementation of policies that do not adequately
promote production of wood in dry lands/recognise the large potential of dry land vegetation in
meeting Kenya wood demand needs, policies that restrict trade in wood products, policies that
provide little or no incentive for tree farmers to grow and manage trees for wood production, and
policies that put little emphasis on certain types of energy sources. Lack of security of land
tenure, in-adequate institutional capacities, lack of credit support, poor planning, competition for
scarce investment funds with non-forestry projects (often prioritised), inappropriate policies in
encouraging private sector participation, weak economic conditions and inadequate
infrastructure, unfavourable policies are also factors that negatively affect wood supply in
Kenya.
Inefficient machinery, high cost of technology transfer and limited accessibility to credit
The wood industry in Kenya is characterized by a lot of waste. On average the recovery rate in
sawn wood production is about 25% for mobile saws, 32% for other sawmills, 95% for pulp,
plywood and particle boards, 95% for poles, 95% for firewood and 16% for charcoal. This is one
of the reasons why despite having a potential supply of 31,372,531cubic metres, Kenya can only
realise 19,428,576 cubic metres because of inefficiency. The inefficiency is attributed to the use
of old, inappropriate and inefficient machinery for sawmilling. Use of efficient technology is a
problem for the small scale industry operators where logging and processing is labour intensive
with most SMEs using old inefficient machinery such as tractors and saws for milling. The
resulting timber is often of poor quality as a result of the technology applied and failure to treat
the timber. Access to bank credits as a result of high interest rates (currently ranging between 18
and 30%) discourages SMEs from access to loans in order for them to invest in efficient
technologies. There is therefore need to provide favourable environment for improvement of
technology as this will increase the potential wood supply.
Institutional Linkages
There are no elaborate linkages between agriculture and forestry. This means that agriculture
development may at times affect forestry indirectly. Any agricultural intervention that affects
forestry development will, in the final analysis, affect agriculture and thereby, leave people
worse off than before. A good example is the conversion of forests into agricultural land and the
subsequent loss of the catchment’s function. This leads to reduced water flow and less water
being available for irrigation. There is thus need to establish linkages between agriculture and
forestry.
Institutional weaknesses
A study by Kenya Forests Working Group (KFWG) shows that there is very little marketing of
seedlings done by KFS. Consequently, many seedlings remain overgrown in some KFS nurseries
while there are no seedlings in other stations. This is because there are no mechanisms to transfer
excess seedlings from one station to the other.
The major sources of tree seeds for most of the nurseries in Kenya are from the Kenya Forestry
Seed Centre (KFSC) of the Kenya Forestry Research Institute (KEFRI), local collections from
KFS plantations and farms, purchases from local dealers/traders, and some imported seeds. In
the recent past, many private nurseries have mushroomed. Unfortunately, their supply of seeds
has not been vetted to ensure high quality production of seedlings and suitability of seedlings in
different parts of the country given the importance of tree growing of the seedlings. The future
of forestry in this country will depend greatly on the generic quality of the seed sown. If the
seeds are from poor parent material, there is likelihood of them not meeting the supply
projections of various forest products.
In light of above, there is need to develop standards for seedling production and marketing in
order to enhance seedling quality in the market place and ensure long term sustainability of
seedling production. There is also need to protect the public from uncertified seed sources. Use
of uncertified seed will in the long run impact negatively on the quality of the stock being
established
Devolution
Concerns have been expressed on how devolution, may be counterproductive if county
governments fail to sustainably manage their forest resources This can happen if they exploit
forest un sustainably in order to fill any financial deficits since the Central Government is only
committed to providing a percentage of their annual budget. The REDD+ Strategy should strive
to address this potential challenge.
CHAPTER 7.0 WAY FORWARD FOR THE REDD+ STRATEGY
The study results indicate that current wood supply quantities cannot meet the current demand
quantities and needs to be improved, raising it higher than demanded quantities, subsequently
reducing chances of forest degradation and deforestation. The study also indicated that there
exists production or supply enhancing opportunities which if made use of can greatly improve
supply. These opportunities have been found to be:-
There exists room for improvement of existing management practices enabling
realization of optimal yielding capacities. There are conceivable governance reforms
towards effective management of forest resources in line with the new constitution.
Currently, the forest policy and bill are undergoing review processes where findings and
recommendations from REDD+ studies could provide bases for review.
There is a high private investors potential that is not fully utilized in the forest sector
which can be tapped to for improvement. Kenya offers exciting investment opportunities
both for local and international investors.
Enhanced participation of stakeholders in forestry under new governance system as
devolution offers room for increased engagement of various stakeholders in governance.
Ready market for forest wood products both locally and in the international markets.
Demand for wood products is high and remains high in the projection period. This
indicates a ready market for current production and that of envisaged increases in wood
production.
The REDD+ strategy should therefore provide management and policy options geared towards
increasing wood supply through:-
Policy review and harmonization to correct negative impacts on wood supply capacities.
Forest sector policies need to be reviewed to conform to existing governance system as
well as identified issues. Spillover of polices from other sectors should also be checked
through policy harmonization. Energy policy is a good example that ignores the costs and
benefits attributable to wood fuel use in the country.
Land policy review to solve land tenure issues especially in communal lands. This is will
create land tenure systems that favour long term enterprises like wood production as
ownership of trees may vary over time.
Development and implementation of forest management plans to ensure sustainability.
This should mainly address community forests management.
Capacity building in forest sector institutions to enhance growing, processing and
marketing of wood products. These institutions should be strengthened in order to
implement research findings on appropriate tree species, good management practices and
relevant technologies.
Creation of incentives in commercial tree growing and management such as a forestry
fund and tax exemptions for forestry tools to encourage tree planting.
Forest and forest produce certification to attract wood export markets for the
environmentally conscious consumers and also attract financial resources through carbon
trading.
Streamlining of gender issues in access and use of wood fuel energy, in adoption of
efficient utilization practices and alternative energy sources.
Viable strategies to ensure sustainable exploitation of trees and shrubs in the wooded
grasslands as they have been found to be continually harvested unsustainably mainly for
charcoal production
Demand of wood products is higher than supply creating room for forest degradation and
deforestation calling for the REDD+ strategy to make use of opportunities that can curb high and
rising wood products demand. These opportunities include:-
Existence of modern efficient wood processing technologies and knowledge diffusion to
improve recovery rates through processing of wood mainly into timber and charcoal.
Availability of information from research findings on effective wood utilization practices
which if adopted would reduce demand quantities.
Existence of alternative products to wood such as wind, solar and biogas energy sources
as well as recycled plastic and concrete made poles.
The REDD+ strategy should create and implement options that will lower and curb rising wood
demand through:-
Review of regulations on timber and charcoal production, processing and distribution
with aim at removing hindrances to trans-county trade in form of barriers, acquiring of
information on advanced efficient technologies and improving road networks to markets.
These interventions should aim at providing means of acquiring relevant production and
market information and technologies which, for instance, might be expensive for local
and small scale processors of wood products.
Continued research and capacity development on efficient utilization practices to lower
wastage.
Provision of incentives to encourage adoption of alternatives to wood usage like a)
energy from electricity, gas, wind and solar energy b) alternative transmission pole using
concrete and metallic poles to wooden ones c) construction materials like metal and,
concrete.
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9.0 ANNEXES
ANNEX 9.1 TERMS OF REFERENCE
The broad objectives of the study is to carry out an assessment of the existing and potential
demand of the wood products (timber and fuel wood) and supply potential of various forested
ecosystem, including gazetted forest.
Specific objectives:
Establish the current and future demand of products (timber and fuel wood);
Establish the current and projected future supply potential of different forest management
Develop scenario of future demand and supply of wood products under changing social
political and economic environment – including but not limited to price, food security,
economic growth, internal migration and infrastructure development.
Specific tasks
At individual level
At community level
At organization level
At policy level
National
Potential Supply 4,561,267 2,456,067 7,017,334 346,080 7,363,414 3,028,907 13,654,022 7,358,717 31,372,531
Available
National Supply 1,459,605 614,017 2,073,622 328,776 2,402,399 2,877,461 12,971,321 1,177,395 19,428,576
Timber yard Timber Marketing & sales Unsustainable timber Establish code
merchants of timber supplies of ethics
Poor code of ethics
contributing to trade in
illegal products
Lack of appropriate
knowledge in business
management
Individual All types of Establish forest stands Lack of capacity & Training and
farmers wood in form of woodlots awareness capacity
and boundary planting Lack of incentives to building
Responsible Relevant Roles and Institutional Gap Recommendations
institution/stake wood Responsibilities Assessment
holder product relevant to wood
supply and demand
for domestic use and grow/take care of Provision of
sale. forest vegetation incentives to
Lack of tenure (tree encourage
and land) growing of
Inadequate farm sizes trees
Lack of technical Forming tree
knowhow of what to growing groups
grow and where to achieve
Inadequate financial bigger
resources production
Existing policies areas and
support relatively economical
larger legally identified land sizes for
groups but not wood
individuals Land titles or
ownership
agreements
Technical
knowledge and
training in tree
growing, what
to grow and
when
production
Adequate
financial
resource to
enable
individuals
venture in tree
growing Policies
that support
individuals in
tree growing
Nyayo Tea Zone Fuel wood Creation of tea buffer Lack of capacity (human Capacity
Development zones to contain and equipment) enhancement
Corporation encroachment into No forest management on tree
natural forests experience management
Private sector All type of Establish forest stands Competition among Capacity
(e.g Kakuzi, Tea products for fuel wood private sector layers and enhancement
growing production for curing communities in on tree
companies) tea but also sell for partnerships with KFS management
timber production Competition with illegal
forest products
Responsible Relevant Roles and Institutional Gap Recommendations
institution/stake wood Responsibilities Assessment
holder product relevant to wood
supply and demand
Competition of forestry
with other land uses
Low capacity for many
small
enterprises/ventures
Customers (end All types of Purchase timber Differing tastes or Embrace &
user of the products products preferences & promote value
product) Embrace value technological changes addition in
addition wood product
Custom
All types of Issue export/import Poor coordination with Harmonization
authorities products permit(s) other agencies such as of mandates
KFS
Overlapping mandates
with KFS
Kenya All types of Assist foreign and Inadequate promotion Establishment
Investment products local investors of forestry as a potential of linkages
Authority (KIA) and potential investment between KIA,
investors by KFS and other
issuing agencies
investment
certificates;
assisting in
obtaining any
necessary licences
and permits;
Providing
information,
including
information on
investment
opportunities or
sources of capital.
Promote, both
locally and
internationally,
the opportunities
for investment in
Kenya;
National Timber, Advise the Inadequate promotion Establishment
Investment poles and Government and of forestry as a potential of linkages
Council (NIC) paper government investment between NIC,
agencies on ways KFS and other
to increase agencies
investment and
economic growth
Responsible Relevant Roles and Institutional Gap Recommendations
institution/stake wood Responsibilities Assessment
holder product relevant to wood
supply and demand
in Kenya; and
Promote co-
operation
between the
public and private
sectors in the
formulation and
implementation
of government
policies relating
to the economy
and investment.
National Council Assessing the Population data has not Annual reviews
for Population impacts of been adequately used in of wood
and population and forestry projections and demand and
Development making in planning supply based on
appropriate population data
recommendations and country
Analysing demands
population issues
and developing
policies relating to
population
Kenya Forestry All types of KFC is an Training on on-farm Review of the
College (KFC) products institution that forestry and PFM is still KFC training
trains at sub- inadequate programme
professional level
and is the main
trainer of
technical cadres
for the Forest
Department.
Universities/colle All types of High Level Training on on-farm Review of the
ges products forestry training forestry and PFM is still KFC training
inadequate programme
NGOs/CBOs Research, advocacy, NGOS have gained some Support
awareness and credibility in advocacy government
promotion of local and awareness creation efforts in
communities and have strong links formulation,
engagement in forest with local communities. financing,
management and implementation
conservation , monitoring
and evaluation
of tree
investments
Responsible Relevant Roles and Institutional Gap Recommendations
institution/stake wood Responsibilities Assessment
holder product relevant to wood
supply and demand
Mass media All types of Produce and serialize Inadequate reporting on Training in
products tree programmes in wood demands and environmental
relation to increased requirements with reporting
demand of wood heavy focus towards
products as a result of deforestation
infrastructural
development,
increase in population
etc.
Parliament All types of Enact relevant policies - Enact relevant
products and laws policies and
laws to address
wood demand
and supply
issues
County All types of Maintain a viable The recently formed Development of
Government products system of green County Governments County Action
and open spaces have limited capacity Plans taking
for a functioning (financial and human) into account
eco-system; and have no forest the
Work towards the management expertise constitutional
achievement and requirements
maintenance of a of 10% forest
tree cover of at cover.
least ten per cent
of the land area
of Kenya as
provided in
Article 69 of the
Constitution; and
Prepare an
integrated
development plan
Kenya Forest All types of Overseeing the Not fully operational Operationalizati
Water Tower products conservation of water Possible conflicts with on of the
Agency towers government agency
implementing agencies
such as KWS and KFS
likely
National Land All types of Provide incentives NLC is very new Adequate
Commission products for communities institution and its funding for NLC
(NLC) and individuals to effectiveness in
invest in income delivering its mandate
generating will depend on political
natural resource good will. Currently,
Responsible Relevant Roles and Institutional Gap Recommendations
institution/stake wood Responsibilities Assessment
holder product relevant to wood
supply and demand
management NLC has been provided
programmes. with a low annual
Provide measures budget of Kshs 241
to facilitate the Million shilling for
access, use and 2012/2013
co-management
of forests, water
and other
resources by
communities who
have customary
rights to these
resources.