Exploring opportunities for Indonesia's social forestry agenda

Abstract

In this chapter, we provide an overview of the historical role of smallholder forestry in Indonesia, including recent interest and support by government, which reflects the political and social democratisation that has spread across Indonesia since the late-1990s with reformasi. More recently, the social forestry agenda in Indonesia has sought to combine efforts to reduce deforestation, expand the supply of commercial timber and encourage smallholders to develop tree plantations as a new enterprise to reduce rural poverty – see, for example, the community plantation forests (Hutan Tanaman Rakyat, HTR) scheme within the social forestry program. We focus on the popular option of growing sengon (Paraserianthes falcataria), also known as albizia in other countries, by smallholders in the province of Central Java, and the characteristics of the vibrant value chain that has developed over the past decade. Interestingly, the Indonesian government’s effort to curb the illegal harvest and trade in timber led to the development of the timber legality and sustainability verification system, Sistem Verifikasi Legalitas dan Kelestarian, previously termed the Sistem Verifikasi dan Legalitas Kayu, yet this system has not had the desired outcome of making ‘certified’ timber more valuable. Instead, the complexity and cost of the verification process has for many forest growers overshadowed any advantages of the system, discouraging some smallholders from becoming more invested in the commercial forestry sector. Furthermore, the use of international certification and labelling, such as the Forest Stewardship Council (FSC), has not always led to the intended increase in demand or greater payments to smallholders for their trees. As a contrast with the recent emergence of the sengon industry, particularly for smallholders in Java, we also review the centuries-old phinisi boat industry based in Bulukumba, South Sulawesi. Given that Indonesia is an archipelago of more than 10,000 islands, having reliable vessels for the trade of valuable cargo has proven vital. On top of this, the phinisi industry is experiencing a resurgence due to Indonesia’s bustling tourism industry. As each phinisi boat is constructed from a variety of native timbers – all carefully selected for exacting needs according to age-old designs – demand for a specific suite of timbers is strong. This happy combination of high demand for a consistent set of timber species has enabled local smallholders to pivot their tree-growing focus to become suppliers for an industry that they trust and understand.