Reform of State Forest Management in Northeast China

CHALLENGE

The reform of state forest management has become a priority issue in Northeast China. Unlike the collective forest areas of Southern China, Northeast China's state forest enterprises (SFEs) have not been successfully transformed. A decline in timber productivity (due to overexploitation and degradation of forests) has been acompanied by economic stagnation and heavy fiscal obligations toward state forest enterprise workers, leaving SFEs highly dependent on subsidies and transfers.

APPROACH

Although the World Bank has been an important partner of the Chinese government in the forestry sector over the past 20 years (supporting over 3 million hectares of plantation establishment and over 1 million hectares of protected areas), its engagement on forestry policy reforms has been limited. 

With PROFOR support, the World Bank's East Asia and Pacific staff will help prepare a roadmap for policy and institutional reforms in key state forest management areas in Northeast China, to promote the transformation of practices toward economic viability, sustainable forest resource management, and local livelihood security.

This activity will include:

• a review of state forest management reforms in other countries -- including in Russia and Eastern Europe, as captured in the PROFOR publication Forest Institutions in Transition  
• a historical review of state forest management reforms in the Northeast
• an in-depth analysis of the existing survey data on forest resoucres and socio-economic conditions
• a critical review of existing pilot reform sites
• the formulation of a practical plan for the transformation of state forest areas into a system of economically viable state and private entities, based on sustainable forest management and clear separation of public and private functions.

The study will coincide with the Government's internal evaluation of the first phase of the Natural Forests Protection Program (1998-2010) and the formulation of the program's second phase.

RESULTS

This activity is ongoing. Results will be shared on this page when they become available. You can also follow us on twitter (www.twitter.com/forestideas) or subscribe to our mailing list for regular updates.