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With the increased economic value of its natural resources, Uganda has recently increased public investment in its forestry sector. For instance, both the Poverty Eradication Action Plan (PEAP) and the Environment and Natural Resources Sector Investment Plan (ENR SIP) include increased budgetary allocations on forests. But does this approach necessarily improve economic outcomes for poor resource users? Examining the Budongo Forest Reserve, a new report brought out by the Advocates Coalition for Development and Environment (ACODE) applies the Nature, Wealth and Power (NWP) analytical framework and the Commodity Chain Analysis (CCA) methodology to analyse distributional outcomes in Uganda’s timber industry.

The report finds that:

• most public investment has been in government-related institutions with little or no investment in community forest initiatives
• the amount of monetary gains accruing from business transactions along the timber commodity chain is mainly influenced by ownership of the natural resource and capital
• the new policy packages and law enforcement mechanisms have hit the rural poor most especially with regard to access to the forest-related natural resources and distribution of proceeds
• the new grouping of forest reserves into community, local government, private, central government and national park forests leaves community and local government forests more exposed to exploitation mainly on account of inadequate law enforcement
• forestry resources governance in Uganda has been characterised by a high concentration of power over Central Forest Reserves in the central government and a corresponding lack of local participation in forest and tree management across all categories of forests
  

The report concludes that since Uganda’s current policy and institutional framework does not address the power imbalances that cause poor forest users’ economic marginalisation, increased public investment alone is unlikely to reduce poverty significantly. Instead, it recommends that:

• local level institutions, especially the District Forestry Services and local community structures, be made fully functional and empowered to engage in resource planning, revenue management and utilisation
• a more systematic and transparent system be put in place that enhances equal access and control to resources for all actors along the timber production and trade chain
• future legal and policy reforms re-emphasise the principle of subsidiarity for both the management of the natural resources as well as the allocation of the revenues accruing from the exploitation of forestry resources
• all institutional players along the timber production and trade chain be strengthened to ensure that appropriate synergies are built, strengthened and enhanced to ensure equity and sustainability in the management of forestry resources
• representative structures are established at the local level with the skills, civic competence and knowledge to challenge the status quo
  
  
  
  
  
  
  
  
  

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