Social Enterprise

By Claudette Juska, Cynthia Koenig. Faculty advisors:Professor Ivette Perfecto, Professor Arun Agrawal.

Abstract: Located in the shadow of Guatemala’s famous Tikal National Park, Uaxactún’s residents have witnessed Tikal’s increasing popularity as a tourist attraction firsthand. Similar to other communities in the Maya Biosphere Reserve (MBR), some Uaxactúnecos have expressed interest in capturing part of this lucrative tourism market. At the same time, in recognition of mounting threats to the integrity of the MBR, NGOs like the Wildlife Conservation Society (WCS), are encouraging communities to explore environmentally-friendly economic alternatives that help alleviate poverty while preserving natural resources. However, this advice may not be in the best interest of Uaxactúnecos. Our research reveals that ecotourism initiatives rarely succeed in achieving the dual goals of biodiversity conservation and poverty alleviation. In addition, the rapid development of ecotourism in Uaxactún would likely intensify existing pressures on the landscape and local institutions that are unprepared to deal with these challenges. Our research seeks to inform Uaxactúnecos, and the individuals and NGOs who work in partnership with them, of the risks posed by ecotourism development. If and when Uaxactúnecos decide that developing ecotourism is in their best interest, a balance must be struck between the wishes of the community, the objectives of NGOs, and the experience sought by tourists.

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By Michael Hokenson ’05

Abstract: In our post-modern era, the global networks of extraction, production, and distribution have left no corner of the Earth unaltered. Instead, the expansive momentum of our capital system now forces a final debate between conservation and development. As with most historical trade-offs, the poor, whose numbers reach into the billions, face a disproportionate share of the burden as capitalist entities fight to capture the majority of the economic surplus for themselves and conservation agencies strive to forfeit the opportunity cost of remaining habitats. At the same moment, the universal will to eliminate poverty, maintain biodiversity and direct humanity toward a sustainable future has never been greater. We stand from this vantage as a qualified optimist in our exploration of Cambodia’s deforestation and development tensions. Our research indicates that the poor are an essential partner in the effort for conservation. Without their subscription to the path of living sustainably, these endeavors will certainly fail. It then becomes our task to offer viable, economically attractive, self-empowering options to accomplish the dual task of preserving the resource base and eradicating poverty.

After a generation of genocide, foreign occupation and civil war, Cambodia faces significant challenges in its development. Blessed with Southeast Asia’s largest remaining tract of rainforest and ample fisheries, the pressure of short-term oriented harvesting has culminated in severe degradation, drought and flooding. Cambodia’s population has doubled since 1980 and, of the 12 million persons, nearly 85% live in rural areas and are heavily dependent upon the natural resource base. However, this resource base continues to erode due to illegal logging, a major contributor to Cambodia’s shadow economy.

Cambodia’s logging industry is rife with corrupt military and political actors and unsustainable levels of extraction. In a scheme to generate official tax revenue and bring employment opportunities to rural Cambodia, the Royal Government assigned the management of 40% of its large forest resources to transnational companies. These assignments were given with zero participation of the rural population and led to over harvesting in efforts to achieve profitability. To prevent further degradation, an official logging moratorium was passed by the government, causing many of the concessionaires to flee. Still under review, we predict a total collapse of the concessionaire system because of the risk and expenses associated with the long-term management of the forest. This collapse will open the possibility of restoring the management of the forests to local stakeholders.

Currently, there are over 200 Community Forestry Management Plans in Cambodia which address the spiritual and economic needs of rural villages. An official Sub-Decree under the Forestry Law recognizes this synthesis of development and conservation. Funding is provided by international NGOs who maintain a large presence in Cambodia. Ultimately, the success of Community Forestry will be judged on their individual financial sustainability. We recommend that CFM groups expand their effortsto target High Value Forests and incorporate microfinance, an effective tool of poverty alleviation, to provide the financial infusions for appropriate income-generating activities. Our recommendations and strategies were based on research and interviews conducted with microfinance institutions, conservation agencies and independent monitors of the logging activity.

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