Why and how Higher Investments in Indian Forestry?

Abstract

75 million hectares of Indian forests are estimated to have a growing stock of 26,000 million cubic metres valued at Rs 28,000 crores. Their present outturn of industrial wood is about 8 million cubic metres while the projected requirements of such wood by 1985 are about 22 million cubic metres. Despite increased allocations under the development plans, inadequate investments continue to be the most serious limiting factor in forest development. The growing stocks in forests are a ready resource. Investments in forest plantations, construction of roads and in logging projects are not a long-term investment in the present conditions of Indian forestry. In fact such investments yield quick or immediate financial gains and bigger quantities of material produce, also providing greater employment and creating bigger reserves for the future. Examples are given of the Integrated Road Construction, Logging and Regeneration Project of Himachal Pradesh, the Maharashtra Forest Development Board, the Mysore Forest Corporation, and the U.P. World Bank Project. Similar projects, with modifications as necessary need to be quickly drawn up and implemented in different State.. A plea for creating a Central Forest Corporation with an initial capital of Rs. 100 crores from U.S AID Funds or other sources with counter-part organisations in States and Union Territories is made. Help should be sought from World Bank and other financial agencies. The subject is of extraordinary and immediate importance in view of the Government decision for a mid-term appraisal and reorientation of the Fourth Five Year Plan.