INTEGRATED PROTECTED AREA CO-MANAGEMENT (IPAC) - BIDS

how saw mills and furniture units are operating in SIZ area in spite of timber products
extractions are officially banned for a long time now. Hence, an investigation was carried out in
all the major SIZ areas as to how these enterprises are surviving.
In all, 34 units across SIZ were interviewed, which included both saw mills and furniture units.
Interestingly, many saw mills had either furniture units or timber trading or timber logging.
Hence, given the scope of this brief study, we processed the data lumping together as our main
issue was to look into the production and investment trend of such units. About 53 percent of
sample units were located in Sarankhola Range, followed by 29 percent in Khulna, 12 percent in
Satkhira and 6 percent in Chandpai Range (Table 3.25).
Table 3.25: Sample of saw mills/furniture units by Range
Range No. of units %
Sarankhola 18 52.9
Chandpai 2 5.9
Khulna 10 29.4
Satkhira 4 11.8
Total 34 100.0
Information were sought from the entrepreneurs on estimated proportions of raw materials (in
%) used during previous five years (2005 through 2009), for both local and SRF timbers (Annex
Tables A3.9 and A3.13) 60 . Information were also sought on aspects such as fixed and working
capital, gross and net income, and number of enterprises in respective locality for the previous
five years (Annex Tables A3.14 through AA3.16).
Trend growth rates were then estimated on capitals and returns, based on data, however, at
current prices (Table 3.26). It can be seen that there has been a tremendous growth of saw mills
and furniture units on all counts. The growth in terms of fixed and working capital estimates as
19 and 20 percent respectively. In terms of capital, both fixed and working capital, Khulna
Range occupies the first position, 34 and 32 percent respectively. In terms of gross and net
output, again, Khulna Range occupies the first position, the trend growth being 20 and 16
percent respectively. Surprising though, Satkhira experienced a negative growth during the last
five years, 10 and 2 percent for both gross and net output respectively 61 . As regards growth in
terms of number of enterprises, again, there has been a tremendous growth, as high as 24
percent, in respective SIZ locations. Khulna, again, experienced as high as 29 percent growth in
the last five years, followed by Sarankhola (20%), Chandpai (19%) and the lowest in Satkhira
(13%) Range. The case of Khulna experiencing high growth rates could be attributed to higher
product demand arising out of higher urbanization, and proximity to a Divisional city.
Table 3.26: Estimates of trend growths of saw mills/furniture units by Range
Range
Estimates of trend growths
Local raw SRF timber Fixed Working Gross Net Number of
materials products capital capital income income enterprises
Sarankhola .16* - .21* .08* .17* .08* .06*** .20*
60
Subsequently, the information on proportions were converted to quantity of raw materials used, using gross
income as respective weights and thus trend of raw materials estimated.
61 One has to take note, however, that the estimates are not statistically significant. Additionally, the sample could
be a few outliers, extremely small at that.
62