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STAKEHOLDER FORUM ON<br />

SUSTAINABLE AND PRO-POOR<br />

OLEORESIN INDUSTRY<br />

DEVELOPMENT IN CAMBODIA<br />

23 September 2011, Phnom Penh, <strong>Cambodia</strong><br />

Organized by<br />

in cooperation with<br />

Ponlok Khmer<br />

WWF<br />

My Village<br />

Supported by


Acronyms<br />

CBNE<br />

CBNRM<br />

CBRE<br />

CDRI<br />

CF<br />

CISP<br />

CNWG<br />

CO<br />

CPAs<br />

CPF<br />

CRA<br />

FASMEC<br />

GHGs<br />

MoC<br />

MoE<br />

MVI<br />

NFP<br />

NGOs<br />

<strong>NTFP</strong>-<strong>EP</strong><br />

<strong>NTFP</strong>s<br />

SMEs<br />

SSEZs<br />

UN<br />

USD<br />

WCS<br />

WWF<br />

Community-Based <strong>NTFP</strong> Enterprise<br />

Community-Based Natural Resource Management<br />

Community-Based <strong>Resin</strong> Enterprise<br />

<strong>Cambodia</strong>n Development Research Institute<br />

Community Forestry<br />

Creative Industry Support Programme<br />

<strong>Cambodia</strong> <strong>NTFP</strong> Working Group<br />

Certificate of Original<br />

Community Protected Areas<br />

Community Protected Forest<br />

<strong>Cambodia</strong> Rattan Association<br />

Federation of Association for Small and Medium Enterprise in <strong>Cambodia</strong><br />

Green House Gases<br />

Ministry of Commerce<br />

Ministry of Environment<br />

My Village International<br />

National Forest Programme<br />

Non-Governmental Organizations<br />

Non-Timber Forest Products Exchange Programme<br />

Non-Timber Forest Products<br />

Small and Medium Enterprises<br />

Special Social Economic Zones<br />

United Nations<br />

United State Dollar<br />

Wildlife Conservation Society<br />

World Wildlife Fund<br />

2


CONTENT<br />

Acronyms 2<br />

I Overview of the Forum 5<br />

II Objectives 7<br />

III Expected Results 7<br />

IV Participants 7<br />

V Forum Programme 8<br />

VI Proceedings 9<br />

1. Welcome and Opening Remarks 9<br />

2. Panel Presentation 1: Experiences and Perspectives of the <strong>Cambodia</strong><br />

<strong>NTFP</strong> Working Group (CNWG) on sustainable oleoresin management 11<br />

and community based oleoresin enterprise development<br />

2.1 Networking and Capacity-building interventions in Sustainable<br />

<strong>Resin</strong> Management – By Mr. Khou Eanghourt, CNWG National 11<br />

Facilitator...<br />

2.2 Sustainable <strong>Resin</strong> Harvesting and Community-Based Enterprise<br />

Development – By Mr. Pek Samon, Ponlok Khmer, Preah Vihear 14<br />

province<br />

2.3 <strong>Resin</strong> Enterprise Management: An Important Approach to<br />

Management of the Eastern Plains Landscape in <strong>Cambodia</strong> – By Mr. 14<br />

Son Bora and Amy Maling, WWF-<strong>Cambodia</strong>……………………….....<br />

3. Panel Presentation 2: Exploring Diverse Uses and Market Potential of<br />

<strong>Cambodia</strong>n Dipterocarp Oleoresins or Dipterocarp Balsams<br />

16<br />

3.1 Characterization and End Uses of Dipterocarp Oleoresins or Balsams<br />

– By Ms. Mariluz San Pedro Dionglay, Senior Science Research<br />

Specialist, Technology Innovation Division, Forest Products Research<br />

16<br />

Development Institute, Los Banos, the Philippines<br />

3.2 Integrating Oleoresin Processing from <strong>Cambodia</strong>n Dipterocarps for<br />

Community based Forest Management : a sharing from Philippines<br />

Experience – By Ms. Mildred Miranda Fidel, Chief of Division, 17<br />

Technical Services, Forest Products Research Development Institute,<br />

Los Banos, the Philippines<br />

3.3 <strong>Cambodia</strong>n dipterocarp balsams in the regional and international<br />

market – By Ms. Nola Andaya-Milani, Social Marketing Specialist, 19<br />

Philippines & France<br />

4. Panel Presentation 3: Exploring Sustainable Forest Enterprise<br />

Development Programme Opportunities in <strong>Cambodia</strong><br />

20<br />

4.1 <strong>Cambodia</strong>n experience in (pro-poor) small-medium industry<br />

development: building from the ground up: the case of Rattan &<br />

Handicrafts Sector – By Mr. Lun Yeng, Executive Director, Federation 20<br />

of Associations for Small & Medium Enterprise in <strong>Cambodia</strong><br />

(FASMEC) & General Manager, Daun Penh House<br />

4.2 Increasing the Economic Value of Dipterocarp Balsams for Forest<br />

Communities in <strong>Cambodia</strong> – By Mr. Tith Seyla, Enterprise<br />

21<br />

Development Officer, <strong>NTFP</strong>-<strong>EP</strong>/NatureWild<br />

5. Critical Perspectives and Recommendations on pro-poor sustainable<br />

oleoresin development in <strong>Cambodia</strong><br />

23<br />

5.1 First Panelist: Mr. Ken Sereyrotha Deputy Director-General<br />

Department of Administration for Nature Conservation & Protection, 24<br />

Ministry of Environment<br />

5.2 Second Panelist: Community Representative: Preah Vihear <strong>Resin</strong><br />

Association<br />

25<br />

5.3 Third Panelist: NGO/Environment & Conservation: Mr. Ashish John,<br />

Wildlife Conservation Society (WCS)<br />

26<br />

VII Closing Remarks 26<br />

3


NatureWild & The <strong>Resin</strong> Story: Exhibition and Socials<br />

VIII Annex 27<br />

Annex I: Opening Remarks 28<br />

Annex II: Detail Agenda 32<br />

Annex III: Participant List 35<br />

Annex IV: Presentations 43<br />

:<br />

4


Stakeholder Forum on Sustainable and<br />

Pro-Poor Oleoresin Industry Development<br />

in <strong>Cambodia</strong><br />

23 September 2011<br />

Himawari Hotel<br />

Phnom Penh, <strong>Cambodia</strong><br />

I. Overview of the Forum<br />

Dipterocarp oleoresins or balsams are important products in the rural economy and a source<br />

of income for a great number of (mostly indigenous) collectors in Southeast Asia including<br />

<strong>Cambodia</strong>. In <strong>NTFP</strong>-<strong>EP</strong>’s resin trade chain study in 2009, it was found that over 17,000<br />

households (or about 100,000 individuals) depend on resin tapping as their primary source<br />

of cash income (averaging US$350 per household per annum). The resins are locally<br />

employed for waterproofing boats and baskets, while lower grades are used as fuel for<br />

torches. There is also a thriving resin trade intra-region. About 3,500 tonnes of the total<br />

annual harvest is used domestically where it provides key inputs to the vital and crisisresistant<br />

fishing industry, 1 while an estimated average of 11,000 tonnes per annum is<br />

exported, mostly to Vietnam, with no value addition premium (<strong>NTFP</strong>-<strong>EP</strong>, 2009). Based on<br />

the same research, Preah Vihear and Mondulkiri provinces rank as the top 2 contributors of<br />

<strong>Cambodia</strong>’s total resin production; up to 10,000 tonnes in Preah Vihear and up to 3,000<br />

tonnes from Mondulkiri. 2 The current annual value of unprocessed resin exports from<br />

<strong>Cambodia</strong> to Vietnam is between US$4.7 to US$7.6 million. A much smaller volume finds its<br />

way to Thailand and (for re-export) Laos. Meanwhile, a growing, though currently still<br />

modest volume of resin originating in Southeast Asia enters the manufacture of high end<br />

natural varnishes and paints, produced in Germany and elsewhere in the European Union. As<br />

well, there is an increasing global call for “greener, fairer and sustainable” economies to<br />

which natural and fairly traded products, in general, are provided with market entry points.<br />

For example, with the growing overall interest worldwide in truly ecological products, there<br />

appears to be considerable, albeit so far untapped, potential to develop the household and<br />

industrial applications, as well as other possible niche markets of dipterocarp resins such as<br />

natural paints, varnish and glue, and essential oil and balsams for both domestic and<br />

international markets.<br />

The <strong>Cambodia</strong> <strong>NTFP</strong> Working Group (CNWG) in cooperation with the Non-Timber Forest<br />

Products Exchange Programme of South and Southeast Asia (<strong>NTFP</strong>-<strong>EP</strong>) have been, since<br />

2007, building a knowledge and partnership base for the development of sustainable<br />

management and marketing of dipterocarp resins in <strong>Cambodia</strong>. With support from the UN-<br />

MDGF Creative Industries Support Programme, local NGO members of the <strong>Cambodia</strong> <strong>NTFP</strong><br />

Working Group have undertaken sustainable and community based resin enterprise<br />

development project initiatives in 7 villages in two provinces, Mondulkiri and Preah Vihear.<br />

This entailed community organizing and business support to community resin<br />

groups/associations. Additionally, under the same CISP support, <strong>NTFP</strong>-<strong>EP</strong> took the<br />

facilitation role in the commercialization and value chain development of resins from the<br />

project target areas within a 10-month period. This role involved:<br />

• Developing through a participatory process sustainable/quality resin tapping<br />

protocols and standards<br />

1 An estimated 350,000 wooden fishing boats ply the inland waters of <strong>Cambodia</strong>. All these boats need regular caulking. In<br />

addition, fishing crews increasingly use resin torches for lighting at night, as a substitute for either kerosene lamps or battery<br />

fueled torches. The lower resin grades used for the latter purpose would otherwise be considered waste material. Luu, T.H. et<br />

al. (draft July 2009). <strong>Resin</strong> Studies in Vietnam (Hochiminh City: CBD and <strong>NTFP</strong>-<strong>EP</strong>), found that tree resins are also widely<br />

used for caulking the boats in Vietnam’s fishing fleet.<br />

2 Prom Tola (2009). Beyond Subsistence: Trade Chain Analysis of <strong>Resin</strong> Products in <strong>Cambodia</strong>. (Phnom Penh: <strong>NTFP</strong><br />

Exchange Programme).<br />

5


• Assessing value-added markets for dipterocarp resins in <strong>Cambodia</strong><br />

• Identifying at least 2 value-added resin products for development<br />

• Market-testing in <strong>Cambodia</strong> for these 2 value-added resin products<br />

Further scoping of <strong>NTFP</strong>-<strong>EP</strong> of the value-added markets of oleoresins in <strong>Cambodia</strong> has<br />

shown that 3,000-4000 tonnes of lower quality and unfiltered resins are allocated for<br />

domestic use, especially to use for caulking boats and making torches in <strong>Cambodia</strong>. CISP’s<br />

2009 value chain study further estimates a domestic demand for boat sealing from 4,000-<br />

6,000 tonnes. Meanwhile, there is a thriving market for synthetic resin-based products (semi<br />

finished products from Thailand and packaged in <strong>Cambodia</strong>) such as varnish, glues and<br />

paints, which is serving the building and construction sector in the country. A few private<br />

company wholesaler/distributors cover Phnom Penh and provinces.<br />

On the other hand, <strong>NTFP</strong>-<strong>EP</strong> (2011) has found that good quality oleoresin is retained<br />

domestically to use as natural varnish for wooden houses and as raw material for Khmer<br />

traditional art, and other minor uses. These are mostly retailed in informal markets and are<br />

mainly captured by small roadside retailers and few wholesalers. The estimated domestic<br />

demand for such products are at 45-50 tonnes annually, valued at USD 3.9-4.9 million which<br />

does not include resins for other minor uses. Further exploratory investigation has revealed<br />

the essential oil properties of dipterocarp resins from <strong>Cambodia</strong>. This is corroborated in<br />

literature on oleoresins from Indochina and trade of dipterocarp balsams 3 to international<br />

markets such as Europe (eg. France), East and South Asia.<br />

Why a RESIN Stakeholder Forum in <strong>Cambodia</strong><br />

Within the framework of the Creative Industries Support Programme (CISP), a three-year<br />

program funded by the UN - Spain Millennium Development Goals Achievement Fund, the<br />

program’s main aim is to revive <strong>Cambodia</strong>’s tangible and intangible cultural assets. Through<br />

this cultural assets revival, it is expected that a critical contribution is made to increase the<br />

potential of local and selected creative industries for job creation, economic growth and<br />

poverty alleviation in the country. The non-timber forest product (or <strong>NTFP</strong>) sector, which<br />

supports the culture and livelihoods of a significant forest-based population of <strong>Cambodia</strong>,<br />

(including of indigenous communities) has been selected to contribute to the achievement of<br />

the programme’s aims. In particular, the CISP sought value-chain development<br />

interventions that would increase the economic contribution of resins for the benefit of the<br />

poor and for the sustainable development of the forestry sector.<br />

Whilst the programme has made critical efforts in this regard, the efforts todate are still<br />

developmental and will require a longer term support programme infrastructure that would<br />

succeed the CISP. Such an infrastructure must be vertically-integrated including continued<br />

community-based organizing and enterprise development work, community forest tenure<br />

arrangements, sustainable <strong>NTFP</strong> management and monitoring, and market-based<br />

information and technical support.<br />

Thus an oleoresin stakeholder forum is proposed in order to bridge the short-term<br />

developmental efforts supported by the CISP to a more robust and long-term development<br />

outlook for the <strong>NTFP</strong> sector. Within the <strong>NTFP</strong> sector, dipterocarp resins provide the highest<br />

total economic value for many forest-dependent communities. To a certain extent it is a<br />

“representative” forest product that speaks to the livelihood of <strong>Cambodia</strong>’s forest peoples.<br />

Yet, it has been under-estimated, informally traded and under-valued. The Forum will share<br />

the CISP partner findings of both the cultural and environmental significance and market<br />

potential of resins of <strong>Cambodia</strong>.<br />

3 BALSAMS are resinous mixtures; may be dissolved or emulsified in oil; more or less fluid; and exhibit a strong specific<br />

odor. Gurjun balsams is the international trade name of dipterocarp resins.<br />

6


The Forum was envisaged to gather the stakeholders that will be instrumental in ensuring<br />

there is a longer-term development outlook for resin development in <strong>Cambodia</strong> and its<br />

relevance to the country’s sustainable development and poverty reduction agenda.<br />

Additionally, this Forum was intended to also help explore prospects for further support to<br />

the CISP partners, especially the project beneficiaries beyond the CISP project in order to<br />

fully realize the positive impacts of protecting and managing the forests and also of their<br />

traditional livelihoods that are dependent on it.<br />

In particular, the Forum presents a critical opportunity to upscale the community based resin<br />

enterprises so far established in the pilot provinces (Mondulkiri and Preah Vihear) through a<br />

framework of pro-poor sustainable resin sector support to be presented and proposed at the<br />

Forum.<br />

II.<br />

Objectives<br />

• To identify and mobilize the critical and players in <strong>Cambodia</strong>n resin value chain<br />

• To stimulate critical support to further pro-forest, pro-CBRE (community-based resin<br />

enterprises) natural resin industry development in <strong>Cambodia</strong><br />

• To assess the interest and the potential for short and long-term investments<br />

(technical, financial, policy) in the natural resin industry development in <strong>Cambodia</strong><br />

III.<br />

Expected Results<br />

• Critical project achievements and results on resin development are presented and<br />

shared by CISP partners to key stakeholders, including to the CISP Project Steering<br />

Committee<br />

• A proposal for further development and support to resin industry development n<br />

<strong>Cambodia</strong> is presented and consulted with key stakeholders<br />

• Key stakeholders review and provide critical perspectives on future steps for resin<br />

industry development in <strong>Cambodia</strong><br />

• Critical support is committed to furthering resin industry development in <strong>Cambodia</strong><br />

as a pro-poor sustainable economic development strategy<br />

IV.<br />

Participants<br />

<strong>Resin</strong> community and local authority<br />

NGOs/International orgs/Private Sector<br />

<strong>Cambodia</strong> Government Institutions<br />

Media<br />

Total<br />

18 participants (2 Females)<br />

38 participants (13 Females)<br />

11 participants (2 Females)<br />

17 participants (2 Females)<br />

85 participants (19 Females)<br />

V. Forum Programme<br />

Morning:<br />

Welcome and Opening Remarks<br />

Panel Presentation 1: Experiences and Perspectives of the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group<br />

(CNWG) on sustainable oleoresin management and community based oleoresin enterprise<br />

development<br />

1. Networking and Capacity-building interventions in Sustainable <strong>Resin</strong> Management – By<br />

Mr. Khou Eanghourt, CNWG National Facilitator<br />

7


2. <strong>Resin</strong> Enterprise Management: An Important Approach to Management of the<br />

Eastern Plains Landscape in <strong>Cambodia</strong> – By Mr. Son Bora and Amy Maling, WWF-<br />

<strong>Cambodia</strong><br />

3. Sustainable <strong>Resin</strong> Harvesting and Community-Based Enterprise Development – By<br />

Mr. Pek Samon, Ponlok Khmer, Preah Vihear province<br />

Panel Presentation 2: Exploring Diverse Uses and Market Potential of <strong>Cambodia</strong>n<br />

Dipterocarp Oleoresins or Dipterocarp Balsams<br />

1. Characterization and End Uses of Dipterocarp Oleoresins or Balsams – By Ms.<br />

Mariluz San Pedro Dionglay, Senior Science Research Specialist, Technology<br />

Innovation Division, Forest Products Research Development Institute, Los Banos, the<br />

Philippines<br />

2. Integrating Oleoresin Processing from <strong>Cambodia</strong>n Dipterocarps for Community<br />

based Forest Management : a sharing from Philippines Experience – By Ms. Mildred<br />

Miranda Fidel, Chief of Division, Technical Services, Forest Products Research<br />

Development Institute, Los Banos, the Philippines<br />

3. <strong>Cambodia</strong>n dipterocarp balsams in the regional and international market – By Ms.<br />

Nola Andaya-Milani, Social Marketing Specialist, Philippines & France<br />

Afternoon:<br />

Panel Presentation 3: Exploring Sustainable Forest Enterprise Development Programme<br />

Opportunities in <strong>Cambodia</strong><br />

1. <strong>Cambodia</strong>n experience in (pro-poor) small-medium industry development:<br />

building from the ground up: the case of Rattan & Handicrafts Sector – By Mr. Lun<br />

Yeng, Executive Director, Federation of Associations for Small & Medium Enterprise<br />

in <strong>Cambodia</strong> (FASMEC) & General Manager, Daun Penh House<br />

2. Increasing the Economic Value of Dipterocarp Balsams for Forest Communities in<br />

<strong>Cambodia</strong> – By Mr. Tith Seyla, Enterprise Development Officer, <strong>NTFP</strong>-<br />

<strong>EP</strong>/NatureWild<br />

Critical Perspectives and Recommendations on pro-poor sustainable oleoresin development<br />

in <strong>Cambodia</strong>:<br />

1. Community Representative: Preah Vihear <strong>Resin</strong> Association<br />

2. NGO/Environment & Conservation: Mr. Ashish John, Wildlife Conservation Society<br />

(WCS)<br />

3. Mr. Ken Sereyrotha Deputy Director-General Department of Administration for<br />

Nature Conservation & Protection, Ministry of Environment<br />

Synthesis and Closing Remarks<br />

VI.<br />

Proceedings<br />

Mr. KHOU Eanghourt, National Facilitator of the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group and overall<br />

moderator of the Forum invited all participants to stand for <strong>Cambodia</strong>’s National Anthem.<br />

He then welcomed everybody and presented the over-all programme/agenda of the Forum.<br />

Afterwards, he presented the key speakers for the official Forum Welcome and Opening<br />

Remarks.<br />

8


1. Welcome & Opening Remarks<br />

1.1 Mr. Blaise KILIAN, Joint Program Coordinator, MDG-F Creative Industries Support<br />

Programme (CISP)<br />

Blaise briefly welcome the participants and addressed shortly what MDG-F CISP was<br />

doing in <strong>Cambodia</strong>. MDG-F CISP has been running in <strong>Cambodia</strong> for the last three years<br />

with close partnership and collaboration with four UN agencies and Government<br />

Ministries. The program was mainly designed and executed to realize the vision that<br />

culture promotion and preservation should be an important basis for sustainable<br />

development. The targeted provinces were Ratanakiri, Mundolkiri, Preah Vihear and<br />

Kampong Thom. The program believed that shared prosperity could indeed only be<br />

possible if decision-makers and investors first understand and take into account the local<br />

specificities, the customs, the traditions and even the languages of the local indigenous<br />

communities in any economic endeavor. Without such an approach, economic expansion<br />

could not be participative and is therefore to no avail.<br />

<strong>Resin</strong> collection is undeniably part of the life and culture of the local people especially the<br />

indigenous communities. As historic testimonies have shown, indigenous people had<br />

been traditionally collecting resin along with other Non-Timber Forest Products they<br />

gathered from the forests to be sold or exchanged with other products when dealing with<br />

lowlanders. <strong>Resin</strong> had significantly contributed to the livelihood of the people and it had<br />

been still high though there were challenges that modernity was introduced to their daily<br />

environment. Recent researches and <strong>NTFP</strong>-<strong>EP</strong> studies had demonstrated that the<br />

existing market had a strong potential for expansion within <strong>Cambodia</strong> as well as for<br />

export. Provided that forest areas remained available and accessible to indigenous<br />

communities, resin tapping could play a strong role to support the fight against poverty<br />

and to empower indigenous communities, thus contributing to the overall sustainable<br />

development of <strong>Cambodia</strong>. Therefore the meeting today would provoke more discussions<br />

to seek for guidance or exchange experience for future development of resin industry in<br />

<strong>Cambodia</strong>.<br />

1.2 Ms. Femy PINTO, <strong>Cambodia</strong> Facilitator, Non-Timber Forest Products Exchange<br />

Programme (<strong>NTFP</strong>-<strong>EP</strong>) for South and Southeast Asia<br />

The forum focuses the discussion and dialogue around the sustainable industry<br />

development for oleoresins in <strong>Cambodia</strong> among the concerned stakeholders. As noted,<br />

Ms. Femy emphasized that in this, sustainability, and short and long-term benefits will be<br />

critical questions. Oleoresins are collected year round and provide both cash and<br />

subsistence benefits for the local forest dependent communities. Local people had long<br />

practiced the traditional and cultural uses and conserved such resources in their<br />

sustainable ways. The Forestry Law of <strong>Cambodia</strong> also recognizes the importance and the<br />

traditional uses of oleoresins and <strong>NTFP</strong>s as highlighted in chapter 8, article 29 and<br />

chapter 9, article 40.<br />

<strong>NTFP</strong>-<strong>EP</strong> is committed to support any aspect of <strong>NTFP</strong> development. To date, <strong>NTFP</strong>-<strong>EP</strong><br />

has worked with over 140 community-based enterprises in more than 500 villages in 6<br />

countries including <strong>Cambodia</strong> with over 30 community <strong>NTFP</strong> enterprises in 6 provinces<br />

being supported and partnered since 2007. <strong>NTFP</strong>-<strong>EP</strong> works to enable the institutional<br />

environment as knowledge intermediary & advocate for forest community rights and<br />

community-based approaches.<br />

Ms. Femy strongly emphasized that the forum today is facilitated to generate dialogue<br />

and knowledge on sustainable oleoresin utilization and commercialization in <strong>Cambodia</strong><br />

among partners, members, donors, experts and villagers. There are some rooms for<br />

CBREs to develop to its full expansion, but their sustainability is yet to be critically<br />

debated and the forum provides space for this.<br />

9


1.3 Mr. LONG Ratanakoma, Deputy Director, Department of Forestry and Community<br />

Forestry, Forestry Administration<br />

Mr. Ratanakoma welcomed all participants and warmly noted the green loving feeling of<br />

all for the protection of the forest and its <strong>NTFP</strong>s for the local livelihood. This forum was a<br />

confirmation of everyone’s participation in responding to the achievement of the MDGs<br />

and the accomplishment of the Royal Government of <strong>Cambodia</strong>’s development plan.<br />

Community based natural resources management (CBNRM) approach is needed and<br />

appropriate as we know people who depend on the forest for their home and livelihood.<br />

The loss of forests would be a disaster for them directly. CBNRM as an approach is<br />

effective for the protection and conservation of the forest resources. This is not just in this<br />

decade, but this has been since the time of our ancestors as indicated on the carvings of<br />

our temples – showing the love between human and nature.<br />

The government has approved the National Forestry Program (NFP) to manage such<br />

unique resources and this will not be successful unless there is participation from<br />

everyone with common goals and benefits. In the NFP, community forestry – managing<br />

the resource by communities – is also guaranteed. 430 forestry communities had been<br />

established since 1996 covering around 370,000 has in <strong>Cambodia</strong>. The government<br />

supported the expansion of community forestry to 2 million hectares by 2020. We<br />

normally undervalue the non-timber forest resources. If we pay close attention to their<br />

uses on a daily basis by the forest-dependent communities, we realize their vital<br />

importance in particular also the value of these for women. There is a need for strong<br />

participation from concerned stakeholders to help support the sustainable forest<br />

management and resin industry development. Such partnership and collaboration among<br />

us would help the government to also properly plan the policy and program to promote<br />

local products and market generated from the forest in a sustainable way. We need a<br />

long-term plan and encourage good practices for a win-win situation.<br />

The forum was officially open and a 5 minute video produced by <strong>NTFP</strong>-<strong>EP</strong> of the resin<br />

value chain in <strong>Cambodia</strong> was shown. The video showed from the resin collection by<br />

community members from Preah Vihear, to traders and wholesalers in Kampong Thom<br />

province, and interviews of boat owners who use resin for caulking boats. In community<br />

interviews, it was described how the resin collection area is managed and how forest<br />

protection is a vital part of resin management. The economic importance of resins is<br />

emphasized and the need for support in linking communities to a fair and sustainable<br />

markets.<br />

After the morning coffee break, Ms. Femy PINTO opened the first Panel Session and<br />

introduced the 3 presenters from the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group.<br />

2. Panel Presentation 1: Experiences and Perspectives of the <strong>Cambodia</strong> <strong>NTFP</strong> Working<br />

Group (CNWG) on sustainable oleoresin management and community based oleoresin<br />

enterprise development<br />

Moderator: Ms. Femy PINTO, <strong>NTFP</strong>-<strong>EP</strong><br />

2.1 Presentation on Networking and Capacity-building interventions in Sustainable<br />

<strong>Resin</strong> Management” – By Mr. KHOU Eanghourt, CNWG National Facilitator<br />

Mr. Eanghourt briefed about the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group (CNWG). CNWG is an<br />

alliance of local, regional/international NGOs, private sector and individuals committing<br />

to work together as a network and to undertake jointly community development and<br />

conservation programs that were in line with addressing poverty among forest dependent<br />

communities, deforestation and <strong>NTFP</strong> degradation, unrecognized economic relevance of<br />

<strong>NTFP</strong>s, and land tenure security issues. CNWG is working to 1) promote networking and<br />

collaboration; 2) provide capacity building and technical assistance to <strong>NTFP</strong> programs; 3)<br />

support policy advocacy; 4) mobilize resources; 5) do research, education and<br />

information dissemination, and 6) monitor the impacts using common indicators.<br />

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Moreover, this working group supports community-based organizations (CBOs) and<br />

enterprise networks. Main <strong>NTFP</strong>s which are currently in focus were wild honey, sleng,<br />

rattan and resin.<br />

He also presented the current status of resin tree management, overview of the resin<br />

project supported by the MDG-F CISP and recommendations for further management<br />

and development. As highlighted during the presentation, the most common resin trees<br />

were Dipterocarp intricatus (local name trach) and Dipterocarp alatus (local name<br />

Chheuteal Toek). There were two distinct forms of traditional resin ownership, one of<br />

which is to mark resin tree areas, encompassing many resin tree. The second form of<br />

ownership is to mark individual resin trees for cutting a hole. Different households could<br />

own resin trees within the same area. This ownership system is more commonly applied<br />

in areas where resin trees are scarce. These two systems are widely acceptable among<br />

villagers in the targeted provinces such as Mondulkiri and Preah Vihear provinces.<br />

The current management of resin trees is still traditional and is vulnerable to external<br />

factors/threats. Mr. Eanghourt raised some concerns about the current management of<br />

resin trees in <strong>Cambodia</strong>. As observed:<br />

• There is a concern that the trees fall outside of protected areas and community forest<br />

thus the community did not have enough rights to protect them in some cases, from<br />

outsider development such as economic land concessions.<br />

• There are reports of logging of resin trees by outsiders in the collection areas.<br />

• There is a lack of effort in seedling and sapling protection from forest fires especially<br />

in the dry season.<br />

• There is not yet any initiative for forest enrichment or rehabilitation using resin trees.<br />

• Unsustainable tapping methods are practiced which result to resin exhaustion or<br />

declining yields within a short term.<br />

• There is lack of monitoring of tapping and other resin and forest management<br />

practices.<br />

The <strong>Resin</strong> Project was initiated to increase domestic value-addition of resin products of<br />

community-based resin enterprise in Mondulkiri and Preah Vihear provinces. The project<br />

duration was from October 2010 to September 2011 with three main partners: Ponlok<br />

Khmer in Preah Vihear, My Village International (MVI) and WWF in Mondulkiri.<br />

Through one-year implementation, the project had achieved great progress, lessons<br />

learned and recommendations as shortly summarized below:<br />

Achievements:<br />

- Workshop in Mondulkiri and Preah Vihear<br />

provinces to discuss about the current<br />

tapping practice, its impact and<br />

improvement;<br />

- Exchange visit in Preah Vihear provinces by<br />

bringing together resin tappers from 10<br />

communities to discuss about sustainable<br />

resin tapping techniques, covering 12 steps<br />

- Publication of the guide to sustainable<br />

collection and management of dipterocarp<br />

oleoresin or balsams with inclusion of tapping<br />

techniques and monitoring, and<br />

- Training and overview to communities in<br />

Mondulkiri province on Community based<br />

<strong>NTFP</strong> enterprise development (CBNE) with<br />

examples of resin as part of other commercial<br />

<strong>NTFP</strong>s.<br />

Lessons learned:<br />

- Working as a network/partners among<br />

NGOs concerned on a particular aspect and<br />

at the same time is beneficial in terms of<br />

shared efforts in time, expense, output and<br />

others;<br />

- There is a good resin tapping practice within<br />

the community, but lack of knowledge<br />

sharing among them;<br />

- community-shared capacity building is a<br />

quicker process for learning and more<br />

effective approach for the community;<br />

- CBNE/CBRE contributes to livelihood<br />

development and natural resource<br />

management for both within and outside<br />

CFs/CPAs;<br />

- Customary ownership of resin trees<br />

complements with sustainable forest<br />

management, and<br />

- The CBRE establishment takes time and<br />

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needs good facilitation skills due to limited<br />

knowledge of community, group working<br />

environment and benefit issues.<br />

Challenges<br />

- large resin tree areas fall outside CFs/CPAs, which do not secure customary ownership and<br />

customary use rights;<br />

- Informal fee on the road in addition to royalty fee is a major issue for sustainable trade of CBRE.<br />

- improper resin tapping practice by some collectors which impacts resin quality and long-term<br />

yield;<br />

- Poor road conditions in certain areas cause high cost in transportation;<br />

- Lack of local technical expertise for processing and business development;<br />

- Insufficient capital resources for the establishment of processing facilities and CBNE;<br />

<strong>Resin</strong> by-product development and value addition skills still undeveloped;<br />

Recommendations<br />

Policy support<br />

Sustainability<br />

Government:<br />

- Secure customary ownership of resin trees<br />

both outside and within CFs as stated in<br />

article 40 of chapter n o 9 in the forestry law;<br />

- Encourage sustainable/responsible<br />

commercial-scale resin collection by<br />

community through reducing or waiving<br />

royalty fees as mentioned in the article 53 of<br />

chapter n o 11 in the forestry law;<br />

- Recognize and support community based<br />

<strong>Resin</strong> Enterprise as stated in sub program 2<br />

of program 4 in the National Forestry<br />

Program 2010-2029, and<br />

- Encourage private sector to invest in resin<br />

sector industry, including for instance<br />

processing for oil extraction;<br />

Media:<br />

- Assist in information dissemination on<br />

economic value of dipterocarp balsams, its<br />

contribution to livelihood development and<br />

forest management through sustainable<br />

CBRE.<br />

Government:<br />

- Help disseminate and promote the use of<br />

“the guide to sustainable collection and<br />

management of dipterocarp oleoresin or<br />

balsams” wherever dipterocarp balsam is<br />

tapped across the country;<br />

- Monitor and evaluate resin tapping<br />

performance by community and make<br />

corrective comment;<br />

Community:<br />

- Apply the guidebook including tapping<br />

technique and maintenance of tapped resin<br />

trees and natural growths;<br />

- Participate in CBNE establishment in order<br />

to provide for benefits from value-addition<br />

and contribute to natural resource<br />

management;<br />

NGOs and academia:<br />

- Help facilitate community in resin tree and<br />

natural resource management;<br />

- Participate in monitoring and evaluating<br />

resin tapping performance by community<br />

and make corrective comment;<br />

Private sector:<br />

- Have good cooperation with the above<br />

stakeholders in regard to information and<br />

knowledge sharing.<br />

Financial and Technical Support<br />

Government:<br />

- Help community look for fund for CBRE<br />

establishment and operation ;<br />

- Integrate CBRE into the commune<br />

development planning;<br />

NGOs and academia:<br />

- Assist in CBRE establishment, capacity<br />

building on business planning (resource<br />

assessment, product development and<br />

Infrastructure<br />

NGOs, academia and private sector:<br />

- Assist in facility installment ( storage, filtering<br />

technique, essential oil extraction and others<br />

in relation to product processing);<br />

- Provide training to community how to<br />

operate facility, package and store product.<br />

Research<br />

Government, NGOs and academia:<br />

- Continue in-depth botanical research of<br />

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access to market);<br />

Donor:<br />

- Secure long term financial support, at least 5<br />

years, to ensure full function of CBRE by<br />

community;<br />

Private sector:<br />

- Provide fair price to resin tappers/CBRE and<br />

contribute to natural resource management.<br />

dipterocarp species to figure out how many<br />

species are producing dipterocarp balsam;<br />

- Continue study of new eco-friendly<br />

technology of resin tapping to minimize<br />

damage to the trees and sustain resin yield,<br />

The new technology has to be applicable by<br />

community and at low cost<br />

2.2 Presentation on “Sustainable <strong>Resin</strong> Harvesting and Community-Based Enterprise<br />

Development” – By Mr. PEK Samon, Ponlok Khmer<br />

Mr. Samon presented the background of the resin enterprise within his community. Five<br />

communities were established with around 234 members since 2008. Structure was<br />

developed to manage each community. He also shared the experiences which mainly<br />

focused on the tapping techniques including rotating tapping, maintenance of resin trees<br />

especially in the dry season – preventing them from forest fire, and other procedures for<br />

quality and market of the resin. Only four out of five communities had adequate capital<br />

to purchase resin from tappers and they were also trained to manage finance, resin<br />

inventories, and reporting so that such skills would help them properly in their<br />

enterprises. In terms of benefit sharing, the internal regulations were set to divide<br />

income from resin selling into 30% for community committee, 35% for reinvesting<br />

capital, 20% for social (community) fund, 10% for administrative work, 13% for<br />

purchasing the resin from tappers, and the last 2% for any members who sold the most<br />

resin to the community. There were also some challenges facing the communities. Mr.<br />

Samon shared that 1) some members mixed other substance into the resin as they<br />

learned from others; 2) the market prices were unstable; 3) the supply was yet little and<br />

could not meet the market demand; 4) there was resin tree logging from outsiders; 5)<br />

there was lack of appropriate management of the resin trees; 6) there was inadequate<br />

budget to purchase resin from tappers; and 7) there was not enough transporting<br />

facilities and unstable markets. There is a need for continuing support to the<br />

communities for their community enterprise.<br />

2.3 Presentation on “<strong>Resin</strong> Enterprise Management: An Important Approach to<br />

Management of the Eastern Plains Landscape in <strong>Cambodia</strong>” – by Mr. SON Bora, WWF<br />

Mr. Bora presented the experiences from the community resin enterprise in Mondulkiri<br />

province. The Eastern Plains Landscape (<strong>EP</strong>L) project covered 19,726 ha resin areas with<br />

46,540 resin trees owned by 150 families. The average ownership was 310 trees per<br />

family. The vision of the project was to keep <strong>Cambodia</strong>n wilderness intact and<br />

connected, helping people protect their wildlife while sustaining livelihoods. To realize<br />

such vision, the project aimed at promoting sustainable harvesting of resin and<br />

protection of resin trees habitats; protecting forests where resin trees grow; improving<br />

economic benefits to resin collectors; and providing inputs to the development of policies<br />

supporting resin processing, marketing, and resin area management. These were done<br />

through capacity building including study tour on resin techniques and sustainable<br />

harvesting, business management, community-based <strong>NTFP</strong> enterprises (CBNEs), and<br />

internal control system (ICS). On the other hand, through the implementation of this<br />

project, experiences had been explored to determine the key success for such enterprise.<br />

There are needs identified for 1) good community participation, 2) clear resin area<br />

mapping, 3) relevant institutional support to the resin communities, and 4) better<br />

tapping methods. Besides such needs, communities face other challenges such as<br />

inaccessible transportation of resin, forest fires threaten resin trees, the resin<br />

groups/communities still operate unofficially; they do not have legal recognition, , and<br />

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they face land and forest encroachment. Finally, Mr. Bora proposed some<br />

recommendations to gather policy support for resin enterprises which would benefit the<br />

local communities in the longer term.<br />

Question and Answer Session<br />

Ms. Femy PINTO invited three (3) questions and comments from the participants.<br />

Mr. LIC Vuthy, consultant to UNIDO: We need to think beyond the problems or issues<br />

that have been raised. We need to think of longer term sustainability and so need to also<br />

think beyond mapping and marking the resin trees. For example, we need to teach<br />

people to cultivate seedlings, if the villager grows resin trees, this can help promote their<br />

ownership and no one could take over many trees that they plant.<br />

Mr. LONG Ratanakoma, Forestry Administration: What are the factors that are critical<br />

to the success of community resin enterprises What makes CBREs successful<br />

Response from SON Bora: We worked for resin management in Mondukriri since 2010<br />

and we are not much experienced yet but we could share our experience and<br />

perspectives. To be successful, we needed to 1) map the area, 2) form group with clear<br />

guideline and structure, 3) conserve the trees, apply appropriate tapping methods, and<br />

plant the seedlings.<br />

Response from PEK Samon : We had to build partnership among the resin group<br />

members as we have our structures including leaders, member, buyer and sellers. They<br />

need to collaborate and collect the information on market price from the middlemen. If<br />

they fail, the community would fail. We should negotiate with buyers for instance 1barrel<br />

(30liters) = 80,000 riels and the prices should be made the same with others. Thus so far<br />

we had bad experience with the prices. We need to work with private sector on pricing.<br />

Besides, we need to manage our trees through:<br />

• tapping properly based on methods (less 50cm) is not allowed to be tapped (more<br />

than 50cm-170cm was ok)<br />

• burning and collect (not exceeded 1-2 minutes, more than this the resin quality will<br />

not be good)<br />

• sapling/seedling – communities needed to protect the sapling/seedlings within the<br />

collection area, making sure also that they are safe from forest fires<br />

• marking or labeling the resin trees in order to be recognized by the local authorities<br />

and making clear the ownership of the trees by the community members themselves<br />

Mr. OUM Sony , Fauna & Flora International, questions to SON Bora:<br />

1. What are the guidelines adopted for resin management within the protected area Is<br />

the community landscape management plan similar to the resin management plan Are<br />

the management guidelines similar<br />

2. Regarding mapping of the resin collection areas and designation of the collection<br />

area, how is this done What do you do<br />

Response from SON Bora: Now we form group in the community protected area and<br />

community protected forest. A resin group structure is formed within the CPA and CPF<br />

and the structure is clear and already recognized by the local authority. Most of CPA and<br />

CPF members are members of the resin groups.<br />

On the question about mapping, the resin trees are identified and located within the<br />

protected area and protected forest, whether they are in the buffer zone, core zone or<br />

transition zone. We cannot isolate them from the core zone, but we need to determine<br />

which trees are in and out of the core zone and even determine how many are in or out.<br />

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We need to be considerate of community livelihoods otherwise there will be conflict<br />

between the conservation and community development objectives.<br />

Ms. Femy PINTO summed up the session to have drawn specific examples of the<br />

interventions to support and promote community resin enterprise development in<br />

Mondulkiri and Preah Vihear provinces. These interventions are located in protected<br />

areas, protected forest and community forestry whereby the objectives of forest<br />

protection and sustainable forest and resin management are complementary and<br />

fundamental also to the community resin enterprise approach and implementation. The<br />

practice of sustainable resin tapping and monitoring are critical and specific techniques<br />

and good practices have been consolidated and consulted through a participatory<br />

process. The recommendation is that these guidelines are widely disseminated.<br />

Furthermore basic steps and activities are described in what goes into the CBREs.<br />

Mr. CHEA Bunheang, Deputy Director at the Ministry of Commerce requested to provide<br />

key comments and observations. He requested that hand-outs for the first two<br />

presentations be provided. He further recommended and requested to disseminate more<br />

information about <strong>NTFP</strong>s as they are indeed special products. <strong>Resin</strong> trees are protected<br />

by law and communities can seek for local and ASEAN markets, including markets in<br />

ASEAN+3 and ASEAN in Europe have potential too.<br />

<strong>Resin</strong> tree destruction has been linked to powerful people and military. It is<br />

recommended to exclude these comments from presentations if there is no clear<br />

evidence to support these claims.<br />

Nevertheless, for the presenter from Preah Vihear, we encourage to help promote resin<br />

to the government as one among the critical/special goods with potential for export.<br />

Mr. KHOU, Eanghourt, over-all forum Moderator, thanked Mr. Bunheang for his<br />

comments and recommendations and agreed that collaboration with the NGOs and the<br />

Ministry of Commerce or the government in general is critical and good for the people<br />

and development in <strong>Cambodia</strong>. He agreed that Mr.Bunheang’s suggestions and<br />

observations must be taken into account.<br />

3. Panel Presentation 2: Exploring Diverse Uses and Market Potential of <strong>Cambodia</strong>n<br />

Dipterocarp Oleoresins or Dipterocarp Balsams<br />

Moderator: Neil Patterson, My Village<br />

3.1 Presentation on “Characterization and End-Uses of Dipterocarp Oleoresins” – by<br />

Ms. Mariliz San Pedro Dionglay, Forest Products Research & Development Institute<br />

(FPRDI), College, Laguna Philippines<br />

Ms. Mariliuz started with a key question why we have to understand the characteristics<br />

of such resin. The importance is that resins can be marketed easily and be highly valued,<br />

if its physico-chemical properties are understood. Through this also, its possible enduses<br />

and market value can also be determined. Ms. Mariluz conducted an analysis of<br />

oleoresin samples from <strong>Cambodia</strong> per request of <strong>NTFP</strong>-<strong>EP</strong>. The analysis included the<br />

determination of the physical properties and characteristics of the oleoresins and a<br />

determination if whether it can be refined or extracted for further uses. FPRDI used<br />

different techniques, instruments and types of analysis to be able to provide a reasonable<br />

characterization of the oleoresins (d. alatus and d.intricatus). A quick summary of the<br />

findings are described below:<br />

Physical properties<br />

• Consistency: Slightly<br />

viscous<br />

• Color: Brownish<br />

Dipterocarp liquid resin:<br />

• Can be classified as Balsams<br />

• Dissolved or emulsified in<br />

ethereal oil<br />

Saponification number<br />

• Based on the result, the<br />

liquid resin samples are<br />

short length/small molecules<br />

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• Odor: Distinct odor • Fluid and exhibits a strong<br />

specific odor<br />

• D. alatus (gravity – 0.977 Ash content (measures<br />

+ 0.003 and pH – 5.91) inorganic contents)<br />

• D. intricatus (gravity – • No residues were found in<br />

0.959 + 0.002 and pH – D. alatus and D. intricatus<br />

5.04)<br />

liquid resins<br />

• The samples are volatiles<br />

• They do not contain<br />

inorganic matters.<br />

FTIR analysis<br />

• Fourier Transformed Infrared<br />

Spectrophotometer<br />

(Shimadzu IR Prestige-21)<br />

was used.<br />

• Spectra shown below<br />

show both liquid resins<br />

have similar functional<br />

groups present.<br />

• C=O band in the region<br />

1760-1665 cm-1 indicates<br />

the presence of ketones<br />

and esters typical for<br />

oleoresins.<br />

• The band in the 3074cm-1<br />

indicates double bonds<br />

for alkenes<br />

• Literatures says<br />

dipterocarpus resin has<br />

essential oils<br />

• Hydrodistillation (steam) can<br />

separate essential oils from<br />

organic materials<br />

compared to almaciga resins<br />

from the Philippines<br />

Iodine number<br />

• Problems were encountered<br />

during the analysis<br />

• This analysis tells us<br />

saturation or unsaturation of<br />

organic matters (presence of<br />

double bonds)<br />

Through hydrodistillation<br />

method, contents were found:<br />

• Hydrodistilled oil – 80%<br />

from the liquid resins<br />

Hydrodistilled resin – 18-<br />

21% from the liquid resin<br />

Ms. Mariluz shortly concluded that both d.alatus and d. intricatus liquid resin samples<br />

contained similar physico-chemical properties. Both liquid resins are slightly viscous,<br />

brown in color and exhibits distinct odor. The specific gravity is less than that of water<br />

hence will float in water. pH values shows they are acidic. No inorganic component was<br />

found in the liquid resins. Moreover, saponification values indicate the liquid resins are<br />

small molecules. FTIR analysis showed functional groups present are typical for<br />

oleoresins containing ketones and esters. The major component of the liquid resin is oil<br />

which is 79-83%. The hydrodistilled resin content of the liquid resin is 12-20%. The<br />

hydrodistilled oil has bioactivity against A. niger and T. versicolor. Varnish prepared<br />

from the hydrodistilled resin is classified as semi-gloss and drying time of 10 minutes.<br />

She also proposed some recommendations for possible end-uses of oleoresins which<br />

hydrodistilled oil can be utilized as component for making bath soap, moisturizing<br />

lotions and liniments, while hydrodistilled resin can be further produced as tackifiers<br />

and varnish.<br />

3.2 Presentation on “Integrating Oleoresin Processing for Community-Based Forest<br />

Management: A Sharing from the Philippines Experience” – by Ms. Mildred M. Fidel,<br />

FPRDI, College, Laguna, Philippines<br />

This is another experience from the Philippines especially on the technology for crude<br />

almaciga resin refinery, and the social and industrial aspects relevant in future oleoresin<br />

industry development. One of the key aspects is to understand the engagement of private<br />

sector in promoting such industry. Ms. FIDEL gave a brief overview of the Philippines’<br />

most common resin – known as Manila Copal (agathis Philippinensis Warb.) or locally<br />

known as Almaciga. Crude Manila Copal has low quality due to dirt. A considerable<br />

amount of impurities such as bits of bark, twigs, stones, soil, clay, and other foreign<br />

matters contaminate the resin during resin gathering by tapping method. The presence<br />

of dirt reduces the market value of crude M. Copal by as much as 80%, as its quality<br />

depends on its cleanliness, alcohol solubility and color.<br />

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The initial support from FPRDI is to increase the commercial value and industrial<br />

applications of Manila Copal through improving resin quality, and also to produce higher<br />

value added products from Manila Copal. The refinery process starts from the collecting<br />

of the crude resin through providing the technical capacity of tapping techniques to<br />

tappers until the resin is processed or refined which it can be further chemically<br />

modified in large-scale into paper size, varnish resin or cation exchanger.<br />

Moreover, she also highlighted the brief refining process and various methods employed.<br />

Besides presenting the technical information, she discussed some factors to consider for<br />

investing in oleoresin enterprise development. Three main aspects to bear in mind once<br />

investing in such enterprise are 1) technical, 2) market and 3) finance. For the technical<br />

aspects, we need to be fully aware of 1) production/ process/ performance efficiency, 2)<br />

product life circle, 3) process acceptability, 4) certainty of supply, 5) potential for<br />

development and last 6) waste generated and management. For the same position,<br />

supply/demand ratio, product acceptability, competitive position (i.e. market share),<br />

potential market and market sustainability are all essential components for market<br />

strategy and development.<br />

Last but not least, finance is a core part of all business. Things to consider carefully are<br />

profitability, capacity to pay and reasonable cost. These factors help whether the<br />

enterprise will succeed or fail if they are not properly understood or managed.<br />

There are also some, as seen in external supports from the government in terms of policy<br />

and finance, and from the community in regards of raw material sustainability.<br />

Regulation should serve the common benefit for all and financial assistance should also<br />

be provided to ensure their functionality and the maximum gains. While communities<br />

help ensure the material flow timely for the production. On the other hand, benefits can<br />

be derived from such enterprise for instance increasing income through employment for<br />

local peoples. For macro scale, resin enterprise helps produce national revenue through<br />

sales and taxes and import and export substitutions.<br />

Ms FIDEL further emphasized that there was a strong need for private sector<br />

engagement in accelerating the growth of this enterprise. But again, why there is such a<br />

need. She addressed that there were gaps and they could be fulfilled by the private<br />

sector. In terms of marketing skills, it is seen that private investors are best in providing<br />

market access if compared to other key players. Due to the large amount of capital<br />

needed for the start-up which especially tappers cannot afford, the private investors are<br />

more capable in initiating the start. Moreover, the production system is techno-based<br />

and there is an increasing demand for technology intervention or updating. Then again<br />

private investors with intensive capital can introduce this or share with the local<br />

enterprises who have limited capacity and resources. Management and organizational<br />

skills to properly manage the enterprises are not fully trained or transferred to local<br />

tappers or entrepreneurs so that they are able to sustainably manage their business.<br />

These are the critical challenges for tappers and local entrepreneurs once entering into<br />

the Oleoresin industry, and of course the involvement of the private sector is typically<br />

crucial to ensure the success. Ms. FIDEL noted however that the level of complexity and<br />

sophistication in the inputs also depends on the particular product to be commercialized.<br />

Some experience and lessons are also shared during her presentation. For the<br />

communities to capture investments there must exist a strong tri-sectoral partnership<br />

among key players (i.e. government, investor/businessman, and community/civil<br />

society) and this is crucial in sustainable forest management. Sustainable development<br />

in natural tropical forests is often approached from an economic perspective. However, it<br />

cannot remain solely as an economic activity even if the ultimate goal is to increase<br />

income & resource productivity. If it does, then it is certain that the goal will fail. To<br />

succeed, those involved in sustainable forest management for community development<br />

have to address other dimensions of development in addition to the economic, like<br />

political, cultural, ideological, ecological, among others.<br />

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3.3 Presentation on “Dipterocarpus <strong>Resin</strong> in the International Market: A Market Scan”<br />

– by Ms. Nola ANDAYA, <strong>NTFP</strong> Marketing Specialist/Consultant, <strong>NTFP</strong>-<strong>EP</strong><br />

Ms. Nola focused on two important market issues. They are about the current market of<br />

resin: Essential Oils and Gurjun Balsam, the trade name of oleoresins from diptercarpus<br />

spp, and the quick scan of potential markets based on current applications of general<br />

essential oil industry and potential uses based on the results provided by the FPRDI test<br />

and other existing studies and market uses. The global market for resin in 2010 was<br />

about 748,168,000 USD which was approximately 17% increase from the previous year<br />

with top exporters in Asia are India, Thailand, Indonesia, Singapore, Lao and Vietnam.<br />

The global top exporters are France, USA, Germany, UK, Italy, Netherland, Singapore<br />

and Japan. The resin from Asia comes to EU through France and Germany with imports<br />

from Singapore and Thailand.<br />

The main known industries that absorb resin supplies are painting & coating, adhesives,<br />

pharmaceutical, cosmetic products and incense, art supplies. Market is said to increase<br />

at low rates due to no new applications of materials. But with supplies dwindling and<br />

markets for natural composites growing, demand is expected to increase. Various<br />

industries are absorbing Essential Oil in a number of volumes and percentages. Its<br />

economic values are 650 m USD in Fragrance, 250m USD in Aromatherapy, 220m USD<br />

in Pharmaceutical, 150m USD in Agro-Chemicals, 120m USD in Intermediates and 90m<br />

USD in Cosmetics respectively. By 2010, the total export of Essential Oil was 2.9 billion<br />

USD with production increases from 8-10% per year due to new products requiring<br />

flavor/fragrance as well as demand for more natural products.<br />

The Gurjun Balsams is produced at 50-100 tons per year and only top 100 of 300<br />

essential oils are traded in the market. The main use of such oil is perfumery. India and<br />

France are the main supplying countries. The average price is from 21USD to 30 USD per<br />

kilogram for the essential oil. Studies have confirmed that markets for such oil exist and<br />

becoming very potential in Fragrance (perfume and home), Pharmaceutical and<br />

Cosmeceuticals, Aromatherapy and well-being, Plant protection products/Agro-<br />

Chemical, Green Construction Materials and Fine Arts.<br />

Whether as oleoresin or as separate essential oil and resins, the dipterocarpus spp.<br />

resins are important ingredients to many industries. Further research on the properties<br />

of the <strong>Cambodia</strong>n Dipterocarpus oleoresin and product development needs to be done in<br />

order to take advantage of the opportunities offered by the market. As Essential Oils are<br />

affected by different factors, a pilot to test the Essential Oil from <strong>Cambodia</strong>n<br />

dipterocarpus spp. oleoresin in the market is needed. Market offers different segments<br />

that can accommodate a sustainable volume of production.<br />

Question and Answer Session<br />

Mr. Blaise KILIAN, CISP: What kind of investment is necessary in <strong>Cambodia</strong> and can be<br />

provided in order to adequately engage in the market<br />

Response from Ms. Nola ANDAYA: We can target market niches. For example, instead<br />

of just selling the raw resin, applying a simple filtering method to improve the quality of<br />

the resin can demand a higher price for the resin. It is also important to note that our<br />

resin quality also depends on the tapping techniques so improving this is an important<br />

first step towards an international market.. We need also to partner with other agencies<br />

or NGOs who can assist us in producing the final products from resin. In the case of<br />

biopesticides, it is a growing market both local and regionally. Collaboration with<br />

university/research institutions, government or private sector would help us tap markets<br />

for such products.<br />

Mr.CHEA Bunheang, Deputy Director at the Ministry of Commerce have 3 questions.<br />

The first is for the 1 st presentor; FTIR analysis is a good method. Is it possible to<br />

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collaborate with CAMCONTROL to help analyze our products for export to<br />

regional/international markets Can FPRDI provide capacity-building Second<br />

question is have you had experience or provided training to agencies for export to<br />

ASEAN The 3 rd question is addressed to the 3 rd speaker. Did you study how <strong>Cambodia</strong><br />

has exported the resin products Is it by land, sea or air Which way has it been<br />

transported the most and what has been the challenges in exporting<br />

Response from Ms. Mariluz DIONGLAY on 1 st question:<br />

CAMCONTROL with the analysis.<br />

Yes it is possible to help<br />

Response from Ms. Mildred FIDEL on 2 nd question: Cooperation for technical<br />

assistance and capacity building is possible. My suggestion is to work under a joint<br />

Memorandum of Understanding (MoU) for oleoresins and FPRDI can help with this.<br />

FPRDI also provides training to the tappers – simplifying the scientific methods for<br />

tappers and recommending practical methods for them so that they can share with the<br />

community leaders through further trainings, or seminars. The primary product of<br />

Balsam is oil through distillation and filtration. So I suggest to seek the market for your<br />

oil first and the team has to control the quality – you need to put up facilities to maintain<br />

the quality and the refined resin.<br />

Response from Ms. Nola ANDAYA on 3 rd question: Unfortunately I do not have the<br />

specific information on the mode of transport of oleoresins. That specific information is<br />

not provided in the trade reports and statistics.<br />

Mr. LIP Cheang from <strong>Cambodia</strong> Rattan Association (CRA): <strong>Cambodia</strong> has good<br />

potential due to resin resources. Does the government plan to produce resin as a final<br />

product to be exported oversea for more national revenues Do we have any plan to use<br />

it to the best of our knowledge to gain more benefits<br />

Mr.Neil PATERSON, the Moderator, indicated that this is a question that could be<br />

directed towards some of the participants so hopefully there will be more discussion and<br />

a response on this in the next sessions. He then thanked all the resource speakers for<br />

providing substantial information about the specific characteristics of <strong>Cambodia</strong>n<br />

oleoresins that are relevant for commercialization, the technology and experiences that<br />

can be applied and also highly useful international market information.<br />

4. Panel Presentation 3: Exploring Sustainable Forest Enterprise Development<br />

Programme Opportunities in <strong>Cambodia</strong><br />

Moderator: Mr. KHOU Eanghourt, CNWG<br />

4.1 Presentation on “Development and Promotion of Small & Medium Enterprises<br />

(SMEs) in <strong>Cambodia</strong>” by Mr. LUN Yeng, Executive Director, FASMEC<br />

Small-medium enterprisese or SMEs are very important for <strong>Cambodia</strong> development<br />

especially today. It is also important to understand their current challenges. In<br />

<strong>Cambodia</strong>, Mr. Yeng noted that there are 376,761 SMEs absorbing around 1.4 million<br />

labor force (people). They cover agriculture, services, handicraft, and other enterprises.<br />

Mr. Yeng pointed three key challenges facing SMEs, namely operation, finance, and legal<br />

and taxation. For operations, many SMEs are experiencing at least five out of the seven<br />

challenges. Low productivity, high production cost, lack of entrepreneur skills, human<br />

resources, information technology, market information, information on efficient and low<br />

cost machinery. These issues are downgrading SMEs and many of them face serious<br />

issues in these areas. For finance, as it is core for any business, the obstacles are: the<br />

limited access to (long-term) credits with low interest rates, inadequate capital for<br />

expanding the business and collateral to pledge for more credits, and finally small loans<br />

and high service fees. Likely our resin industry would face the same or similar situation.<br />

Moreover, many SMEs complain that registration to be more formal remains limited due<br />

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to complicated procedures and high cost. There is a need to overcome such barriers to<br />

accelerate the growth of SMEs as they are generating profits and benefits for individuals<br />

and the country as a whole. With such concerns, during the presentation, he highlighted<br />

some recommendations especially for the government. They are:<br />

1. Encourage the development of SMEs,<br />

especially through the provision of<br />

medium and long term finance;<br />

2. Suppress smuggling;<br />

3. Reduce registration procedures and<br />

start-up processes for companies;<br />

4. Facilitate export- import activities by<br />

simplifying procedures such as licensing<br />

and other letters of permission,<br />

5. Support for newly-established industries<br />

for an appropriate period;<br />

6. Promote linkages between SMEs and<br />

large enterprises;<br />

7. Establish a national center for<br />

productivity to assist SMEs to enhance<br />

their productivity and reduce production<br />

costs;<br />

8. Establish a national standards institution to<br />

help ensure the quality of domestic products<br />

to meet regional and international standards;<br />

9. Establish national laboratories for physics,<br />

chemistry, micro-biology, mechanics and<br />

tests for quality and criteria of products;<br />

10. Strengthen mechanisms for the protection of<br />

industrial intellectual property rights, to<br />

prevent illegal copying, re- creation and<br />

illegal use of new techniques and technology;<br />

11. Promote vocational/skills training, both<br />

domestic and overseas;<br />

12. Expand and accelerate the "one village, one<br />

product" program; and<br />

13. Strengthen the legal framework by creating<br />

laws on concerns such as: factories, industrial<br />

zones, patents and inventions, measurements<br />

and industrial safety.<br />

To elaborate more, Mr. Yeng presented the case of Rattan Handicraft SME development<br />

to further understand the value chain, challenges faced, and the intervention to achieve<br />

the goal of the project. Similarly, this project experiences the same barriers as mentioned<br />

above, however, the remarkable interventions should not be overlooked. To succeed, a<br />

pro-poor strategy was developed. Three main objectives were 1) to increase income at<br />

village level, 2) to increase income at SME level and 3) to engage at policy level. Some<br />

relevant activities to accomplish these are training the harvesters in sustainable<br />

harvesting techniques, handicraft process, and the establishment of village enterprise.<br />

Others are promoting awareness, applying for certificates, engaging policy-makers to<br />

adopt policies to sustain rattan industry and increasing financial and exporting<br />

opportunities. These have increased income at village level through improved raw<br />

material availability and finished products sales. Also there is increasing demand at SME<br />

level through improved products, certification, and linkages with new buyers leading to<br />

increased income at SME level and more chances that village level will also profit from<br />

this as SME level will need to work more closely with the village level.<br />

4.2 Presentation on “Increasing the Economic Value of Dipterocarp Balsams for Forest<br />

Communities in <strong>Cambodia</strong>” by Mr. TITH Seyla, NatureWild<br />

This was a very interesting presentation from Mr. Seyla. He highlighted the economic<br />

values of Dipterocarp Balsams in <strong>Cambodia</strong> and also a future design for sustainable<br />

forest enterprise program. The estimated production of resin is from 11,000 tons –<br />

18,000 tons annually which is around 100,000 people depending entirely on resin<br />

collection. Various studies (including CDRI in 2003 and <strong>NTFP</strong>-<strong>EP</strong> in 2009) confirm that<br />

such small enterprises have contributed 350USD per annum per household. The most<br />

active provinces for resin tapping are Preah Vihear, Kampong Thom, Mondulkiri, Kratie,<br />

Stung Treng, Pursat, Koh Kong, Oddar Meanchey and Ratankiri. More than 2 million<br />

people are deriving both direct and indirect benefits from the resin trees within their<br />

territories. Moreover, the CISP in 2010 confirmed that the total demand for resin in<br />

<strong>Cambodia</strong> was from 4,000 – 6,000 tons per annum and in terms of economic values<br />

generated as tax was from 0.85-1.5 million USD per annum. Prom (2011) as quoted<br />

indicated that most of <strong>Cambodia</strong>n resin was exported to Vietnam, Thailand and Laos<br />

with an annual volume from 8,000 – 14,000 tons whose value was around 10 million<br />

USD. On the other hand, the value chain for Dipterocarp Balsams was interesting to<br />

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explore as benefits could be generated from the chain and key actors. Three main stages<br />

were discussed as 1) resin is tapped and collected by the villagers, 2) it is consolidated,<br />

filtered, and packaged, and finally 3) it is commercially traded in the market. Again the<br />

important factors are the resin quality (i.e. which mainly depends on the tapping<br />

techniques), and the market niches.<br />

Clearly understanding the gaps, the Sustainable Forest Enterprise Programme is<br />

designed to intervene to bring more value addition while at the same time conserve<br />

forest resources and cultural heritage. Then resin industry development willl be the entry<br />

point for the programme. It is initially targeted in two provinces: Preah Vihear and<br />

Mundolkiri with further expansion to Kampong Thom and other active resin producing<br />

provinces. Four main components were programmed to 1) strengthen the existing 10<br />

Community-Based <strong>Resin</strong> Enterprises (CBREs) in Mundolkiri and Preah Vihear and other<br />

new piloting enterprises, 2) process Dipterocarp Balsams, 3) trade, market and export<br />

resin, and 4) provide outreach and upscale the enterprises. Specific activities were also<br />

proposed to accelerate and achieve these four. With such professional design, the<br />

expected impacts were:<br />

1. Improved transparency, accountability<br />

and organizational performance of the<br />

10 CBREs ⇒ increased CBREs’ activity<br />

and profit.<br />

2. Greater quality of resin resulted from<br />

the implementation of the guideline<br />

(best-practices) ⇒ Over 50% increase in<br />

selling price.<br />

3. Overall economic well-being of resin<br />

tappers: from less than 500<br />

USD/annum/tapper to more than 1,000<br />

USD/annum/tapper.<br />

4. Improved communities’ knowledge in<br />

technology related to their resin – our<br />

resin.<br />

5. Create a lot of employment opportunity<br />

in the communities resulted from the<br />

filtering activity, distillation activity and<br />

potential finished product processing.<br />

6. Public and legal recognition of the<br />

environmental, cultural and economic<br />

importance of <strong>Cambodia</strong>n resin.<br />

7. <strong>Resin</strong> well known for its high value<br />

addition in multiple industries.<br />

8. Fostered forest conservation.<br />

After the 2 presentations, Mr. Eanghourt emphasized that resin is very economically<br />

vibrant though the processing and its quality were not yet widely recognized, but it<br />

generates income for people and the nation. The most common use in <strong>Cambodia</strong> was<br />

boat caulking and its residue could be converted or reprocessed into souvenirs or other<br />

decorative crafts. The future potential is to produce oil from resin and varnish if there<br />

were possible efforts for such processing and value addition. Mr. Seyla’s presentation<br />

points to a future plan for CBREs development in <strong>Cambodia</strong>. The value is to increase<br />

livelihood and contribute to protect the natural resources. Mr.Eanghourt concluded that<br />

the positive impacts from this initiative (CBREs) is value-added, protection of resource,<br />

economic growth and the lifting of <strong>Cambodia</strong> profile in the region as Singapore and<br />

Thailand who are emerging exporters though they import resources from countries<br />

including <strong>Cambodia</strong>.<br />

Comments and Question & Answer Session<br />

Comments Mr. CHEA Bunheang, Ministry of Commerce:<br />

1. To Mr. Lun Yeng from FASMEC: Mr. Yeng’s presentation emphasized that the<br />

procedure for SME registration was complicated. Mr. Bunheang provides a different<br />

thought, but does not challenge the presenter. Mr. Bunheang shares that for<br />

registration for small scale enterprises, there is no need to go to the Ministry of<br />

Commerce (MoC). Applicants can go to the Department of Commerce in their<br />

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province or location. There is no complicated system. Applicants could meet and<br />

discuss with the staff easily. For export, Mr. Bunheang suggests applicants come to<br />

MoC and the process is not that difficult either. On the other hand, he expressed<br />

disappointment that he is shortly informed about this forum, or he could prepare a<br />

presentation to share also about such SME issues in <strong>Cambodia</strong>. He expects a slot for<br />

the next forum.<br />

2. He further shared that the government has facilitated the export by reducing the<br />

requirements from 28 points to only 8 points now. The government also provides<br />

guidance or consultation for any exporters for instance procedures for export GPS or<br />

which department applicants should go and consult in case of export to EU. There is<br />

now clear provisions and this is not difficult anymore. Onward, from 1 st January 2017,<br />

all relevant exporters to EU (around 45 countries) do not need to request CO<br />

(Certificate of Origin). They could contact their partners in EU directly and trade with<br />

them. They just report to MoC for their communication so that MoC could help or<br />

intervene to ensure the smooth process and help with other diplomatic works with<br />

government representatives there. He expects that the presenter and participants<br />

could revise their thoughts and rethink this idea. Again, he confirms that everyone<br />

does not have to obtain complicated thinking for export in <strong>Cambodia</strong>. This is the old<br />

story and it is not valid now.<br />

Response from Mr. LUN Yeng: He thanked Mr. Bunheang for the informative sharing<br />

and response that exporters go to the MoC for only one thing, but they have to go to<br />

many other relevant agencies including MAFF, for instance in the case of rattan. Mr.<br />

Yeng picks up the Sub-degree 209 which requires rattan for registration for export<br />

and thus the process is such time-consuming and technical. He agrees that there are<br />

supports from the government, however; people find it still complicated as they have<br />

to fill the application themselves – no one helps with such application – thus it takes<br />

time and more costs.<br />

Mr. Sam Chanthy, Stockholm Environmental Institute (SEI): Can we have a one-stop<br />

service<br />

Mr. CHEA Bunheang: It has been for 5 years already for such service and for instance<br />

now in Battambang province is well exercising this. Siem Reap and 8 SSEZs are also<br />

more active. Also there is such service in Banteay Meanchey and Poipet to help<br />

smoothen the process for any investment at the border. From 2017 there is no CO<br />

requirement. Exporters can go ahead with their partners.<br />

5. Critical Perspectives and Recommendations for Pro-poor and Sustainable Oleoresin<br />

Industry Development in <strong>Cambodia</strong><br />

Moderator: Ms. Femy PINTO, Non-Timber Forest Products Exchange Programme<br />

(<strong>NTFP</strong>-<strong>EP</strong>) for South and Southeast Asia<br />

The following speakers were invited to provide their reactions and recommendations<br />

freely based on the presentations and discussions of the day. The speakers are from<br />

different relevant stakeholder groups for resin industry development.<br />

5.1 Speaker 1, Mr. KEN Sereyrotha, Deputy Director General Administration for<br />

Nature Conservation and Protection, Ministry of Environment: Community is the eyes<br />

and ears for natural resources management and mismanagement/mis-use, For example<br />

they can keep close watch/close monitoring of environmental crimes and they are the<br />

key agents for development in protected areas. People have intensive knowledge on<br />

forest, ecosystem and their surrounding environment and this knowledge is recognized<br />

by the Ministry as a basis for protected areas development. While this knowledge may<br />

not be scientific, but they contribute significantly to the scientific discovery. The<br />

government has supported the establishment of community protected areas (CPAs)<br />

whose their ecological forests survive millions of people. He does not go further, but<br />

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invites at least three comments or questions on support for sustainable forest<br />

management.<br />

Ms. Femy PINTO noted that in the earlier presentations that some of the resin<br />

community groups are already in the protected area. One of the challenges is that they<br />

are not officially recognized though they have identified their clear structure and rules,<br />

and yet they are not yet recognized by the government. What could be the information or<br />

procedures that are required in order to help them be recognized For instance 150<br />

families are currently benefiting from the resin collection activites in around 1,900 ha in<br />

Phnom Prech Wildlife Sanctuary in Mondulkiri province.<br />

Mr. KEN Sereyrotha responded that he admits that he has not much been aware of the<br />

existing group in this protected area. But he recognizes that such informal institution is<br />

important for resin collection in both Environment and Forestry Administration’s zones.<br />

To response, for MoE to recognize the group is not that difficult. People have to form this<br />

group and set rules and request to Protected Area Administration through the director of<br />

this Phnom Prich Wildlife Sanctuary. The establishment of new body is not that easy to<br />

respond to such an issue. The 150 families need to show the government that they are<br />

able to manage themselves. They can contact the Protected Area Unit and work this out<br />

quickly. The recognition helps protect the biodiversity in the areas and also encourage<br />

the local people to conserve the resources. Through Mr. Bora as presenter here and with<br />

government support, Mr. Rotha believe the issues can be addressed effectively.<br />

Mr. KHOU Eanghourt, CNWGt: CPA encourages the sustainability and protection of<br />

their resources. But the law requires not doing any business out of those resources. Due<br />

to the social and economic constraints, local people trade them commercially. Though<br />

the law does not allow, but he observes that the MoE has allowed and accepted this. Is<br />

there any possibility to have it stated in the law that business is allowed, not like informal<br />

or verbal situation today<br />

Mr. KEN Sereyrotha: It is good to regulate the utilization of resources at household scale<br />

as it is the only start-up. If the community desires to use it commercially, the MoE would<br />

accept it though:<br />

<br />

<br />

<br />

Communities themselves show the purposes of shifting from domestic to<br />

commercial uses and need to confirm that it is doable i.e. clearly indicate that they<br />

have adequate capacity or supplies to the markets.<br />

The quality of the supply by community scale is also feasible i.e. community needs<br />

to develop and identify the market strategy, and benefit sharing protocol (not for<br />

only a small number of families but as a whole). He urges that everyone needs to<br />

understand that this society is complex and quite often divided by parties or groups<br />

who are more individualistic or opportunistic. It is essential to be aware of the<br />

opportunists – making uses of everyone’s honest efforts and advantages.<br />

If there is only single community in Phnom Prich desiring such scheme, then Mr.<br />

Rotha believes that amendment to the law is impossible. He suggests having a<br />

collective voice and benefits. MoE is working on the assessment of the protected<br />

areas to see such potential and issues too. MoE is also thinking of practicing the<br />

Carbon Credit in the protected areas, and then MoE will discuss how they can<br />

share the benefits among the key players. MoE is preparing the project to<br />

understand the field background to see how they can set it up. If the resin is better<br />

marketed and then MoE can integrate this into their planning.<br />

Mr. Ashish JOHN, WCS: CPA guidelines are effective and recognized only in the<br />

CPA areas but the reality is that their resin trees are out of the CPA (normally 7km<br />

away), can you help explain this and how this can be better resolved<br />

Mr. KEN Sereyrotha: The issue of updates of CPA is to legalize the CPA so that MoE can<br />

discuss on resin trees which are mostly out of CPA. When there is a discussion on the<br />

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formation of CA, it should be decided by MoE based on some criteria. For instance if<br />

there are 100 families and want to manage 9,000 ha, the MoE would not allow. The<br />

community needs to justify themselves and the MoE needs further justification to<br />

respond to the government too. MoE is in the middle as the community demands more<br />

and MoE has no clear reason to claim to the government. He says he can even write a<br />

report stating that the trees are scattered everywhere, but this does not help. MoE<br />

doesn’t want the community to manage too much land with incapability and then it will<br />

be taken away in the end. He addresses that when his department has chances to make<br />

some changes in the Protected Area Law, his department will consider the areas that are<br />

out of CPA where there are resin trees for people. But he confirms that there is a need to<br />

ensure that this does not happen in the Core Zone. Normally the resin trees are mostly<br />

located in the core zone. He again emphasizes the he is not saying on behalf of the MoE,<br />

but as technical expert only.<br />

His last conclusion is that the formation of SMEs is very important as from protected<br />

area perspective and this would help such rattan or medicinal plants association.<br />

Because it helps improve the living standard of the local people who derive the benefits<br />

from the forest or resources both directly and indirectly, there is a need to carefully<br />

develop this. He hopes that local people would become the eyes and help further protect<br />

those forests. They are not blamed for any destruction of the resource, but they are the<br />

owners and savers instead.<br />

He requests everyone or other relevant parties to enhance the capacity of the community<br />

and make the benefits out of these resources at national scale and help them build the<br />

network among themselves. One of the areas he is doing his research is in Siem Reap<br />

where people collect honey for only once a year, but once they are networked with others<br />

they learn the experiences and now they can harvest them for twice or three times per<br />

year.<br />

He confirms that communities have to claim their capacity to do it and of course they can<br />

do it. There is a need to work together and share the experience rather than going to the<br />

wrong guys and complain or depend on the third party without any bilateral talk. He<br />

believes that everyone can work together and unless they are not in common, then it is<br />

time for everyone to seek help from others.<br />

5.2 Speaker 2, Mr. PROM Sourng from Preah Vihear <strong>Resin</strong> Association: He mentions<br />

that the small scale resin business in his community involves 544 families – 2,236<br />

peoples with 1,147 females. The actual resin collectors are 650 families who own 78,836<br />

resin trees. Mr. Sourng points out that his indigenous community is happy with the<br />

support from the NGO partners for their food security and poverty reduction.<br />

5.3 Speaker 3, Mr. Ashish JOHN from WCS: Mr. Ashish informs that WCS is working<br />

in Preah Vihear province and he observes that resin trees are outside the CPAs. His team<br />

together with communities map the areas by using GPS and hire villagers for<br />

80USD/month to mark one resin tree for 1$ for each tree in a month. About 200 trees a<br />

month are marked. WCS needs help from community and especially help from villagers.<br />

Their help would prove to the local authority for their ownership and recognition as he<br />

emphasizes.<br />

There were no other perspectives and recommendations shared from other participants.<br />

Ms. Femy thanked the invited speakers for their comments. In particular, Mr. KEN<br />

Sereyrotha’s time and perspectives are appreciated. His suggestions will be followed up<br />

in particular the development of the protected areas guidelines or prakas will be an<br />

avenue for engagement. The experience of the resin groups and questions outlined today<br />

can be taken up during the prakas development process.<br />

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VII.<br />

Synthesis and Closing remarks<br />

Mr. KHOU Eanghourt, over-all Forum Moderator, invited Mr, Blaise KILIAN to deliver the<br />

synthesis and closing remarks.<br />

Mr. Blaise KILIAN from MDG-Fund CISP recognized that resin collection provides for cash<br />

and subsistence needs of many people and the forum today informed of potential even for<br />

further export for economic growth. He agreed that there is a real need for resin industry<br />

development in <strong>Cambodia</strong> because of its benefits for the economy, culture, society and<br />

environment that should be further supported and enhanced. Moreover, he raised some<br />

recommendations that the support should go to:<br />

1. Enhance the exporter of resins – forming the group to supply the market as needed or<br />

go ahead with resin group<br />

2. Support in terms of technical and finance as they are lacking of information and<br />

techniques for resin refining and also the finance for community for quality and<br />

export to extend the potential uses of resin<br />

3. Promote sustainable forest management which require more participation from<br />

different stakeholders especially community and the government as support to CPAs<br />

and this could be further enhanced<br />

4. Promote effective partnership among the key stakeholders: government, NGOs,<br />

private sector and international partners.<br />

Mr. Blaise summarized that today everyone learned from different information and<br />

experience from the key speakers especially the last presentation on a clear plan and strategy<br />

to further develop such resin industry and this plan should be presented to interested donors<br />

for support to realize more benefits.<br />

Finally, Mr. KHOU Eanghourt from the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group thanked everyone<br />

for their active participation. The Forum showed the strong support for resin industry<br />

development. Everyone has seen different status of resin and potential development of it in<br />

<strong>Cambodia</strong> and the region.<br />

<strong>Resin</strong> can be produced into different products. Oil is extracted from resin and this oil can be<br />

further used with other products in various industries. Mr. Eanghourt accepts that<br />

<strong>Cambodia</strong>’s resin industry is still young and this will be mature enough if <strong>Cambodia</strong><br />

continues to be engage the sector. He again confirms with participants that when resin is<br />

harvested, it does not mean forest degradation. Instead such practice is protecting the resin<br />

trees – surely keeping the other species in the nature too. Also for environment, resin trees<br />

help reduce greenhouse gas emissions (GHGs) and regulate the climate and the underground<br />

water and other ecosystem services. He finally thanks everyone for coming today.<br />

The forum finished at 5pm and participants were invited for refreshments and to visit the<br />

NatureWild interactive exhibition and socials at the hotel lobby.<br />

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NatureWild & The <strong>Resin</strong> Story Exhibition & Socials was hosted and presented by<br />

NatureWild an enterprise and marketing support service provider initiated by the <strong>Cambodia</strong><br />

<strong>NTFP</strong>-<strong>EP</strong> since 2009. The exhibition launched and introduced NatureWild’s lifestyle and<br />

brand vision (Protecting Forests, Nurturing Well-being) and its profile to all <strong>Resin</strong><br />

Forum participants and other invitees.<br />

Using <strong>Resin</strong>s as an example, the exhibition presented through an interactive story gallery, the<br />

traditional value and future potential of developing the product and supporting the people<br />

behind its sustainable collection and management. The first part/ section of the exhibition<br />

showed the PAST through photos and actual samples of the Traditional Uses of resin (wood,<br />

artwork, torches, (artistic) pictures of boats, lacquered home products, etc.).<br />

The PRESENT was set through a demonstration and display on a table and wooden panel<br />

board samples of value added resin product development done by NatureWild. These valueadded<br />

resin products were decorative masks, natural varnish, decorative and functional<br />

lacquered/waterproofed flower pots, balms and essential oils, etc. Guests are invited to touch,<br />

smell and apply the products.<br />

The FUTURE was set on a rattan panel with blank colored sheets or question marked paper<br />

to invite the guests to provide their suggestions and ideas for potential uses and direction for<br />

value addition and product and market development of <strong>Resin</strong>s.<br />

NatureWild Marketing Officer, Ms.UCH Sophay also gave a brief presentation on the<br />

profile and services of NatureWild. NatureWild’s vision is that forest and natural resources<br />

are conserved and <strong>Cambodia</strong>ns’ livelihood being sustainably improved through social<br />

enterprise development, sustainable production and eco-friendly & fair marketing.<br />

Its Mission is to:<br />

<br />

<br />

<br />

Expand the market of <strong>Cambodia</strong>n natural products through eco-friendly and fair<br />

trade principles.<br />

Promote the conservation of forest and natural resources by providing services related<br />

to sustainability driven R&D and training & technical assistance.<br />

Promote the quality enhancement of forest and natural products following<br />

sustainable collection protocols and international standards.<br />

Its Services include research and development, training and technical assistance on<br />

enterprise development and marketing, and sales and promotions.<br />

26<br />

26


ANNEX<br />

27<br />

27


Annex I<br />

Opening Remarks<br />

Ms. Femy Pinto<br />

Non-Timber Forest Products Exchange Programme for South and Southeast Asia<br />

Stakeholder Forum on Sustainable & Pro-Poor Oleoresin Industry Development in <strong>Cambodia</strong><br />

23 September 2011 Himawari Hotel, Phnom Penh<br />

Excellencies, Ladies and Gentlemen, Colleagues and Partners,<br />

Good morning to all, arun suorsdey! It is with pleasure and enthusiasm for me on behalf of<br />

the <strong>NTFP</strong> Exchange Programme for South and Southeast Asia to welcome all of the<br />

participants, <strong>NTFP</strong>-<strong>EP</strong> network partners, guests and resource people today in this important<br />

forum on one of the most, if not the most economically valuable non-timber forest products<br />

in <strong>Cambodia</strong>.<br />

Non-timber forest products are termed as such to draw more attention to valuable forest<br />

resources other than timber such as oleoresins, (choul toeuk) and others like wild honey,<br />

vines, canes and the like, whose utilization and management provides not only direct benefits<br />

to the forest users and dependents but complements well to principles of sustainable forest<br />

management.<br />

<strong>NTFP</strong>-<strong>EP</strong> in South and Southeast Asia works on all aspects of <strong>NTFP</strong> development: from<br />

forest conservation, community based <strong>NTFP</strong> enterprises, <strong>NTFP</strong> cultivation, security of<br />

tenure, traditional ecological knowledge, food security, policy, knowledge sharing and<br />

exchanges. We have now reached support to over 140 community based enterprises in over<br />

500 villages in 6 countries. In <strong>Cambodia</strong>, our reach has been to over 30 enterprises in at least<br />

6 provinces.<br />

Why oleoresins – oleoresins is probably the most representative of forest products in<br />

<strong>Cambodia</strong> of the livelihood of forest dependent communities; harvested year-round, meets<br />

both subsistence and cash needs, culturally significant with knowledge and principles in resin<br />

management embedded in traditional and indigenous ecological knowledge, and finally resin<br />

trees also determine rootedness of communities, especially of indigenous communities in<br />

<strong>Cambodia</strong>’s forest areas. The customary and economic importance of resin trees are already<br />

recognized in the Forestry Law and plays a prominent role, for example in Chapter 8, Article<br />

29 with the prohibition of the harvest or cutting of resin trees, and in Chapter 9, Article 40<br />

recognizing the traditional user rights of communities, which include the right to barter or<br />

sell forest by-products if these activities do not cause significant threat to the sustainability of<br />

the forest.<br />

The importance and contribution of oleoresins to a significant population in <strong>Cambodia</strong> is<br />

undeniable, and yet run the risk of being taken for granted by virtue of it being common,<br />

and largely informally traded and traditionally used – over 100,000 people directly depend<br />

on it for livelihood and yet another tens of thousands who utilize it for lighting and cooking.<br />

The use in caulking boats alone is significant, considering the vital fishing population and<br />

industry in the country.<br />

Within <strong>NTFP</strong>-<strong>EP</strong>’s aim to foster an enabling institutional environment as knowledge<br />

intermediary & advocate for forest community rights and community-based approaches, we<br />

began our efforts to explore the status and further potential of oleoresin-based livelihoods in<br />

<strong>Cambodia</strong> in 2007 through a community/NGO exchange, to value chains research In 2008<br />

and publications in 2009, and later the opportunity to conduct more direct capacity –<br />

building interventions and further product and market studies, and product development<br />

efforts have been made possible with the support of the Creative Industries Support<br />

Programme of the UN-MDG F and other donor partners as well as with the coordinated<br />

project-based interventions of our local partners.<br />

28<br />

28


This forum shall make use of the knowledge that has been generated and the experience that<br />

has been gained by partner-members in the <strong>Cambodia</strong> <strong>NTFP</strong> Working Group – partner to<br />

<strong>NTFP</strong>-<strong>EP</strong> and the platform for hands-on practice and networking on <strong>NTFP</strong> development in<br />

<strong>Cambodia</strong>.<br />

The 1 st panel will present the foundation and the basis of our community based approach in<br />

this effort – that is that knowledge shall be derived from the communities, and the benefits<br />

from resin based livelihoods and commercialization must also accrue to them. Members of<br />

the steering committee and the working group will share their perspectives and experiences<br />

from the field.<br />

I must also express thanks to our resource people today from the Philippines who have<br />

generously provided their expertise and experience in forest products innovations and also<br />

how technology, science and markets engagement might complement well with a community<br />

based and enterprise approach. Markets for non-timber forest products are seen to have the<br />

potential to expand as the global economy emphasizes greener markets and lifestyles. As the<br />

markets expand, oleoresin tappers and organized community-based resin enteprises (or<br />

CBREs) must weigh their options and their strategies as they straddle the utilization and<br />

management of resins for subsistence and commercial purposes. Sustainability, short-term<br />

and long-term benefits will certainly be critical questions. Our last speakers and presentors<br />

will provide us with an institutional/policy and program framework for further development<br />

of community based oleoresin enterprises and the supports from policy to technological,<br />

market-based, institutional and environmental.<br />

I look forward to a fruitful and dynamic discussion today, and my appreciation to my<br />

colleagues and partners for their tireless efforts and contribution to making this forum<br />

possible. Our appreciation also for the support and collaboration of the CISP and the<br />

individual members of the team. Good morning once again.<br />

29<br />

29


Opening Remarks<br />

Mr. Blaise Kilian,<br />

Joint Programme Coordinator, MDG-F Creative Industry Support Programme<br />

Stakeholder Forum on Sustainable & Pro-Poor Oleoresin Industry Development in <strong>Cambodia</strong><br />

23 September 2011 Himawari Hotel, Phnom Penh<br />

Excellencies, Ladies and Gentlemen, Dear Colleagues,<br />

It is my great pleasure and honor to be present with you today, on the occasion of the<br />

Stakeholder Forum on Sustainable & Pro-poor Oleoresin Industry Development co-hosted by<br />

the Creative Industries Support Programme and <strong>NTFP</strong>-<strong>EP</strong>, an event through which we hope<br />

to further study and promote the potential of the resin sector in <strong>Cambodia</strong> as a sustainable<br />

source of income for rural communities, especially Indigenous People.<br />

I would like to take this opportunity to recall briefly about the MDG-F Creative Industries<br />

Support Programme activities over the past three years. Established with the support of the<br />

UN Spain Millennium Development Goals Achievement Fund, the Creative Industries<br />

Support Programme gathers four UN Agencies (UNESCO, UNDP, ILO and FAO) as well as<br />

four Royal Government Ministries (Ministry of Culture & Fine Arts; Ministry of Commerce;<br />

Ministry of Industry, Mines & Energy; Ministry of Agriculture, Forestry and Fisheries) in<br />

order to promote cultural programmes related to Indigenous People and to enhance cultural<br />

industries through close partnerships with almost 20 national and local organizations in four<br />

target provinces namely Ratanakiri, Mondulkiri, Preah Vihear and Kompong Thom.<br />

Established within the “Culture and Development” Thematic Window of the UN-Spain Fund,<br />

the Creative Industries Support Programme strongly adheres to the vision that culture should<br />

be the basis of sustainable development. Shared prosperity can indeed only be possible if<br />

decision-makers and investors first understand and take into account the local specificities,<br />

the customs, the traditions and even the languages of the local communities as a necessary<br />

preliminary to any economic endeavor. Without such an approach, economic expansion<br />

cannot be participative and is therefore to no avail.<br />

At its own modest level, and after three years of work, our Joint UN-Royal Government<br />

Programme has promoted the establishment of two cultural centers in Ratanakiri and<br />

Mondulkiri, the release of five research-publications and the adoption of a Royal Decree on<br />

Living Human Treasures in order to promote and safeguard intangible heritage, besides<br />

numerous trainings in the field of cultural programming. Furthermore, the Creative<br />

Industries Support Programme has been supporting more than than 800 artisans and artists<br />

through capacity building in entrepreneurship skills, financial literacy and rural marketing as<br />

well as through the establishment and strengthening of market networks for a selected<br />

cultural products namely traditional weaving, basketry, jars & pottery and resin.<br />

One might notice that resin is different from the other cultural products supported by our<br />

programme, as it is a raw product as compared with handicrafts. We however selected resin<br />

as it is undeniably a product closely associated with the life and traditions of Indigenous<br />

People who comprise 87% of our community beneficiaries. As historic testimonies have<br />

shown, Indigenous People have been traditionally collecting resin along with other Non<br />

Timber Forest Products they gathered from the forests to be sold or exchanged with other<br />

products when dealing with lowlanders.<br />

Up until today, the potential of resin contribution to the livelihood of thousands of<br />

Indigenous People households remains very high despite the changes and new challenges<br />

that modernity has brought to their daily environment. It even appears that for many of the<br />

Indigenous communities we have worked with, resin has become the main source of income,<br />

along with agriculture. Recent <strong>NTFP</strong>-<strong>EP</strong> researches have demonstrated that the existing<br />

market has a strong potential for expansion within <strong>Cambodia</strong> as well as for export. Providing<br />

30<br />

30


forest areas remain available and accessible to Indigenous communities, resin tapping can<br />

therefore play a strong role to support the fight against poverty and to empower Indigenous<br />

communities, thus contributing to the overall sustainable development of <strong>Cambodia</strong>.<br />

Therefore, today’s Forum provides us with the opportunity to exchange experts’ and relevant<br />

stakeholders’ views and experience in order to showcase the potential of the resin sector as<br />

well as existing prospects for its development on the medium and long term. Beyond this, I<br />

particularly welcome the diversity of participants to the Forum which gathers today national<br />

and international experts, government non-government stakeholders, local authorities and<br />

community members. Such a diverse range of participants enables us to further foster the<br />

habit of social dialogue and of networking which has been part of the Creative Industries<br />

Support Programme’s vision.<br />

I therefore wish that all participants to join a productive and fruitful Forum through lively<br />

and constructive contributions, for the sake of a participatory and sustainable development.<br />

Finally, I would like to express my sincere appreciation to <strong>NTFP</strong>-<strong>EP</strong> for the organization of<br />

this Forum as well as to the Forestry Administration and other Ministries for their valuable<br />

presence amongst us today. I would also like to express our deep gratitude to the<br />

Government and the People of Spain without the support of whom these activities would not<br />

have been possible.<br />

Thank you very much for your attention.<br />

31<br />

31


Annex II<br />

Stakeholder Forum on Sustainable & Pro-Poor Oleoresin<br />

Industry Development in <strong>Cambodia</strong><br />

23 September 2011 Himawari Hotel, Phnom Penh<br />

TENTATIVE PROGRAMME<br />

Time Programme Resource Person/ Presenter<br />

8:00-8:30 ARRIVAL OF <strong>Cambodia</strong> <strong>NTFP</strong> Working Group<br />

GUESTS/PARTICIPANTS<br />

& (CNWG)<br />

REGISTRATION<br />

8:30-8:35 NATIONAL ANTHEM CNWG<br />

8:35- 8:40 WELCOME AND INTRODUCTIONS Khou Eanghourt, CNWG<br />

8:40-9:00 OPENING CEREMONY - REMARKS Blaise Kilian, Joint Programme<br />

Coordinator, MDG-F Creative<br />

Industries Support Programme<br />

Femy Pinto, <strong>Cambodia</strong> Facilitator,<br />

<strong>NTFP</strong> Exchange Programme for<br />

South & Southeast Asia<br />

9:00-9:20 MORNING BREAK<br />

9:20: PANEL PRESENTATION 1:<br />

10:20<br />

1. Experiences and Perspectives of the<br />

<strong>Cambodia</strong> <strong>NTFP</strong> Working Group<br />

(CNWG) on sustainable oleoresin<br />

management and community based<br />

oleoresin enterprise development<br />

2. Presentation of project<br />

achievements/results, lessons<br />

learned, challenges and<br />

recommendations (15 min each)<br />

Long Ratanakoma, Deputy<br />

Director, Department of Forestry<br />

and Community Forestry<br />

Administration<br />

Moderator: Femy Pinto, <strong>NTFP</strong>-<strong>EP</strong><br />

Presenters:<br />

Khou Eanghourt, CNWG National<br />

Facilitator, Phnom Penh<br />

Pek Samon, Ponlok Khmer, Preah<br />

Vihear province<br />

10:20-<br />

10:35<br />

10:35-<br />

12:00<br />

3. <strong>Resin</strong> Enterprise Management:<br />

An Important Approach to<br />

Management of the Eastern Plains<br />

Landscape in <strong>Cambodia</strong><br />

Son Bora and Amy Maling, WWF<br />

<strong>Cambodia</strong>, Mondulkiri Province<br />

Q& A for Panel Presentation 1 Facilitator/Moderator: Femy<br />

Pinto<br />

PANEL PRESENTATION 2: Exploring Moderator: Neil Patterson, MVI<br />

Diverse Uses and Market Potential of<br />

32<br />

32


<strong>Cambodia</strong>n Dipterocarp Oleoresins or<br />

Dipterocarp Balsams<br />

1. Characterization and End Uses of<br />

Dipterocarp Oleoresins or Balsams<br />

2. Integrating Oleoresin Processing<br />

from <strong>Cambodia</strong>n Dipterocarps for<br />

Community based Forest Management<br />

: a sharing from Philippines Experience<br />

3. <strong>Cambodia</strong>n dipterocarp balsams in<br />

the regional and international market<br />

1. <strong>Cambodia</strong>n experience in (pro-poor)<br />

small-medium industry development:<br />

building from the ground up: the case<br />

of Rattan & Handicrafts Sector<br />

Resource Persons:<br />

Mariluz San Pedro Dionglay,<br />

Senior Science Research<br />

Specialist, Technology Innovation<br />

Division, Forest Products<br />

Research Development Institute,<br />

Los Banos, Philippines<br />

Mildred Miranda Fidel, Chief of<br />

Division, Technical Services<br />

Forest Products Research<br />

Development Institute, Los Banos,<br />

Philippines<br />

11:35- Q & A for Panel Presentation 2<br />

12:00<br />

12:00-1:30 LUNCH<br />

1:30-2:30 PANEL PRESENTATION 3:<br />

Exploring Sustainable Forest<br />

Enterprise Development Programme<br />

Opportunities in <strong>Cambodia</strong><br />

Nola Andaya-Milani, Social<br />

Marketing Specialist, Philippines<br />

& France<br />

Facilitator/Moderator-<br />

Neil Patterson, MVI<br />

Facilitator/Moderator-<br />

Khou Eanghourt<br />

Lun Yeng, Executive Director,<br />

Federation of Associations for<br />

Small & Medium Enterprise in<br />

<strong>Cambodia</strong> (FASMEC) & Chief<br />

Executive Officer (CEO), Daun<br />

Penh House<br />

2. Increasing the Economic Value of<br />

Dipterocarp Balsams for Forest<br />

Communities in <strong>Cambodia</strong><br />

Tith Seyla, Enterprise<br />

Development Officer, <strong>NTFP</strong>-<br />

<strong>EP</strong>/NatureWild<br />

2:30-3:00 Q & A for Panel Presentation 3 Facilitator/Moderator<br />

Khou Eanghourt<br />

3:00-3:20 AFTERNOON BREAK<br />

33<br />

33


3:20-4:00 Critical Perspectives and<br />

Recommendations on pro-poor<br />

sustainable oleoresin development in<br />

<strong>Cambodia</strong><br />

Facilitator/Moderator – Femy<br />

Pinto<br />

Community Representative:<br />

Preah Vihear <strong>Resin</strong> Association<br />

NGO/Environment<br />

&<br />

Conservation: Ashish John,<br />

Wildlife Conservation Society<br />

(WCS)<br />

Mr. Ken Serey Rotha Deputy<br />

Director-General Department of<br />

Administration for Nature<br />

Conservation & Protection,<br />

Ministry of Environment<br />

4:00-4:15 Closing Remarks Blaise Kilian, Joint Programme<br />

Coordinator, MDG-F Creative<br />

Industries Support Programme<br />

Khou Eanghourt, CNWG<br />

4:15 National Anthem CNWG<br />

All participants are invited to:<br />

NatureWild & The <strong>Resin</strong> Story<br />

an interactive exhibition and socials<br />

Himawari Hotel<br />

The programme starts at 5:00 pm – organized and hosted by<br />

34<br />

34


Annex III<br />

Stakeholder Forum on Sustainable & Pro-Poor Oleoresin Industry Development in <strong>Cambodia</strong><br />

ATTENDANCE LIST<br />

<strong>Resin</strong> Community and Local authority<br />

No Name Sex Institution Possition Address E-mail Phone number<br />

1 Tang Din M Chanyaung<br />

CBRE<br />

Vice Chief Mondulkiri Province 097 6280616<br />

2 Chhin Vuthy M Puohong<br />

CBRE<br />

Secretary Mondulkiri Province 097 2381 741<br />

3 Cham Ty M Puchrey CBRE Member Mondulkiri Province 097 9942 006<br />

4 Chhoy Liv M Gnlav Tonh<br />

CBRE<br />

Chief Mondulkiri Province 092860227<br />

5 Khlim Mel M Lav Ka<br />

Local Authority<br />

Mondulkiri Province 0887521734<br />

6 Ngok Nhi M Po Hiem<br />

CBRE<br />

Secretary Mondulkiri Province 0976268939<br />

35<br />

35


7 Seang Phanit M <strong>Resin</strong> Trader Mondulkiri Province 0972332449<br />

8 Mal March M Lav Ka<br />

CBRE<br />

Secretary Mondulkiri Province 0977124430<br />

9 Prak Ken M Prome<br />

commune<br />

concil<br />

10 Riem Nou M Puo commune<br />

concil<br />

Chief Preah Vihear 0977304443<br />

Chief Preah Vihear 0976631298<br />

11 Dim Yeuon M Srethnung<br />

CBRE<br />

Chief of<br />

Community<br />

Preah Vihear 0887901769<br />

12 Run San M Prome<br />

CBRE<br />

Chief of<br />

Community<br />

Preah Vihear<br />

13 Hun Same M Romcheck<br />

CBRE<br />

Chief of<br />

Community<br />

Preah Vihear<br />

14 Kong Thin M Cheup Kourt<br />

CBRE<br />

Chief of<br />

Community<br />

Preah Vihear 0978662950<br />

15 Min Samon F Kralapease<br />

CBRE<br />

Member Preah Vihear 0975740343<br />

16 Prom Seaun M Puo<br />

CBRE<br />

Chief of<br />

Community<br />

Preah Vihear 0979220057<br />

17 Dorn Sopheap F <strong>Resin</strong> Trader PP sopheapcool@yahoo.com 017855868<br />

18 Porn sophal M <strong>Resin</strong> Trader PP 017855868<br />

36<br />

36


NGOs/International Organizations/Private Sector<br />

No Name Sex Institution Possition Address E-mail Phone number<br />

1 Chham Leang<br />

Song<br />

M MSME CBNRM PP leang_song@yahoo.com 012634348<br />

2 Sun Bora M WWF PO Mondulkiri 011817533<br />

3 Lic Vuthy M UNIDO Consultant PP licvuthy @yahoo.com 012967865<br />

4 Sok Narin M UNIDO Head of UNIDO PP n.sok@unido.org 012757327<br />

5 Kong Rachana F UNIDO Assistant PP r.kong@unido.org<br />

6 Mariluz San<br />

Pedro Dionglay<br />

F FPRDI Specialist.SRS Philippines mariluz.dionglay@yahoo.com<br />

7 Mildred M.Fidel F FPRDI Chief SRS Philippines mimi_fidel@yahoo.com 63-09217502286<br />

8 Det Seila M FAO Team Leader Kratie seila.det@fao.org 012577783<br />

9 Noun Vichhka M MVI MEF Mondulkiri mc@mvicambodia.org 0978855325<br />

10 Lip Cheang M RAC Chairman PP 012603159<br />

11 Kim Veasna M TAF PO PNH vkim@asiafound.org 012900989<br />

37<br />

37


12 Neil Patterson M VSO MEA Mondulkiri npptterson@gmail.com<br />

13 Pisey Pech M CISP PM PP pisey.pech@undpaffiliates.org 089972620<br />

14 Femy Pinto F <strong>NTFP</strong>-<strong>EP</strong> <strong>Cambodia</strong><br />

Facilitator<br />

PP femypinto@online.com.kh 012938417<br />

15 Ashish John M WCS TA WCS, <strong>Cambodia</strong> ajohn@wcs.org 012738526<br />

16 Rebeca Sandoval F AIDA CD PP 092555868<br />

17 Adam Keatts M CI Economic Team<br />

Leader<br />

PP a.keatts@conservation.org 012839955<br />

18 Hou Kalyan F RECOFTC TC PP Kalyan@recoftc.org 012839955<br />

19 Kuch Vy M FAO Project Assistant vy.kuch@fao.org 092797871<br />

20 Taing Theary M Oikocredit Project Officer pp ttaing@oikocredit.org 012651955<br />

21 Preap Raksa F ILO-CISP Admin/Assistant PP preap@ilo.org 012296585<br />

22 Yin Sopheap M ILO-CISP Coordinator PP yin@ilo.org 012714257<br />

23 Pek Samon M Ponlok Khmer C-E-F Preah Vihear samonkh@yahoo.com 0972687468<br />

38<br />

38


24 Lourt Sang M Ponlok Khmer CEF Preah Vihear lourtsang@yahoo.com 0974566466<br />

25 Ken Wood M VSO Market Linkage<br />

Advisor<br />

PP ken.wood@vsoint.org 078777357<br />

26 Blaise Kilian M CISP Joint<br />

Programme<br />

coordinator<br />

27 Pheng Reth M VSO Programme<br />

Manager<br />

PP b.kilian@undp.org 012911657<br />

PP pheng.reth@vsoint.org 017333125<br />

28 Yi Engseang F Insitor Fund Analyst yengseang@gmail.com 0116450745<br />

29 Christy Campbell F Shift360 Manager christy.campbell@shift360.ch 092951682<br />

30 Seng Rothea M FFI Ecologist #19,st 360.BBI,<br />

Chamkarmom, PP<br />

ratheaseng2007@gmail.com 012519279<br />

31 Oum Sony M FFI Project Manager #19,st 360.BBI,<br />

Chamkarmom, PP<br />

sony.oum@gmail.com 012308988<br />

32 Chan lakhena F CNWG Programme<br />

Assistant<br />

PP chanlakhena2005@yahoo.com 017899606<br />

33 Yep Lav M CNWG Programme<br />

Assistant<br />

PP Yeplav24@yahoo.com 017749060<br />

34 Ken Piseth M <strong>NTFP</strong>-<strong>EP</strong> CBHE Assistant PP Ken.piseth@yahoo.com 078785456<br />

35 Tith Seyla M NatureWild EDO PP seyla.tith@gmail.com 012210646<br />

39<br />

39


36 Khou Eanghourt M CNWG Facilitator PP khou_eanghourt@yahoo.com 012954627<br />

37 Uch Sophay F NatureWild Marketing<br />

Officer<br />

PP uchsophay@yahoo.com 092286306<br />

38 Nola Andaya F France<br />

39 Amy Maling F WWF<br />

<strong>Cambodia</strong><br />

Technical<br />

Advisor<br />

Mondulkiri<br />

Government institution<br />

No Name Sex Institution Possition Address E-mail Phone number<br />

1 Chea Buntheang M MoC Chief Deputy<br />

Undersecretary of<br />

State<br />

2 Khoy Khun<br />

Chanroth<br />

M MoE Chief of Provincail<br />

Department of<br />

Environment<br />

PP chea_bt@yahoo.com 012864278<br />

Preah Vihear 012946803<br />

3 Sreng Sokvung M NCPO-C CP Expert PP sokvung@yahoo.com 012475700<br />

4 An sitha M School of Fine<br />

Arts<br />

Artist PP 017225026<br />

5 Seng Kimsay M CFO/FA Staff PP 016602497<br />

6 Mom Sophal M CFA Deputy of Forestry<br />

Cantonment<br />

Preah Vihear sophalmom55@yahoo.com 012325078<br />

40<br />

40


7 Hun Pen F MoCFA Deputy Director Mocfa penhun@gmail.com 092201124<br />

8 Isaac lyne M RUPP Research Associate PP i.lyne1@bradford.ac.uk 077599885<br />

9 Sour Bunmarina F MIME Secretary of<br />

Director,<br />

Department of<br />

Small Industry and<br />

Handicraft<br />

10 Long Ratankoma M FA Deputy Director of<br />

11 Noth Onn M FAC<br />

Mondulkiri<br />

Department of<br />

Forestry and<br />

Community<br />

Forestry<br />

PP marina_sour@yahoo.com 016938943<br />

PP dfc.koma@gmail.com 077680838<br />

Mondulkiri 012706702<br />

Media and <strong>Report</strong>er<br />

No Name Sex Institution Type of<br />

Media<br />

Position Phone Email Date Media<br />

release<br />

1 Chan Panna M CTN TV Camera Man 092 65 00 01 panna.chie@yahoo.com<br />

panna.chine@gmail.com<br />

not release<br />

2 Sok Lak M SEA weekly Newspaper <strong>Report</strong>er 077 98 88 26 mrsoklak@gmail.com No 39. Vol: 5<br />

3 Kol Chamnol M AM 918 Radio <strong>Report</strong>er 092 965 692 nol009@yahoo.com released<br />

4 Ou Kanel M FM. 105.75 Radio <strong>Report</strong>er 017 717 317 ou-kanel@yahoo.com 24.10.11news<br />

daily<br />

5 Vin Chhay M FM 96 Radio <strong>Report</strong>er 012 303 696<br />

6 Kong Sereyrath M DAP-NEWS Newspaper <strong>Report</strong>er 012 710 838 sereyrathkang@yahoo.com release<br />

7 Saum Sovannara M SEA TV TV <strong>Report</strong>er 015 700 787 vannara1983@gmail.com<br />

8 Hoem Seiha M Economics Today Magazine <strong>Report</strong>er 012 699 553 seiha-hoen@etmcambodia.com<br />

9 Mey Soklim FM 102 Radio <strong>Report</strong>er 016 792 151 meysoklim@yahoo.com<br />

10 Vann Neang Nuon F The Commercial Newspaper <strong>Report</strong>er 012 275 958 meichu_sin@yahoo.com<br />

41<br />

41


Newspaper<br />

11 Hao Heng M Jian hua daily Newspaper <strong>Report</strong>er 012 575 150 haoheng612@yahoo.com<br />

12 Eath Daravuth M VOD Radio Senior News 012 885 208 daravutheath@vodhotnews.com<br />

Editor<br />

13 Em Navin M RFI Radio 012 562 509<br />

14 Sok Chanthy M Sin Chew Daily Newspaper <strong>Report</strong>er 017 525 278 ninosu_sct@yahoo.com<br />

15 Meas Sarom M Khmer Science Newspaper <strong>Report</strong>er 011 294 811 meassarom@hotmail.com<br />

16 Alice Burhe F <strong>Cambodia</strong> Daily Newspaper <strong>Report</strong>er 012 228 572 alicemburhe@gmail.com<br />

17 Neb Tola M Bachey Newspaper <strong>Report</strong>er 012 720 608 panha_kang@yahoo.com<br />

42<br />

42


Annex IV<br />

Presentation<br />

NatureWild Update<br />

Uch Sophay and Tith Seyla<br />

43<br />

43


Stakeholder Forum on Sustainable & Pro-poor<br />

Dipterocarp Oleoresin Industry Development<br />

Khou Eang Hourt<br />

10/10/11<br />

PRESENTATION OUTLINE<br />

Stakeholder Forum on<br />

Sustainable & Pro-poor Dipterocarp Oleoresin Industry<br />

Development<br />

Networking and Capacity-building interventions in<br />

Sustainable <strong>Resin</strong> Management<br />

23 September 2011<br />

Himawari Hotel<br />

Khou Eang Hourt<br />

1- OVERVIEW OF DIPTEROCARP OLEORESINS<br />

A- <strong>Resin</strong> tree species (SPECIES, HABITAT AND ECOLOGY)<br />

B- Customary ownership of resin trees<br />

c- Current management status of resin trees<br />

d- Trade activities<br />

2- CAMBODIA <strong>NTFP</strong> WORKING GROUP (CNWG) overview<br />

3- RESIN PROJECT BACKGROUND<br />

4 – CAPACITY BUILDING INTERVENTIONS ON SUSTAINABLE RESIN<br />

MANAGEMENT<br />

a- ACHIEVEMENTS<br />

B- LESSONS LEARNED<br />

C- CHALLENGES/CONSTRAINTS<br />

5 - RECOMMENDATIONS<br />

OVERVIEW OF DIPTEROCARP OLEORESINS<br />

<strong>Resin</strong> tree species<br />

OVERVIEW OF DIPTEROCARP OLEORESINS<br />

Two distinct traditional resin tree ownership:<br />

1- Marking resin tree areas, encompassing many resin trees. Only<br />

resin trees owned, whereas other <strong>NTFP</strong>s not belong to anyone. No timber trees and<br />

wildlife allowed to be collected. It is a common ownership system in <strong>Cambodia</strong>.<br />

2- Marking individual resin tree to cut a hole for ownership, so as to<br />

other households could own resin trees within the same area. This ownership<br />

system applied at scare-resin tree areas.<br />

Khmer name: Trach<br />

Botanical name: D. intricatus<br />

Habitat: Deciduous Dipterocarp Forest<br />

Khmer name: Chheuteal Toek<br />

Botanical name: D. alatus<br />

Habitat: Gallery forest, SEF and EF<br />

OVERVIEW OF DIPTEROCARP OLEORESINS<br />

Current management status of resin trees<br />

1. - Majority of resin tree areas outside CFs/CPAs, which not secure customary<br />

ownership;<br />

2. Some illegal logging activities still happening within collection areas;<br />

3. Lack of effort in seedling and sapling protection from forest fire in dry season;<br />

4. Forest enrichment or rehabilitation using resin tree species not yet initiated to the<br />

community;<br />

5. Lack of sustainable collection practice by some collectors, which may result in<br />

resin exhaustion or low yield in short period, and<br />

6. Lack of monitoring on sustainable tapping practice.<br />

OVERVIEW OF THE CAMBODIA <strong>NTFP</strong> WORKING GROUP<br />

(CNWG)<br />

Who we are: Local, regional/international NGOs, private sectors and individuals<br />

committing to work together as a network to co-undertake community development<br />

and conservation programs that are in line with addressing poverty among forest<br />

dependent communities, deforestation and <strong>NTFP</strong> degradation, unrecognized<br />

economic relevance of <strong>NTFP</strong>s, and land tenure security issues. We target CBOs/<br />

enterprise networks.<br />

What we do: 1) networking and collaboration; 2) capacity building and technical<br />

assistance; 3) policy advocacy; 4) resource mobilization; 5) research, education and<br />

information dissemination, and 6) impact monitoring using common indicators.<br />

Current focused <strong>NTFP</strong> development: Honey, Sleng, Rattan and resin.<br />

1<br />

48


10/10/11<br />

RESIN PROJECT BACKGROUND<br />

Project title: Increasing Domestic Value-Addition of <strong>Resin</strong> Products of Communitybased<br />

<strong>Resin</strong> Enterprises (CBREs) in Mondulkiri and Preah Vihear Provinces,<br />

<strong>Cambodia</strong><br />

Project duration: Oct 2010 – Sept 2011<br />

Specific objective:<br />

1. to improve the CBRE product quality and standard of resin collection and basic<br />

processing;<br />

2. To undertake marketing activities for selected resin basd products, and<br />

3. To strenghthen the marketing capacity and network of CBRE.<br />

Networking AND SUPPORT TO:<br />

1. Ponlok Khmer in Preah Vihear<br />

1. My Village (MVI) in Mondulkiri<br />

2. WWF-<strong>Cambodia</strong> in Mondulkiri<br />

CAPACITY BUILDING INTERVENTIONS ON<br />

SUSTAINABLE RESIN MANAGEMENT<br />

achievements<br />

- Workshop in Mondulkiri and Preah Vihear provinces to discuss about the current<br />

tapping practice, its impact and improvement;<br />

CAPACITY BUILDING INTERVENTIONS ON<br />

SUSTAINABLE RESIN MANAGEMENT<br />

Guide to Sustainable Management and Collection of Dipterocarp Oleoresins or<br />

Balsams<br />

- Exchange visit in Preah Vihear provinces by bringing 10 resin tappers from 10<br />

communities together to discuss about the sustainable resin tapping technique,<br />

covering 12 steps<br />

- Publication of the guide to sustainable collection and management of dipterocarp<br />

oleoresin or balsams with inclusion of tapping technique and monitoring, and<br />

- Training to communities in Mondulkiri province on CBNE with examples of resin as<br />

part of other commercial <strong>NTFP</strong>s.<br />

CAPACITY BUILDING INTERVENTIONS ON SUSTAINABLE<br />

RESIN MANAGEMENT –<br />

LESSONS LEARNED<br />

- Working as a network/partners among NGOs concerned on a particular aspect and at the<br />

same site is beneficial in terms of confusion, time, expense, output and others;<br />

- There is a good resin tapping practice within the community, but lack of knowledge sharing<br />

among them;<br />

- community-shared capacity building is a quick learn process and effective approach for the<br />

community;<br />

- CBNE/CBRE contributes to livelihood development and natural resource management for<br />

both within and outside CFs/CPAs;<br />

- Customary ownership of resin trees benefits to sustainable forest management, and<br />

- The CBRE establishment takes time and needs good facilitation skill due to limited<br />

knowledge of community, group working environment and benefit issue.<br />

CNWG CAPACITY BUILDING INTERVENTIONS ON<br />

SUSTAINABLE RESIN MANAGEMENT - CHALLENGES<br />

- large resin tree areas outside CFs/CPAs, which not secured ownership or<br />

customary use right;<br />

- Informal fee on the road in addition to royalty fee is a major issue for sustainable<br />

trade of CBRE.<br />

- improper resin tapping practice by some collectors which impacts resin quality<br />

and long-term yield;<br />

- Poor road conditions in certain areas caused to high cost in transportation;<br />

- Lack of locally technical expertise for processing and business development;<br />

- Insufficient capital resources for the establishment of processing facilities and<br />

CBNE;<br />

- <strong>Resin</strong> by-product development and value addition skill still undeveloped;<br />

2<br />

49


Dipterocarpus <strong>Resin</strong> in the International Market:<br />

A Market Scan<br />

Nola Andaya - Milani<br />

10/10/11<br />

Objectives<br />

DIPTEROCARPUS RESIN IN THE<br />

INTERNATIONAL MARKET: A<br />

MARKET SCAN<br />

To provide an overview of current market of resin,<br />

Essential Oils and Gurjun Balsam, the trade name of<br />

oleoresins from diptercarpus spp.<br />

To give a quick scan of potential markets based on<br />

current applications of general essential oil industry<br />

and potential uses based on the results provided by<br />

the FPRDI test and other existing studies and market<br />

uses.<br />

Nola Andaya – Milani September 2011<br />

Content<br />

Overview of <strong>Resin</strong> Market<br />

Overview of the resin and essential oil markets.<br />

Overview of the Gurjun Balsam / Oil in the market.<br />

Potential Markets<br />

Conclusion<br />

4<br />

824<br />

13<br />

9<br />

748,168,000 USD in 2010 17%<br />

increase from previous year.<br />

<strong>Resin</strong> Market cont.<br />

Essential Oil Market<br />

Main known industries that absorb the resin supplies<br />

are painting&coating, adhesives, pharmaceutical,<br />

cosmetic products and incense, art supplies.<br />

Market is said to increase at low rates due to no<br />

new applications of materials. But with supplies<br />

dwindling and markets for natural composites<br />

growing, demand is expected to increase.<br />

Trade reports indicate that <strong>Cambodia</strong> exported a<br />

value of 454,000 US$ in 2009 and 217,000 US$<br />

in 2010.<br />

Essential oils, with varied chemical composition and<br />

aromatic characteristic, are used in various<br />

industries:<br />

a) fragrance, 650 M USD (44%)<br />

b) aromatherapy 250M USD (17%)<br />

c) pharmaceutical, 220M USD (15%)<br />

d) agrochemicals 150M (10%)<br />

e) intermediates 120M USD (8% ) and<br />

f) cosmetics 90M (6%) (Murray)<br />

1<br />

51


10/10/11<br />

Essential Oils Market cont.<br />

Essential Oils Market cont.<br />

Total exports of E.O. was 2.9 billion USD in 2010.<br />

Production is growing at 8-10% year due to new<br />

products requiring flavor/fragrance as well as<br />

demand for more natural products.<br />

Many of importing countries re export the oils, or<br />

fractions extracted from them.<br />

USA, followed by France, UK, Germany, Japan,<br />

Switzerland, China are top importer with<br />

Netherlands and Spain showing growing demands<br />

in 2010.<br />

Drivers of Growth:<br />

Demand for natural/sustainable products<br />

New / Growing consumer industries (Aromatherapy,<br />

Cosmeceuticals, Biocides (Plant protection, pesticides, etc.)<br />

Biotechnology Development<br />

Emerging Markets<br />

Other Segments of Markets:<br />

Organic essential oils<br />

General Requirement<br />

Assessed based on physical, aromatic properties<br />

and chemical composition.<br />

Assessed on percentage of compound for which<br />

they are principally considered as source.<br />

Composition and aroma profile can be affected by<br />

environment of the plant, cultivation, distillation,<br />

storage, handling and possibly by tapping method.<br />

Reliability of supply (in quality and in volume)<br />

Dipterocarpus oleoresin or Gurjun<br />

Balsam in the Market<br />

Gurjun Balsam and G. B. Dipterocarpus turbinatus ext. are listed<br />

separately in the European Inventory of Existing Commercial Chemical<br />

Substances (EIECS)<br />

Known uses are boat caulking, paint & varnish industry, perfumery<br />

No exact data on trade as it is lumped under HS Code 1301 with<br />

other resins, lacs, balsams, gum resins, etc.<br />

7US$ per kilo (Indonesia) for the balsam in 2011. 2009 price was US<br />

$8.75 per kilo with low supplies at that time.<br />

Known suppliers are India, Indonesia and Laos.<br />

Known importers are India, France, Laos, Thailand and Vietnam.<br />

In 2003, 70 tonnes were imported by India from port of Thailand and<br />

Singapore. Company demand was indicated at 400kg to 1500kg /<br />

year.<br />

Gurjun Balsam Oil in the Market<br />

Gurjun Balsam in Products<br />

Production is estimated at 50-100 tonnes / year<br />

top 110 of 300 essential oils traded in the market<br />

one of the oils that can only be sourced from<br />

tropical countries and can only be found in the<br />

Southeast Asia.<br />

Main known use is perfumery. As fragrance source<br />

(alpha-gurjunene) and as base note. Also used as<br />

fixative for candles and soaps.<br />

Main known supplier is India, France<br />

average price of 21US$ to 30US$ per kilogram<br />

(India) for the essential oil<br />

2<br />

52


10/10/11<br />

Existing and Potential Markets<br />

Gurjun Balsam in Fragrance<br />

Fragrance: Perfume & Home<br />

Pharmaceutical & Cosmeceuticals<br />

Aromatherapy & Well-being<br />

Plant Protection Products / Agro-chemical<br />

Green Construction Materials: Natural Coating,<br />

Adhesive & Paint<br />

Others – Fine Arts<br />

Low-cost, mild smelling, balsamic<br />

Used as natural fixative and source of<br />

fragrance agent<br />

Also known to be as adulterant to other<br />

balsams / essential oils<br />

Usually extraction is done in European /<br />

Importing Countries<br />

Image might be changing and may be<br />

recognized for its woody notes.<br />

Fragrance companies indicated 400kg to<br />

1500 kg/ demand per year.<br />

Fragrance: Perfumery & Home<br />

Pharmaceutical & Cosmeceuticals<br />

Known use is perfumery and fragrance fixative.<br />

60% of essential oils go to Fragrance, an industry that<br />

continues to grow.<br />

Drivers of Opportunity / Demand<br />

Trends towards woody notes & unstable prices and supply<br />

of higher-value oils (patchouli, vetiver, sandalwood, etc.);<br />

banning of other bases<br />

Natural Perfumery w/ high requirement for natural fixatives<br />

Emerging markets growing demand for cosmetics and<br />

demand flow-cost for home fragrance.<br />

Demand for Traceable and sustainable natural raw<br />

materials<br />

Literature demonstrate traditional use of resins<br />

to treat bacteria and fungi-based diseases. Oil<br />

from oleoresin is said to be applied externally<br />

to ulcers, ring worms and cutaneous infections<br />

(Appanah 1998) FPRDI tests demonstrated<br />

bioactivity against fungus.<br />

Potential products are Skin-care w/ medicinal<br />

properties.<br />

Growth of Cosmeceutical (Cosmetic +<br />

Pharmaceutical) market w/ industries turning to<br />

plant extracts for their functional properties<br />

and fragrance.<br />

Pharmaceutical & Cosmeceuticals<br />

Aromatherapy & Well-being<br />

Global anti-fungal market was at $7.4 billion in<br />

2009 and is a steady market growing at low rate.<br />

Anti-fungal topical medication remain to be a core<br />

segment, especially for hot and humid countries.<br />

Organic cosmetic products are experiencing high<br />

growth rates.<br />

Emerging markets expected to lead recovery of<br />

medicated skin care industry.<br />

Thai cosmeceutical industry is growing.<br />

Literature claim aromatherapy use of the Gurjun balsam oil<br />

trend towards a healthier lifestyle&choices has driven the growth<br />

of Aromatherapy and the Well-being/Spa industry<br />

The oil is already made available in the online retail market.<br />

However, not all can claim that they are of therapeutic grade.<br />

Aromatherapy extended to products like soap, incense, massage<br />

oils, etc. Products are used in spa industry that is fast growing in<br />

the world and the Southeast Asian region (tourism market<br />

segment)<br />

Men is a growing market segment.<br />

Woody scents may be interesting to<br />

The market.<br />

3<br />

53


10/10/11<br />

Biopesticides / Agro-chemicals<br />

Biopesticides / Agro-chemicals<br />

FPRDI test showed bioactivity against fungi and study on<br />

another dipterocarpus resin claim that four labile<br />

sesquiterpenoids related to alpha-gurjunene are responsible<br />

for resin’s termicidal and anti-fungal activity. The same study<br />

demonstrated that the resin had insecticidal chemicals such as:<br />

alloaromadendrene, humulene and caryophyllene<br />

Lab results show that chemical composition of resin sourced<br />

from <strong>Cambodia</strong> has 4.84% of Allo-aromadendrene with<br />

some humulene and caryophyllene.<br />

Bio-pesticides are made to be less toxic and only have an<br />

effect on target pests. They are pest control that contributes<br />

to reduction of pest population and increase food production.<br />

Extracts and compounds from plants have become direct or sources<br />

of agents against agro-pathogens. Current uses include the control<br />

of insect pests, microbial pathogens and weeds. (Lubbe 2011).<br />

Recent developments have projected essential oils as safe and<br />

commercially viable green pesticides. (Koul et al 2008).<br />

High-growth rate industry estimated at 10-20% / year.<br />

Driven by the growing organic farming market a $54.9 billion<br />

industry growing steadily.<br />

Growing demand for fungicides that are seen by farmers as drivers<br />

of quality and yield.<br />

Mammalian toxicity of existing termiticides has created a demand<br />

for healthy and ecological termiticides.<br />

Biopesticides / Agro-chemicals<br />

This is a young industry with lots of opportunities for growth.<br />

Different market segments offer suppliers different market<br />

sizes. From organic farms to household gardeners. Growing<br />

demand for fungicides offer the dipterocarpus resin some<br />

opportunities. Different segments also offer different specific<br />

demands (i.e fungicide, herbicide, insect repellants, termiticide,<br />

etc.) Pesticides based on gurjun balsam oil can be explored.<br />

While the market demand for green pesticides is growing, the<br />

industry’s growth is constrained by the changing and<br />

demanding regulations for the registration and release of new<br />

products in the market.<br />

Green Construction: Natural Paint &<br />

Coating and Adhesives<br />

Dipterocarp resins are traditionally used as varnish and<br />

sealants.<br />

Drivers of this market are consumer demand as well as<br />

regulations towards greener standards.<br />

Small companies have emerged to meet demands of markets.<br />

Big companies are also exploring green products.<br />

Major markets such as the USA, Europe, China, India and the<br />

Gulf states are adopting green building at dramatic rates.<br />

Natural Paints and Finishes refer to those made from natural<br />

raw ingredients such as water, plant oils and resins, plant dyes<br />

and essential oils; natural minerals like clay, chalk and talcum,<br />

milk casein, natural latex, beeswax, earth and mineral dyes.<br />

Fine Arts<br />

<strong>Resin</strong>s are traditionally used as coating for<br />

paintings.<br />

A growing niche market of encaustic painters that<br />

make use of hard resins and beeswax for their art.<br />

Online markets offer hard resin crystals and damar<br />

varnish to coat paintings.<br />

<br />

Geographical segmentation of<br />

Markets<br />

Regional<br />

Spa & Tourism Industry (Thailand, SEA)<br />

Paint & Varnish & Sealant Industry (Vietnam)<br />

<strong>Resin</strong> (Vietnam,<br />

Cosmeceuticals (Thailand)<br />

International<br />

Fragrance (Europe, USA, Emerging markets – India, China, Russian<br />

Fed.<br />

Green construction (Europe)<br />

Aromatherapy (USA, Europe)<br />

Fine Art<br />

Biopesticides<br />

4<br />

54


10/10/11<br />

Conclusion<br />

Whether as oleoresin or as separate essential oil and resins,<br />

the dipterocarpus spp. <strong>Resin</strong> is an important ingredient to many<br />

industries.<br />

Further research on the properties of the <strong>Cambodia</strong>n<br />

Dipterocarpus oleoresin and product development need to be<br />

done in order to take advantage of the opportunities offered<br />

by the market.<br />

As E.O. are affected by different factors, a pilot to test the e.o<br />

of the <strong>Cambodia</strong>n Dipterocarpus spp. Oleoresin in the market<br />

is needed.<br />

Market offers different segments that can accommodate the<br />

sustainable volume of production.<br />

5<br />

55

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