SMALLHOLDER TIMBER PRODUCTION AND MARKETING: THE CASE OF<i>GMELINA ARBOREA</i>IN CLAVERIA, NORTHERN MINDANAO, PHILIPPINES

ABSTRACT A survey of the production and marketing system of Gmelina arborea (Roxb.) in smallholder farms was conducted in Claveria. Survey respondents included farmers, who planted and have undertaken their first harvest of Gmelina trees, and sawmill operators in the nearby coastal towns who are processing and marketing Gmelina logs. Average farm size in the study was 2.5 ha. The majority of farmers have planted half or less than half of their farms to Gmelina arborea. The most common method of planting Gmelina is block planting while some farmers planted Gmelina as hedgerows along contour areas. The number of trees planted in these smallholder farms ranged from less than 100 to 1020 trees. Farmers planted Gmelina trees mainly for construction materials for future family houses. However, most of the farmers had to cut and sell their trees to meet immediate financial needs such as payment of their children's schooling and loans, and to buy farm equipment, household appliances, and animal feed. Harvested trees are sold either as timber (unprocessed log) or flitches (processed log). Higher prices are being paid for processed logs (US$ 114.48–161.12 m-3 during the wet season) to cover cutting and sawing costs. Prices of Gmelina products fluctuate seasonally, with higher prices during the dry season due to high demand. Unprocessed logs are sold at US$ 55.12 m-3 during the wet season and can sell as high as US$ 114.48 m-3 during the dry season. Selling timber by boardfoot1 was considered better than crude scaling of whole trees because the former is a more accurate method of estimating wood volume. Lessons learned by farmers include the greater advantages of harvesting the trees during the dry season to fetch better timber prices, cutting trees at full maturity for better wood quality, growing cash crops during the first two years of tree growth, hedgerow planting of Gmelina trees for better soil erosion control, and planting the trees at 3 m × 4 m spacing for optimum growth. There is a big market for Gmelina tree products in Claveria, both locally and internationally. Tree products marketed include wood for house construction and furniture making, slabs for forklift crates and tomato boxes, and for electric posts. However, government policies should be formulated to provide an efficient pricing system and improve the marketing system of timber products in the area as well as in other parts of the country. Government assistance will also be needed to encourage smallholder tree planting to improve the country's timber industry.