Forest Products, Livelihoods and Conservation

(Darren Dugan) #1
162 The woodcarving industry in Kenya

adulterated carvings, cracking and making of smaller sized products among
other workarounds (Figure 3). These effects need to be urgently addressed in
the interest of conservation and to provide an assurance for the livelihoods of
carvers and their families.
The growth of the industry in terms of new entrants has resulted in many
management problems within the existing groups and co-operatives, already
riddled with poor management, incompetence and corruption. The existence
of many independent carving groups, co-operatives and individuals all
competing for a place in the same carvings market has created a fertile ground
for destructive competition for marketing of carvings so that products are
generally priced below the realistic market price, which ideally should reflect
the prevailing situation of wood scarcity. Low product prices result in low
incomes and enhance the chances of resource mining as carvers make many
more products to meet basic family expenses and other obligations.
A recent study (Choge 2002) has shown that a carver who is a member of
the co-operative system in Kenya is able to make at least 200 complete medium
sized articles per month and trade about 50 of them, earning a net income of
at least US$1,125 per month for sales made through the co-operative (Table
2). The rest of the articles (150, or 75%) may remain unsold for several months
or even years, hence tying up capital for considerable periods. However, most
of the carvers prefer to sell surplus goods to middlemen and other dealers
outside of the co-operatives (who offer instant cash), usually for a fraction of
the actual price (as low as US$1 to US$1.5 instead of the co-operative price of
US$5.6 per product), for an additional US$150 per month if they are lucky.

Approximate number of 200 medium sized carvings
products made per month
Value of products (US$) 1,125
Cost of production (US$) 250
Less taxes (15%) (US$) 743.8
Less marketing charges (10%) (US$) 669.4
Less other overheads (10%) (US$) 602.4
Value of sales made (25%) (US$) 150.6
Tied up capital (75%) (US$) 451.8

Table 2. Marketing scenario of carvings under the existing co-operative
management system in Kenya

Generally, the government has not been directly involved in the woodcarving
industry, particularly regarding policy instruments on regulation of wood supply,
marketing of products, formation of co-operatives and other incentives towards
sustaining the industry—areas that obviously lie within its mandate.

UNDERLYING ISSUES
The accelerating decline of the world’s forests is viewed as one of the greatest
threats to conservation of biodiversity (Myers 1996). Already there is growing

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