Assessing the feasibility of forest plantation of native species: A case study of Agathis dammara and Eusideroxylon zwageri in Balikpapan, East Kalimantan, Indonesia
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Abstract. Setiawan B, Lahjie AM, Yusuf S, Ruslim Y. 2019. Assessing the feasibility of forest plantation of native species: A case study of Agathis dammara and Eusideroxylon zwageri in Balikpapan, East Kalimantan, Indonesia. Biodiversitas 20: 2453-2461. Plantation forest using native species is very important effort to support biodiversity conservation. Still, analysis on its feasibility is needed to guarantee the sustainable forest management. The research aims were to assess the feasibility of plantation forestry of Agathis dammara and Eusideroxylon zwageri based on production models and financial simulation of stands management. The production models were developed based on plantation forests in Balikpapan, East Kalimantan, Indonesia. Using these plantation we developed models to estimate tree volume, total volume per hectare, Mean Annual Volume Increment (MAI) and Current Annual Increment (CAI) for each species. Financial analyses were carried out to assess the Pay Back Period (PBP), Net Present Value (NPV), Net Benefit/Cost (B/C) Ratio, Internal Rate of Return (IRR) and Equivalent Annual Annuity (EAA). The results of production model showed that A. dammara stands would reach optimum production at the age of 25 years while that of E. zwageri at the age of 150 years. A. dammara stands produce higher MAI of 15.67 m3ha-1 year-1 and total volume of 383.72 m3ha-1 than E. zwageri with MAI 1.89 m3ha-1 year-1 and total volume of 282.78 m3ha-1. The result of financial analysis showed that A. dammara plantation had the IRR higher than the Minimum Acceptable Rate (MAR) and the Net B/C Ratio of higher than 1, while E. zwageri had the Net B/C Ratio of lower than 1. A. dammara plantation also had a positive NPV value of IDR 78,699,974 while E. zwageri plantation had a negative NPV value of IDR 91,439,292. These results suggest that developing A. dammara plantation is more desirable than E. zwageri plantation.
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References
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Barkin, D., & Fuente, M. 2013. Community forest management: can the green economy contribute to environmental justice? Nat Res Forum, 37(3), 200–210. https://doi.org/10.1111/1477-8947.12010
Bijalwan, A. 2014. A potential fast growing tree for agroforestry and carbon sequestration in India: Anthocephalus cadamba (Roxb.) Miq. J Agric and For 2(6), 296. https://doi.org/10.11648/j.ajaf.20140206.21
Brockerhoff, E. G., Jactel, H., Parrotta, J. A., Quine, C. P., & Sayer, J. 2008. Plantation forests and biodiversity: oxymoron or opportunity? J Biodivers and Conserv 17(5), 925–951. https://doi.org/10.1007/s10531-008-9380-x
Callaghan, D., Khanal, P., Straka, T., & Hagan, D. 2019. Influence of forestry practices cost on financial performance of forestry investments. J Resour 8(1), 28. https://doi.org/10.3390/resources8010028
Dems, A., Rousseau, L.-M., & Frayret, J.-M. 2013. Effects of different cut-to-length harvesting structures on the economic value of a wood procurement planning problem. J Annals of Operations Res https://doi.org/10.1007/s10479-013-1336-1
Friedrich, S., Paul, C., Brandl, S., Biber, P., Messerer, K., & Knoke, T. 2019. Economic impact of growth effects in mixed stands of Norway spruce and European beech – a simulation based study. J For Policy and Economics, 104, 65–80. https://doi.org/10.1016/j.forpol.2019.04.003
Gardingen V., P. R., McLeish, M. J., Phillips, P. D., Fadilah, D., Tyrie, G., Yasman, I., Gatot Subroto, J. 2003. Financial and ecological analysis of management options for logged-over Dipterocarp forests in Indonesian Borneo (Vol. 183). https://doi.org/10.1016/S0378-1127(03)00097-5
Guzmán, N., Moya, R., & Murillo, O. 2017. Evaluation of bent trees in juvenile teak (Tectona grandis L.f.) plantations in Costa Rica: effects on tree morphology and wood properties. J For 8(3), 79. https://doi.org/10.3390/f8030079
Hartoyo, A. P. P., Siregar, I. Z., Supriyanto, Prasetyo, L. B., & Thelaide, I. 2016. Biodiversity, carbon stocks and community monitoring in traditional agroforestry practices: preliminary results from two investigated villages in Berau, East Kalimantan. J Procedia Environ Sci 33, 376–385. https://doi.org/10.1016/j.proenv.2016.03.088
Khasanah, N., Perdana, A., Rahmanullah, A., Manurung, G., Roshetko, J. M., & van Noordwijk, M. 2015. Intercropping teak (Tectona grandis) and maize (Zea mays): bioeconomic trade-off analysis of agroforestry management practices in Gunungkidul, West Java. Agrofor Syst 89(6), 1019–1033. https://doi.org/10.1007/s10457-015-9832-8
Lahjie, A. M., Isminarti, I., Simarangkir, B. D. A. S., Kristiningrum, R., & Ruslim, Y. 2018. Community forest management: comparison of simulated production and financial returns from agarwood, tengkawang and rubber trees in West Kutai, Indonesia. J Biodivers 19(1), 126–133. https://doi.org/10.13057/biodiv/d190119
Lahjie, A. M., Simarangkir, B. D. A. S., Kristiningrum, R., Ruslim, Y., & Lepong, A. 2018. Financial analysis of dipterocarp log production and rubber production in the forest and land rehabilitation program of Sekolaq Muliaq, West Kutai District, Indonesia. J Biodivers 19(3), 707–716. https://doi.org/10.13057/biodiv/d190301
Latifah, S., & Sulistiyono, N. 2013. Carbon sequestration potential in aboveground biomass of hybrid eucalyptus plantation forest. J Tropical For Manag 19(1), 54–62. https://doi.org/10.7226/jtfm.19.1.54
Lahjie A..M, Nouval B, Annisa A.L, Ruslim Y, Kristiningrum R. 2019. Economic valuation from direct use of mangrove forest restoration in Balikpapan Bay, East Kalimantan, Indonesia. J F1000 Res
Linger, E. 2014. Agro-ecosystem and socio-economic role of homegarden agroforestry in Jabithenan district, North-Western Ethiopia: implication for climate change adaptation. J SpringerPlus 3(1) 154. https://doi.org/10.1186/2193-1801-3-154
Muliadi, M. 2017. Bioeconomic and environmental valuation of dipterocarp estate forest based on local wisdom in Kutai Kartanegara, Indonesia. J Biodiver 18(1), 401–408. https://doi.org/10.13057/biodiv/d180152
Nghiem, N., & Tran, H. 2016. The biodiversity benefits and opportunity costs of plantation forest management: a modelling case study of Pinus radiata in New Zealand. J For 7(12), 297. https://doi.org/10.3390/f7120297
Nouri, Z. 2015. Comparison of woody species diversity between managed and unmanaged forests considering vertical structure in Hyrcanian forests, Iran. J Biodiver 16(1), 95–101. https://doi.org/10.13057/biodiv/d160113
Price, C. 2011. Optimal rotation with declining discount rate. J For Economics, 17(3), 307–318. https://doi.org/10.1016/j.jfe.2011.02.013
Price, C., & Willis, R. 2011. The multiple effects of carbon values on optimal rotation. J For Economics, 17(3), 298–306. https://doi.org/10.1016/j.jfe.2011.02.002
Romero-Noguera, J., Martín-Sánchez, I., López-Miras, M. del M., Ramos-López, J. M., & Bolívar-Galiano, F. 2010. Biodeterioration patterns found in dammar resin used as art material. J Electronic Biotechnology 13(3). https://doi.org/10.2225/vol13-issue3-fulltext-7
Ruslim, Y. 2011. Penerapan reduced impact logging menggunakan monocable winch (pancang tarik). 8.
Ruslim, Y. 2016. Stand damage due to mono-cable winch and bulldozer yarding in a selectively logged tropical forest. J Biodivers 17(1), 222–228. https://doi.org/10.13057/biodiv/d170132
Sandalayuk, D., Lahjie, A. M., Simarangkir, B. D. A. S., & Ruslim, Y. 2019. Analysis growth and makro hara elements Jabon (Anthocephalus cadamba), Jati (Tectona grandis) in Gorontalo. IOP Conference Series: Earth and Environ Sci 270, 012045. https://doi.org/10.1088/1755-1315/270/1/012045
Sarjono, A., Lahjie, A. M., & Ruslim, Y. 2017. Carbon sequestration and growth of Anthocephalus cadamba plantation in North Kalimantan, Indonesia. J Biodivers 9.
Sawada, Y., Aiba, S., Seino, T., & Kitayama, K. 2016. Size structure, growth and regeneration of tropical conifers along a soil gradient related to altitude and geological substrates on Mount Kinabalu, Borneo. J Plant and Soil, 403(1–2), 103–114. https://doi.org/10.1007/s11104-015-2722-z
Siagian, K. 2011. Tabel volume pohon Agathis loranthifolia. Thesis. Forestry Faculty of Bogor Agriculture Institute, Bogor. 16. [Indonesian]
Soares, M., & Lahjie, A. M. 2019. Analisis produksi kayu bulat dan peluang usaha bagi hasil jenis Shorea leprosula dan Shorea smithiana di PT Inhutani I Bukit Bangkirai Balikpapan. 12.
Suharja, I. 2017. Riap tanaman Ulin (Eusideroxylon Zwageri Teijsm and Binn) di KHDTK Samboja Kecamatan Samboja Kabupaten Kutai Kertanegara Provinsi Kalimantan Timur. J Agrifor. (16) 1.
Vavrek, P. R. 2014. Use of financial analysis in compiling a risk. Management Faculty of Prešov University, Konštantínova, Prešov (2) 1 27-35.
Wati, H. 2012. Model struktur tegakan hutan tanaman Agathis (Agathis loranthifolia) di hutan pendidikan Gunung Walat. Thesis. Forest Management, Forestry Faculty of Bogor Agricultur Institute, Bogor. 16. [Indonesian]
Zahabu, E., Raphael, T., Chamshama, S. A. O., Iddi, S., & Malimbwi, R. E. 2015. Effect of spacing regimes on growth, yield, and wood properties of Tectona grandis at Longuza forest plantation, Tanzania. International J For Res 2015, 1–6. https://doi.org/10.1155/2015/469760
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