CHAPTER V
DISCUSSION
This chapter discusses the results of the study and compares
them with previous studies. The main aim of this study was to examine existing
production and marketing system of agroforestry products in Sindh. For this
purpose primary data were collected on prices paid and purchased for wood and
wood products and their costs. The data were analyzed in order to assess the
marketing structure, margins and net margins. Data revealed that inefficient
marketing channels were found for agroforestry non timber forest products,
because of unawareness among producers. Results also revealed that agroforestry
farmers were engaged in transaction of whole trees, which consist of wood logs,
fire-wood and mining props for generation of their income. Results also
estimated that percentage of wood products produced from wood lags of
Acacia nilotica Block plantation were calculated 50 percent
mining-timbre, 10 percent timber logs and 40 percent fire-wood, where, the
scattered and shelterbelt trees of Acacia nilotica yield 16 percent of
mining props, 38 percent timber and 46 percent of fire-wood. Eucalyptus
contained 12 percent mining props, 43 percent timber and 45 percent
fire-wood. Keerio (1997) also reported that wood material produced from
Hurry or block of Acacia nilotica, of which about 67 percent
is mining timber and the remainder 33 percent is fire-wood. Keerio reported
higher percentage of mining-timber, because his study was based on entire Sindh
province while, this study was limited to four districts.
Results exposed that average price Rs 50 paid by Local
assembler per 40 kg of wood legs of Acacia nilotica block owner, which
was estimated that Rs 17 spend as marketing costs, including cutting, loading
unloading and transportation, price received
Rs 83 per 40 kg, which was weighted average price based on the
percentage of wood products sold by the Local Assembler, net margin was Rs 15
per 40 kg, apart from that he also purchased Scattered and Shelterbelts trees
and paid price Rs 63, where marketing costs per 40 kg, including cutting,
loading- unloading and transportation Rs 17, he received price Rs 88 per 40 kg,
which was calculated on weighted average price of the products sold and thus he
took Rs 7 as net margin per 40 kg. Contract agent of mining props purchased
props for Rs 83 per 40 kg and sold to coal mine for Rs 103 per 40 kg, where his
expenditure at transportation only, was Rs 15 per 40 kg, thus his net margin
was Rs 5 per 40 kg. Saw mill purchased timber logs for Rs 103 per 40 kg, after
processing he sold processed timber and fire-wood at weighted average price of
Rs 130 per 40 kg, where marketing cost was only Rs 16 per 40 kg, where net
margin took by saw mill owner was Rs 11 per 40 kg. From findings of field
survey the retailer, purchased fire-wood from Local Assembler as well as from
Saw-mill at Rs 77 per 40 kg and sold to consumers at Rs 92 per 40 kg, where he
made marketing cost Rs 6 per 40 kg, thus his net margin was Rs 9 per 40 kg.
Siddiqui (1993) estimated that retailers purchased fuel-wood at Rs 36 per 40 kg
and sold at Rs 64, where marketing costs per 40 kg were Rs 21, thus his net
income was Rs 7 per 40 kg. Siddiqui estimated Rs 7 as net earnings for retailer
on fire-wood in Peshawar area, where in this thesis net margin of Rs 9
estimated for retailer, which based in Sindh province, the disparity may be due
to regional differences or nature of trade.
The results on margins of Eucalyptus camaldulensis
wood products presented as the average price Rs 61 per 40 kg paid by Local
Assembler whole trees, where he made marketing costs Rs 17 per 40 kg, which
included cutting, loading- unloading and
transportation, where he received price Rs 85 per 40 kg, was
weighted average price of the products sold, thus his net margin was Rs 7 per
40 kg. Mining props purchased by contract agent for Rs 83 per 40 kg and sold to
coal mine for Rs 103 per 40 kg, where his expenditure on transportation only,
was Rs 15 per 40 kg, thus his net margin calculated was Rs 5 per 40 kg. Saw
mill purchased timber logs from Local Assembler for Rs 103 per 40 kg, after
processing sawmill owner sold processed timber and fire-wood at weighted price
of Rs 121 per 40 kg, his marketing cost, included transportation and processing
was Rs 16 per 40 kg, where net margin took by saw mill owner Rs 10 per 40 kg.
In case of retailer, he purchased fire-wood from Local Assembler and Saw-mill
at Rs 77 per 40 kg and sold to bakers, restaurants and households at Rs 92 per
40 kg, where his marketing cost was Rs 6 per 40 kg, thus his net earnings was
Rs 9 per 40 kg. Akbar (1997) resulted that fresh fuel-wood of Acacia
nilotica, Dalbergia sisso, Eucalyptus camaldulensis and Tamarix
aphylla in surrounding towns sold at the rate of Rs.35 per 40 kg, where
dry wood sold at the rate of Rs. 65 to 70 per 40 kg. Akbar estimated that dry
fir-wood sold in Punjab at Rs Rs. 65 to 70 per 40 kg, but for this thesis it
was calculated that on average sale price of fire-wood was Rs 92 per 40 kg, the
great disparity may be due to time and regional differences.
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