Economic valuation of forest conservation: the relative contribution of the variables affecting forest degradation in Western Mexico

Participation of forest communities in forest conservation management could increase the potential to achieve the goal of reducing emissions from forest degradation and mitigate climate change effects. Forest conservation requires a change (or cease) in economic activities that are traditionally practiced by forest communities which contribute to forest degradation. In this study we estimate the minimum amount of compensation required to forgo the main activities contributing to forest degradation. In order to do so, data collected from interviews made to farmers in Western Mexico were used. Results from the conditional logit model show the relative importance the interviewed farmers give to the traditional agricultural system, cattle grazing and lumber extraction (firewood and construction posts). Without proper compensation, restriction of these activities would affect the livelihood of forest communities and hold back farmers willingness to participate, conditioning the success of forest conservation. These results identify some challenges for international climate change mitigation policies, such as reduction of emissions from deforestation and forest degradation (REDD+).