- University: University of Copenhagen
- Place of defence: Copenhagen
- Keywords: Bioeconomy, Constraints, Opportunities, Pines resin, Processing firms
Abstract
Research on environmental products, their processing firms, and global trade has been growing, however, existing studies largely focus on timber-based products within forest- based bioeconomy. This limits the attention to environmental products especially in low-income countries. This study uncovers and explains the production network through the lens of global production network theory, opportunities and limitations of pine resin processing firms within Nepal’s forest-based bioeconomy, focusing on Sudurpaschim and Lumbini provinces. Quantitative and qualitative data were generated from semi-structured surveys of resins processing firm(n=9), key informant interviews (n=3) and focus group discussion(n=10). In 2023/24, the processing firm across both provinces produce or collects 5505.61 metric tons of crude resin from Sudurpaschim province and processed into 4074.1514 metric ton of rosin and 935.9537 metric ton of turpentine oil worth of maximum of NPR 853094.2695 and minimum of NPR 596257.563 (1USD= 131.60). GPN analysis reveals strong vertical integration- enterprises manage resources access, tapping, processing and export- yet are obstacle by single-market dependence, labor shortage and bureaucratic inefficiencies. Value creation is embedded in community forest tenure system, with NPR 12/kg royalties to CFUGs, while value enhancement is concentrated in different grades of rosin at firm level. Value is captured from collection to export. Opportunities lie in technological advancement, domestic market development, training and high wage to labors and institutional reform that could strengthen Nepal’s position in global forest-based bioeconomy.
