Budget: From 06/2008 to 12/2011 CHF 8,400,000 (approx. US$ 6,720,000)

Partners: Government agencies at both national and provincial levels, international agencies, specialist organisations, and technical and service support to the forestry sector

Implementing Agency: Ministry of Agriculture and Rural Development (MARD)

Project Location: Vietnam

Background:

Of Vietnam's 33 million hectare (ha) total land area, forests cover an area of 12.61 million ha, equivalent to 37% of the total land area, of which about 10.28 million ha is natural forest. Forests have a special importance; providing timber and fuel wood, and a vast array of Non Timber Forest Products, especially for ethnic minorities living in upland areas, generating income and employment, and fulfilling an important role in environmental protection and sustainable development. Due to the role of forests in CO2 reduction and in the country's capacity of adaptation to climate change, this protective role of forest cover will likely increase even further.

Responding to the Government of Vietnam’s (GoV) request, the Forest Sector Support Programme and Partnership (FSSP) was established in 2001, with a Memorandum of Agreement signed between the GoV and 18 international partners, and it has since seen an increasing number of partners, reaching more than 50 to date. Through the FSSP, the Government and international partners aim to maximise the efficient and effective use of all resources applied to the sector, by applying greater harmonisation of donor procedures, government policies and programmes. The establishment of the Trust Fund for Forests (TFF) in mid 2004 was the next effort by the GoV and donors towards a comprehensive support programme and possible Sector Wide Approach. The TFF supports the implementation of the Vietnam Forestry Development Strategy (VFDS) 2006-2020, which prioritises poverty alleviation, sustainable forestry management and economic growth.

Overall Goal:

Support Vietnam in achieving the objectives set out in the VFDS  (2006-2020), in aligning ODA support more closely with the defined priorities, utilising existing Government procedures and facilities, and thus contributing to economic development, poverty alleviation and environmental sustainability

Partners:

The Forest Partnership (FSSP) aims to include all the major institutional stakeholders in Vietnam's forestry sector: Government agencies at both national and provincial levels, international agencies, specialist organisations, and technical and service support to the forestry sector. The major innovation of FSSP is the inclusion of the private sector as well as of the provinces. The Forestry Partnership is organised as a concentric circles model. The outer circle represents all stakeholders interested and involved in the sector. The Partnership is chaired by a Vice-Minister of MARD and co-Chaired by a representative of international donors or organisations.

The Technical Executive Committee (TEC) is a body composed of representatives of the affiliate members, entrusted with the direct guidance of the Coordination Office for the day to day management of the partnership. SDC is currently the representative of bilateral donors to the TEC.

The Trust Fund for Forest (TFF). Decisions are made by consensus by a Board of Directors led by the MARD Vice-Minister and comprising representatives of donors and relevant MARD departments (Finance, Planning, International Cooperation).

Result Expected:

Economic outcome: Three forest types are sustainably established, managed, protected, utilized and developed. Existing natural forests are well-managed, forest plantation areas expanded and their productivity improved, agro forestry activities are strengthened, and bare land areas are used effectively and properly for forestry development. Timber and NTFP production and processing are competitive and sustainable to meet basic domestic needs, and the export of timber products and other forest products. (Vietnam Forestry Development Strategy 2006-2020)

Social outcome: Livelihood for forest-dependent people carried out through socialization and diversification of forest activities is improved. Employment are created, capacity and awareness and livelihoods of people are improved, particularly minority groups, poor households and women in remote areas, so that step-by-step they can gradually earn their livelihoods from forest activities, and contribute to hunger alleviation and poverty reduction, and national defense security. (Vietnam Forestry Development Strategy 2006-2020)

Environmental outcome: Forest protection, natural protection and biodiversity conservation are effectively contributing to watershed, coastal and urban protection, natural disaster mitigation, erosion control, protection of water sources and environmental protection, and creating income sources from environmental services (environmental fees, CO2 market, ecotourism, etc.) for the national economy. (Vietnam Forestry Development Strategy 2006-2020)