Economic analysis of protecting cinnamon resources in Kerinci-Seblat National Park, Kabupaten Kerinci, Jambi Province, Indonesia

Two-fifths of the respondents stated cinnamon farming as their only source of income. More than 40 percent cultivated less than one hectare. The mean cultivated area for cinnamon was 1.8 hectares per household. There were about 2,443 cinnamon trees per farm with mean stand age of about 8 years. The respondents consider KSNP [Kerinci-Seblat National Park] as providing important services to them especially water for their farms and households. Eighty-eight percent of the farmers expressed their willingness to accept compensation for the opportunity lost due to the implementation of cinnamon protection program. Three alternative management schemes were considered in addressing the problems, needs, issues and opportunities affecting the cinnamon farmers: 1) the traditional cultivation system (without protection) will be continued, 2) alternative 1 (with protection), farmers will not be given compensation and there is no sharecropping, and 3) Alternative 2 (with protection), farmers will be given compensation and there is sharecropping. Benefits expected to be derived from cinnamon protection program include increase in net product value, decrease in replacement cost associated with soil erosion and government revenues from sharecropping and cinnamon product charges. Costs include labor, materials, working capital, replacement of nutrients lost due to soil erosion, marketing cost, and protection activities. This study recommends the adoption of the management option in which harvesting of the cinnamon is permissible at 25 years of age; the farmers will not be given compensation fee, and there is no sharecropping to be applied between the farmers and the government. In order to improve the implementation of cinnamon protection program, the following are suggested: 1) an integrated and coherent legal and policy framework, 2) devolution and decentralization of resource management functions and responsibility, 3) provision of training and manpower development to KSNP personnel on the new concept of Integrated Conservation and Development Program (ICDP), 4) respect and promotion of indigenous knowledge and property rights, and 5) expansion of research to other cinnamon areas that may require similar protection program