Bhutan's Renewable Natural Resource Sector:

The Way Forward

Chair: Mark LaPrairie, Bhutan Country Manager

Presenter: Garry Christensen

Discussant: Aidan Gulliver, Senior Economist FAO

Bhutan’s renewable natural resource (RNR) sector has benefitted from significant investment in physical and institutional infrastructure during the last ten years. The expansion of farm roads has improved access to mountainous rural areas, and the public institutions responsible for strategic planning, policy formulation, research and extension are now well established. Significant structural change has occurred in response to these investments, but these changes have yet to translate into strong aggregate growth. Pronounced growth in the production and sale of fruits and vegetables by commercially oriented farmers has been offset by a contraction of the traditional cereal crops grown for on-farm consumption, particularly maize. These divergent trends are likely to continue. The review examines the implications of these structural changes for future policy and investment in the RNR sector. Particular emphasis is given to the need to alter the role and focus of the public institutions involved in marketing, research and extension in response to these structural changes in order to achieve a better balance between public and private sector engagement in farm output and input markets, and to strengthen private sector institutions and activity.

Light refreshments will be served