A thesis submitted in partial fulfillments oi the requirements for the degree of Master or Science

Thesis (M.Sc.) - Asian Institute of Technology, 1984

An empirical study is done to appraise the economic performance of a communal Tree Farm Program in flayang Bacong, General Luna, Quezon, Philippines. The program aims at improving the socio-economic conditions of farmer-participants and, at the same time, complement the reforestation efforts of the government. Primary and secondary data from the project site are analyzed using a descriptive method and economic evaluation techniques such ad Benefit-Cost Ratio (BCR), Net Present Value (NPV) and Internal rate of return (IRR). Detailed cost and benefit items with and without the project are identified, valued and compared using the three economic criteria. The results of the study indicate the technical, economic and financial feasibility of agroforestry schemes employed in communal Tree Farms (CTF) as indicated in the values of Benefit-Cost Ratio (BCR) at incremental values which are ball at acceptable levels. Hence, there are indications for a justification of the investment. However, although a certain degree of success has already been attained by the project, more problems that have to be solved are observed. Thus, there is still much to do in terms of research, in depth evaluation of providing additional credit, effective technology diffusion, effective farmer organizations and other institutional aids needed by the farmers of the area.