Advancing small-scale forestry under FLEGT and REDD in Ghana

• FLEGT and REDD reforms are attempting to formalize small-scale forest enterprises.
• Reforms may lead to improved forest governance along domestic timber supply chain.
• Tree tenure remains a stumbling block in promoting a legal and sustainable industry.

In Ghana, small and medium-scale forest enterprises (SMFEs) provide income and livelihoods for three million people and supply a growing domestic timber demand. However, most SMFEs operate in the informal sector, and thus have become a target for current forest sector reforms stemming from Ghana's involvement in two international mechanisms: FLEGT and REDD. This paper examines how SMFEs are being incorporated into FLEGT and REDD plans, and asks whether reforms under these mechanisms will serve to advance SMFEs in the country while tackling illegal and unsustainable forest activities. The analysis shows that FLEGT-related reforms will target governance issues downstream in the domestic lumber supply chain, without tackling a root cause of illegalities and challenges within the SMFE sector: tree tenure. In contrast, REDD planning includes a strong focus on the illusive tenure issue, but to date has placed little emphasis on SMFE promotion. The paper concludes that reforms associated with both mechanisms may work complementarily to advance a legal and sustainable SMFE sector, but only if local communities are incentivized to manage forest and tree resources through clarification of land and tree tenure. Reasons for why tenure reform has been such a sticking point are discussed.