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Cost effectiveness of agroforestry



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Cost effectiveness of agroforestry
Half  of  the irrigated soils in Uzbekistan are affected by varying degrees of  salinization due to 
natural factors and inappropriate land management. About 80 thousand hectares of  land are 
completely or partially abandoned. The completely abandoned lands undergo further salinization
waterlogging and fertility loss. The partially abandoned lands (with a fertility grade below 20) are 
still used for animal grazing, but no longer for arable crops due to their reduced cost effectiveness 
for farmers. However, such lands can return to profitability after they have been ameliorated as 
a result of  agroforestry (agro-sylviculture) practices involving the creation of  small plantations of  
multipurpose tree species that are tolerant to salinization, waterlogging and drought.
Experimental mixed plantations of  Russian olive (Elaeagnus angustifolia), Euphrates poplar (Populus 
euphratica) and Siberian elm (Ulmus pumila) were created on highly saline soils within the regions of  
Khorezm and Karakalpakstan within the framework of  the ZEF/UNESCO Project [9].
Calculations of  the forestry business income and expenses for a period of  7 years were based on 
assessing the net present value (NPV) after subtracting the 14% discount and adding possible income 
from selling forest produce (e.g., firewood, leaf  fodder and fruit) and potential carbon sequestration 
subsidies within the framework of  the Clean Development Mechanism. For comparison, the NPV 
was also calculated using the data on wheat and cotton productivity on poor soils in the Khorezm 
Region (Table 6.3.3.).
The cultivation of  the annual crops (winter wheat and cotton) on marginal lands resulted in 
financial losses of  52 to 231 Euro/ha even with sufficient irrigation. The NPV of  different tree 
plantations on marginal lands ranged from 415 to 3934 Euro/ha. Carbon sequestration subsidies 
(97-271 Euro/ha) constituted 5-20% of  the total profit from agroforestry. Such subsidies can help 
with the further practical implementation of  agroforestry of  degraded lands.

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