NORTHERN RESOURCE MANAGEMENT

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The project is designed to provide the basis for the sustainable and economically efficient use of land resources in Azad Jammu and Kashmir (AJK), which ranks with the country's poorest and most environmentally fragile areas. The project has three broad fronts: (i) improving the policy framework within AJK for the use of land resources; (ii) restructuring and strengthening the main institutions that help manage and protect the land resources in AJK; and (iii) testing, on a pilot basis, programs whereby communities take full responsibility for planning and implementation of activities covering land resources in the communities. Under (i) above, input production and distribution programs will be phased out through a program for transfer of these activities to the private sector. Associated with the transfer is a program for the phased elimination of subsidies on inputs. The specific activities for transfer and subsidy removal are production of vegetable seed, seed potato, fruit tree and forest tree seedling production; field crop seed, and fertilizer distribution and poultry vaccination. Changes will also be made to the current practices and policies that apply to community approaches to the management of communal lands. Under (ii), the project will restructure and streamline the Department of Agriculture (DOA), the Department of Animal Husbandry (DOAH), and the Department of Forestry (DOF). The effect of these measures is an overall net reduction in public sector staff. The Planning and Economic Services will be moderately expanded to enable analysis, planning, monitoring and evaluation. A Social Forestry Wing will be added to DOF to assist in community participatory approaches to management of communal lands, extension training, soil conservation and range management. AJK's Planning and Development Department will be supported by staff for environmental screening and land use planning. It will also be strengthened by a Privatization and Reorganization Unit to be established temporarily and to be responsible for phasing out the production and input distribution activities, input subsidies and re-deployment of staff. Under (iii), pilot schemes will be introduced in five areas where farmers will take on responsibility for the planning, execution, and financial management of the resource management programs. A Social Mobilization Unit will be established to assist communities, including women in forming groups. A rural road improvement program will support the economic viability of the pilot schemes.