Economic analysis of karen farming systems in the Mae Chaem watershed: using the Policy Analysis Matrix methodology

Topographically, Northern Thailand consists of two interdependent ecological/physical zones; hills and valleys. However, the region is dominated by a large portion of hill areas. And these areas have been largely occupied by ethnic minorities such as Karen, Hmong, and Lisu who have traditionally practiced shifting cultivation (Burling 1965) During the past three decades, large changes have been occurred in the area through the process of development. Such changes, in return, create profound impact on various existing social and physical aspects. So far, we have witnessed problems of land shortage, enormous deforestation, soil erosion, decreasing water supply for domestic and agricultural uses, and conflicts between hill farmers and lowland farmers over resource use. These problems are increasingly evident yet there are still no appropriate measures and policies formulated to mitigate such crisis. In contrast, many development projects/programs, carried out in the hills, have aggravated such problems (Uraivan et al. 1988) This study is an early attempt to analyze the present hill farming systems using the Policy Analysis Matrix (PAM) as a tool. This tool is used to calculate costs and benefits in both private and social terms (Pearson and Monke 1989). Profitability will be assessed as it faces farm operators as well as the whole society. The main objective of the study is to assess costs and benefits of current farming activities as well as for an application of the study’s findings in the future highland agricultural development and extension. Given the existing problems in resource management in Northern Thailand, the study will be of great benefit in promoting sustainable resource management and development of the region.

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