**3.1.2 Largest problem and background**

The biggest problem that the cooperative is now facing is managing the large area of the planted forest, in particular, thinning it. Generally, in Japan, the difference between the selling price of a log and the actual logging cost is small or even negative for many forest sites. Accordingly, thinning activities tend to be put off.

Final cutting was last conducted in 2001. The total forest area for thinning between 1992 and 1995 was 45 ha, whereas that in 2003 was 2 ha and that between 2007 and 2009 was 33 ha. These values are extremely low compared to the area of planted forest.

Recent Problems and New Directions

do not have full-time staff.

to grow.

**3.2.1 Description** 

**3.2 Case 2 (Mie Prefecture) 28**

might turn to the forest owned by the cooperative.

management of their forested and non-forested land.

for Forest Producer Cooperatives Established in Common Forests in Japan 169

First, this cooperative is the first among 3,224 cooperatives that challenged joining the J-VER Scheme24. The forerunner of many forest producer cooperatives is common forest originating from the Edo Period, and the common forest had been utilized among a limited number of residents. Generally, the management policy of such forests seems to be limited, thus, the cooperative is isolated from global environmental issues. As there are many forest producer cooperatives, future expansion of the J-VER Scheme might be expected, but it is difficult to rapidly increase forest for carbon offset in cooperatives, due to the current complex and cumbersome procedures and the fact that most cooperatives

Second, the introduction of the carbon offset program is related to the relationship between the younger generation in the community and forest owned by the cooperative. The profits from timber production and the direct or indirect distribution of the profit are tangible results to residents, including the younger generation. The past common forest had brought various tangible results to the rights holders of the forest. However, younger people tended to work outside of their community, and were far removed from agriculture and forestry. As a result, their concern for the forest owned by the cooperative has been decreasing. One important challenge is to renew the involvement of younger people in the forest. Despite the stagnation in timber production, the forest resources owned by the cooperative will contribute to the carbon offset program under the J-VER Scheme, and thus younger people

A third activity is to enhance the partnership between forest owners among districts. Carbon credits based on the forest owned by the cooperative and jointly owned private forest located next to the cooperative's forest are for sale as one credit. After their sale, the profit will be distributed among those involved25. The cooperative and the jointly owned private forest participate in the same forestry promotion group and recently planned the construction of a new skidding road that passes both forests. The jointly owned forest was certified by the Sustainable Green Ecosystem Council (SGEC)26, which is a Japanese forest certification organization, and now the cooperative is considering obtaining forest certification. This new movement could lead to collaboration with the credit purchaser for the purpose of carbon offset in city areas. According to a newspaper report27, the profit from carbon credit sales would be used for forest management in the area where the cooperative is located. Thus, the number of people concerned with the forest is expected

This cooperative was founded in 1960, to consolidate the municipalities at that time and to prevent common forest from being absorbed into the new municipal government after consolidation. Thus, all of its members are residents of a village, which was ultimately consolidated into a new municipality. In 2009, the total number of members was 505 (Mie Prefecture, 2010). The area of forest is 23.8 ha, including 21.4 ha of planted *Cryptomeria japonica* and *Chamaecyparis obtusa* forest. The age of the planted forest is approximately 40 years. The cooperative is holding lands other than forest, of which the largest and most important is land for a golf course. The management is generally good, as the cooperative can collect rent from a golf company every year. The main work of the cooperative is

Thinning is necessary in a planted forest, particularly in a dense plantation, to direct the current forest stand to the targeted forest stand, and in this sense, a delay in thinning or changing the method are generally permitted. However, problems20 related to thinning have become more political and more complex since the Kyoto Protocol in 2008. The government promised a 6% reduction in greenhouse gasses compared to the base year, including a 3.8% contribution to the carbon sink of domestic forest resources. Thinning must be conducted in the planted forest to fulfill the national target. Without thinning, the planted forests are not considered well managed. Hence, thinning activity is now under political and social pressures related to the Kyoto Protocol, which is unconcerned with forestry activities. The Forestry Agency is now promoting thinning throughout Japan. In 2008, a special measure promoting thinning was enacted21. This is a typical problem being experienced by forest producer cooperatives.
