Lao PDR

Villagers tend to crops between the eucalyptus trees. Photo©Stora Enso

A Socioeconomic Impact Assessment (SIA) on the Stora Enso Plantation Project in Lao PDR presents a study of the impact of the project on the social and economic fabric of local communities. UNDP believes the findings can make a positive contribution to the country's investment practices and offer a best practices example for large scale investment projects.

By clearing unexploded ordnance (UXO) from the land, making space for rice production between the eucalyptus trees, and employing and training local villagers, Stora Enso has created eucalyptus plantations in Savannakhet and Saravane which produce both trees and food. This unique model, which has had a positive impact on crop production among the families in the area, promotes community development while enabling business.

Community-oriented investments in Lao PDR are crucially important to create local employment and wealth to contribute to the well-being of Lao people. In addition, the SIA is also an example of a successful public private partnership which aims to ensure quality investment for the country.

UNDP Lao PDR hopes the successful results of this partnership with the private sector will prompt interest from other large scale commercial and public projects and potentially serve as a model for similar SIAs to be conducted in Lao PDR. UNDP globally supports the promotion of PPPs, which have been increasingly recognized as an effective and appropriate mechanism with which to manage development challenges and the achievement of the MDGs.

For the full report please click here

Please click here for the Rapid Biodiversity Assessment for Stora Enso Plantations in Southern Lao PDR conducted by IUCN in 2007.