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CHAPTER I: INTRODUCTION

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Balancing Ecotourism and Livestock Production Implications for Livelihoods and the Environment in Limpopo Province, South Africa Cheryl McCrindle and Petronella Chaminuka Sponsored by grants from AHEAD and Competing Claims Project Background GLTFCA - an opportunity for diversification of livelihoods and multiple land use practices Adjacent rural areas characterised by: Poverty (>40% unemployment, dependence on social grants). Marginal agricultural potential. Competition for NR and conflicts impedes development and sustainability Background (cont) TFCA suggest ecotourism would benefit communities: land use option? Will communities shift from marginal agriculture to ecotourism? Ecotourism focus is on: Biodiversity conservation, community involvement, improvement in incomes and employment at local levels, Visitor awareness of environmental and cultural conservation Some questions? What are options for ecotourism in TFCA? What economic benefits for communities? Are communities interested, are tourists interested in ecotourism? What are the implications for: Current land use and cultural practices? Livestock production? Job creation? Social infrastructure & rural development? 1

Objectives: to discover What sort of services could communities offer? Would tourists be interested in what communities could offer? How much would tourists be prepared to pay? Is eco-tourism seen as a viable land use option for adjacent communities? Northern side of KNP, next to the Punda Maria gate All within the redline area, Mhinga Traditional Authority Includes 11 villages Two share a border with KNP fence Study Area KNP LIMPOPO PROVINCE 2

Methods Land use options in the study area were explored using: Choice modeling for tourist preferences Participatory methods for community members Key informant interviews 2 Workshops 8 Focus Group Discussions Choice modelling Where market prices are absent, choice modelling can be used to estimate consumers preferences for environmental goods and services The choices individuals make when given several options depend on: Characteristic of the goods in question Other individual specific factors eg age, gender, culture, interests, income of tourist Choice Modelling the approach Hypothetical choices which are dependent on the attributes of the goods, each attribute has different levels, a combination of attributes forms an option, and a combination of options forms a choice set Attributes and attribute levels.doc Design of choice experiments Attributes and levels (Participatory) Accomodation (inside or outside KNP) Cultural tours (Yes/No) Visit craft markets (Yes/No) Fees per extra activity ($0/$20/$40) Respondents choose a preferred alternative from each set, status quo included 3

Data collection December and January of 2008/09 and 2009/10. Shingwedzi, Punda Maria and Skukuza Sample size: 324 tourists interviewed Rural tourist accommodation in study area outside KNP Tourists: Choice modelling to estimate demand and benefits of specific ecotourism alternatives Accommodation? Cultural Tours? Crafts? Results Results are divided into two sections: Results of choice modelling with tourists Results of participatory appraisal with community members 4

Results- Characteristics of tourists Variable Values Freq uency % Sex Income Nationality Female 160 50.22 Male 159 49.78 Total 319 100.00 Less than $12000 61 20.13 $12001 -$25 000 77 25.41 $25001 -$50 000 98 32.34 Above $50 000 67 22.11 Total 303 100.00 European 67 21.07 USA or Canada 19 5.97 SA 200 62.89 Other African 11 3.46 Asian 11 3.46 Australia or NZ 6 1.89 Other 4 1.26 Total 318 100.00 Results- Visitor patterns Variable Values Freq uency % Duration of stay Are you travelling alone? Have you been to KNP before? Are you planning to come back in the next 5 years? Day Visitor 78 24.84 Overnight 236 75.16 Total 314 100.00 No 312 98.11 Yes 6 1.89 Total 318 100.00 No 94 29.75 Yes 222 70.25 Total 316 100.00 No 33 10.56 Yes 280 89.44 Total 313 100.00 Conditional logit estimates Dependent variable- the choice that an individual makes (1, 2 or 3) Independent variables- Attributes & socio-economic characteristics of individual Estimate the influence of each attribute in determining choice Results of the conditional logit model for all tourists Choice Coefficient Standard Error P> z Vill Accom. -1.16 0.07 0.000*** Craft Markets 0.82 0. 09 0.000*** Village tours 1.40 0.09 0.000*** Fees -0.02 0.00 0.000*** 5

Willingness to pay estimates in US$ Choice Coefficients Std E [95% Conf. Interval] Village Acc -75.21*** 17.62-109.73-40.68 Craft markets 53.211*** 10.13 33.36 73.07 Village t ours 90.74 *** 15.59 60.19 121.29 Main points from tourist results Interest in both tours and craft markets, but not in using village based accommodation Tourists avoided selecting an option with village accommodation Price is not a key determinant of choices made Tourist results (cont) Differences in preferences and MWTP : Domestic and foreign tourists For different income groups Tourists willing to pay more for village tours and entrance to crafts markets than villages ask for or are currently charging What does this mean for the development of ecotourism in the TFCA? Limited prospects for success of lodging facilities as part of ecotourism in the TFCAs Communities should rather focus on developing ecotourism packages complementary to KNP e.g. Crafts markets, extensive cultural tourism, agri- tourism? 6

Results Communities: participatory appraisals Key highlights from community debates and dialogue Paths for rural development : Older people more supportive of agricultural- led rural development Youths emphasize importance of small business development and tourism based land uses (diversification of livelihoods) Limited ideas on development of tourism based livelihoods - low value services KNP expected to create more employment Key highlights from community debates and dialogue Requests to facilitate rural development: Increased investment in schools and health centres Better access to business and recreational facilities Improved roads School in study area 7

Preliminary conclusions Needs of tourists and needs of communities do not at present coincide: Tourists want cultural tours and craft markets (African culture) Communities want jobs and social upliftment Further investigation is required to see how these two viewpoints can be integrated to benefit both groups (eg( Crafts market with job creation, cultural visits over new tar road) Some main outputs from seed grant Dialogue and debate on land use options in communities Dialogue on ecotourism development in rural communities Rethinking rural development pathways and the role of agriculture and tourism Some key outputs Information on tourist attitudes and preferences to facilitate decision making in development of community tourism businesses Capacity building for youths Thank you 8

Attributes and attribute levels Attributes Description Levels KNP accommodation Accommodation Arts and crafts market Cultural experience Besides KNP accommodation, visitors can also spend a night in lodges with similar standards in one or more of the surrounding villages of the KNP at the same price In addition to wildlife viewing in the KNP, visitors can visit craft markets, to buy craft witness and learn the process of making them. Crafts include beading, pottery, crocheting and wood carving., Village tour package. 3-4 hours long. Activities include interaction with locals, photography, cultural entertainment group, visit a traditional healer, the Tribal court house and visit cultural village. These activities would come at an additional cost above the KNP entrance fees* Village lodges same price and standards as KNP accommodation plus cultural entertainment No craft market visits Visits to village craft markets No village tours Village tours R 0 ($0) R 160 ($20) R 320 ($40) Additional fee * Exchange rate fixed at $1=R8.00

Choice Set I (2/3) Characteristics Option 1 Option 2 Status quo Accommodation Accommodation in the KNP Village Accommodation similar to KNP standard and price plus cultural entertainment I will not choose any of the two options Craft markets No visits to the craft market Cultural experience Additional Fees Taking a village Tour Visits to KNP craft markets No village tour Please tick one box R 320 ($40) R 160 ($20)