Commercialization of Nature: Can Market-Based Mechanisms Deliver Positive Conservation and Development Outcomes?

Abstract

Over the past two decades, market-based approaches to natural resources conservation have become a focus in national and international arenas. They are regarded as a means to finance biodiversity conservation. The approaches have emerged, partly because of global environmental challenges as well as a response to growing criticisms levelled against the efficiency of conventional approaches to natural resources conservation. Drawing from numerous case studies, this article aims to demonstrate the extent to which these approaches have managed to deliver win-win outcomes as claimed by its proponents. It synthesizes literature from the current experiences of market-based approaches, and assesses its success with respect to economic, social and environmental impacts. The article contributes to the growing debate about the role of environmental markets for biodiversity conservation and development. The article concludes that despite some weaknesses that market-based conservation approaches exhibit, they are the vital component in efforts to combine conservation and development.