The Adoption of Silvofishery System to Restore Mangrove Ecosystems and Its Impact on Farmers' Income in Mahakam Delta, Indonesia

Abstract

To solve a severe issue on mangrove loss and to maintain farmer livelihood in Mahakam Delta, the silvofishery system adopted by farmers have been signed into the design and implementation of recovery management strategies for mangrove ecosystems of Indonesia. Previous studies show that the silvofishery system positively impacts the livelihood of coastal communities. This study evaluates the factors that affect farmers' decision to adopt the silvofishery system in the Mahakam Delta and investigates the causal impact of adoption to their income. Cross-section analysis of 284 farmers through face-to-face interviews from two sub-districts within the Mahakam Delta was used. A logit model to analyze the adoption determinant and the propensity score matching technique to determine the causal impact of the silvofishery system on farmers' income. A prominent feature of the study shows that in socio-economic characteristics, family size and residence status are key determinants of farmers' decision to adopt silvofishery. Also, social capital, the current mangrove condition and recognition of benefits from mangroves as nursery ground have a robust and significant positive impact on farmers' decision. The average treatment effect for the treated (ATT) after matching using single and five nearest neighbor matching (NNM) with replacement and common support displays a positive impact of silvofishery on annual income per hectare of farmers. This study demonstrates that focus on community involvement coupled with information dissemination, education, and communication about the importance of mangroves and the silvofishery system application in the Mahakam Delta mangrove ecosystem.