Economic Valuation of Coastal Ecosystems in Bago Region of the Gulf of Mottama

The Gulf of Mottama (GoM), situated on the southwestern coast of Myanmar, is a dynamic intertidal system with distinct hydrological features. The area is shaped by the influence of the Sittaung, Thanlwin, Irrawaddy, and Yangon Rivers, resulting in a unique turbid environment characterized by fast-moving tidal bores. The complex tidal regimes contribute to the erosion of the coastline and the formation of expansive intertidal mudflats, covering over 130,000 hectares. These mudflats, rich in nutrients, sustain benthic communities and support diverse marine species, making the GoM a critical habitat for both residents and migratory birds. The ecosystems surrounding the gulf, including coastal grasslands and sparse mangroves, further enhance its ecological significance. However, the GoM faces threats including erosion, overexploitation of resources, and ecosystem degradation due to conversion into farmland. To address these issues, the Gulf of Mottama Project (GoMP) focuses on sustainable resource management, alternative livelihoods, and community-based conservation efforts. Given the complexity of its ecosystems and their significance, the information on economic values of ecosystem services is crucial for effective decision-making. The study aims to determine the economic values of key coastal ecosystems (mangroves, mudflats, coastal grasslands, rivers/sea) and compare these values with those generated by converted rice fields.

The study informed that coastal ecosystems within the GoM offer substantial economic value to local communities, particularly in provisioning and regulating services. Through an assessment of six villages across the Bago Region, each household on average receives services valued at approximately around 5.37 million MMK (~ 2,558 USD) of which provisioning service accounted for 4.29 million MMK (~ 2,041 USD) and regulating for 1.09 million MMK (~ 512 USD). These findings varied across villages, influenced by proximity to coastal ecosystems and resource reliance. However, rivers and the sea consistently serve as vital sources of harvestable resources. Among these services, provisioning holds the most economic importance, contributing significantly to the overall value. The mean annual household income from provisioning services from mangrove is accounted for 21,000 MMK (~ 10 USD), 952,776 MMK (~ 453 USD) from mudflats, 309,429 MMK (~ 147 USD) from grassland, and 3 million MMK (~ 1,430 USD) from river/sea. In regions with extensive mangrove cover, protection against natural hazards gains economic significance. Amid these benefits, many households perceive negative changes in coastal ecosystems over the past decade. Comparing economics value to agricultural land to coastal ecosystems was unfeasible in Bago as the ecosystems are not yet converted into farmlands. In addition, due to the coastal changes, the sediments were starting to accrete on the western bank of the GoM or Bago Region. Therefore, the land tenure for agricultural use or conservation use on newly formed land will become one of the land use issues in the Bago region.

Above all, it is critical to protect and possibly extend the coastal ecosystems and these efforts should include local community through sustainable resource management. Such measures may include regulation of fishing activities, development of community managed conservation zones, as well as creating wider stakeholders’ awareness on the values of the ecosystems. Optimizing conservation efforts necessitate a cost-benefit analysis approach to target areas with high ecosystem service values relative to costs. It is also needed for further investigations into the socio-economic consequences of conservation measures that are applied in these coastal areas and identification of appropriate conservation approaches through inclusive consultation procedures. The collective information will be utilized as an advocacy tool; to seek out the government support and collaboration with stakeholders; for developing comprehensive land use plan, putting priority on sustainability instead of converting coastal areas to farming and reclamation of degraded land without compromising coastal habitats.

Published By: 

Gulf of Mottama Project (GoMP)

Published Date: 

September 2023
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