Valuing ecological goods and services: an analytical framework for policy makers

Organic farming is a significant source of producing Ecosystem Goods and Services (EGSs). They are capable of producing many environmental benefits as well as health benefits. These benefits are utilized by consumers as well as the organic farmers. Recently with the growing concern over environmental and health issues and the fiscal burden of continuing fertilizer subsidy for paddy, the government of Sri Lanka encouraged paddy farmers to engage in organic farming. However, governments’ efforts were not successful and they had to increase the chemical fertilizer subsidy again. This suggests that successful policy needs to be evidenced based and needs to move out of traditional and conventional frameworks. This paper argues that organic paddy farming policies needs to be conceptualized in the perspective of EGSs. Further understanding ways to look at it from demand as well as supply side is quite essential. This paper provides an analytical frame work for evidenced based policy making, looking at promoting organic paddy farming from a EGSs perspective.