On-farm tree growing continues to boom in the Amhara region, Ethiopia. It is driven by high market demand for construction poles in Bahir Dar, Addis Ababa and the Sudan. Farmers are converting agricultural land back to woodlots and forestry is becoming an important economic activity for thousands of farmers. The policy environment in Ethiopia is favourable and provides secure land tenure. The challenges faced by the smallholders are inadequate knowledge of commercial forestry and weak smallholders' forestry organizations. Support to family forestry services started by a one year pilot project in the Amhara region in 2010. The experiences are positive. The need for support has been confirmed and the twinning partners are working well together. Training has improved knowledge of sustainable forest management and farmers are satisfied with their improved access to forestry services. Market price and value chain information is now available. The project will continue supporting the initial three pilot agricultural cooperatives. The total direct outreach is 846 households. The second year will build on the good results of the first year and focus on facilitating the creation of a sustainable forestry business model with increased financial returns to smallholders. MTK will make technical advisory services available for family forestry through a twinning partnership and the project will provide a full-time local forestry coordinator to support the host organization. The Zenbaba cooperative union will be responsible for implementation and Kyyjärvi Forest Producers’ Association will serve as the Finnish twinning organization.

On-farm tree growing is booming in the Amhara region, Ethiopia. Drivers for this are the high demand for construction poles at main markets and improved land tenure security. Forestry is an important economic activity for thousands of farmers. Challenges faced are: Inadequate knowledge of commercial forestry and weak farmers’ organizations to support small scale commercial forestry. In the one year pilot project, the framework for increased financial returns from forestry to small scale farmers will be improved by cooperative services and pole marketing.