Citation Detail: Peter Johan Schei, Wang Sung and Xie Yan. 2001. Second Annual Report of the BWG/CCICED. in: Conserving China's Biodiversity (II). China Environmental Science Press. Beijing. 16-30p.

BIODIVERSITY WORKING GROUP
SECOND REPORT OF PHASE TWO
October, 1998 Beijing

★ Introduction ★Membership of the Working Group ★Terms of Reference★Summary of Activities of BWG in 1998. ★ Five Year Workplan of BWG★ Publications of BWG★ Funding of BWG Activities★ Major Recommendations of BWG

1. Introduction

In the 1997 report of BWG the working group presented a workplan for the five year period of the second phase of CCICED. We also reported on the shortage of funds felt by the working group and the need to identify additional funding to undertake some of the activities on the workplan. For the past three years the working group has been well financed from three main sources - EU grant, support from CCICED support office in Canada and grants from WWF. Our EU grant has now finished and although an application for extended funding was submitted last September to EU, BWG have had no official response from EU but have heard that further support is unlikely due to new regulations concerning the issue of grants to non-government agencies. Support from CCICED support office has been ended and there has been a reduction in the level of support by WWF. BWG was successful in obtaining funds from DFID of British Government for the holding of a special biodiversity workshop in Hainan but otherwise funding during the current reporting year has been minimal and the prospects for funding activities in 1999 look even worse.

2. Membership of the Working Group

Membership of the Working Group is considered to be satisfactory. No changes have been made except that Dan Viederman the WWF China Programme Representative has left China. His position on the BWG will be filled by his successor at WWF when such an appointment is approved. Dr. Kikuchi from Japan has joined the working group and his appointment is already approved by the CCICED Secretariat .

3. Terms of Reference

Terms of Reference of the Working Group remain unchanged. These are:
1). Create a fertile forum for exchange of ideas and approaches whereby China has access to wider experience beyond her borders and where managers can network with scientists and technicians to solve issues of policy, strategy and action in the field of Biodiversity Conservation.
2). Provide a mechanism whereby priority needs identified by scientists and technicians can be brought to the attention of relevant leaders and decision-makers through a multisectoral forum.
3). Provide an independent view of China's biodiversity and advise the government on areas of concern or sectoral failure.
4). Provide advice and assistance as needed in China's participation in international biodiversity conventions and programs to ensure that China gets maximal benefit from these mechanisms and also presents the most favourable international image of its considerable biodiversity achievements.
5). Initiate studies to demonstrate the contribution of biodiversity conservation to regional economic development in selected ecosystems in China and identify both factors that threaten such systems and appropriate remedies to ensure the sustainability of such benefits.

4. Summary of Activities of BWG in 1998.

Following the order of activities presented in the BWG workplan, the following progress was made during the current reporting year.

4.1 Biodiversity Working Group Meetings
Only one official meeting of BWG was held during the past year. This was combined with the sectoral meeting in Hainan in March. A second meeting will be held immediately after this council meeting in Beijing.

4.2 Targeted Sectoral Meetings
A sectoral workshop was held in Hainan entitled “Biodiversity Conservation in Hainan”.

The purposes of holding a second BWG meeting in Hainan was as a case study on a geographical basis to review the progress since the 1st meeting there in 1993, and to pay more attention to mangroves and coral reefs. The meeting was heavily attended by international, national and local participants and resulted in much lively presentation, debate and some field excursions. A full minutes of the meeting was prepared. The main conclusions of the meeting are presented here.

Principal Conclusions and Recommendations of Workshop
We know from biodiversity surveys done back in the 1950s that Hainan was a regions very rich in biodiversity. However, protection has been neglected for many years. 80% of the coral reefs and 80-90% of tropical rainforests have been lost over a 30 year period. The island is now seriously damaged and even the remaining biodiversity is being harvested at unsustainable rates. Not only has Hainan lost a lot of its original biodiversity with many species such as hornbills possibly extinct but Hainan's fragile native and endemic flora and fauna are facing new threats posed by the spread of introduced species. The exact current situation is not known, since no recent detailed biodiversity surveys have been done. Such surveys are urgently needed to identify priority sites for conservation and restoration.

It is recognized that there exists an enormous need for training of taxonomists, reserve managers, trade control officers, marine patrols to undertake the major conservation work required. There is also great need for public education, but there is little sign of this now. Nature Reserves currently have almost no materials to help educate visitors about their biological interests, the threats facing them and their conservation needs. Awareness is needed to help local people to understand why they are being asked to refrain from certain activities, and in turn will help government officials to justify implementing expensive programmes needed to salvage and enhance the environment of the island.

In 1993, BWG recommended a total ban on logging of natural primary forests and major extension of the small area of protected areas. Both these measures have already been approved and are now part of the plans of local government. BWG Also proposed that Hainan should establish a biodiversity region, something larger than a nature reserves, but zoned, with areas of total and partial protection linking areas of cultivation and forest plantation, to enhance the biodiversity values. Hainan government has indeed decided to enlarge some of the reserves and to join some of the reserves together. There have closed production areas and closed forested slopes. This is a long way towards that original proposal.

Could BWG now propose that, in fact, the whole of Hainan should be considered for its biodiversity value, and certain activities which are incompatible with this should be totally banned. For example, hunting.

The participants have been very impressed by policies and plans adopted by the Hainan government. But the short field trip revealed that there is a gap between policy and practice. We saw mangrove destruction, sale of protected species, burning. Very low numbers of wildlife in countryside, probably because of hunting and pesticides.

The main concern of the participants is in closing the remaining implementation gap. For instance, the banning of logging must be followed by measures to make this practical. The problem is finance. You cannot tell people not to do something without providing them an acceptable alternative. This requires planning and finance.

It is stressed that mangroves should be given the same level of protection as inland forests, with a total ban on clearing of mangroves. Coral should also be totally protected, with all bombing, harvesting, etc. banned. This raises a law enforcement problem. Hainan only has seven patrol boats, but its waters extend almost all the way almost to the coast of Borneo, including several globally important archipelagos.

The job of environmental enhancement sounds very expensive: recruiting guards, buying patrol boats, providing training, undertaking surveys and planning an expanded system of protected areas, finding alternative livelihoods for thousands of people who are currently destroying the environment. Forestry and fisheries officials have already complained that they do not have the resources necessary to undertake all these tasks properly. Where is this money to come from? International experts will be sympathetic, will provide advice, but cannot provide much money. China is not that poor and can easily find the funds locally if she realises how important the matter is and how well the return on such investment will be.

50 billion US$ is invested annually by foreign investors in China, much of this in Hainan and much of it in tourist development. But investment in infrastructure is not enough. A small portion of these large funds need to be allocated to maintaining a beautiful natural environment. Hainan government could have a tax on all new developments, or insist that all new developments have an environmental component as part of the package. They could have tax incentives for environmentally beneficial activities. An environment tax could be levied on all tourists visiting the island, this could be built into the price of the air ticket. Local government must recognize the need and value of doing this and the need to raise new finances to undertake the urgent environment restoration and protection measures..

There are sound economic reasons why it will pay Hainan to preserve its rich and valuable biodiversity. Biodiversity conservation pays and it pays well.

Rain forests protect the watersheds, regulate climate and safeguard streamflow, enhancing eco-touristic values and increasing forest plantation and agricultural yields downstream.

Mangroves trap soil to create new fertile agricultural lands, limit sea erosion and create rich spawning grounds around the coast. Replacing mangroves with fish ponds will temporarily replace coastal fisheries with artificial fisheries, which may then collapse because of the acid sulphate soil conditions.

Coral will protect the coastline from erosion, enhances tourist values of the island and increases inshore fisheries. One area in Wenchang county of Hainan has already lost thousands of ha. to sea erosion following blasting of the coral for lime kilns.

Tourism is the biggest winner of all. Hainan is a beautiful and interesting destination, and tourists will want a beautiful environment. A degrading environment will kill the goose that lays the golden eggs.

Specific Recommendations:
a) Coastal Resources:
Discussion during the meeting highlighted the central role played by Hainan's coastal resources in the Province's current and future economic development. Concern was expressed at the need to allocate funds and institutional priority to the conservation of these natural systems if their benefits are to be retained and enhanced. The BWG therefore recommended that:

• A detailed analysis be carried out of the full economic value of Hainan's coastal ecosystems, including in particular mangroves, seagrass beds, estuaries, sand beaches and coral reefs.
• This analysis be drawn upon to establish several economic development alternatives, one in which these ecosystems are conserved and managed effectively, and one in which these ecosystems continue to be degraded and destroyed.
• In the basis of these analyses, a series of economic incentive measures be identified that will foster investment in conservation of critical coastal ecosystems and prevent investment in activities or practices that destroy or degrade these resources.

b) Fisheries:
The importance of coastal ecosystems to Hainan's and China's fisheries was emphasized. This raised questions concerning the sustainability of China's current fishing industry and growing concern at its national and international impacts. The BWG therefore recommended that:

• A detailed inventory be made of China's critical coastal and marine ecosystems, in particular of those that play a central role in sustaining the fishery resource.
• Threats and necessary conservation measures for these ecosystems be identified.
• Current trends, status and projected future development of China's fishing capacity be analyzed with a view to assessing at what level this is sustainable.
• The impact of China's fish market upon global fishing patterns and practices be examined with a view to improving current understanding of the effect of China's growing consumption of marine resources upon global marine biodiversity.
• Current fishing pressures upon China's archipelagos be examined, notably in Dongsha, Xisha and Nansha, with a view to establishing an internationally accepted code of practice for fishing in these areas.
  
• Greatly strengthen the patently inadequate fisheries protection fleet.
• These analyses be drawn upon to prepare a series of policy recommendations to the CCICED, and through the Council, to the State Council.

c) Mangroves:

• Many of the best and richest stands of mangrove in Hainan are in Qin Lang Gang which is an older mangrove forest than Dongzai Gang. It is urged to combine the management of the two areas together as a single RAMSAR site.
• The use of introduction of exotic mangroves from Bangladesh is not necessary and should be prohibited. The reintroduction of native Hainan species from other counties is acceptable.
• The cutting for new fish ponds in mangrove areas should be halted and all remaining mangroves afforded high levels of protection which will involve significant increases in reserve management budgets.

d) Tourism:
Tourism may well be one of the major justifications for protecting and enhancing biodiversity in Hainan but poorly planned or uncontrolled eco-tourism can be very destructive to the natural environment. It is recommended that the Hainan government prepare strategic guidelines for the development of tourism in Hainan including guidelines for the appraisal of protected areas for eco-tourism development, guidelines for protected area managers and guidelines for investors.

e) Exotic Species:
Hainan's unique flora is quite fragile and under serious threat from a number of invasive exotic plant species such as Lantana, Eupatorium etc. It is important to implement a programme for the control of such plants and to use local species, wherever possible in new reforestation projects and urban regreening.

The provincial forestry bureau should develop large nurseries to propagate the native tree seedlings that will be needed for this programme and labour now available from the closure of timber units and closing of forests can be reallocated to these tasks.

f) Research and surveys:
Hainan lacks expertise in some biological areas and should recruit experts from Guangdong and accept assistance offered from Hong Kong in undertaking surveys, making plans and training staff in biodiversity conservation.

Note: Following these recommendations by BWG, the Asian Development Bank is now ready to expand the biodiversity conservation project currently focused only on Jianfengling to the whole of Hainan.

4.3 Illustrated Guidelines for Biodiversity Conservation in Economic Development
Compilation of the Illustrated Book -- Guidelines for the Conservation of Biodiversity

The value of biodiversity, especially the indirect value from the ecological services, has been increasingly attracted attention of the public and government. The heavy flood in last summer in China gave people a great deal of lessons. Conservation of biodiversity is not only for the utilization of its direct value, but also for making full use of its indirect value, in terms of sustainable development of society and economy. In order to ensure the public, especially the decision-makers to realize the significance of biodiversity conservation and push the movement forward, we invited some related scientists to compile the illustrated book, Guidelines for the Conservation of Biodiversity. Up to now, most of the draft including cartoons have been completed, some of which have been drawn up. It is hopeful that the book will be ready for publishing at the end of this year.

Examples:

a) CATCHMENT MANAGEMENT
Appropriate catchment management is important for proper drainage, maintenance of groundwater and flood control. Careless developments upstream, resulting in clearing of catchment areas, causes erosion and create flooding and siltation problems downstream as well as reducing dry season water flows. Cleared and scaled areas such as roofs, roads and paving deliver considerable runoff during periods of heavy rain.

Maintenance of undisturbed forest in water catchment is very important for maintaining the quality of the water and dry season water flows.

b) USE OF BUFFER AREAS
Residential areas should be separated from major highways, commercial areas, or factories by buffer areas. Existing or planted vegetation (especially evergreens) and bulldozed earthen banks can effectively increase privacy and reduce noise reaching the development.

4.4 Biodiversity Conservation Database
Entering of data and information of vertebrate taxa has been continued. These now includes a total number of over 500 species of mammals, 1200 of birds, 390 of reptiles, 260 of amphibians and 3720 of fishes. Review of the checklist for mammals has been started by Dr. Robert Hoffmann and Prof. Wang Sung; birds by Dr. John MacKinnon; Prof. Zhao Ermi for reptiles and Prof. Fei Liang for amphibians. An ichthyologist to check the list of Chinese fishes is being sought.

The interface for data entering has been re-programmed in order to improve speed and accuracy. Distribution information at county level has been entered primarily based on the Mammal and Bird Collections of the Institute of Zoology, CAS, as well as on those faunistic works at both state and regional levels. In addition, data from major journals in the fields of Zoology, Taxonomy, Mammalogy, Biodiversity, etc., as well as from results of those scientific surveys concerning species and distribution at regional level or reserves are also quoted and entered. All these distribution information has been transferred into GIS points and can be shown on GIS maps with background of China or individual province. At the same time, a total number of about 1,000 photos of mammals, birds and reptiles has been scanned into the units database.

It is hoped that data entry and updating will be continued during the next working year and that other institutes in China can be persuaded to share data with us. Meanwhile, taxonomic review will be done in the first half of next year, and data of distribution and population status will begin next year.

4.5 Catchment Forest Benefits Analysis, Hubei
A Final Report of Xingshan Catchment Study has been prepared in English language, entitled "Evaluation of Economical Value for Forest Resources in Xingshan County, Hubei Province." The report is being edited by Dr. John MacKinnon for publication in an international journal.

The project of 'Economical Value Evaluation on Forest Resources in Xingshan County, Hubei Province' has been conducted by BWG during 1996-1997. The research is focused on the water conservation function of forest. Comparison on water conservative capacities of different types of vegetation, soil and slope has been made based on Rain Simulation Experiments conducted in the field. Information on vegetation, soil type, altitude, slope and drainage system in Xingshan County was interpreted from Satellite remote sensed pictures and entered into a GIS model. A mathematic model was created to evaluate the effect of forest on electric generation during dry and raining seasons. At the same time, in order to provide a relatively complete value evaluation of forest resource, environmental economics method was used to evaluate soil conservation and carbon fixation. In addition, the direct economic value of the forest, including forestry production, tourism and wildlife, was estimated through analyzing questionnaire results and statistical materials. Results can be summarised as follows:

• The contribution to the globe benefit of the forest in Xingshan County is about 1.1 billion yuan, with the proportion of 52.3% of its total value.
  
• The indirect economic value, including catching water (electricity contribution and water conservation) and soil conservation (loss of land, silt detained, organic material and N, P, K fertility), is nearly 0.85 billion yuan, with 38.6% of total value, compared with
  
• The direct economic value, including plantation, husbandry, forestry and tourism, is about 0.2 billion yuan, only contributing 9.1% of the total value.

The results obviously indicated that the total value of the forest is much higher than the direct economic value pursued by many people nowadays. After the Three Gorges Dam is completed, the land under 175 metres altitude within Xingshan County will be covered by water, it would be even more important to conserve the forest resources, which will be highly beneficial to improve electricity generation, reduce silt detained in dams and provide a better environment over a large area.

In addition, the research relatively directly showed us the function and value of forest resources, which might help to make forestry strategy, reduce logging, prevent silt detaining in Dam and reduce flood and drought. The disaster of floods in Yangtze River and Heilongjiang River in the summer of this year caught great attention of the public. Broadcasts and medium brought hot discussions on the reasons to the flooding. Abnormal climate and forest logging were listed at top of all reasons and the function of forest became a hot topic. According to the project, the contribution of upstream forest of Yangtze River owns more than 42% of the total integrated capacity of adjusting water flow in the river. Obviously, quality of forest is very important to reduce inundation. How to deal with the relation between forest conservation and local economic development is a key to protect upstream forest in Yangtze River. One of good solutions is to establish the Economic Supplement System for Forest Conservation. It is suggested that taxes should be collected in the sectors that derive the most benefits from forest and water-catchment protection and used to support the development of local economy, so that the local people will develop other business or in other places eliminate the need to rely on forest for their survival.

Note: BWG applaud the decision of the government to halt all logging in critical watersheds of the Yangtze river in Sichuan, in line with earlier recommendations of the working group.

4.6 Ecosystem Emergy Analysis, Pingwu, Sichuan

Progress Report on the Evaluation of Biodiversity in Pingwu County, Sichuan Province
a). Background and Significance of Biodiversity Evaluation
Conservation and sustainable utilization of biodiversity has become a hot issue in the protection of the global environment, however, how to evaluate biodiversity remains a basic theoretical problem which needs urgent solution, and has now attracted attention from all over the world. UNEP calls for all the parties of the Convention on Biological Diversity to conduct Country Studies with emphasis on the evaluation of the biodiversity.

Due to the fact that there are so many uncertain factors concerning natural resources, especially biological resources, little research has been done on biodiversity evaluation. There are not as yet any mature methodological systems for this. Therefore, how to value biodiversity has become a hard problem for researchers in the field of ecological economics.

Today, most planning and development decisions are made on economic grounds only and, more and more, on the basis of the forces at play in free-market systems. While this paradigm has its own limitations and dangers, it would be unrealistic to ignore it and to base our quest for the conservation and wise use of biodiversity on a completely different set of values. Hence, biodiversity goods and services must be given quantitative values.

In the past decades, the people in many areas of China failed to realize the value of biodivesity in forests, lakes etc., and have destroyed the habitat and ecosystems of biodiversity conservation for short-terms economic benefits. While some people are enjoying the economic benefits, great economic loss follows, and many people are suffering from biodiversity loss, such as floods and other natural hazards. For example it is estimated that the direct economic loss in Yangtze basin reached about 300 billions RMB in 1998. Now it is time for us to evaluate the real value of biodiversity and establish suitable machinisms and policies for sustainable development.

b). The underlying causes of biodiversity loss
The simplification of managed ecosystems in agriculture, forestry and aquaculture has provide human beings with important biological resources: foods and fibres. It has also had major effects on biodiversity. These effects are largely external to the market (i.e. they are not reflected in market prices) and so are ignored by resources users. The existence of mounting external costs is said to be evidence of market failure.

The importance of the gap between the market price of natural resources and their value to individuals and society is only gradually coming to be understood. One of these is the ignorance or uncertainty about social consequence of private actions. A second is a structure of rights that encourages people to ignore the known social consequences of their actions. A third is government policy which not only fails to correct externalities, but makes the problem worse. This is evidence of policy failure.

As mentioned above, market and policy failure are the main underlying causes of biodiversity loss.

To resolve the problems of market and policy failure we need first to evaluate their consequences.

c). Type of values

In order to solve the problems of market and policy failure, we need first to evaluate their consequences, and classify the values of biodiversity. The concept of total economic value (TEV) provides such a framework and there is an increasing consensus that it is the most appropriate one to use.

Table 1 Classification of total value for biodiversity

The value of biological resources in use may be direct (they are used in consumption or production) or indirect (they support resources which have direct value). Many biological resources are traded on the market, these direct use values are reflected in their market prices, but usually it is lower than their true value. Other resources derive value from their role in supporting marketed resources. These roles include ecological functions, conservation functions, waste assimilation functions and other wider functions such as soil productivity (through nutrient cycling), soil conservation, watershed protection with derivative services of water supply and storage, flood control etc. These functions all indirectly support economic activity and human welfare. The mix of species in an ecosystem enables that system both to provide the flow of ecosystem services and to maintain that flow over a range of environmental conditions.

The current use of biological resources on the basis of market signals is both inefficient and inequitable. It leads to losses in social welfare. In order to bracket a range of values within which the true values lie, it is necessary to employ both willingness-to-pay and emergy analysis based methodologies.

d) Main indices, conclusions and findings for further biodiversity evaluation

In the first stages, we evaluate the main indices for further evaluation. In Pingwu county, the annual contribution of emergy-based value of 1 ha of forest is calculated as follows:

Table 2 Annual contribution of emergy-based value of 1 ha of forest

Notes: 1E2 is equal to 102 , J is joules. Raw data needs to be further checked according to the investigation in Wanglang reserve.

Table 3 Emergy-based values of storage in various components of Pingwu forest

Notes: sej is the unit of emergy value, means solar emergy joules. EM$ is the unit of macrovalue. Raw data needs to be further checked according to the investigation in Pingwu county.

Table 4 Emergy-based value of Panda

Fig.1 Indices of Different Trees and the Macrovalue

e) Approaches and applications of theories and suggestions for biodiversity management.

In order to find suitable methodology for biodiversity evaluation and management, in the first stage of project implementation, we have studied the following topics concerning resource accounting:

• Economic basis and indices for ecosystems evaluation and management;
  
• Perspectives and evaluation on the resources consumption of USA economy;
  
• Case studies of resources accounting in the regional scale of China;
  
• Methodology of resource accounting in ecological economics.

Meanwhile, we have combined methods of environment economics with methods of ecological economics, and are trying to establish a new framework for the management and evaluation of biodiversity, some case studies including Pingwu's case study will be collected in this reports. The final draft for the project need further field investigation, improvement and supports. According to our progress research, we think it is very important to evaluate biological resources for establishing an effective conservation and management of biodiversity. The appropriate policy response is to develop institutions and incentives that will:

• Confront resource users with the full social cost of their behaviour;
  
• Enable those who invest in conservation to appropriate the benefits.
  
• To establish a scientific stimulating mechanism, such as ecological taxes etc., for ecological compensation and environment conservation.

4.7 Grassland Regional Development Plan

BIODIVERSITY AND SUSTAINABLE USE OF BIOLOGICAL RESOURCES ON THE ALPINE GRASSLANDS OF CHINA PROJECT

The BWG has initiated a project to assess elements of biodiversity and its preservation and conservation in concert with concomitant development of sustainable uses of the alpine grasslands of China. The primary area of focus is in the alpine grasslands of Qinghai Province. During the past year the grasslands projects has focused on two main issues, as outlined below.

a) THE PLATEAU PIKA (OCHOTONA CURZONIAE) IS A KEYSTONE SPECIES FOR BIODIVERSITY ON THE TIBETAN PLATEAU

China was one of the first countries to ratify the Convention on Biological Diversity, and has adopted an aggressive agenda to identify and preserve biodiversity within China. Although the Qinghai-Xizang (Tibetan) Plateau is not as biologically rich as some other areas in China, it does contain a distinctive and important flora and fauna. Appropriately, much attention has been drawn to the massive loss of ungulate species that once flourished on the Plateau. Most of the ungulate species on the Plateau are listed as Category I or Category II Nationally Protected Fauna in China. However, many other components of biodiversity on the Tibetan Plateau are at risk, and many of these are directly connected to the biology of the Plateau Pika (Ochotona curzoniae). The Plateau Pika plays an important role as a Keystone Species for preservation of biodiversity, and widespread poisoning of the pikas is detrimental to the normal functioning of the Tibetan Plateau ecosystem.

A Keystone Species is one that, if lost, will lead to a cascading effect of reduced biodiversity and proper functioning of an ecosystem. The Plateau Pika is a Keystone Species because it 1) makes burrows that are the primary homes to a wide variety of small birds (snowfinches, ground jays) and lizards; 2) creates microhabitat disturbance that results in an increase in plant species diversity; 3) serves as the main prey for most of the small to medium to large predators on the Plateau (weasels, Pallas' cat, red fox, wolves, brown bears, and nearly all raptorial birds such as black kites, upland buzzards, goshawks, little owls, etc.); 4) contributes positively to ecosystem-level dynamics by recycling soil; and 5) enhances above-ground and below-ground (root) biomass.

Plateau Pikas are poisoned because their populations may reach high densities - reducing forage for domestic livestock (yak, sheep, horses), and because they putatively are responsible for habitat degradation. Research has shown, however, that pikas reach high densities in areas that have been overgrazed. High density of pikas is, therefore, likely to be a symptom of poor range management rather than the cause of rangeland degradation. Control measures are also not cost effective. It is also possible that climate change has contributed significantly to the formation of black sand areas.

In summary, it is necessary to look at the big picture when managing biological resources on the Tibetan Plateau. The Plateau Pika plays a significant role in the maintenance of the ecosystem, and it should be managed only in concert with other uses of the land to ensure sustainability of China's native biodiversity as well as the long-term usage of the pastureland by domestic livestock.

b) RANGELAND UTILIZATION AND BIODIVERSITY ON THE ALPINE GRASSLANDS OF QINGHAI PROVINCE: THE USE OF REGIONAL AND COUNTY-LEVEL DATABASES

Regional (provincial) level analyses of natural resources may serve as an important starting point to objectively inform management policy decisions. We focus the present analyses on the alpine grasslands of Qinghai Province (n = 27 counties) for several reasons:

• the large extent and economic importance of the Tibetan Plateau grassland region;
  
• the long history of sustainable resource utilization in the region;
  
• recent changes and the current state of ecosystem degradation; and
  
• the presence of distinctive, relatively well-known mammal fauna to serve as a measure of regional biodiversity.

The primary dataset on rangeland utilization consists of pastoralist population density, grassland quality, and season-of-use (summer vs. winter pastures) of rangelands (compiled from government statistics). A measure of biodiversity was derived from a dataset that consists of presence/absence data for 21 characteristic mammal species of the alpine grassland ecosystem.

A first-level analysis shows that rangeland quality is lower in counties where more winter (vs. summer) grazing occurs. The present trend in development assistance - which targets almost exclusively winter rangeland areas (eg., for fencing, warm houses, etc.) - should be reconsidered in light of this finding and development assistance redistributed appropriately between winter and summer rangelands. There is also a high level of interaction between population density and rangeland season-of-use. Furthermore, biodiversity on the grasslands of Qinghai Province decreases as human population density increases. However, causality of the latter relationship is not found in the 'population density - season-of-use' relationship nor in the 'population density - grassland quality' relationship.

A second-level analysis statistically removed the effect of distance from Xining (a possible surrogate variable for hunting pressure / poaching) from measures of county biodiversity since there is a significant positive relationship between biodiversity and distance from Xining. In this analysis, however, only season-of-use has a significant relationship with biodiversity, but in a direction opposite than expected: greater biodiversity is found where more winter grazing occurs. Data are not available to explore this phenomenon further, but it may relate to the fact that winter grazing areas are larger in poorer quality habitats, and, concomitantly, that wildlife are already 'marginalized' to such habitats for other reasons.

A final descriptive, spatially-explicit analysis shows that three regions in Qinghai Province have especially low levels of biodiversity - both when distance from Xining alone and when the distance factor and season-of-use are statistically removed. Unique historic events therefore may play an important role in explaining the present state of mammal biodiversity in Qinghai Province.

With regard to possible future management decisions, the most important relationships that stem from these analyses is the link between grassland quality and season-of-use and between distance from Xining (poaching?) and biodiversity. In particular, more research needs to be directed to summer pasture management practices (vs. investing in winter pastures only).

These analyses were presented at two international meetings in China during summer 1998 (International Symposium on the Qinghai-Tibet Plateau, Xining: Pika Keystone Species analysis; WWF Tibet Workshop: Pika Keystone Species analyses and Winter-Summer Grazing analysis). Full manuscripts of each analysis are being submitted for publication in international peer-reviewed conservation journals.

4.8 Wetland Biodiversity Workshops
No activity in 1998.

4.9 Marine Biodiversity Workshops
Marine topics were prime issues included in the Hainan workshop reported in 4.1 above.

4.10 Sustainable Use of Biodiversity
No specific activity during 1998.

4.11 Traditional Chinese Medicine Survey
No specific activity in 1998.

4.12 Monitoring of International Wildlife Trade
Wildlife Cross-border Trade in Yunnan

Yunnan Province lies in the southwestern China, which borders with Myanmar, Vietnam, and Laos. One of main threats to wildlife protection in Yunnan at present is the serious wildlife trade of both the live animals and their products across the borders.

Surveys have been carried out in Ruili, Wanding, Longchuan, Daluo, Mohan and Kekou. The result shows that the wildlife exchange and trade are very easy on the borders of Yunnan and neighboring countries, Even though there are laws to protect the wildlife, live wildlife and their products are still traded across the borders. Local people brought wildlife to China simply by passing a river or a hill. They were not checked or quarantined by customs inspection posts. Besides, since wildlife has long been utilized by people for food, medicine, pets and as raw materials, we surveyed the markets, wildlife collecting stations of Yunnan Forestry Agency, restaurants, drugstores and pets markets in the each survey site. We observed live wildlife and their products, which were imported to Yunnan from neighboring countries. So far, 134 species of wildlife have been identified for sale on the borders, including 54 species of birds which belong to 11 orders, 17 families and 2 subfamilies; 33 species of mammals belong to 6 orders, 16 families and 47 species of reptiles belong to 3 orders, 16 families. Besides local consumption, the wildlife taken from Myanmar, Vietnam, and Laos are traded to other provinces within China through different channels.

The control of cross-border wildlife trade in Yunnan through an international cooperation is urgently needed. The customs and port management institutions, especially Yunnan Forestry Agency should put great efforts on effective control of illegal wildlife trade. It is very important to train officers, managers at the posts and pay great attention to public education. Besides, there are many problems with the wildlife collecting stations of Yunnan Forestry Agency, which should be assessed and improved in an ecologically sensitive way.

4.13 China Species Survival Action Plan
No progress to date.

4.14 East Asia Biodiversity Forum, Hainan
This important meeting, organised by IUCN and SEPA, immediately preceded the BWG sectoral workshop in Hainan. Several past and present BWG members participated in the meetings, helping to network the group's activities with wider activities in the Asia region.

4.15 Fieldguide to the Mammals of China
One of the basic tasks of Biodiversity Conservation is to identify taxa/species and their occurrence (Bio-inventory). Until now, taxonomy, distribution and status of many taxa, especially at the species level, still remain very unclear due to the limitation of progress in taxonomic study in China. The quality of databases on endangered species status and conservation relies on the updated and correct accuracy of taxonomy. One of the reasons why Chinese taxonomy is in a poor state is because for many years Chinese scientists had to work in isolation and could not compare materials with museum materials in neighbouring countries or even at other institutions in China. A high level of synonym and outdated nomenclature has resulted. This has been the main reason that BWG planned the work on a new checklist to revise and standardise the species names used in China and compile a "Field Guide to Chinese Mammals". As the first step, the national checklist of species names has been revised based on latest taxonomy works and specimens of China's mammals deposited in China and abroad also with specimens from other countries. Having checked by Dr. Robert Hoffmann together with Prof. Wang Sung, it is summarized said that there are 510 mammal species of mammals occurring in China, comprising 953 subspecies , with 13 taxa remaining (mainly shrews) in need of further taxonomic study.

BWG has started to compile a Field Guide to China's Mammals (English and Chinese Versions) based on the latest data and information together with the newest research on taxonomy and distribution (including new techniques such as DNA and carotype studies. Some samples have been drafted and discussed, based on the checked list and samples, and it is ready to be going on. It is hoped that the book will be an important reference to research, management and conservation of Chinese mammalian fauna as well as to eco-tourism to China's mammals. BWG will also revise the species inventory names listed in China's Endangered Species Information System while the guide is in preparation as well as to improve the quality of the system more scientifically.

Dr. John MacKinnon has meanwhile revised the Chinese bird checklist and has almost finished the draft text of a new Fieldguide to the Birds of China. Over one hundred new plates have been painted and publication is expected in about one years time by Oxford University Press, UK.

5. Five Year Workplan of BWG

The proposed workplan remains unchanged but completion of the activities listed will be dependent upon finding some way to continue funding the operation of the working group.

One new activity is proposed as a priority, in view of the disastrous floods that affected China during 1998, namely to pull together the findings of previous work and experience with also international examples and prepare a special report for the council entitled "The use of Natural Vegetation in the Control of Floods".

Working plan for 98-99
The following activities are therefore proposed for the coming year.

• Special Report - Concerning the '98 flood - follow up study and recommended actions
  
• Database continuing & further development
  
• Red List and Application of New Criteria to Chinese Animals/ Species Survival Action Plan
  
• Wildlife survey and monitoring
  
• Assessment of Invasive species and impact on biodiversity conservation (exotic species released to the wild happened very often even reported by TV as a good action; confiscated animals; introduced trees, more and more introduced animals primarily for "Safari Parks", etc. )
  
• Mammal Guide
  
• Grassland Studies

6. Publications of BWG

Reports of ongoing projects are to be published.

7. Funding of BWG Activities

All the above-mentioned activities have received assistance from CCICED, MOF, NEPA and SOA, and also financial assistance from CIDA, EU and WWF. The Hainan meeting was funded by DFID of the British Government. We acknowledge their help hereby sincerely. As shadow ministers of BWG, Council members of CCICED, Claude Martin and David MacDowell, have always provided assistance to the work of BWG. We also acknowledge their help. The working group now facing a severe funding shortage with no major sponsors found to support our activities in 1998-9. A solution must be found to solve this problem if the group is to complete its mission.

8. Major Recommendations of BWG

Specific recommendations for biodiversity conservation in Hainan and on specific issues of BWG activities are given in the summary activities in section 4 above. The working group wish to make here particular major recommendations that stem from their work over the past 6 years and with particular reference to the problems experienced in terrible floods in China during the current year.

8.1 Flood control can be achieved by taking better protection of natural vegetation in critical regions of China, particularly the catchments of the Yellow River and Yangtze River. Measures should include - Banning the logging of remaining natural forests, reducing pressure on existing forests by subsidising electricity and alternative fuel costs to local households; redirecting moneys from the beneficiaries of good water control to the individuals and agencies living and working in critical catchments responsible for ensuring good vegetation cover; reduce overgrazing on critical grassland areas; continue reforestation projects but with specific design for good "water sponge" rather than timber production (i.e. broadleaf or mixed forests rather than monocultures and too much conifers).

8.2 Preserve China's irreplaceable biodiversity by continuing to expand the country's nature reserve system but with emphasis on quality not quantity. Major revisions need to be made to the way nature reserves are managed and funded if these are to succeed in protecting their natural values.

8.3 Pay more attention to controlling the harvesting and utilisation of wild plants and animals and eradicating illegal domestic and international trades. If measures are not taken in time we will wake up to find it is too late and valuable species and genetic resources have become lost for ever.

8.4 In the case of Hainan, a biological hotspot that has lost so much of its biodiversity in the last 30 years, BWG recommends treating the whole province as a special biodiversity area and planning all development in harmony with this status by zoning, with areas of total and partial protection linking areas of cultivation and forest plantation , also including green parks and spaces in urban areas, to enhance the biodiversity values. Certain activities which are incompatible with this idea should be totally banned. For example, hunting. Mangroves should be given the same level of protection as inland forests, with a total ban on clearing of mangroves. Coral should also be totally protected, with all bombing, harvesting, etc. banned.

8.5 A major drive must be made to fill the growing gap in taxonomists in China by raising the credits for Biology at all levels of education and providing a proper career in this subject. Without people who can identify China's native species in plants and animals, it is not possible to manage and monitor the country's biodiversity or meet international obligations under international conventions.

8.6 The importance of biodiversity conservation and the relevance of this to people's daily lives and development is poorly understood at all levels in China. Major awareness programmes should be generated to improve understanding both by the general public and by government officials, leaders and law-enforcement agencies.

8.7 The environmental conditions of China's Seas and freshwater systems are in a serious condition of degradation due to pollution, sedimentation , loss of vegetation and impoundments. China is already feeling the effects of great losses of wild fisheries. Aquaculture stocks cannot be relied upon in the long-term as waves of disease will periodically threaten fish stocks as is already seen in other countries. A major research programme followed by development and implementation to clean up the waters of China is required.