The expansion phase is characterised by the existence of large reserves of resource and by the monopolistic position of the extraction region in the product market. [...] From the reserve's point of view, the most attractive feature of the supply of biological inputs to competitors is that it establishes a negative link between the development of the reserve's share of the market for NWFP and the revenue generated by the sale of inputs into NWFP production. [...] It has a triple structure and can be seen as a co-management system involving the government, the community, and the individuals: (a) The state owns the land and regulates the exploitation of the resources, giving the concessions to the communities and approving a use plan, and monitoring its compliance. [...] (b) The communities write the use plan, receive the long-term use concession of the natural resources, and are responsible for the full application and respect of the use- plan. [...] One factor that supports the functioning of the property rights regimes within the reserve with respect to existing NWFP is the fact that the property rights over the output of the production system can be easily defined and are well established both within and outside the reserve.