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In its audit of various regions, the Ministry’s report has calculated a cumulative loss of forests in Mizoram, Nagaland and Arunachal of nearly 1,200 sq km. The impact of such a terrible loss must be seen against the backdrop of the Northeast representing a global biodiversity hotspot. Any gains achieved through remediation programmes in Odisha, Assam, Telangana, Rajasthan, Himachal Pradesh, Uttar Pradesh, Jammu and Kashmir and Manipur cannot compensate for it adequately. Naturally, environmental economists have come to regard the calculation of national accounts of wealth and development as weak, because governments do not add the benefits of functions such as flood control and climate moderation to the value of forests. Such a failure erodes the gains made by many communities, because lost natural capital contributes to material losses.
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