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West Papua Province accounts for 8.6 percent of national nutmeg production. Fakfak District is one of the main nutmeg producers in West Papua Province, responsible for more than 80 percent of the total nutmeg production in the province (Ditjenbun, 2016). Therefore, Papuan Nutmeg from Fakfak District plays a vital role in the nutmeg industry both regionally and nationally. According to a study by UNDP and ILO (2013), up to 80 percent of land in Fakfak district is covered by nutmeg from the species of Myristica fragrans argentea , with a total area of 6,071 hectares. This is equivalent to 58 percent of the total area of nutmeg plantations in West Papua province and 11 percent of the total nutmeg production of Indonesia (Dinas Pertanian dan Perkebunan Kabupaten Fakfak, 2015). Papuan nutmeg in Fakfak district is typically cultivated in nutmeg forest gardens owned by local communities across generations. The trees occur in various elevation gradients ranging from coastal to mountainous ecosystems with relatively different patterns and productivity (Musaad et al. 2016). The research found that there is the potential for improving the productivity and profitability of Papuan nutmeg, through expanding or developing markets for raw and processed products. The potential added value could come through the intrinsic properties of the nutmeg and/or the place and way it is produced. Expanding the market for Papuan nutmeg, however, presents the risk of encouraging clearing of native forests to plant new nutmeg forests. To safeguard against this scenario, efforts should be made to strengthen customary institutions and rules for sustainable forest management, intensify production in existing nutmeg forest gardens, incentivize conservation and encourage livelihood diversification to commodities and activities that do not require additional land, including spices such as vanilla, ecotourism and aquaculture.