Applying Classical Forest Regulation Methods to Smallholdings With Cooperative Constraints

Abstract

This study aims to assess the cooperative regulation process of forestry producers in comparison to the traditional individual regulation of properties. Twenty (20) forest properties are studied as examples of the development of three forest regulation scenarios: 1) individual regulation, 2) group regulation, and 3) cooperative regulation. The Net Present Value (NPV) of each of the scenarios is optimized according to mathematical programming models and compared to a baseline scenario without forest regulation. According to the proposed cooperative regulation, properties had a proportion factor for annual net revenue distribution calculated from results of the baseline scenario. By comparing the NPV maximization results from scenarios 1 and 3 with the non-regulation scenario, the cost for individual regulation is on average 25%, while being only 11% for cooperative regulation, that is, a 14% reduction in property regulation costs. Additionally, cooperative regulation had the advantage of dividing properties into fewer areas when compared to individual regulation. APLICAÇÃO DE MÉTODOS CLÁSSICOS DE REGULAÇÃO FLORESTAL EM PEQUENAS PROPRIEDADES COM USO DE RESTRIÇÕES COOPERATIVASRESUMO: Este estudo teve como objetivo avaliar um processo de regulação cooperativa de produtores florestais, em comparar com o método de regulação clássico e individual das propriedades. Vinte propriedades florestais foram utilizadas 20 propriedades florestais como exemplo para elaboração de três cenários de regulação florestal: 1) regulação individual, 2) regulação em grupo, e 3) regulação cooperativa. O Valor Presente Líquido (VPL) dos cenários foram otimizados a partir de modelos de programação matemática, e comparados com um cenário base, sem regulação florestal. Para a regulação cooperativa proposta, as propriedades tiveram um fator de proporção para distribuição da renda líquida anual, calculado a partir do resultado do cenário base. Comparando os resultados da maximização do VPL dos cenários 1 e 3 com o cenário sem regulação, o custo da regulação individual foi, em média, de 25%, enquanto que para regulação cooperativa foi de 11%, ou seja, redução 14% no custo da regulação das propriedades. A regulação cooperativa apresentou ainda a vantagem de menor divisão das áreas das propriedades quando comparado à regulação individual.

Wood Supply Optimization in Brazilian Pulp Industry Involving Forestry Outgrower Scheme

“…The strategies for initiating forestry outgrower schemes are essential to guarantee the wood supply to the pulp mills in Brazil. Studies indicate that the economic returns of tree grower projects are higher than those from commercial plantations carried out exclusively by the forestry company (Rode et al, 2015;Rode et al, 2016). Rezende et al (2006) and Rode et al (2015) simulated diff erent scenarios by testing the feasibility of forest plantations and confi rmed that the purchase of standing timber was more attractive when compared to other forms of wood procurement because of the reduction in the cost of wood production, which validates the logic of timber purchase in the present study.…”

“…Despite these several forest resources allocation studies, there is a lack of studies that address the allocation of forest outgrower scheme areas for wood supplies. There are also few studies considering resource optimization with outgrower schemes in Brazil as observed in Rode et al, (2014) and Rode et al, (2016). This work intents to provide a proactive proposal for the allocation of outgrower schemes, in which the company seeks out rural producers in the most economically attractive regions for forest production.…”