Economic feasibility of timber management in extractive settlement projects of southwestern Amazonia

Abstract

Even recognizing the frailty of an isolated financial analysis for casting a glance at sustainability, it was decided that the analysis should be done because it is the market rationality, more financialized today than ever before, that embraces the macro environment in which to base forestry management, and thus it decisively influences its technical and decision-making foundations. Profitability is the most significant indicator of success, according to hegemonic thought. This work aims to investigate whether extractive forestry management as practiced in two communities of Acre state is financially feasible on the scales adopted for the 2005/2006 crop, and also to test result sensitivity against interest rate and subsidy swings. Net Present Value (NPV) was the indicator of choice to verify financial feasibility. Within the context of this particular subsidized crop, all six scales were found feasible, at all discount rates being considered. However, this feasibility is only confirmed upon evaluation of the cooperative's cash flow - which ultimately is an extension of each forest worker's cash flow -, resulting from subsidies granted on the price paid for timber. In a hypothetical situation, where subsidies are removed, only the larger scale operation (9.8 m³/ha) showed a positive NPV, again at all rates being considered.

Manejo florestal comunitário na Amazônia: comparação entre um modelo introduzido e a extração ilegal de madeira

“…De uma forma geral, os projetos do modelo introduzido de MFC na região amazônica se mostraram pouco atrativos em relação às perspectivas de retorno financeiro (POKORNY; JOHNSON, 2008;CARVALHO;OLIVEIRA, 2010;JONG et al, 2010;MEDINA;POKORNY, 2011;HUMPHRIES et al, 2012). Alguns dos fatores apontados foram: altos investimentos iniciais; baixa produtividade; alto custo de produção, baixo preço de venda; distância de mercados; desafios logísticos e de gestão, entre outros.…”

“…Alguns projetos, quando já estabelecidos, contribuíram efetivamente para a melhoria das condições de vida e diminuição da pobreza (CHEN et al, 2013;RADACHOWSKY et al, 2012), proferindo benefícios econômicos, socioculturais e ambientais (HAJJAR et al 2011). Por outro lado, muitos estudos têm apontado para as limitações ou mesmo a inviabilidade financeira do MFC (KOURY, 2007;CARVALHO;OLIVEIRA, 2010;MEDINA;POKORNY, 2011;HUMPHRIES et al, 2012).…”