Assessing policy tools for encouraging farm afforestation in Ireland

Duesberg, Stefanie; Dhubháin, Áiné Ní; O’Connor, Deirdre

doi:10.1016/j.landusepol.2013.11.001

Cited by 64 publications

(33 citation statements)

References 44 publications

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“…Most studies analyze the effectiveness of government programs supporting the afforestation of farmland. They are often based on the results of surveys addressing farmers, who are asked to describe the key drivers and the main obstacles in the afforestation process [16,20,21,30], or institutions supporting afforestation schemes [19]. Regression models are developed, and marginal effects of forestry subsidies are calculated [18].…”

Section: Discussionmentioning

confidence: 99%

“… In weakly developed regions and in areas affected by a crisis where agriculture is the only available source of income, afforestation could create new jobs during stand establishment, tree maintenance, timber preparation for sale (In Poland, farmers can achieve and sell timber after receiving permission from relevant forest inspectorate; usually only for the trees that are 90-120 years old), etc. [20].  Farmland conversion has an associated opportunity cost (loss of income resulting from farmland conversion).…”

Section: Discussionmentioning

confidence: 99%

“…In some cases, they decide to plant forests when land cannot be used for a better alternative purpose. In other cases, farmers' decisions are motivated only by economic factors, such as the desire to maximize profit, generate satisfactory profit or obtain benefits other than economic gain [20]. Some farmers regard afforestation schemes as an investment that will benefit future generations (heirs), whereas others plant forests for environmental reasons.…”

Section: Decision Making Process On Afforestationmentioning

confidence: 99%

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Financial Dilemmas Associated with the Afforestation of Low-Productivity Farmland in Poland

Źróbek-Różańska

Nowak

et al. 2014

Forests

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Abstract:In Poland, 82% of forests are State-owned, and only 17% of forests constitute private property. Each year, forests are converted to other land-use types, mainly for road construction. The afforestation rate on privately-owned low-productivity land is decreasing steadily. The owners and perpetual usufructuaries of this kind of land are eligible to government subsidies to cover establishment expenditures in whole or in part, provided that the afforestation scheme complies with the local zoning plan or an outline planning permission. The above creates a dilemma for farmers-is this a profitable option of managing low-productivity land? Owners of small farms particularly often face such dilemmas. Owners of small farms, which consist of low-yield agricultural land, can be regarded as investors operating on the real estate market, but those investors have features characteristic of agricultural producers. This study relied on the net present value (NPV) criterion, which is popularly used to assess the effectiveness of investments on the real estate market. A financial feasibility assessment performed with the use of such method in view of afforestation statistics and the 5% discount rate on the Polish forest market OPEN ACCESSForests 2014, 5 2847 revealed the highest increase in net cumulative cash flows in the first five years, followed by a gradual decrease in successive years. The first negative cash flow was reported in year 20. NPV would remain negative because farmers would be charged with periodic maintenance expenditures until the stand reaches harvestable age at approximately 40 years. The longer the investment period, the lower the profits, even if discount rate is excluded. Investments of the type are difficult to terminate because forests younger than 20 years are difficult to sell at a price that covers growing outflows. Afforestation projects are also influenced by other economic and non-economic factors. The paper validates the research hypothesis that afforestation is a long-term investment that delivers benefits for future generations.

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Section: Discussionmentioning

confidence: 99%

Section: Discussionmentioning

confidence: 99%

Section: Decision Making Process On Afforestationmentioning

confidence: 99%

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Financial Dilemmas Associated with the Afforestation of Low-Productivity Farmland in Poland

Źróbek-Różańska

Nowak

et al. 2014

Forests

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“…In addition, the role of extension and communication are crucial in the development of knowledge, perceptions and attitudes about on-farm tree planting (Meijer et al 2015). According to existing models, farmers' decision making about on-farm tree planting is motivated by their objectives (Duesberg et al 2013, Duesberg et al 2014, Gasson 1973, Siebert et al 2006, Willock et al 1999, Zubair and Garforth 2006. The outcome variable in these models is the farmer's tree planting and management activities.…”

Section: Farmer Motivation and Decision-making Theorymentioning

confidence: 99%

“…Thus, it is essential to understand the factors that motivate farmers to plant and manage on-farm trees. In the literature, socio-psychological factors, such as perceptions and attitudes, have been studied to explain adoption behaviour of farmers in relation to on-farm tree planting (Duesberg et al 2013, Duesberg et al 2014, Fischer and Vasseur 2002, Meijer et al 2015, Mekoya et al 2008). For instance, Zubair and Garforth (2006) studied the perceptions and attitudes of farmers in Pakistan and showed that the farmers' willingness to grow trees on their farms was a function of their attitudes towards the advantages and disadvantages of growing trees.…”

Section: Introductionmentioning

confidence: 99%