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FRA claims Timber demand in Brazil is Growing

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There has been a marked increase in the demand for timber in Brazil, driving up local timber prices, according to FRA.

Bainbridge Island, WA, November 17, 2012 – There has been a marked increase in the demand for timber in Brazil, driving up local timber prices, according to Forestry Research Associates (FRA).

The research and analysis consultancy was responding to the recent figures published by Wood Resources Quarterly. The figures show that the investment in housing and infrastructure in Brazil is resulting in major growth in the timber industry, with more and more timber being required for construction, energy and charcoal purposes.

In addition to the local demand, the fact that the Brazilian real has been losing value has meant that Brazil’s own timber and timber products are growing in popularity abroad, leading to more exportation of Brazilian-sourced timber.

“The vital part in all of this,” claims FRA’s analysis partner, Peter Collins, “is that the timber being used at home and exported abroad is sustainably sourced.

“It would be a tragedy if the demand led to more deforestation in the Amazon, for example.”

FRA is now calling for more investment in Brazilian plantation projects, such as those run by Greenwood Management, which manages fast-growing, non-native species of tree in sustainable forestry plantations for use in construction and charcoal production.

What’s more, those who invest in this type of plantation will see healthy returns as demand for timber increases and prices grow in response. Although the price being paid for timber and products like Pulpwood are coming down from a US dollar perspective, the real’s value has dropped, which means the prices being paid locally are actually increasing significantly and have been for some time.

“It’s a great time to invest in managed forestry in Brazil,” claimed Mr Collins. He added, “market conditions are looking strong and for alternative investors, timber offers a prefect mix of returns on investment and ethical credentials, which makes it an attractive choice for many following the economic crisis.”

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com

Business

FRA backs Pakistan’s look into Forestry’s Climate change benefits

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FRA has welcomed the news that efforts are being made in Pakistan to monitor climate change impacts and scenarios.

Bainbridge Island, WA, May 05, 2012 – Forestry Research Associates (FRA) has welcomed the news that efforts are being made in Pakistan to monitor climate change impacts and scenarios.

The research and analysis consultancy claims that the work being done by the Pakistan Forest Institute (PFI) is a good thing for the country and for the global environment. “The PFI is looking into the different climate change impacts in various regions throughout Pakistan and how this affects forestry resources,” stated FRA’s analysis partner Peter Collins.

The PFI explained to the APP: “It is the first professional attempt to address the emerging issues of climate change and global warming and its overall impact on the environment and weather of the country and region.”

Most importantly, claims the FRA, Pakistan is looking at the ways in which the forestry industry can help to mitigate the impact of climate change.

Mr Collins added, “There are a number of ways forestry can help reduce climate change, by providing habitats and most importantly, by absorbing CO2 emitted by industry.”

FRA claims that developing countries, like Pakistan, can actually benefit financially from simply planting trees and selling carbon credits to industrial countries that emit huge amounts of CO2, like the US.

More and more investors in the West are turning their attention to timber for these reasons, added FRA, which advocates investment in sustainable forestry schemes, such as the ones operated by firms like Greenwood Management in Brazil and Canada.

The research being carried out by the PFI is looking to ascertain the exact forest cover in the country and how this can be utilized or enhanced to try to reduce the effects of climate change in the region.

PFI’s officials added an explanation of the benefits of forestry plantation, “Non Timber Forests Produce (NTFP) is important source of revenue for forests dwellers and plays key role in poverty alleviation.”

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com

Business

FRA Claims Protecting Indigenous Rights is Vital to REDD+ scheme

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FRA claims that the REDD+ project is more than just about preventing deforestation and has backed a statement from a high profile member, who talks about the importance of helping those living in and around the forests.

Bainbridge Island, WA, February 21, 2012 – Forestry Research Associates (FRA) claims that the REDD+ project is more than just about preventing deforestation and has backed a statement from a high profile member, who talks about the importance of helping those living in and around the forests.

Kuntoro Mangkusubroto, one of the leaders of the REDD+ task force in Indonesia, has spoken out to highlight the fact that the campaign should be just as much about safeguarding the rights of indigenous people as preventing deforestation.

He stated, “It’s not as simple as the destruction of forests by logging companies. That certainly happens, but the real issue in REDD is poverty, and we must link the two together.”

FRA, which is a research and analysis consultancy, and Mangkusubroto, agree that poverty has become rife in some regions that have experienced a high level of deforestation due to the failure to recognise indigenous peoples’ land rights.

FRA also points out that these kinds of land rights issues can occur as a result of REDD+ measures. Mangkusubroto points out an example that occurred in Sumatra, where an indigenous population were told to move away from their homes as the forest land they lived in was designated a conservation area. Mangkusubroto was keen to point out that he intends to avoid these kinds of measures being introduced. He stated, “We will not implement a ‘father knows best’ approach, but instead we’ll do this cooperatively.”

FRA supports sustainable forestry investment schemes that help to safeguard valuable forests in developing countries. An example is the non-native forestry plantations grown by Greenwood Management in Brazil. The growth of non-native trees for use as charcoal by the domestic steel industry, can help reduce the reliance on native trees. Peter Collins, AAA’s analysis partner explained, “This kind of scheme helps local people realise the value of their standing forests.”

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com

Business

FRA reacts to article Latin American forestry

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A recent report from the Wall Street Journal’s MarketWatch blog is being championed by Forestry Research Associates (FRA) as a beneficial piece for the forestry investment industry.

Bainbridge Island, WA, December20, 2011 – A recent report from the Wall Street Journal’s MarketWatch blog is being championed by Forestry Research Associates (FRA) as a beneficial piece for the forestry investment industry.

FRA is a research and analysis consultancy specializing in sustainable forestry and forestry investment topics. It is not a surprise, then, that its analysts welcomed the article explaining how investing in Latin American forests can be profitable during these uncertain economic times.

The article highlights the fact that forestry in the region is an up and coming asset class and that investors are learning that there are opportunities to analyse the market and invest with schemes that specialise in certain products. FRA says that many REITs offering forestry as an option outside of Latin America can focus on land coverage, rather than what the forestry projects actually produce. However, in Latin America, investors can buy up land managed by producers who focus on charcoal production, or eucalyptus crops, for example. Greenwood Management offers investors the chance to directly invest in their plantation projects in Brazil that largely focus on producing charcoal for use in the booming Brazilian steel industry and this is an area that is attracting the attention of in vestors from outside the region.

FRA supports these kinds of projects as, as well as being profitable for investors, they offer alternative sources of timber and charcoal to using native species, thus helping to reduce deforestation.

Latin American forestry is also benefiting hugely from the growth in demand from Asia and the resulting soaring timber prices. FRA’s analysis partner, Peter Collins added, “Timber values have increased steadily over the past few years and over the past decade, forestry investments have outperformed returns form stock markets.” He also asserted that the volatility of the equity markets are driving more and more Western investors to the relative safe havens of alternative investments.

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com