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Forest outgrower schemes in small and medium-sized farmers in Brazil

2019; Elsevier BV; Volume: 456; Linguagem: Inglês

10.1016/j.foreco.2019.117654

1872-7042

José Leonardo de Moraes Gonçalves, Alexandre de Vicente Ferraz, José Henrique Tertulino Rocha, Mateus Peressin, Clayton Alcarde Álvares,

Rural Development and Agriculture

Outgrower schemes are an alternative for supplying companies and can generate benefits for both the farmers and for the community. The main reasons that lead companies to adopt this type of strategy are the reduction of investment in land purchases, lower cost of wood at the factory, to increase the diversification of sources of raw materials, as well as greater integration with landowners close of companies. Of the total of 7.84 million hectares of trees planted in Brazil in 2016, 34% belonged to companies in the pulp and paper industry, 29% were independent operators and participants in outgrower schemes, and the charcoal-fired steel industry represented 14% of the planted area. In 2016, 19,900 people benefited from the outgrower programs adopted by Brazilian Tree Industry (IBÁ) member companies, planting 545,000 ha. For rural producers, the forest development consists of an alternative to traditional income generation to their properties, which may use idle or underused areas with low technical risk due to production inputs and technical assistance provided by the companies. The most frequent outgrower modalities include providing forest species seedlings, revenue anticipation programs and wood purchase guarantee at harvest time. For the community, these include the possibility of creating new wood-based forest business and generating jobs in the region. This program prevents land concentration, makes local activities feasible, creates opportunities of additional income and assists in settling people in the countryside. Also, greatly improves the acceptability of eucalypt plantations in the region and is positive for the certification of forest products. From the environmental standpoint, outgrower scheme mitigates the pressure on native forests, recovers degraded soils and promotes soil conservation.