Check what says the 2016 report of the Brazilian Industry trees

Each year, the Brazilian Industry trees (IBA) issues a report on all aspects involving the forest sector, using as a basis the companies that are associated with it.

Among the main positive points, is the growth of the sector ahead of the economic crisis that Brazil faced in 2015. Forest GDP grew by 3% compared to 2014, while the industry itself suffered a decrease of 6.2%. “In relation to the Brazilian GDP, the trees planted sector closed the year 2015 with 1.2% representation in all the wealth generated in the country and 6.0% of industrial GDP,” says the document.

The report also shows that in 2015 the country had 7.8 million hectares of planted trees, which accounted for 91% of all timber produced for industrial purposes, corresponding to an increase of 0.8% over the year 2014 .

However, the sector still need to fight against the inflation and reduce their costs. Challenges for Iba can be solved by cutting red tape for the granting of environmental licenses; simplifying the evaluation and registration of plant protection products; and improving the supply of credit to farmers; among other intrinsic difficulties of the country.

On the other hand, the expectation of Ibá is the development of new technologies will benefit the forest sector in a few years, bringing new products, for example. It is also expected that the government will increase efforts to stimulate the consumption of renewable energy sources such as biomass.

According to Iba, Brazil is one of the countries with the greatest potential to contribute to building a green economy. Moreover, since internationally we stand out as the country that more protects natural areas. “For each hectare planted with trees for industrial purposes, another 0.7 hectare is send for the preservation”. We already have 5 million hectares preserved, equivalent to 14% of the area used in the industry.

With regard to wood panels segment, growth was the increase in exports, with an increase of 52.3% compared to 2014. In the world ranking, Brazil is the 8th largest producer.