The basic idea of all our projects is to allow the production of wealth, in order to be able to reinvest in the entire project. Planting a forest is the most important and expensive thing today, if there is no simple way to refinance the project. When you think about planting forest using only non-refundable resources, that is, money that goes into the project and that never needs to be returned, it may seem easier to sustain a project like this, it happens that it is not easy to find anyone who wants to finance the planting of forests, in the amount that the world needs to really make a difference against climate change, and that is willing to pay this bill for as long as necessary (years at least), without worrying about the return of any kind. To have a significant impact on the world, we have to plant billions of trees, even trillions, and it is not enough to throw seeds from airplanes. A forest is a complex thing that needs to be carefully planned and needs care in its first years of life, therefore, it is not cheap to keep a project big enough, long enough, without thinking of having any return that helps to maintain the living project.
For this reason, in all our projects, we establish premises for the forest to generate wealth. Wealth to reinvest in planting more forests, and wealth for those involved in the project, who may, for example, be the owner of a degraded area, which we want to reforest. If you offer an alternative of financial return on reforestation, for the landowner, it will be much easier to convince him to reforest your property. The financial return alternatives are varied. It may be the exploitation of agroforestry (eating forest). It may be the exploitation of part of the planted forest, with cutting of wood and sale of wood. It may be the exploration of the biodiversity of native trees, planted for this purpose. Anyway, there are several ways to obtain a financial return for the partners involved, everyone, and whenever they exist, it will be much easier: keep the project for years, attract people to participate in the project, preserve native forests, prevent against illegal exploitation of wood, and many other benefits can be enumerated, when a project is self-sustainable from an economic point of view.
Return by project
The return will depend on what the contractor intends in relation to the project. Some contractors just want to plant the forest and let it grow without exploitation, so everything will depend on what the contractor wants with the forest.
Agroforestry (food forest):
Return depends on what will be planted in agroforestry and how it will be exploited. An agroforestry can have returns that range from the sale of food, to the exploitation of biodiversity that can be extracted from planted trees.
Reforestation to recover degraded areas for third parties:
Expected returns for the 6th, 9th, 12th and 17th year.
Outsourcing of our entire structure for planting commercial forests:
The contractor’s exclusive return and, depends exclusively on what the contractor wishes to produce.
Partnership for planting forests:
Average expected return of BRL R$ 2,630 per cubic meter produced. Currently the prices of the cubic meter of African Mahogany, which is our main raw material, vary from BRL R$ 2,000 to R$ 12,000 per cubic meter.