Forest Assets

Each and every Forest Asset is valuable, even those of small size, motive of the importance that should be given to all the factors that include the forest production and marketing. The preparation of a Forestry Asset that can be classified as initial, juvenile or mature comprises distinct issues of what is intended to reach at the moment of the realization, what are the objectives and the timing of projects.

Negotiations involving Forest Assets always precede analysis of opportunities on the part of the buyer and the technical survey of the forest patterns must be known for a supply assessment and the possibility of placing the volumes and assortments considering the accessibility. Often due to the lack of knowledge of the issues involving the complexity of the wood production and the consumer market, due to the many destination possibilities of the logs assortments produced and the industrial world, appreciable amounts end up being left aside at the time of thinning and final cut, which is money available in the form of the standing forest that is lost exactly by the aforementioned lack of knowledge, this is a certainty.

Initial Forest is a culture with little time of implantation, still in early stages of growth, where the care needed for the good vegetative growth are greater, precisely because the stand in this stage suffers more with the pests infestation, hydrous stresses and vegetative concurrence, thus requiring more maintenance services. The initial phase of a plantation is seen as the critical period of a forest project.

Juvenile Forest is a stage with reasonable time of vegetative growth, framed within the average period inside the rotation period established in the forest business plans when the stands have not yet reached the volumes and diameters that justify economically the final cut. When a productive plan foresees pruning and thinning, as of these two moments approximately a forest can be considered as a juvenile.

Mature Forest is a stand that can be already submitted to the final cut, the clear cut according to the intended rotation period. The decision about the forest rotation period involves basically two objectives, which is to ensure the maximum production of better quality wood and that its achievement has the most efficient and profitable return of the invested capital. Logically, this timing varies according to each intended use.

The Fenix Consulting & Research, in this matter, has specialized in the preparation of Forest Assets, whether initial, juvenile or mature, aiming an optimization in the negotiations when there is intentions to perform it. Once the necessary tasks for the fulfillment of what we believe is ideal in this preparation are relating to each specific case, the check list of comments can be standardized according to the following categories: Forest and Real Estate Asset or just a Forest Asset, Forest Asset already mature and ready for cutting and realization or still initial or juvenile requiring studies of productive and economic performance for valuation.

Upon the different situations, considering the abovementioned, the observations necessary and possible for preparing a Forestry Asset to achieve immediate or future realization include the following: legal aspects and documentation; forest legislation; and environmental adequacy, cartography, survey of forest patterns, business plan and management, study of productive performance by assortment and percentages, study of revenue by operations, economic flows, financial analysis, valuation, report elaboration, market research, establishment of business target, marketing, commercialization and contracts management, control and execution monitoring.

In the global universe of the interested party in Forest Assets, as of industrial consumers to savers and institutional investors, these assets, when well prepared reflect in Receivables Assets with conservative profile and large profitability. The attractiveness generated by an opportunity properly offered and prepared as per the comments highlighted is a certainty. The global market of wood, which was the first of all markets and, according to experts, unanimously, has a promising market scenario, continues investing billion amounts in distinct projects, and Brazil is an exponent target of these investments.

Our commitment and of all professionals involved in any task of preparing Forestry Assets or the elaboration of Forestry Business Plans is the development of work focused on the optimization of the contractors results.