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Financial Analysis and Cost Implications of Implementing an Agroforestry System in Brazil

Author

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  • Oliveira, Gabriel Cardoso
  • Torezan-Silingardi, Helena Maura
  • Anjos, Diego Vinícius
  • Abrahão, Mariana
  • Alves-de-Lima, Larissa

Abstract

Agroforestry Systems (AFS) integrate agricultural and forest production, providing ecosystem environmental services. They are considered important tools for addressing problems caused by modern agricultural development. Despite their proven environmental and productive benefits, more studies are needed to support the viability and adoption of AFS by rural producers. This study accounts for the primary costs of implementing 1 hectare of a biodiverse AFS in Brazil. The results show that the acquisition of seedlings and propagules constitutes the highest costs, with avocado seedlings being the most expensive. Operational costs, particularly grading and the purchase of inputs, also represent significant expenses. Future research should focus on tracking the evolution of implementation costs, substituting expensive external supplies, and optimizing operational times for area preparation. These efforts will enhance the design and viability of AFS, addressing local producer needs and ensuring profitable maintenance.

Suggested Citation

  • Oliveira, Gabriel Cardoso & Torezan-Silingardi, Helena Maura & Anjos, Diego Vinícius & Abrahão, Mariana & Alves-de-Lima, Larissa, 2024. "Financial Analysis and Cost Implications of Implementing an Agroforestry System in Brazil," Agricultural & Rural Studies (A&R), Zhejiang A&F University, vol. 2(4), December.
    • Handle: RePEc:ags:aesars:410162
    DOI: 10.22004/ag.econ.410162
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