The economic value of annual forest loss in the Colombian Amazon

Tropical deforestation in the Colombian Amazon has led to the loss of over 3 million hectares of forest since 1985, severely affecting ecosystem services (ES) vital to local communities and global climate regulation. This study applies a Total Economic Value framework to estimate the annual economic loss associated with deforestation, focusing on six key ES: carbon storage; provision of wildlife and fishery resources; firewood supply; non-timber forest products; and indigenous knowledge of medicinal plants. Methodologically, we integrate biophysical assessments on the diversity, abundance, and use of biological resources with market-based and cost-based valuation techniques. Carbon storage loss is quantified using forest inventory plot data and carbon pricing from international markets. Provisioning services (fauna, fish, firewood, and non-timber products) are valued using local consumption data and regional market prices. The cultural value of indigenous medicinal knowledge is estimated based on ethnobotanical databases and official census statistics on treatment patterns for common illnesses and population distribution. Spatial extrapolation at the hectare level enables the aggregation of ES values across deforested areas. Our results indicate that annual ES losses range from at least US$254 million to US$400 million, equivalent to 0.06–0.11% of Colombia's GDP. By explicitly linking ecological data with economic metrics, this study provides a robust basis for decision-making aimed at halting deforestation and safeguarding the Amazon’s multifunctional benefits.