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Using markets to leverage investment in forest and landscape restoration in the tropics

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  • Brancalion, Pedro H.S.
  • Lamb, David
  • Ceccon, Eliane
  • Boucher, Doug
  • Herbohn, John
  • Strassburg, Bernardo
  • Edwards, David P.

Abstract

Governments and international organizations are promoting or drafting programs to undertake Forest and Landscape Restoration (FLR) of hundreds of millions of hectares of degraded tropical landscapes to support the provision of ecosystem goods and services. But the challenge to recover economic and ecological functionality could be far beyond their financial capacity. Here, we explore the potential of markets and their interaction with policies to leverage investment for FLR in the tropics. We first review the challenges and opportunities of exploiting market forces for FLR, which can be essential for kick-starting the implementation of programs globally. We identify four key opportunities for regulating markets to promote FLR: economic mechanisms; technological, educational or infrastructural investment; legal and enforcement mechanisms; and market-led standards and certification schemes. Finally, we present five pitfalls that may arise when relying on markets to promote FLR. Governments will need to play a critical role in establishing appropriate policy frameworks and institutional arrangements to leverage investments when market signals are not strong enough to initiate changes in traditional land use or farming practices, or to regulate reforestation activities when market signals become so strong that they overwhelm all other land-use activities, leading to a transformed and homogenized landscape.

Suggested Citation

  • Brancalion, Pedro H.S. & Lamb, David & Ceccon, Eliane & Boucher, Doug & Herbohn, John & Strassburg, Bernardo & Edwards, David P., 2017. "Using markets to leverage investment in forest and landscape restoration in the tropics," Forest Policy and Economics, Elsevier, vol. 85(P1), pages 103-113.
    • Handle: RePEc:eee:forpol:v:85:y:2017:i:p1:p:103-113
    DOI: 10.1016/j.forpol.2017.08.009
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    References listed on IDEAS

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    2. Ana Carolina Oliveira Fiorini & Marilyn Swisher & Francis E. Putz, 2020. "Payment for Environment Services to Promote Compliance with Brazil’s Forest Code: The Case of “Produtores de Água e Floresta”," Sustainability, MDPI, vol. 12(19), pages 1-51, October.
    3. Parron, Lucilia Maria & Villanueva, Anastasio Jose & Glenk, Klaus, 2022. "Estimating the value of ecosystem services in agricultural landscapes amid intensification pressures: The Brazilian case," Ecosystem Services, Elsevier, vol. 57(C).
    4. Ricardo Gomes César & Loren Belei & Carolina Giudice Badari & Ricardo A. G. Viani & Victoria Gutierrez & Robin L. Chazdon & Pedro H. S. Brancalion & Carla Morsello, 2020. "Forest and Landscape Restoration: A Review Emphasizing Principles, Concepts, and Practices," Land, MDPI, vol. 10(1), pages 1-22, December.
    5. McLain, Rebecca & Lawry, Steven & Guariguata, Manuel R. & Reed, James, 2021. "Toward a tenure-responsive approach to forest landscape restoration: A proposed tenure diagnostic for assessing restoration opportunities," Land Use Policy, Elsevier, vol. 104(C).
    6. Carias, Dora & Page, Tony & Smith, Hilary & Race, Digby & Keenan, Rodney J. & Palmer, Graeme & Baynes, Jack, 2022. "Beyond the ‘Field of Dreams’ model in smallholder forestry: Building viable timber value chains for smallholder tree growers in developing countries," Land Use Policy, Elsevier, vol. 120(C).
    7. Schweizer, Daniella & Meli, Paula & Brancalion, Pedro H.S. & Guariguata, Manuel R., 2021. "Implementing forest landscape restoration in Latin America: Stakeholder perceptions on legal frameworks," Land Use Policy, Elsevier, vol. 104(C).
    8. Gordillo, Fernando & Elsasser, Peter & Günter, Sven, 2019. "Willingness to pay for forest conservation in Ecuador: Results from a nationwide contingent valuation survey in a combined “referendum” – “Consequential open-ended” design," Forest Policy and Economics, Elsevier, vol. 105(C), pages 28-39.
    9. Ota, Liz & Herbohn, John & Gregorio, Nestor & Harrison, Steve, 2020. "Reforestation and smallholder livelihoods in the humid tropics," Land Use Policy, Elsevier, vol. 92(C).
    10. Techel, Grit & Lemenih, Mulugeta & Pistorius, Till, 2021. "Planning FLR for the landscape between Chebera Churchura National Park and Kafa Biosphere Reserve," Land Use Policy, Elsevier, vol. 104(C).

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