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Valuation of ecosystem services from forests in Chinese rural areas based on forest resource investment

Author

Listed:
  • Lu Xu

    (Fujian Normal University)

  • Xijing Liu

    (Fujian Business University)

  • Andrea Gatto

    (Wenzhou-Kean University
    Azerbaijan State University of Economics
    Seongbuk-gu)

  • László Vasa

    (Széchenyi Istvàn University)

  • Xin Zhao

    (Széchenyi Istvàn University
    Anhui University of Finance and Economics)

Abstract

Forest resources provide rural areas with abundant products and ecosystem services. However, due to difficulties and shortcomings in assessing the ecosystem service value of these resources in rural areas, investors or funding institutions often lack a comprehensive understanding of their true value. Consequently, challenges such as difficulties in securing rural forestry guarantees, limited loan amounts, and inadequate compensation standards have emerged, resulting in severely restricted investments in rural forest resources. This study aims to address these issues by establishing a comprehensive valuation system for the ecosystem services provided by rural forest resources, thereby enabling a more accurate assessment of their value. This study focuses on Muyun She Nationality Township in Fuan City, China, and valuates the ecosystem service value of the forest resources in this locality. The findings reveal that the annual economic value of ecosystem services provided by forest resources in Muyun She Nationality Township amounts to 397,899,293.49 yuan. Direct value constitutes over 63% of the total, with forest by-products contributing the largest share at 32%, followed by forest-related rural tourism at 31%. This underscores the significant contribution of agricultural products and tourism from rural forest resources to the local economy. Moreover, the study highlights the crucial role of rural forest resources in providing agricultural by-products, promoting rural tourism, enhancing rural economic development, and facilitating rural revitalization efforts. In light of these findings, this paper advocates for private-sector investment, expanding financing channels, and developing tourism projects to diversify investment channels for rural forest resources and increase investment amounts.

Suggested Citation

  • Lu Xu & Xijing Liu & Andrea Gatto & László Vasa & Xin Zhao, 2025. "Valuation of ecosystem services from forests in Chinese rural areas based on forest resource investment," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-21, December.
    • Handle: RePEc:pal:palcom:v:12:y:2025:i:1:d:10.1057_s41599-025-04674-6
    DOI: 10.1057/s41599-025-04674-6
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    References listed on IDEAS

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