Sustainable Forest Management (SFM) Toolbox

Case Details

Financial and economic assessment of timber harvesting operations in Sarawak, Malaysia

This case study is one of a series of publications produced by the Forest Harvesting, Trade and Marketing Branch of FAO as an effort to promote environmentally sound forest harvesting and engineering practices. The purpose of these studies is to highlight both the promise of environmentally sound forest harvesting technologies as a component of sustainable forest management, and the constraints that must be overcome in order to assure widespread adoption of those technologies. The study reported in this publication has been carried out in cooperation with GTZ, the German Agency for Technical Cooperation. A Cost-Benefit-Analysis (CBA) that compares the project worth of two timber harvesting systems: (1) Conventional Logging (CL) and (2) Reduced-Impact Logging (RIL). Two time frames are included in the analysis: (1) One-year calculation period—the financial costs and revenues of CL and RIL are calculated for the year of harvest in a primary forest; (2) 40-year calculation period—the financial and economic project value is analyzed until year 40 after logging, which includes timber production from a second harvesting operation. The publication of this case study is a cooperative undertaking by the FAO programme on environmentally sound forest harvesting to sustain tropical forests and the German Agency for Technical Cooperation.
Type of Case
Printed publication (book, sourcebook, journal article…)
Publisher
FAO
Region
Asia Pacific
Biome
Tropical
Forest Type
All forest types (natural and planted)
Primary Designated Function
Production