Forestry

Wood manufacturing ©FAO/Joan Manuel Baliellas

Micro, small and medium-scale forest enterprises

Globally, many people living in rural areas forests depend on forests as direct sources of food, fuel, building materials, fodder and medicines. The products derived from the forests can also provide cash income.

FAO assists communities and individuals in developing income-generating tree and forest product enterprises. Having an income-generating forest enterprise can nurture a local forestry culture that contributes to sustainably managing and protecting the forests the enterprise is based upon.

FAO's work

Enterprise development

Monitor, review and showcase the importance of small-scale enterprises

  • Develop knowledge and communications products to enhance understanding and knowledge about micro, small and medium-size forest enterprises.
  • Support the establishment and/or reinforcement of forest producer organizations for micro, small and medium-size forest enterprises (MSMFE).
  • Contribute to better functioning business development and financial services for MSMFEs.
  • Coordinate with the Forest and Farm Facility, other Forestry Division projects, decentralized offices and other relevant divisions in FAO, promoting the livelihoods and income-generating aspects of forest restoration, UNREDD and FLEGT.

Publications

Publications
The growing potential of producer organizations
2026

Small-scale forest and farm producers account for an estimated 35 percent of world food production and perform vital services in ecosystem management...

A guide to multiple-use forest management planning for small and medium forest enterprises
2025

This publication discusses the concept, evolution, and requirements of forest management planning, focusing on multiple-use forest management and small...

The State of the World’s Forests 2024
The State of the World’s Forests 2024: Forest-sector innovations towards a more sustainable future
2024

This edition provides highlights on the state of the world’s forests and explores the transformative power of evidence-based innovation in the forest...

Occupational safety and health in the future of forestry work
Occupational safety and health in the future of forestry work
2023

Forests continue to be one of the most hazardous industrial workplaces, with those working in forests exposed to considerable occupational safety and...

Taking stock: what we grow together counts
Taking stock: what we grow together counts
2021

Smallholder farmers are commonly thought of as farmers who manage two hectares of land or less. By some estimates they represent approximately a quarter...

Developing bankable business plans
Book
Developing bankable business plans
2021

This guide was developed to improve the capacity of small producers, their organizations and small and medium-sized enterprises to access private investment...

Colombia: Building the capacities of MSMEs to supply legal timber to the domestic market
2021

Micro, small and medium enterprises (MSMEs) play a crucial role in Colombia’s domestic timber market but lack awareness of legal requirements and the...

Small-scale forest enterprises in Latin America
Small-scale forest enterprises in Latin America: unlocking their potential for sustainable livelihoods
2018

During the last three decades many countries in the world improved forest tenure by offering greater recognition of indigenous and community rights...

FAO Forestry Paper 179: National socioeconomic surveys in forestry
FAO Forestry Paper 179: National socioeconomic surveys in forestry
2016

Forests and trees contribute in multiple ways to reducing food insecurity, supporting sustainable livelihoods and alleviating poverty. As FAO’s State...

News

FFF
02/10/2026
A newly launched policy brief from FAO makes the case that supporting organized smallholders is one of the most cost-effective ways to advance food security and rural well-being
01/10/2026
On this first International Coffee Day, we celebrate the coffee crop that bolsters employment and rural livelihoods and the coffee farmers in Rwanda, Kenya and worldwide.
08/09/2026
A farmer growing coffee under shade trees needs those trees to remain healthy to maintain the right soil and microclimate that coffee depends on. If the trees or soil degrade, yields fall. For that farmer, protecting the land is essential to earning a living. That is why forest and farm producer ...