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Financing Uruguay's Forestry Sector: Survey and Case Study

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This project summarizes the financing and recent growth of Uruguay's forestry sector, with emphasis on the relevant businesses, associations, and investments in the context of Uruguay's Forestry Law, which encouraged large-scale forestry plantations in the 1990s through the use of subsidies, tax relief, and targeted loans. A survey of Uruguay's largest forestry entities and investors consistently singled out financing and access to capital as major challenges for Uruguayan firms relative to their competitors in larger countries with more developed capital markets. These issues associated with financing created opportunities for encouraging and attracting significant foreign direct investment in Uruguay's forest products industry. The case provides insights for countries seeking to support the expansion of forest industry investment and capacity through financing and regulatory policies.

Keywords: exports; forest industry; investment; policy; timberlands

Document Type: Research Article

Publication date: April 1, 2007

More about this publication?
  • The Journal of Forestry is the most widely circulated scholarly forestry journal in the world. In print since 1902, the Journal has received several national awards for excellence. The mission of the Journal of Forestry is to advance the profession of forestry by keeping forest management professionals informed about significant developments and ideas in the many facets of forestry: economics, education and communication, entomology and pathology, fire, forest ecology, geospatial technologies, history, international forestry, measurements, policy, recreation, silviculture, social sciences, soils and hydrology, urban and community forestry, utilization and engineering, and wildlife management. The Journal is published bimonthly: January, March, May, July, September, and November.
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