Economic Uses of Forests
© WWF-Canon / Edward PARKER
Introduction
It is estimated that the forest products contribute about 1% of world gross domestic product (GDP).
The annual turnover of timber and other wood products from forests is valued at more than US$200 billion¹. Apart from that, non-timber products like rubber, cotton, medicinal products, food and so on represent significant economic value. Even more important is fuel wood and fodder, especially in developing nations, where people depend on wood almost entirely for their household energy.
Given the immense economic benefit of forests, the demand for commercial timber and other products is ever increasing, and expected to rise by 50% by 2010. Already, there are signs growing shortage of tropical hardwoods.
A dwindling resource
While over-harvesting of timber is usually identified as the main cause of deforestation, it is just one of the many reasons. Increasing human population and the need to feed and sustain them; agriculture, including the demand for cultivation of cash crops; mining; water storage; and urbanisation and related activities shoulder much of the blame.
As for fuel wood, it is estimated that by 2010, most of the 3 billion people who depend on it for their daily living will find it hard to obtain. Already, rural families spend precious hours in collecting firewood instead of other productive work, something that causes losses to the tune of US$ 50 billion to the world economy.
Forest certification
However, it has been proved that it is possible to harvest timber and other forest products in a sustainable fashion, without disturbing the forest ecology at large. It is in the interest of the world's timber trade (not to mention the environment!) that forests are managed responsibly, and trade in forest products from threatened species is outlawed. This is where forest certification comes in.
Forest certification is a two-stage process. First, forests are independently certified to a recognised standard, such as the Forest Stewardship Council (FSC). Next is the certification of operations in the timber supply chain, referred to as the 'chain of custody' certification.
Basically, it is a simple equation. If the annual cut in a forest exceeds the annual growth, it spells trouble. However, good management policies, good product design and minimum waste can be used to safeguard the resource for the future.
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¹Source: Food and Agriculture Organisation of the United Nations' (FAO) website
