Peru Plans for Growth in Forestry Sector

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Minister Piero Ghezzi Solís stressed that the executive board is almost finished with a plan and is on the point of no return, but that the new challenge will be to ensure that there is space for new plantations. Julio Lira wrote about the country’s plan in Gestión of Lima.

Under the Productive Diversification Plan, the first executive board for the forestry sector was created. They are far along in their plans, with 90% of the requirements for the sector already being completed. Minister Solís said at this point in the process, it would be crazy for the committee to stop working because they are extremely close to seeing results; however, he noted that the biggest potential road block would the supply of space for forest plantations.

The executive board is currently working with San Martin and Huanuco to ensure that there will be land for planting that will either be bought or conceded by regional governments. If it is to be bought, the Minister says he already has a group of interested investors lined up. If it all comes through as planned, then this project would be a giant bump in the GDP of the country because it could potentially contribute US $30 billion. It could also be a great opportunity to increase employment in regions that struggle to provide enough positions to employ its population. In zones like Madre de Dios, these forests could bring 20,000 jobs to a population of only 130,000.

In order to get these projects going, the executive board is also looking to make the paperwork easier and reduce the red tape that surrounds these types of projects.