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Who benefits from Deforestation and who loses?
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| At Loggerheads? Agricultural Expansion, Poverty Reduction, and Environment in the Tropical Forests |
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 | Benefits vary widely Losses are both global and local
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| | Picture Credit: Curt Carnemark | | Private gains from deforestation can be sometimes miniscule and sometimes huge Private gains from deforestation vary tremendously between places, technologies and land use systems. Profits from deforestation range from near zero to thousand of dollars a hectare. In some places, there are huge incentives to convert or degrade forest. - In Cameroon, oil palm and intensive cocoa cultivation has a net present value of more than $1,400 a hectare.
- In Brazil's cerrado, some conversions result in land values over $3,000 a hectare.
- And India offers very high values for land devoted to coffee cultivation in the Western Ghats, a biodiversity hotspot.
In other places, conversion results in low-value land Mean land values are just $400 a hectare in the Atlantic forest of Bahia, Brazil. Low-value land uses are also reported in Indonesia, Uganda and the Cameroonian forest frontier.
| Where conditions are amenable to crops such as soybeans, oil palm, or cocoa, and where old growth timber is still standing, deforesters are rewarded with thousands of dollars per hectare. On marginal lands, lands far from markets, or where agricultural technologies are unavailable, there may be little incentive beyond the ability to eke out a living at the going wage. The losses from deforestation can be local and/or global | Type of damage | Location of deforestation | Burden/location of impact | | Global climate change | All deforesting locations; higher per hectare damages come from dense humid forests. | Global | | Imminent risk of globally significant biodiversity loss | Specific areas in mosaiclands and non-remote frontier forests | Global, but especially on high-income populations and future generations | | Long-term risk of globally significant biodiversity loss |  Frontier and transfrontier forests |  Global, but especially on high-income populations and future generations | |  Local and regional climate change |  Unclear, possibly widespread |  Unclear, possibly widespread | |  Smoke and smog from forest fires |  Most areas of rapid deforestation |  Populated areas downwind of large rapid deforestation | |  Local flooding, erosion and dimished dry season flows |  Small, steep upper watersheds in mosaiclands, non-remote frontier forests, and short littoral watersheds | Small, steep lower watersheds in mosaiclands; coral reefs | | Reduced water quality for drinking and irrigation | Small, steep watersheds near cities and reservoirs | Downstream cities and reservoirs | |  Loss of pollination, pest control, and other biological services |  Mosaiclands; high-density frontier forests |  Fields near deforesting locations; possible far-field effects |
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