Community-Based Forestry in the United States a report from the U.S. Endowment for Forestry & Communities.

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Presentation transcript:

Community-Based Forestry in the United States a report from the U.S. Endowment for Forestry & Communities

Community-Based Forestry in the United States Capturing Value: Business Development, Markets, & Raw Material

Capturing Value: CBF Business Development

CBF Business Development Leveraging primary and value- adding processing infrastructure Creating new businesses based on sustainable forestry non-wood forest products, recreation & tourism The result: diverse, resilient, and wealthy local communities

Business Development: Issues & Challenges Local ownership/management of forests, & locally-owned businesses help keep benefits closer to home Ensure sustainability & optimize value streams by managing forests at the appropriate scale, and sizing enterprises and infrastructure to that scale

Business Development In Action

Smallwood & Integrated Facilities For locally-owned businesses Elk City Small Business Incubator Sort yard reduces costs & maximizes value State-of-the-art manufacturing facility Future: dry kiln & power cogeneration

Biomass Yielding lower-cost energy Community Energy Solutions Brokering long-term contracts for managing & utilizing biomass Building local capacity & infrastructure Working with tribes, rural communities & energy companies

Capturing Value: Access to Capital

Access to Capital Need to experiment with venture capital, revolving loan funds & micro-finance Essential to acquire land and start businesses Sources include grants, tax credits & private capital

Community Smallwood Solutions Aggregated public & private financing with a local investor group to build new smallwood products company. Built track record—company purchased by socially responsible investor in just 4 years.

Capturing Value: Market Development

Market Development: Successful Strategies Value-added products Labeling Web marketing Product differentiation Producer organizing

Market Development: Questions & Issues How do they differentiate themselves? How do businesses find reliable markets? Linking landowners through cooperatives, associations & networks can help “aggregate power”

Market Development: Successes & Opportunities “Green” certification Transforming and accessing local& regional lumber markets Tapping emerging markets for ecological services

Market Development: Successes & Opportunities Innovation (technology, new business models) Sustainable Forest Futures Regional forest products consortium (New England & NY) Marketing& networking (eg regional branding)

Market Development: Successes & Opportunities White Mountain Apache Tribe National Football League purchased carbon credits to offset Super Bowl footprint. Income helped pay for raising seedlings to be used in restoration projects

Market Development: Challenges Education, technical assistance, & support for communities & landowners Access to information and markets Potential market niches for ecological services from low- wealth communities & landowners Supportive policies

Capturing Value: Timber Supply

Timber Supply Global markets Biggest factors: Mixed ownerships

Timber Supply Business & product development CBFs work to stabilize supply via: Landowner education Marketing