As a client of EFISA you can expect a comprehensive Forest Management Service including:
- Identify suitable properties and perform in-depth due diligence
- Obtain environmental permits
- Create detailed planning and topographical maps
- Prepare soil and build drainage systems
- Provide and plant high quality hybrid seedlings
- Control maintenance and fertilisation
- Manage pre-commercial thinning and pruning
Our commercial plantations make use of the latest hybrid technology; as well as efficient up to date machinery in order to deliver to our clients the best possible results at competitive prices. Our recent plantations have typically achieved IMAs (Incremental Cubic Meters of biomass per annum) of 35+.
Current planting capacity is 5,000 hectares per annum. We are actively looking for investors to help us develop Paraguay’s sustainable timber base. We are happy to act either as service providers, or to structure a bespoke investment package that suits the requirements of the investor.
5,000 HA / YEAR
36,000 TON / YEAR
8,500 HA / YEAR
96,000 TON / YEAR
Whereas the industry traditionally relied heavily on manual labour for both planting and harvesting, Efisa is currently converting to almost full mechanisation of both processes. The types of machinery currently in use or in the process of being acquired include:
- Planning and Mapping: Professional GPS and CAD equipment
- Drainage and Road infrastructure: XCMG Wheel Loaders and Retroexcavators, SHANTUI bulldozers
- Soil Preparation: YTO, KAT, VALTRA and CASE Tractors, TATU Plows, Fertilizers and Rollers, JYMPA Subsoilers, JACTO Sprayers, SAVANNAH Sub-soil Plows
- Planting: HARTWIG Planters
- Harvesting: JOHN DEERE Skidder and Harvester, WARATAH processor head
- Logistics: SINOTRUCK and SCANIA trucks, log trailers, dump trailers, chip trailers, low bed semi-trailers
Why Forestry ?
Investment in Forestry - the creation, management and harvest of a sustainable timber resource - has long been critical part of the investment portfolios of pension funds, institutions, endowments and family offices. The reasons for including forestry in such portfolios are simple:
- An investment in a forest is an investment in a real asset, and as such an excellent hedge against inflation
- Whilst the market for timber products is cyclical, forestry is not correlated to equity or bond markets. What is more, unlike growing other crops an investor can chose when to harvest so is not beholden to accept market prices at any given moment if he chooses not to.
- Long term annual returns on forestry investments in the UK and the US tend to swing between 7% and 10%
Why Paraguay ?
Whereas Paraguay is seen by many as a frontier market, the reality on the ground is that Paraguay is a rapidly developing economy, with excellent demographic growth and a sensible tax an regulatory environment. Corruption remains a problem, however measures are being taken by government to try and improve on this. The main reason for investing in forestry in Paraguay however is its unique climatic conditions which, when forestry plantations are well established and managed can lead to growth rates possible in only very few other places in the world.
Source: Indústria Brasileira de Ávores (2014)