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Discount Rate Used in Forestland Appraisals in Brazil


CONSUFOR conducts more than 60 valuation projects annually, covering more than 800,000 hectares of effective plantation valuated in several regions of Brazil and Latin America. The sum of assets valuated exceeds the mark of BRL 5 billion, including different forest genera such as Eucalyptus, Pine and Teak.

Following the different standards established for the valuation of assets and companies (USPAP, IVSC, IFRS, IAS, ABNT ...) CONSUFOR accumulated, in the last 10 years, unique experience and expertise in the forest market, becoming a national benchmark in valuation projects.

Despite all available technical framework, some themes and discussions are recurrent. Among these themes, undoubtedly, the discount rate deserves a prominent role, both for its importance in the valuation process and for the different stakeholders' perception.

Thus, in order to assist decision-makers, CONSUFOR surveyed 80 forest players, resulting in a sample of 91 biological assets, totaling about 3,5 million hectares in planted area (about 30% of the total area planted in Brazil), with the sole objective of identifying the discount rate used in valuations of biological assets (forest) in Brazil.

As a result of this research, CONSUFOR has produced an EXECUTIVE REPORT (15 pages) that brings together the main analyzes and conclusions. The report was structured as follows:

1. INTRODUCTION 2. TECHNICAL APPROACH 3. SAMPLE COMPOSITION 4. RESULTS 4.1. General Results 4.2. Results by Geographic Region 4.3. Results by Forest Genus (Pine & Eucalyptus) 4.4. Results by Productive Segment 4.5. Results by Economic Group 4.6. Results by Source of Capital 4.7. Results by Asset Size 5. FINAL COMMENTS

For more information on how to acquire this report please send us an e-mail: consufor@consufor.com.

  • Format: Digital (PDF)

  • Language: English


Form of payment: Bank Transfer (prepayment is required)


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