Sustainable business is growing and increasing profitability
Paraná, in general terms, is an interesting state for investors who wish to diversify their revenue, focusing mainly on sustainability business projects. The second most competitive state in Brazil according to The Economist Intelligence Unit, and the third best business and investment environment in the country, the state government has an incentive and support program dedicated to investors, known as Invest Paraná, with a specific line for sustainable solutions – the Invest Pass. For those wishing to bet on ESG (Environment, Social and Governance) projects, it assesses the companies according to their impact and performance in three main areas: environment, social, and governance. The planting of forests and agribusiness based on the integration of crop, cattle farming, and forest are areas presenting excellent results in recent years.
In 2019, according to data from the Brazilian Tree Industry (IBÁ – Indústria Brasileira de Árvores), in general, the state of Paraná increased the production of eucalyptus in 20%, and that of pine in 40%. In Brazil as a whole, IBÁ foresees expansion investments of BRL 35.5 billion until 2023, destined to forests, new manufacturing plants, expansions, technology, and science, which demonstrates the trust of the segment on the growth of the green economy, in the choice of consumers for products with traceability, originated from renewable, recyclable, and biodegradable sources, and which, since they are based on planted forests, absorb and store CO2. The segment of planted trees has been operating with sustainable production, promoting several products of renewable source, essential for the life of people, such as furniture, books, floor tiles, toilet paper, and packaging.
Excellent results are also being obtained in the integration of crop, cattle, and forest. According to data from Cocamar, only in its area of influence, there are over 200 thousand hectares of integration, with an average 10% growth in the area per year, mainly aimed at the recovery of degraded pasture lands. Data from Embrapa, however, show that Paraná has an area of 416,517 hectares aimed at such integration.
The Paraná Wood Group (GPW) is a case of success in ESG businesses. In the past two years, the forest area planted by Paraná Wood Florestal in São Jerônimo da Serra, in the north of the state, grew 38% to its current 1,460 hectares of own forest, with planting, handling and technology employed in a customized manner in each plot. With fertilization, technology, and knowledge, the production of eucalyptus at Paraná Wood Florestal reaches 65 cubic meters per hectare per year. At the end of the harvest, after seven years, it totals 454,4 cubic meters per hectare.
Additionally, Paraná Wood Pecuária is raising the bar by integrating systems for profitability and sustainability in cattle raising. The integration provides high profitability per hectare with timber and ensures greater performance of the animals due to the thermal comfort and foraging provided by the trees, with lower stress levels, prioritizing animal welfare. In the 2019/2020 season, the handling adopted in breeding presented animals starting with an average 227.3 kg and finishing with weights of 523.28 kg, a 295.9 kg gain per animal.