Table 3. Economic impact of deforestation on coffee sites and overall welfare. Scenarios are as in Fig. 3; all monetary values are in USD.
| | | |
|
Average net revenue in coffee-growing area†
|
Total net revenue in coffee-growing area (192 ha)
|
Average pollination value of deforested area‡
|
Total net revenue of alternative crops in deforested area
|
Net welfare effect in overall area (292 ha)
|
Marginal net welfare effect in overall area (292 ha)
|
| |
|
INDONESIA Deforested
area (ha)
|
($/ha)
|
(%)
|
($)
|
($/ha)
|
($)
|
($)
|
($)
|
|
0
|
85
|
100
|
16,347
|
0
|
0
|
16,347
|
0
|
|
32
|
79
|
93
|
15,214
|
35
|
5120
|
20,334
|
3987
|
|
58
|
76
|
89
|
14,510
|
31
|
9280
|
23,790
|
3456
|
|
78
|
73
|
85
|
13,928
|
31
|
12,480
|
26,408
|
2618
|
|
100§
|
61
|
72
|
11,697
|
47
|
16,000
|
27,697
|
1289
|
|
ECUADOR Deforested
area (ha)
|
|
|
|
|
|
|
|
|
0
|
36
|
100
|
7005
|
0
|
0
|
7005
|
0
|
|
32
|
30
|
83
|
5825
|
36
|
3456
|
9281
|
2276
|
|
58
|
27
|
73
|
5092
|
33
|
6264
|
11,356
|
2075
|
|
78
|
23
|
64
|
4485
|
32
|
8424
|
12,909
|
1554
|
|
100§
|
11
|
30
|
2111
|
49
|
10,800
|
12,911
|
2
|
| | |
†Mean net revenue per hectare in the 192-ha coffee-growing area (see Tables 1 and 2) declines with increasing distance to the forest.
‡Calculated by assigning the reduction in total net coffee revenues to the number of hectares deforested.
§In the case where the forest is completely destroyed, we assumed that coffee sites received only minor pollination services from other forest patches within about 1000 m.
|