Activity 2: Analysis and Assessment

There will be a regional assessment on the state of Latin America's grasslands, with a focus on humid and sub-humid tropical areas and the various degrees to which livestock contribute to the economic profitability of the deforestation process, in particular, the various agents in the deforestation process, and the role of livestock as a productive or asset - building activity for smallholder farmers . The role of institutions and the effectiveness of regulations will be given particular attention. This assessment will also address the environmental impact of insecticides and acaricides used in, or for, livestock production.

For the GEF-supported project sites in Nicaragua , Costa Rica and Colombia , there will be a continued assessment and monitoring of the on-going project in terms of measuring the impact of the introduced compensation scheme on technological change by farmers and subsequent environmental impact.

For Brazil , the on-going study focuses on identifying the agents involved in the process of deforestation, including timber extraction, cattle production and cropping, and land speculation. This analysis will specifically focus on the aspect of “remoteness” as this is likely to have a determinant impact on cattle production and its profitability and intensity, as well as on the extent that land price increases contribute to the profitability of the cattle operation. The analysis may also be extended to other countries with humid forests ( Bolivia , Peru ).