The Fab Four – Iron, Steel, Eucalyptus and Charcoal
My sincere apologies to any Beetles fans.
2016 might seem an eternity from today, but it is actually about the time for one of Greenwood Management’s main scheduled eucalyptus harvests.
The relevance of which is?
Well, as many of our resident forestry investing experts will know, ABRAF, The Association of Planted Forestry Producers, compile the “ABRAF Annual Statistical Data Yearbook” each year.
Not the punchiest title you’ll ever come across.
The publication is long-winded and not necessarily one for a Booker Prize nomination but nevertheless, for us at greenwood management, the contents of the report make compelling reading.
Getting back to the future for a moment, 2016 will be a big harvest date on our calender – that’s established.
The ABRAF report here,
http://www.abraflor.org.br/estatisticas/ABRAF10-EN/controle.html
(If you fancy checking it out – page 12 chapter 2)
says:
“It is noteworthy to mention that a new investment of iron and steel industry in Minas Gerais is under way, resulting from a partnership of multinational corporations, to build manufacturing plant of seamless tubes, based exclusively on charcoal consumption from planted forests, with production to be started in 2016.”
So:
Minas Gerais > Multinational Steel Corporation Partnerships > Steel Production 2016 > Big Charcoal Demand > Investor Profits
We can work it out. (Lennon and McCartney)
