Demand of non-timber forest products: Açaí and Brazil nut

Abstract

Demand for non-timber forest products, such as the açaí and Brasil nut, in the six meso-regions of the state of Pará, Brazil, is assessed through estimates of parameters of aggregated Marshallian demand equations. Elasticity is estimated and the implications are analyzed to amplify ICMS policies, minimum prices and commercialization. Model consisted of a data panel estimated by the Generalized Two Stage Least Squares (MQG2E). Results revealed that the extract from the açaí fruit is lower than demand, with non-elastic price. The Brazil nut was characterized as a substitute product for the açaí, whilst products of temporary labor were complementary goods to açaí. Demand for nuts was non-elastic and classified as normal. Tax on goods and service movement had a significant impact in the decrease of açaí and nut demands.