Factors driving investment in planted forests: a comparison between OECD and non-OECD countries

The area of planted forests has increased in the past two decades in parallel with forest industry internationalization and shift of industrial capacity to the global south. This study analysed the relationship of planted forest area with macro-economic, institutional, and forest sector factors that were associated with country-level competiveness using panel data from 1990-2010 for 19 countries from the Organization of Economic Cooperation and Development (OECD) region and 20 countries from the non-OECD region. In the OECD countries the most significant determinants of planted forest area were market size, tariffs, and industrial capacity; whereas in non-OECD countries, they were market size, level of corruption, and industrial production capacity.