Colombia - Forest rents (% of GDP)

Forest rents (% of GDP) in Colombia was 0.097 as of 2019. Its highest value over the past 49 years was 0.787 in 1975, while its lowest value was 0.093 in 2007.

Definition: Forest rents are roundwood harvest times the product of average prices and a region-specific rental rate.

Source: Estimates based on sources and methods described in "The Changing Wealth of Nations: Measuring Sustainable Development in the New Millennium" (World Bank, 2011).

See also:

Year Value
1970 0.495
1971 0.474
1972 0.579
1973 0.782
1974 0.575
1975 0.787
1976 0.615
1977 0.612
1978 0.573
1979 0.711
1980 0.560
1981 0.461
1982 0.590
1983 0.378
1984 0.244
1985 0.235
1986 0.310
1987 0.345
1988 0.317
1989 0.355
1990 0.377
1991 0.371
1992 0.274
1993 0.226
1994 0.171
1995 0.194
1996 0.155
1997 0.149
1998 0.161
1999 0.164
2000 0.148
2001 0.146
2002 0.139
2003 0.156
2004 0.110
2005 0.095
2006 0.109
2007 0.093
2008 0.095
2009 0.130
2010 0.172
2011 0.131
2012 0.127
2013 0.142
2014 0.160
2015 0.179
2016 0.184
2017 0.153
2018 0.109
2019 0.097

Development Relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future.

Limitations and Exceptions: This definition of economic rent differs from that used in the System of National Accounts, where rents are a form of property income, consisting of payments to landowners by a tenant for the use of the land or payments to the owners of subsoil assets by institutional units permitting them to extract subsoil deposits.

Statistical Concept and Methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the world price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs (including a normal return on capital). These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Environment Indicators

Sub-Topic: Natural resources contribution to GDP