Portugal - Forest rents (% of GDP)

Forest rents (% of GDP) in Portugal was 0.113 as of 2019. Its highest value over the past 49 years was 0.558 in 1979, while its lowest value was 0.086 in 2005.

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 0.362
1971 0.318
1972 0.338
1973 0.401
1974 0.391
1975 0.455
1976 0.423
1977 0.377
1978 0.516
1979 0.558
1980 0.488
1981 0.349
1982 0.374
1983 0.420
1984 0.386
1985 0.441
1986 0.386
1987 0.312
1988 0.286
1989 0.305
1990 0.245
1991 0.178
1992 0.149
1993 0.191
1994 0.167
1995 0.146
1996 0.143
1997 0.120
1998 0.106
1999 0.105
2000 0.149
2001 0.115
2002 0.114
2003 0.112
2004 0.088
2005 0.086
2006 0.099
2007 0.111
2008 0.112
2009 0.106
2010 0.102
2011 0.119
2012 0.132
2013 0.118
2014 0.138
2015 0.134
2016 0.143
2017 0.126
2018 0.139
2019 0.113

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