Abstract

This paper first argues major issues related with deforestation and loss of biodiversity in the World. Second, issues specific to forest and forestry in Japan due to rapid changes in economic conditions and international markets after the last war are pointed out, and technical and policy prescriptions are generally discussed focusing on multifaceted functions of forests. Contrary to cases in developing countries, potential producible wood is increasing but left unutilized because of proper management. This situation causes serious concerns of disasters such as floods and landslides as well as marginal villages. Taking forests privately owned by pulp factories in Fuji City as a typical example, measures for revitalization of forests and forestry are proposed and possible impacts are discussed. Taking forests as a source of supply for biomass resources, preliminary calculations of potential reduction in fossil-oriented carbon dioxide through pellet fuel utilization of timber from forest thinning left in the forest is shown. Changes in the thinking of the government from taking forestry as a sector to provide lumber in a competitive market to taking forestry as a sector that utilizes and enhances the multifaceted functions of a forest can effectively revitalize forests and forestry in Fuji City.JEL Classification:Q23, Q27

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