Because of its perfect properties for industrial wood. It grows very fast, up to 7 meters per year. The wood is very hard and perfect for furniture or other wooden products. Furthermore, in Paraguay the eucalyptus shows optimal growth potential.
In our case monoculture is the savior for the native forests in Paraguay. Through our industrial reforestation further deforestation of the remaining native forest is prevented.
Fallow land is utilized for reforestation to provide urgently needed industrial wood. Otherwise wood demand would be met with the remains of the native forest. In addition, we protect the existing native forests we acquired with our land and cultivate its tropical woods (nativas).
We only use fallow land that has been cleared by others or burned down, where nothing grows except grass.
From an economic point of view Paraguay has a manageable market, which can be assessed regionally. With its 7 million inhabitants Paraguay is the most stable economy in Latin America. The country has a very stable price index and exchange rate, which is very important for new investors who see the potential of this country. Furthermore, trees here are growing fast until they are harvested for the first time (after 4 years). There is enough water on the surface, to supply the whole country with hydroelectric power, which Paraguay uses as its ecologically clean energy.
Reforestating Paraguay is only the beginning of the world. TreeCoin starts in this country, because that is where we have our headquarters and our networkshave. We, as founders of TreeCoin, also help other partners with reforestation in Spain and Australia. In Paraguay we are working together with people we have known and trust since 12 years.
The government of Paraguay has recognized the emerging problems caused by deforestating native forests. Therefore, projects like TreeCoin are highly supported and subsidized. The country itself also provides land for good causes.
We have compared many potential countries by a serious selection process. Each country has been assessed by how well it meets the aspects we have defined as our priorities:
- Are sufficient water resources available?
- Are there earthquakes? Are there tectonic plate displacements?
- What is the legal situation?
- Is the free convertibility of currencies allowed?
- Is the national language quite widespread?
- Which religious denominations are there?
- Is it possible to acquire property as a European?
- Does the country have oil and/or gas?
After this process, there was only one country left, and that was Paraguay. The only down point of Paraguay is that it has no access to the sea, which however is trumped by its enormous water reserves. The other side of the coin is that the country is not overrun by tourists and its resources can be used elsewhere.
To promote the economic and social development of Paraguay law 117/91 on foreign investment encourages domestic and foreign investment. Foreign investors have the same guarantees, rights and obligations as an domestic investor. All guarantees, rights and obligations for foreign investments, which the government of Paraguay has agreed with other countries or international organizations through bilateral or multilateral instruments, apply to the respective national investments.
In addition, we compensate labor above the relative standard of the country and have started various charity projects.