Bolivian Efforts Against Deforestation: Strategies And Challenges

Bolivia has been experiencing a crisis of deforestation, with the country losing 6.7 million hectares of forest between 2001 and 2021. This is primarily driven by agricultural expansion, particularly soy plantations, which have been responsible for over 900,000 hectares of deforestation in the last two decades. Deforestation rates in Bolivia have increased by 259% over the last eight years, with almost three-quarters of recent deforestation taking place in the eastern department of Santa Cruz. While the Bolivian government has encouraged economic development, there has been little action to protect the country's forests, and Bolivia did not sign the Glasgow Leader's Declaration on Forests and Land Use at COP26 in 2021.

The Bolivian government encourages deforestation for soy plantations

The Bolivian government has been encouraging deforestation for soy plantations to meet growing export demand. This encouragement has taken the form of a more favourable regulatory framework, including increased soy export quotas and changes to land assignments that allow agriculture in certain forest areas. For example, in the department of Beni, the government has changed the land assignment of forest areas to allow agriculture. This has resulted in a 259% increase in deforestation rates over the last eight years, with almost three-quarters of recent deforestation occurring in the eastern department of Santa Cruz, where most of Bolivia's soy production is located.

The government has also granted a growing number of permits for land to be deforested for soy production and has even approved deforestation that occurred without a permit. In addition, illegal deforestation is rarely penalised, and when it is, the fines are negligible (US$0.2 per hectare) compared to other neighbouring countries (US$200 per hectare). This lack of enforcement encourages further deforestation.

The Bolivian government's focus on economic development, coupled with limited pressure from consumers demanding deforestation-free products, has led to a lack of incentive to address the issue. Most Bolivian soy is consumed domestically, with Colombia and Peru being the largest export markets. There is little exposure for the EU or other consumer markets outside South America, allowing Bolivia to fly under the radar in terms of international scrutiny.

The government's encouragement of soy production has been driven by economic factors. The soy sector in Bolivia is less productive compared to other countries, with lower yields per hectare, meaning more land is needed for soy production. Loans from Bolivian banks are readily available to finance the expansion of soy production, and land speculation also plays a role in driving deforestation.

In addition to the expansion of soy plantations, the government has also promoted the development of biofuels, investing US$700 million in a programme launched in 2022. This could further increase demand for soy and drive additional deforestation.

The government's development agenda is focused on agricultural commodities

The Bolivian government's development agenda is heavily focused on agricultural commodities, particularly soy production and exports. This focus has contributed to the country's deforestation crisis. Bolivia has experienced a significant increase in deforestation rates in recent years, with a 259% rise over the last eight years. In 2022 alone, the country lost almost 596,000 hectares of forest, with the eastern department of Santa Cruz being the worst affected region.

The government's policies and actions have encouraged the expansion of soy plantations to meet growing export demands. For example, they have increased soy export quotas and changed land assignments to allow agriculture in certain areas. The government has also granted numerous permits for land deforestation for soy production and has retroactively approved deforestation that occurred without the necessary permits. Additionally, illegal deforestation rarely faces penalties, and when it does, the fines are negligible compared to other countries.

The creation of the Bolivia Agricultural Production Company (EBPA) through Supreme Decree 4701 further bolsters the agricultural industry. While the stated aim of EBPA is to strengthen domestic food security and enhance the economy, the law also allows for the use of public lands by EBPA and promotes the marketing of products in international markets. Given that the agricultural industry exports up to 76% of its soy products, the move appears to prioritize economic growth over food security.

The government's focus on agricultural commodities and encouragement of soy production have had detrimental effects on Bolivia's forests. The expansion of soy plantations has devastated natural ecosystems, including the Chiquitano dry forest in Santa Cruz, which is home to a rich biome of flora and fauna. The government's policies and lack of effective environmental protection measures have contributed to the country's high deforestation rates and put Bolivia's forests at risk of reaching a potential tipping point.

To address the deforestation crisis effectively, the Bolivian government needs to introduce comprehensive land-use governance, enforce stricter measures for unregulated land clearances, and prioritize environmental protection alongside its development agenda.

The agricultural industry is the leading driver of deforestation

The eastern department of Santa Cruz, home to the Chiquitano dry forest, has been the centre of agricultural-driven deforestation, with almost 19% of deforestation in the region caused by soy expansion. The Bolivian government has granted increasing numbers of permits for land to be cleared for soy production and has even retrospectively approved land that was cleared without a permit. In addition, illegal deforestation is rarely penalised, and when it is, the fines are negligible.

The Bolivian government's focus on economic development and the lack of pressure from consumers for deforestation-free products have led to a lack of action to address the issue. The creation of the Bolivia Agricultural Production Company (EBPA) through Supreme Decree 4701 has further bolstered the agricultural industry, allowing for the use of public lands and emphasising the marketing of products in international markets.

The expansion of soy plantations has had a devastating impact on the Chiquitano dry forest, a rich biome home to maned wolves, giant otters, and armadillos. The forest has already been suffering from drought and fires caused by climate change, and the clearing of land for agriculture is exacerbating these issues.

To address the problem of agricultural-driven deforestation, the Bolivian government needs to introduce effective land-use governance, establish due diligence requirements for soy traders, and ensure that policies such as those on biofuels do not lead to further deforestation.

There is little domestic pressure to protect Bolivia's forests

Bolivia has been experiencing a crisis of deforestation, with rates increasing by 259% over the last eight years. In 2022, the country lost almost 596,000 hectares of forest, with the third-highest rate of primary forest loss globally, after Brazil and the Democratic Republic of the Congo. Despite this alarming trend, there is little domestic pressure to protect Bolivia's forests.

The Bolivian government, led by President Luis Arce, has shown a reluctance to curb deforestation and has a poor environmental record. The Patriotic Agenda 2025, which outlines the country's socio-economic development goals for 2021-2025, notably lacks concrete plans to safeguard the environment and protect the country's forests. Instead, the agenda focuses on economic growth and development, with references to the environment couched in terms of sovereignty.

The agricultural industry, the leading driver of deforestation in Bolivia, is centred in the province of Santa Cruz, where almost three-quarters of recent deforestation has occurred. While the Arce administration has implemented policies to strengthen domestic food security and enhance the economy, such as the creation of the Bolivia Agricultural Production Company (EBPA), these policies have also allowed for the use of public lands and encouraged the expansion of agricultural commodity production, which is contributing to deforestation.

Additionally, the government has promoted the expansion of biofuel production, including palm oil, through the establishment of the Bolivian Ecological Oil Industry Productive Public Company (IBAE). This expansion will likely result in the clearing of vast swathes of Amazon Forest and negatively impact the rich biodiversity of these forests. Despite the potential environmental consequences, the creation of the IBAE and its collaboration with Bolivia's hydrocarbon organization (Yacimientos Petrolíferos Fiscales Bolivianos) indicate a continued focus on land-intensive economies, posing a significant risk to the country's forests.

Overall, the Bolivian government's actions and policies suggest that economic development and growth take precedence over environmental protection, and there is little domestic pressure to prioritize the protection of the country's forests.

Bolivia's international stance on deforestation

Bolivia has been a fierce defender of resource sovereignty and a critic of industrialised nations' historical emissions. Both President Arce and his predecessor, Evo Morales, have avoided, obstructed, and rejected concrete deforestation targets. Instead, they have called for alternatives to capitalism as a means of combating climate change, notably excluding the protection of forests from their speeches.

On a regional level, Bolivia is a member of the Amazon Cooperation Treaty Organization (ACTO), which was established to safeguard the Amazon rainforest. However, the Belem Declaration, passed by the eight member states in August 2023, did not include any mention of deforestation targets, allowing members to pursue their own goals. Rumours suggest that Bolivia opposed their inclusion, given the exponential growth of deforestation in the country and the reliance of its extraction-heavy economy on forest clearance.

Bolivia's stance on deforestation at the international level appears to be influenced by its focus on economic development and sovereignty. The country's development agenda, outlined in the Patriotic Agenda 2025, lacks concrete plans to safeguard the environment and references the environment in terms of economic sovereignty. This tension between environmental protection and development policy has characterised both the Arce and Morales administrations.

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