BRAZIL –  Swiss timber company Precious Woods, a global leader in sustainable management of tropical forests, plans to double its operational area in Brazil, where it currently manages around 575,000 hectares in the state of Amazonas.

In 2024, its Brazilian operations generated BRL 10.2 million in revenue.

The expansion will focus on two strategies: signing agreements with private landowners or securing public forest concessions near its current base. “We aim to double operations without starting from scratch,” said Chairman Markus Brütsch during a visit to São Paulo. One-third of its area in Brazil is owned; the rest is managed through private and state contracts.

Operating locally through its subsidiary Mil Madeiras Preciosas, the company claims 6% to 7% of Brazil’s certified tropical hardwood exports. Species harvested include maçaranduba, cumaru, and jatobá, destined mostly for Europe, though some are also exported to Asia and the U.S.

Precious Woods does not rely on plantations. Instead, it employs a sustainable forest management model involving selective harvesting of native species, with 35-year logging cycles per forest area. The company has held FSC certification since 1997 and PEFC since 2017.

In 2024, Precious Woods posted global revenue of USD 47.7 million, down 15.3% from 2023, mainly due to reduced construction demand. Recovery began in the second half of the year. To improve its financial position, shareholders converted CHF 43.5 million (USD 53 million) in loans into equity.

The company is in talks with Brazil’s development bank BNDES for financing of new equipment, sawmill upgrades, and operational growth. BNDES lent BRL 23 million to its subsidiary in 2024 and considers sustainable forestry a strategic activity. Brütsch cites growing global demand for wood as a concrete alternative as a key driver for expansion.

With the EU’s new anti-deforestation regulation (EUDR) set to take effect in 2026, Brütsch believes Precious Woods’ sustainable practices give it a strong competitive edge.