Analysis of native firewood extraction concentration in the microregion of Petrolina, Pernambuco - Brazil from 2002 to 2019

Abstract

The demand for wood as an energy source is accentuated in the Brazilian semiarid region, due to its use as firewood and in the production of charcoal. This work analyzed the inequality and the concentration of native firewood production by municipalities in the microregion of Petrolina, between 2002 and 2019. The data used for this study were from Vegetal Extraction and Forestry Production (PEVS), provided by the Brazilian Institute of Geography and Statistics (IBGE). Concentration was determined by the following indicators: Concentration Ratio [CR(k)], Herfindahl-Hirschman Index (HHI), Comprehensive Concentration Index (CCI) and Gini coefficient (G). The results showed a growth of 4.13% p.a. in the production of firewood. The G indicated greater inequality in 2002. The CCI showed a high concentration in 2002, with a decrease over the analyzed period. CR(k) exhibited very high concentration, averaging 89%, indicating an oligopolistic market. HHI indicated a market concentrated at the beginning of the period analyzed and competitive towards the end. The municipalities with low extraction increased production, thus deconcentrating the market,  making it more competitive.