Figure 9. Landing area and oxen teams used for skidding logs.
Processing and Marketing of Timber
An additional difficulty encountered by cooperatives when expanding into
logging is marketing a new product. The resin market in Honduras is characterized by
almost no choices. The timber market, on the other hand, is extraordinarily complex.
There are dozens of options to choose from when selling logs or lumber, and good
decisions can determine whether the venture will make or lose money. Furthermore, all
but two of the study cooperatives have experience in processing their own lumber.
Owning a sawmill and processing logs the cooperative produces can be effective in
adding more value to the product and producing more employment in the communities,
thus maximizing benefits obtained from logging. The costs of the additional benefits are
increased risk and initial investment. A sawmill is a large investment, and it adds new
layers of potential problems.