Once upon a time… there were a princess, a girl, three little pigs, a bad wolf. There are many tales of our childhood that take place in a forest – which is often enchanted and hides threats, acting as a home to many characters. More than that, the forest is crucial to the preservation of biodiversity, contributing to the ecological balance; it’s a “green lung” to fight against climate change and a major player in fire prevention (yes, when there is proper management; but we’ll discuss it later).
In Portugal, the universe of the forestry sector plays an important role in the country’s economy, in addition to the direct contribution to the national Gross Domestic Product (GDP). In 2021, forest-based industries and forestry companies generated a turnover of more than 11.69 billion euros, contributing to 4.98% and 0.47% of national GDP, respectively. The forestry industry is a major employer, contributing to the economic development of many local communities; moreover, and in addition to the wood and cork sectors, there are several other industries that depend on its raw material. Nevertheless, forest management in Portugal faces several challenges with significant impact on the sector’s sustainability and preservation. One of the most serious problems is the fragmented structure of forest ownership in the country, characterised by many smallholders. A fragmentation that leads to a series of other problems like inefficiency in management, poor technological maturity, the proliferation of an analogue system that hinders communication and collaboration between organisations, or even the inability to derive income from a volatile raw material.
When Sleeping Beauty falls into a deep sleep, the forest also enters a state of inertia, becoming a “forest of thorns”. There are many acres of our forest that look like the setting of this Grimm brothers’ tale. Are we going to wait for Prince Charming? Or will we be able to change our fate?
A house of straw, a house of sticks, and a house of bricks
Reinaldo Silva Gomes, INESC TEC researcher dedicated to industrial engineering and business systems, has been exploring – through different projects – the forestry sector, and he stated that one of the main gaps is the absence of an integrated strategy for the management of forest spaces – involving and favouring all those part of the sector, towards the valorisation of forests, even from an economic point of view.
“There are very outdated realities. For smallholders, it is difficult to understand how it is possible to create value with their land, in addition to not doing it efficiently. The machines used are already quite old and it’s hard to promote the digitalisation of the sector. There are major players in the forest value chain, particularly in the paper and cork sectors, with significant technological development – with whom we can easily start testing prototypes and implementing new technologies. But the largest portion of the business fabric of the sector is still underdeveloped; and we have not been able to transfer the examples of large companies into business models”, he explained.
As in the tale of The Three Little Pigs, the owners have different views on how to manage the private forest areas, not investing in adequate maintenance. And that is why, when the “big bad wolf” arrives (forest fires), there are few “houses” that resist.
Many owners give up on the sector because they are unable to make a profit from their land – mainly due to inefficient operational management. And it is very difficult to optimise processes when certain logistics operators – which cut and collect wood or biomass – explore broader areas. We are talking about hundreds of kilometres dividing the plots where these operations ought to take place. In addition, they present different characteristics: some are difficult to access, while others feature rocky terrain and/or steep slopes.
“Another challenge in this sector is the uncertainty regarding the quantity and quality of the raw material, since we never know how a certain portion will be. There is a lot of variability, both spatial and temporal, which makes management difficult. In other words, it is necessary to carry out daily operational planning, integrated into strategic management, because what we do today will have an impact over a 15-year period”, explained Reinaldo Silva Gomes.
Digital transformation is the way
The big problem lies in the sustainable forest management of the supply chain, which is not technologically adapted, due to difficulties in terms of identification of market’s needs, of organisation and identification of resources available. The Replant project aimed to develop new tools – optical cameras, mobile applications for forest inventory, digital sensors, and robotics in forest cleaning operations – to help overcome said needs. “Using a digital platform for monitoring, traceability, control and planning, we collect real-time data from the equipment on the ground – location, productivity and maintenance needs – and the environment itself, which help us identify any incidents and act quickly. The mobile applications enable the collection of quantitative and qualitative data remotely, supporting decision-making processes”, said Reinaldo.
Optical cameras were also placed on REN – Redes Energéticas Nacionais posts to monitor, safeguard and anticipate the impact of rural fires on forests, providing real-time images with weather and vegetation information.
“In a second phase, through the Agenda Transform project, we seek to include some intelligence in the planning itself and develop an optimisation model, allowing equipment allocation, stock management and raw material flow until reaching the processing units”, he claimed.
The Transform Mobilising Agenda, funded by the Recovery and Resilience Plan (PRR), focuses on integrated management, involving many entities and institutions, the development of solutions that can be applied in situ, and coherent and joint initiatives between them. Basically, the main objective is to support producers, entrepreneurs, and forest managers – in particular, forest producer organisations – with a micro or small and medium enterprise (SMEs) profile in the process of digital transformation.
José Correia, INESC TEC researcher in the field of computer science, explained how the adoption of new technologies by the sector is taking place, favouring the dematerialisation of business processes and the monitoring of the activity’s performance.
“The ecosystem of SMEs in the forestry sector in Portugal operates predominantly in an analogue environment. This hinders communication and collaboration between organisations, limiting their operational activity, growth, and profitability. As the sector is very heterogeneous, the Agenda Transform aims to explore a better liaison between the different players. Moreover, activities like forest cleaning services and registration (among others specific to the sector) lack adequate support tools that allow more efficient, agile, and effective services”, he explained. The project also focuses on the ability to create prototypes or realistic business models.
Let us return to the Grimm brothers, with the short story Hansel & Gretel: using crumbs to mark the path does not work, just like continuing to use obsolete technological systems. Applying robotics to the forest can be an excellent solution: a robot may be able to clear plots and turn waste into biomass; or maybe search a wide area and identify hazards. Autonomously. The problem is that smallholders do not have the financial capacity to invest in this type of equipment. Let’s hold this idea for a future where new technology players want to be part of the equation.
Trapped in a tower, unable to communicate
INESC TEC has been researching agroforestry for quite a long time. José Correia highlighted the SIFOREST project, which featured a study to identify the capacities and skills of regional agents for the implementation of shared information systems within the scope of organisational and forest management. “We studied Forestis, a forestry association that represents almost 20.000 forest producers, and we surveyed the reality of this ecosystem. At the time, we had a very reasonable picture of the technological and digital maturity of said organisations”.
Another relevant project was PLIS1asis (in 2020), which focused on a new architecture for the Integrated Rural Fire Management System. “This project involved a set of public and private entities that are directly and indirectly related to the forestry sector, focusing on the interoperability between them. We analysed the data that each entity processes and the type of processing done, as well as their sources, computer applications and data quality assessment mechanisms; we also studied which entities provide data to others, and how often. The main conclusion was that the information is non-existent or incomplete; and, when it exists, it is not available in a timely manner, with inadequate access, lack of data quality and many shortcomings in terms of computer interoperability”, summarised José Correia.
Like Rapunzel, trapped in a tower without being able to communicate with the world, these entities are also isolated and unable to share information – robustly and reliably. Technological modernisation is the “ladder” that will allow reaching coordination in the forestry sector, towards more efficient operations.
“What we do, at INESC TEC, is to provide strategic guidance and specialised consultancy, which include technical support in the adoption of information technologies. And we propose IT evolution roadmaps featuring a set of initiatives and projects that organisations must follow”, he added.
But will this be enough? If Little Red Riding Hood knew the best way to go to her grandmother’s house, would she have arrived in time to stop the Big Bad Wolf from devouring her Grandma? According to José Correia, it is not enough to create the maps; we need to know how to use them. “Often, there is some resistance to the adoption of information systems, because they are expensive. So, we must analyse the business models. We cannot provide a Ferrari if there are no conditions to maintain it. It’d be better to provide a Renault car. The sector is lacking technological solutions, but they must adapt to the reality of each association, producer, or company”, concluded the researcher.
People are (still) the main character
One of the main issues of today’s forestry sector is the lack of land cleaning actions. According to Reinaldo, current public policies do not promote the protection of the forest, persisting in the application of fines. “Since many of the smallholders are unable to earn income from their land, they perceive cleaning as a cost rather than an opportunity. For example, producers, when cleaning their land, obtain a highly valued by-product to several industries – and with high profitability: biomass”. The researcher even said that, in past projects, e.g., BIOTECFOR, researchers tried to create a bridge between owners and companies, maximising the efficiency in terms of forest resources use and the valorisation of by-products.
The researcher believes that the forests require more people present. “We need more dynamic forests; and must understand how to fully explore these spaces, whether for parks, hiking or radical activities. More people mean more monitoring. It is important to bring companies into the forests to realise their value. Take the case of eucalyptus forests (often identified as the main cause of fires): with better management and human intervention – cleaning, creating paths and planning operations -, they would no longer represent a risk factor”.
In addition, there is a pressing need to work on prevention and valorisation. “Producers are motivated and want to be part of the digital transformation process. But before that, they must realise that there is added value in the forest; and that by investing in technology adapted to their needs, they will get financial gains”, concluded the researcher.
In the tale Jack and the Beanstalk, the main character trades his only valuable asset (a cow) for a handful of magic beans. Are producers prepared to take this risk? Will they be willing to invest in technology for more efficient and sustainable forest management?
In a country where forests play a crucial role, from preserving biodiversity to the economy, collaboration and the adoption of new technologies can open doors to more effective management. Because forests should not be fairy-tale scenarios, but rather main characters towards building a more resilient and flourishing future!
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