Brazil’s new Forest Code: A guide for decision-makers in supply chains and governments

The document explains the mechanisms of Brazil's 2012 Forest Code, specifically the Rural Environmental Registry (CAR) and the Environmental Compliance Program (PRA). It argues that while the law provides tools for monitoring and restoration, effective implementation requires the active engagement of the private sector, financial institutions, and government agencies to move beyond mere legality toward zero net deforestation and degradation.

• The Rural Environmental Registry (CAR) is the primary legal instrument for environmental regularization, creating a national electronic database (SICAR) to monitor land use and identify environmental deficits.
• The Environmental Compliance Program (PRA) is designed to restore, reforest, or offset areas illegally deforested before July 22, 2008, but most Brazilian states have failed to implement these programs despite missing a two-year legal deadline.
• WWF advocates for 'Smart Compensation,' which encourages landowners with Legal Reserve deficits to offset their requirements in priority conservation areas that offer high ecological value, such as wildlife corridors or habitats for endangered species.
• Financial institutions can drive compliance because, as of 2017, Brazilian banks are prohibited from providing credit to producers who have not registered their land in the CAR.
• Despite the Forest Code, significant areas remain legally eligible for deforestation; an estimated 880,000 square kilometers could still be cleared under the law.
• The document identifies critical gaps in government capacity, specifically the lack of a high-quality, georeferenced database of watersheds, which hinders the accurate validation of riparian Areas of Permanent Protection (APPs).
• Land tenure insecurity is a major barrier to the Forest Code's success, with an estimate that only 14% of privately owned land in the Amazon has a legal title.
• The guide highlights sector-specific challenges: the soy industry has successfully reduced Amazon deforestation via the Soy Moratorium but has been a primary driver of deforestation in the Cerrado.

APA

WWF International (2016). Brazil’s new Forest Code: A guide for decision-makers in supply chains and governments. https://www.worldwildlife.org/documents/443/4jqvtete38_wwf_brazils_new_forest_code_guide.pdf

Chicago

WWF International. Brazil’s new Forest Code: A guide for decision-makers in supply chains and governments. 2016. https://www.worldwildlife.org/documents/443/4jqvtete38_wwf_brazils_new_forest_code_guide.pdf.

Wikipedia

{{cite report |author=WWF International |title=Brazil’s new Forest Code: A guide for decision-makers in supply chains and governments |date=2016 |url=https://www.worldwildlife.org/documents/443/4jqvtete38_wwf_brazils_new_forest_code_guide.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{wwfinternational2016brazils, author = {{WWF International}}, title = {{Brazil’s new Forest Code: A guide for decision-makers in supply chains and governments}}, institution = {WWF International}, year = {2016}, url = {https://www.worldwildlife.org/documents/443/4jqvtete38_wwf_brazils_new_forest_code_guide.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }