ABSTRACT
This work analyses the tropical wood industry, considering its performance and economic efficiency. The study area was Sinop county, in the State of Mato Grosso. The methodology used were the foundations of the theory of production to examine the performance and economic efficiency of this timber industry. The general consideration of this study is that the saw mills of Sinop present a good performance in the processing of logs considering Amazon region patterns. However, the productivity of the labour and capital factors are low. If politics in the sense of contemplating the modernization of the wood industry integrated to sustainable forest management are not adopted, the social cost can spread to society as a whole due to loss of forest that could overcome the gains with wood processing.
Key words:
timber industries; economic analyses; State of Mato Grosso