Abstract Forest plantations in Latin America can help sequester the carbon dioxide produced in more-developed regions. Industrial emitters of carbon in developed countries would pay for this service through the Kyoto Protocol policy framework. Latin America offers rapid forest growth rates, past success in implementing large-scale plantations, and low costs for land and labor. Constraints in Latin America are land-tenure issues, limited funds for long-term forest projects, and difficulties in maintaining access to world markets for the export of forest products. But increased investment for forest plantations in Latin America would bring economic development and reduce pressure on native forests, while providing forest products and sequestering greenhouse gases.