There is virtually no up-front payment at all. The only form of payment is a royalty which is a fraction of the logs' value. Socially, there is very mediocre, if not poor, development. In some cases, there is very poor social development. Logging is not a good way to raise rural standards.
Cocoa is much better.
If you want to see good development in Papua New Guinea, you go to cocoa-growing areas, where you'll see sealed roads, decent water supplies, decent electricity supplies, decent schools, decent health services and a few rural nightclubs around. But if you look at the average logging project, you'll see none of that. That is fairly straightforward. We are a standard, open, free-market economy. Translated into the Third World, that means that the basis of economic development is trickle down, and of course very little trickles down.