The veredas (palm swamps) of the cerrado biome are legally protected as Áreas de Preservação Permanente (Permanent Preservation Areas), and the use of fire in these wetlands is prohibited. We carried out a preliminary assessment of environmental impacts of the local use of agricultural fire in veredas through a collaborative research project in Jalapão (Tocantins, Brazil). We found that "roças de esgoto" (drained peat swamp swidden fields) form the basis of the agricultural system of this region. These fields ensure production throughout the year, provide more income than "roças de toco" (rainfed swidden fields), and may function as a repository of agrobiodiversity on a regional scale. This study suggests that the use of fire in veredas associated with roças de esgoto does not lead to significant deforestation, that is, to the disappearance of the forest physiognomy, but instead helps maintain tree cover during the fallow period, possibly accelerating natural succession.