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In this paper, the Freeman-Durden polarimetric decomposition concept is adapted to polarimetric SAR interferometry (PolInSAR) data. The covariance matrix obtained from PolInSAR observations is decomposed into the three scattering mechanisms matrices proposed by Freeman and Durden for polarimetric SAR (PolSAR) data. The objective is to describe each interferometric cross correlation as the sum of the contributions corresponding to direct, double-bounce, and random volume scattering processes. This procedure enables the retrieval not only of the magnitude associated with each mechanism but also of their location along the vertical dimension of the scene. One of the most important features of this algorithm is the potential to isolate more accurately the direct and volume contributions which usually cannot be correctly separated by means of PolSAR measurements. In addition, it is also possible to distinguish between direct scattering responses originated either at ground or produced by upper layers of vegetation. The proposed algorithm has been tested with simulated data from PolSARProSim software, laboratory data from maize and rice samples, and airborne data from a test site with different scenarios.