Current issue: 55(1)
Under compilation: 55(2)
The purpose of this theoretical study was to define the factors related to wood production that affect the financial result of private forestry in Finland on the viewpoint of alternative calculation. The paper introduces the main concepts, analyses the outturn factors and discusses feasibility of some calculation methods, and finally draws up a business plan for a forest holding based on the chosen method.
In forestry, the quantitative and sustainability objectives for yield, the difference between annual proceeds and costs, and the capital value of the costs affect which factors are included in the calculation of profitability of forestry. The base-line situation for the alternative calculations is defined by an inventory. The future proceeds and costs are valuated and procedural models are formulated for the most advantageous alternatives. The main goal in private forestry is profit.
The PDF includes a summary in German.
Literature knows a variety of forest and timber related balances and even wider variety of calculations concerning the themes. The article presents forest and timber balances divided into three categories, based on their purpose.
The three categories are: 1) (national) economic balances for calculating the sustainability of forest use and sufficiency of forest resources; 2) balances of yearly harvesting rates for mostly commercial purposes, but also economic uses; and 3) balances of timber demand and those for balance between supply and demand, especially for foreign trade.
Finally the author critically views the use of balances to describe the amounts of wood used in industry.The PDF contains a summary in Finnish.