Articles containing the keyword 'timber sales'

Certain trends in the sales behaviour of private non-industrial forest owners suggest that the forest industries have to rely on a raw material supply much less than the allowable cut. This paper deals with several factors responsible for the change in sales behaviour during the last 20–25 years. These changes are caused by social change, a multi-face process which is led by industrialization. It is manifested in the increasing division of labour, more pronounced strive for efficiency, change in social values for the benefit of the adoption of innovations and thus of further changes.

It has become more common than previously to borrow money instead of selling timber. An incentive for doing so is provided by the increased progression of income tax scales which makes it more profitable than earlier to substitute a loan for timber sales with a view to reduce the amount of taxes. In 1977, the real value of the farmers’ debts was 1.7 times as large as in 1970. Inflation provides a further incentive to borrow money rather than to sell timber, because it tends to reduce debts, whereas a growing stock keeps increasing without affecting the property taxation, maintaining its real unit value.

Certain forestry policy measures conductive to increasing the forest owner’s willingness to sell timber are suggested. Among the most promising seems to be an adjustment of the present area-based yield taxation so as to take into account the age class distribution of the growing stock.

The PDF includes a summary in Finnish.

• Riihinen, E-mail: pr@mm.unknown

The task of this study was to gather all available information concerning timber-sales behaviour of private forest owners and to try to find the probable trends in this behaviour. The initiative for the study came from the Central Association of Finnish Forest Industries.

In Finland there are areas of timber savings and those of overcutting. These are mainly explained by regional variation in prosperity of forest owners. There are also several individual factors affecting timber sales behaviour. Without major changes in forest policy the annual variation in quantity cut in Finland is increasing and the degree of cutting seem to remain below the allowable cut.

The PDF includes a summary in English.

• Hahtola, E-mail: kh@mm.unknown
• Järveläinen, E-mail: vj@mm.unknown
• Reunala, E-mail: ar@mm.unknown

There is no clear picture in Finland of how big the revenues are that the State and the local authorities receive from taxation for the part of primary forestry. Conception of taxation varies from 100% to 50%. The paper presents a comparison between the gross income from timber sales as determined according to the method used at the Central Statistics Bureau and the net revenues as calculated on the basis of forest fee.

At 1920s area taxation was introduced in forest taxation. The system is based on forest types and their timber production capacity. According to the principles of area taxation, no tax is paid for overcuts, whereas timber capital savings should be paid for.

According to the calculations of this study, in 1958–62 the gross income from timber sales was about 506 million Fmk annually in Southern Finland, the costs involved in timber production about 437 million Fmk, and the annual taxable income 231 million Fmk. In the period more valuable timber assortments were harvested than those for which taxes were paid according to the old regulations.

Half a century ago, area taxation was a system suited to its purpose. Now, however, forestry is in the hands of another generation, and accounting has been introduced in practical agriculture and forestry. Therefore, a taxation system based on the real income from timber growing should be introduced. The transition period could even be relatively short. It seems probable that a forest owner does not sell timber at a time when this would be required by silvicultural aspects in order to avoid income taxation, he should have to be present an acceptable working plan.

The PDF includes a summary in English.

• Lappalainen, E-mail: al@mm.unknown

The aim of this paper was to shape and analyse certain alternatives in the development processes in the organization chains of Finnish forestry. The material was collected by analysing market structures and characteristics of competition with regard to raw wood and forest industry products.

The paper presents two alternative ways to rationalize the organization chains between the forest owner’s organizations and forest industry. In the price mechanism of raw wood originating from Finnish private forests there there has been increasing influence of the central organizations of the private forest owners and forest industry. In their relationship, the model of bilateral monopolistic competition can be chosen as a conceptual framework.

Under bilateral monopoly price is fixed as a result of negotiations between competitive parties, and the position and tactics within the negotiations are of great importance for the negotiating parties. Because of the competition, Finnish forest industry cannot compensate the increase in the production costs by raising independently the export prices of its products. This and the fact that the annual earnings of forest workers are fixed by law to the earnings of the workers in wood-processing industry, will cause pressure on stumpage prices.

In the paper two schemes are outlined. In the Scheme 1 a development alternative is described in which the organization chain of private forest owners is supposed to develop to the industry growing direction. In the Scheme 2 the organization chain of private forest owners is supposed to develop to the organizational orientated direction.

It is concluded that as long as the forest owners’ organizational orientated central organization is too weak to form a monopoly as counterweight to the monopsol of forest industry (except the industries of forest owners), it will consider the industry growing direction superior to the organizational orientated alternative.

The PDF includes a summary in English.

• Rinkinen, E-mail: ir@mm.unknown

A Timber Scaling Committee was appointed by the Government of Finland in 1959, commissioned with the regulations concerning the scaling of timber and to draw a proposal for their amendments. The commission suggest revision of the regulations in their entire extent. The largest alterations should be made in the act which incorporates the provisions concerning the actual technical methods of procedure in measuring. Thus, also amendments were also posed for the Timber Scaling Law and the law concerning the scaling of timber for the purpose of paying wages.

The inclusion of the setting of the grades and quantities are considered important, since most of the disagreements occurring in measuring are concerned with quality of the timber. Inside of the sphere of application of the law would also be settling of the problems of the quality, and the measuring procedure, also when measuring for the purpose of paying wages.

According to the bill, the necessary number of official scalers and scaling boards would be appointed. The duties of the present officers would be changed. In the boards would be presented sellers, buyers, employers and employees besides the chairman. The freedom of contract in the scaling of timber will be preserved from the present law.

The report includes a bill for the Timber scaling Act, a draft for the timber scaling act, and a draft for an act which includes the timber scaling rules.

The PDF includes a summary in English.

• Puutavaranmittauskomitea, E-mail: –

Wood demand and practices in the marking of trees for cutting have affected the silvicultural state of the forests of Finland in the early 1900s. The aim of the study was to study the development of timber sales and the marking of trees for logging, with a special emphasis on variation in the volume of the sales and assortment range. The study is based on statistics of the District Forestry Boards and Forest Management Associations about timber marked for cutting in 1931-1953.

The professionals in the District Forestry Boards and Forest Management Associations have marked annually in average 9 million stems of heavy timber and about 7 million m³ of stacked wood for sales. The volume  follows business cycles, the changes in the volume of stacked wood being larger than of heavy timber. When demand was high, the number of professional workers limited the supply of wood. There were large differences in the volumes marked within the country. The share of small diameter stacked wood has increased since 1930s compared to heavy timber.

The article includes a summary in German.

• Yli-Vakkuri, E-mail: py@mm.unknown

Silva Fennica Issue 80 includes presentations held in 1952 in the 7th professional development courses, arranged for foresters working in the Forest Service. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service.

This presentation discusses legal cases of the supreme court of Finland that are related to forestry and handle subjects that can be of interest to forest officers working in Forest Service. The subjects vary from sale of timber to unauthorized harvest of timber.

• Komsi, E-mail: tk@mm.unknown

Silva Fennica Issue 69 includes presentations held in 1948-1950 in the fourth professional development courses, arranged for foresters working in the Forest Service. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service.

This presentation describes benefits of the qualitative classification of saw logs to forest owners and forest industry.

• Heiskanen, E-mail: vh@mm.unknown

Silva Fennica Issue 69 includes presentations held in 1948-1950 in the fourth professional development courses, arranged for foresters working in the Forest Service. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service.

This presentation describes the grading of sawn timber for export and domestic use, and suggests improvements to grading of the sawn products in the saw mills to better answer the needs of export.

• Siimes, E-mail: fs@mm.unknown

Silva Fennica Issue 69 includes presentations held in 1948-1950 in the fourth professional development courses, arranged for foresters working in the Forest Service. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service.

This presentation describes the development of standards for timber grades in Finland, and the present quality grades of raw timber for timber sales from state forests.

• Pöyhönen, E-mail: vp@mm.unknown

Silva Fennica Issue 64 includes presentations held in 1947 in the third professional development courses, arranged for foresters working in the public administration. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service. Two of the presentations were published in other publications than Silva Fennica.

This presentation describes the principles of licence sales of timber in state forests. In this type of timber sales, a local forest officer has granted a licence for sale of wood or other wood products. The article gives a suggestion to improve the practices of the licence sales.

• Wuori, E-mail: ew@mm.unknown

Silva Fennica Issue 64 includes presentations held in 1947 in the third professional development courses, arranged for foresters working in the public administration. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service. Two of the presentations were published in other publications than Silva Fennica. 

This presentation describes budgeting of costs of delivery loggings, which have been at times underestimated in the practical forestry in the state forests.

• Anttila, E-mail: aa@mm.unknown

Silva Fennica Issue 64 includes presentations held in 1947 in the third professional development courses, arranged for foresters working in the public administration. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service. Two of the presentations were published in other publications than Silva Fennica.

This presentation outlines the history of timber sales at delivered price made in state forests, and describes good practices to arrange timber harvesting locally.

• Sopanen, E-mail: es@mm.unknown

Silva Fennica Issue 64 includes presentations held in 1947 in the third professional development courses, arranged for foresters working in the public administration. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service. Two of the presentations were published in other publications than Silva Fennica.

This presentation compares timber sales by delivered price and stumpage sale in the state forest. The buyers of wood have criticised sales bu delivered price from the state forests. The article discusses which of the type of sales is more profitable for the state.

• Pöntynen, E-mail: vp@mm.unknown

The government of Finland appointed a committee to study which method of selling wood, sale at delivered price or stumpage sale, is more profitable method for wood sales from state forests.

According to the committee, in normal conditions, when supply and demand determine the price of timber and forest work wages are dependent on the supply and demand of labour, returns from the sale at delivered price has proved more favourable than stumpage sale. During the World War II the case was, however, the opposite. Sale at delivered price can have also other advantages. The state has by means of logging a hold in the labour market and can use loggings, for instance, to ward off unemployment. Also, loggings can be more easily used in rational silviculture. They keep the supervising staff of forest districts employed throughout the year and provide better professional training for the foresters. In addition, the number of buyers from state forests has increased. The stumpage sale may, however, be good method in certain conditions. The committee states that the State forestry officials are best able to decide on the most favourable method of selling.

The article includes an abstract in English.

• Valtion metsäkauppakomitea, E-mail: –

The aim of this treatise is to describe forests owned by timber companies, their area and position, the quality of forests, the condition of the forests, and fellings carried out during the World War II.

Area of the company-owned forest was 1,95 million hectares, 1,64 million hectares of which was productive and 0,31 hectares inferior forest soil, not including the areas lost after the war. Most of the forests were situated in remote regions. Average volume of the tree stands was slightly larger than in farm-owned forests. Fellings counted for 84% of the growth of the forests.

During the war  the state set felling quotas for both company, private and state forests. It was widely discussed how well they were met by the different owner groups. According to the statistics, the companies had followed relatively closely their cutting plans in peace years. Cuttings were highest in 1939, when the war begun. In the war years 1940-43, lack of workforce, horses and cars for transport complicated logging. The fellings increased again during truce after Winter War. Especially demand for small timber increased during the war. Felling of firewood increased in all the owner groups, in particular in the private forests that were situated near settlements. in general fellings were higher in forests that were easiest to reach.

During the war the companies acquired timber more from their own forests. The fellings from company forests were in war years 70% of those in peace years. The article concludes that companies fulfilled the requirements as well as it was possible in the circumstances.

The article includes an abstract in English.

• Lihtonen, E-mail: vl@mm.unknown

The article is based on studies made in the Karelian isthmus in 1936-1938 before the World War II broke in 1939. Further studies were not possible after the war when the area was handed over to Soviet Union. Economic data of agriculture and forestry of the farms had mostly been regarded separately in the early economic studies of small farms in Finland. This survey aimed at studying influence of forestry in the economy of a small farm. 141 farms were included in a more detailed survey.

Forestry accounted for in average 38% of total income of the farms in 1937-1938. The farms had sold wood often, the amounts being often small. Good transport connections in the area facilitated the sales. Over 70% were sales at delivered price, and about half of the wood was small-sized timber. According to the results of the survey, forestry was important for the small farms in Karelian isthmus. The farmers could not have made a living without the forests. Hoveter, the farms had had to overuse the forest resources. The wood resources decreased by 18-22% in 1922-1938. They were, however, at the same level as in average in Finland in 1938.

The article includes an abstract in German.

• Virolainen, E-mail: jv@mm.unknown

Silva Fennica issue 52 includes presentations held in professional development courses, arranged for foresters working in public administration in 1938. The presentations focus on practical issues in forest management and administration, especially in regional level. The education was arranged by Forest Service.

This presentation describes the Timber Measurement Act, adopted in 1938, and its application.

• Mecklin, E-mail: am@mm.unknown

An act passed by the government of Finland in 1922 prescribed that state-owned forest lands will be parcelled out to landless population. A survey was made in 1934-1935 by Forest Service (Metsähallitus) to investigate the success of the establishment of settlements, and which disadvantages it may have had in forestry in the state forests. In the survey 1,194 farms were inspected.

According to the directives of settlement, the farms should be able support a family of four adults. The area of arable land was in average 5-15 hectares. In addition, the farm should have pasture and forest enough to supply it most of the household timber. According to the study, the regulations had been applied variably. Usually the farms had been given more land than was required. It was estimated that farms had been given 110,000 hectares more forest land for gathering household timber than required in the act. Many farms had sold timber, in some cases to that extent it endangered supply of household timber.

Parcelling out land had affected the management of state forests. If a region had surrendered large forest areas for settlement, it could not follow its cutting plan. Also, there was relatively little state-owned forests in southern Finland, and the effects of parcelling out land were stronger. The report concludes that in general it was not appropriate to parcel out forest land. The execution of settlement should have beeb given to Forest Service.

The article includes a German summary.

• Jokinen, E-mail: pj@mm.unknown

Seasonal variation in the sawmill industry of Finland was studied in an investigation based on questionnaires answered by a random sample of sawmills concerning the time period of 1958-1960. The method is described in detail in a separate article in Acta Forestalia Fennica issue 75 no. 1.

The seasonal variations in purchase of roundwood was largest in big sawmills, which purchase the main part of the timber as standing sales and buy most of the wood from the State Forest auctions at the end of September. Also, they can afford to reserve their material earlier than the smaller companies. The saw logs are mainly felled in the winter in Finland because the climatic conditions and availability of labour are best at that time. Small sawmills begin fellings a little earlier than the larger ones.

In long-transport of timber the proportion of floating decreased from 47% in 1958 to 38% in 1960. At the same time, proportion of truck transport increased from 48% to 55%. Small sawmills use almost exclusively land transport. They received almost three-fourths of their logs between January and May, because the sawing is concentrated in the first half of the year. Therefore, floating does not suit for their transport method. The larger the sawmill, the later is the seasonal peak of log deliveries. The output of the big sawmills is distributed more evenly thoughout the year. The smaller the sawmill, the quicker is the turnover of raw material and the smaller the sawlog inventories.

The seasonal variation in output is sharper at small sawmills where sawing is concentrated in the first half of the year. The seasonal peak of the early spring is due to the aim at getting the sawn wood to dry early enough for shipments in the summer. Air drying takes an average of 4 ½ months. Kiln drying is more common at the larger sawmills, and gives them more flexibility. Due to the large seasonal variation in operation, the capacity of the small mills is poorly utilized. Domestic sales of sawn wood levels up the seasonality of the deliveries. Export sales are concentrated at the end and turn of the year. Also, the seasonal peak of expenditure occurs in the winter, but that of income in the summer.

The PDF includes a summary in English.

• Ervasti, E-mail: se@mm.unknown

This paper concentrates on the roundwood commerce in Western Europe as seen from the point of view of Finland, considering the role of Eastern Europe. The first part analyses exports and imports both quantitatively and qualitatively, and the balance of the trade in the export countries. Second part covers the new market groups in Europe and the opportunities for a common market.

Arter the Second World War, a surprisingly large trade in roundwood reappeared in Europe. The European countries exported in average 11 million m³ of roundwood annually, of which 4.3 million m³ was pulpwood, and 2.8 million m³ pitprops. Finland leads exports during the 1950s with a yearly average of 4.2 million m³, followed by France and Sweden. Western Germany is the largest importing country with a negative balance of 2.8 million m³. It is concluded, from a theoretical point of view, that in Western Europe only Finland can maintain a large roundwood export. From a national point of view, however, it would be more favourable to expand the countries’ own refining industries.

On the whole, it seems as if the European roundwood trade should continue on a rather large scale during the 1960s, partly because the border trade can be expected to increase, with a freer trade, and partly because the European timber deficit needs filling from sources outside Europe. In addition, the pulp industries in the importing countries will compete more and more keenly with the exporting countries for pulpwood supplies.

The PDF includes a summary in Finnish.

• Runeberg, E-mail: lr@mm.unknown

The present investigation set out to find out the structures of supply and demand, channels and methods of marketing, developments in marketing methods, trade customs, similarities and differences in marketing of the private forest owners and the State, local features of the market of domestic roundwood trade in Finland, and compares marketing of unprocessed wood between Finland and Scandinavian countries. The study is based on statistics of various sections of trade and from the State Boards of Forestry.

The channels of marketing from private forests in Finland and the Scandinavian countries are different. In Norway the wood is primarily marketed through the forest owners’ associations, in Finland direct individual selling is applied, while in Sweden both channels are common. In Norway and in Sweden the forest owners’ marketing organizations were probably formed mainly to protect the forest owners’ interest in price formation. The price is determined on the organizational level, while in Finland the price formation mechanism has retained a competitive nature. In Sweden the creation of demand for roundwood has been one reason for establishment of the associations, which have established new forest industry particularly in areas of low demand.

The institutions affect also the trade customs in Norway and Sweden. For instance, measuring of roundwood is performed in Scandinavia according to detailed public regulations and often carried out by the officials of special measuring boards. The Forms Committee has also since 1950 brought significant unification in the trade customs of Finland. Greatest differences in trade customs between the State and private forestry is observed in Finland.

The producer’s role in marketing has increased since 1930s, which is demonstrated by the increasing activity in marketing by the forest owners’ associations in Norway and Sweden. Also, the relative importance of sales with contract for delivery has been growing. A second line of development appears in the more detailed norms in trade customs.

The PDF includes a summary in Finnish.

• Holopainen, E-mail: vh@mm.unknown

Roundwood statistics are essential in a country such as Finland, where the roundwood market costitutes one of the most important internal markets. Determining the price level of roundwood can, however, be problematic due to the difficulty of the empirical determination. The main difficulties are the many timber assortments, quality differcences within a timber assortment, large variation of local prices due to variations in demand and harvesting conditions and in sales methods. The article discusses these problems from the perspective of composing a roundwood statistics for different timber assortments that would allow local and temporal comparison of the prices. It seems impossible to compose price statistics that could eliminate totally the variation in the material, transport conditions and demand fluctuations caused by technical development. However, one can suffice to a compromise that would eliminate the major disturbances and take into account other factors that are not related with market when studying the price series. In addition, the paper discusses methods for calculation of price indices.

The PDF includes a summary in Finnish.

• Holopainen, E-mail: vh@mm.unknown

The purpose of the study was to produce information which is needed when planning the influencing the timber sales propensity of private forest owners. The study deals with the relations between communication behaviour and cutting behaviour as well as the attitudes and norms connected with them. On the basis of the results of this study, the choice of psychodynamic model can be recommended as a main strategy of influencing the timber sales propensity of forest owners. The paper gives the information basis for the choice of channels and messages of influencing.

The PDF includes a summary in English.

• Juslin, E-mail: hj@mm.unknown

• Kolis, Aalto University, Department of Real Estate, Planning and Geoinformatics, P.O. Box 12200, FI-00076 Aalto, Finland E-mail: karin.kolis@aalto.fi
• Hiironen, Aalto University, Department of Real Estate, Planning and Geoinformatics, P.O. Box 12200, FI-00076 Aalto, Finland E-mail: juhana.hiironen@aalto.fi
• Ärölä, National Land Survey of Finland, Production Support Services, P.O. Box 84, FI-00521 Helsinki, Finland E-mail: esa.arola@nls.fi
• Vitikainen, Aalto University, Department of Real Estate, Planning and Geoinformatics, P.O. Box 12200, FI-00076 Aalto, Finland E-mail: arvo.vitikainen@aalto.fi