Maximizing Value of Timber Resources in Northern Hardwood Forests: Log Sorting in Wisconsin Timber Sales
| Authors: | Shuva Gautam, Adam Wysocki, Baburam Rijal |
| Year: | 2023 |
| Type: | Proceedings - Paper |
| Station: | Northern Research Station |
| DOI: | https://doi.org/10.2737/NRS-GTR-P-211-paper38 |
| Source: | In: Kern, Christel C.; Dickinson, Yvette L., eds. Proceedings of the first biennial Northern Hardwood Conference 2021: Bridging science and management for the future. Gen. Tech. Rep. NRS-P-211. Madison, WI: U.S. Department of Agriculture, Forest Service, Northern Research Station: 183–186. |
Abstract
Northern hardwoods produce a variety of logs suitable for different final products. It is generally understood that sorting logs based on grade generates maximum value for all stakeholders. However, the benefits of log sorting may depend also on the geographical distribution of forest stands and manufacturing mills. The objective of this study was to evaluate the profitability of log sorting based on geographical location of forest stands, destination mills, and market parameters . A decision-support tool was used to allocate logs from timber sales to highest-profit-yielding mills. Factors considered by the model included logging cost, transportation cost, stand’s distance to mills, mills’ acceptance criteria, and price at the mill gate. Four small scale timber sale tracts from across Wisconsin were selected for the study. Several scenarios were tested with each scenario yielding different mixtures of log grades. The results showed that log sorting increased profit by up to $11.33∙m-3 in certain locations but was not profitable in other locations. The methods proposed can help practitioners and landowners increase the monetary value and utilization of timber. Practitioners should systematically analyze forest stands to determine the gain or loss in profit resulting from sorting logs. Implementation of the proposed tool will help increase the use of under-utilized timber, especially in areas where profits are marginal.