The Irish forest industry is a highly developed, efficient and interdependent sector.
It includes forest owners, foresters, harvest and haulage contractors and log processors.
Sawmills are central to generating cashflow through the industry.
All the major sawmills in Ireland are Irish owned, family enterprises rooted in their locales.
Each mill is as unique as its owner, but they are common in their expertise at converting mainly Sitka spruce trees into an array of products to optimum standards with zero waste.
Supply of logs from private forests is forecast to match Coillte by 2028
Output from Coillte-managed State plantations has matured and stabilised, and growth in log supply is coming mostly from private plantations.
Supply of logs from private forests is forecast to match Coillte by 2028. The challenge of efficiently mobilising this output is very different, with over 20,000 individual owners and an average plantation size of 8ha.
Sawmills need continuity of log supply, at market-related prices.
Coillte has recognised and supported the sawmill’s ability to market and sell all their products, both here and in the UK.
The company understands the huge efficiency, flexibility and reliability required to maintain and service markets. All major sawmills have a 50% volume supply contract with Coillte, at prices indexed to market prices.
Sawmills support a number of evolving supply structures that aim to efficiently mobilise private logs in a professional and planned way
Harvest and haulage contractors are the essential link between the forest and the sawmill and have a history as long as the sawmills. They also need confidence in supply planning in order to continue the necessary investment in machinery, people, and technology.
Sawmills support a number of evolving supply structures that aim to efficiently mobilise private logs in a professional and planned way.
They are wary of structures that aim to monopolise supply from private forests or impose unnecessary costs on forest owners. Increasingly, the established private forestry companies, as well as local foresters, do appraisals, secure licences, create adequate access, and liaise with the sawmills on behalf of owners.
Most sawmills prefer to buy harvest standing lots and regard their forest operations as part of the process
The procedures around the sale of individual private lots to sawmills are well developed and reliable.
But the overall planning for and availability of standing private lots, in line with forecasts and sawmill needs, is far from developed and has been seriously undermined by the licensing debacle.
Most sawmills prefer to buy harvest standing lots and regard their forest operations as part of the process. The value of a standing lot is determined by the proportions and volumes of the different log types within the stand.
The value of each log type to sawmillers is based on a ‘mill-gate’ price minus the costs of harvesting and haulage, as well as any other sales costs.
The standard log specification has the following three basic log types:
Prime logs are large sawlog, typically 4.9m in length with a minimum diameter of 20cm.Palletwood (or boxwood) or small sawlog with typical lengths of 3.1-3.7m and minimum diameter of 14cm. Pulpwood logs are typically 3m long with minimum diameter of 7cm, but include logs that are not straight enough for sawlog.Currently, the top prices at mill-gate – including harvest, haulage, and sales costs – for logs are:
€120/t for large sawlog.€70/t for palletwood.€40/t for pulpwood. The typical cost of harvesting is €12-16/t for clearfells and €22-26/t for thinnings, while average haulage costs are now about €12/t.
Sawmills have the harvesting and haulage expertise as well as markets for all log products. They also have their own team of foresters to advise.
Timber sale and harvesting requires careful planning
Selling timber can be a daunting process, as it is the culmination of years of forest management and the first opportunity to generate an income.
Timber sale and harvesting requires careful planning. Farmers who research the market will be rewarded.
There are three stages to selling timber; planning, operation and post-harvesting.
This article focuses on planning. With the ongoing issues getting forest road and felling licences, it is advisable to start planning at least four years in advance to allow for unexpected delays.
This gives you time to employ a forester, develop a harvest plan and construct a forest road.
There are two main ways of selling timber; standing (where the buyer takes care of harvesting the trees) and roadside (where you or your forester manage the harvest and marketing). Both options have pros and cons depending on how much forest owners wish to be involved in the process.
It is important to get a quote for each product type based on diameter and length
There are two important aspects to consider – maximising the value of your logs and minimising operating costs. When looking at cost, you need to know the price/tonne to harvest your forest. If the operation is managed by your forester, you need to know their management fee structure.
The value of your harvest depends on many factors, including market conditions, total volume harvested, log quality, distance to market and access. It is important to get a quote for each product type based on diameter and length.
For example, farmers often get quoted one price for pallet wood, but depending on length, the price can vary from €40/t to €83/t depending on the actual product.
The Irish forest industry is a highly developed, efficient and interdependent sector.
It includes forest owners, foresters, harvest and haulage contractors and log processors.
Sawmills are central to generating cashflow through the industry.
All the major sawmills in Ireland are Irish owned, family enterprises rooted in their locales.
Each mill is as unique as its owner, but they are common in their expertise at converting mainly Sitka spruce trees into an array of products to optimum standards with zero waste.
Supply of logs from private forests is forecast to match Coillte by 2028
Output from Coillte-managed State plantations has matured and stabilised, and growth in log supply is coming mostly from private plantations.
Supply of logs from private forests is forecast to match Coillte by 2028. The challenge of efficiently mobilising this output is very different, with over 20,000 individual owners and an average plantation size of 8ha.
Sawmills need continuity of log supply, at market-related prices.
Coillte has recognised and supported the sawmill’s ability to market and sell all their products, both here and in the UK.
The company understands the huge efficiency, flexibility and reliability required to maintain and service markets. All major sawmills have a 50% volume supply contract with Coillte, at prices indexed to market prices.
Sawmills support a number of evolving supply structures that aim to efficiently mobilise private logs in a professional and planned way
Harvest and haulage contractors are the essential link between the forest and the sawmill and have a history as long as the sawmills. They also need confidence in supply planning in order to continue the necessary investment in machinery, people, and technology.
Sawmills support a number of evolving supply structures that aim to efficiently mobilise private logs in a professional and planned way.
They are wary of structures that aim to monopolise supply from private forests or impose unnecessary costs on forest owners. Increasingly, the established private forestry companies, as well as local foresters, do appraisals, secure licences, create adequate access, and liaise with the sawmills on behalf of owners.
Most sawmills prefer to buy harvest standing lots and regard their forest operations as part of the process
The procedures around the sale of individual private lots to sawmills are well developed and reliable.
But the overall planning for and availability of standing private lots, in line with forecasts and sawmill needs, is far from developed and has been seriously undermined by the licensing debacle.
Most sawmills prefer to buy harvest standing lots and regard their forest operations as part of the process. The value of a standing lot is determined by the proportions and volumes of the different log types within the stand.
The value of each log type to sawmillers is based on a ‘mill-gate’ price minus the costs of harvesting and haulage, as well as any other sales costs.
The standard log specification has the following three basic log types:
Prime logs are large sawlog, typically 4.9m in length with a minimum diameter of 20cm.Palletwood (or boxwood) or small sawlog with typical lengths of 3.1-3.7m and minimum diameter of 14cm. Pulpwood logs are typically 3m long with minimum diameter of 7cm, but include logs that are not straight enough for sawlog.Currently, the top prices at mill-gate – including harvest, haulage, and sales costs – for logs are:
€120/t for large sawlog.€70/t for palletwood.€40/t for pulpwood. The typical cost of harvesting is €12-16/t for clearfells and €22-26/t for thinnings, while average haulage costs are now about €12/t.
Sawmills have the harvesting and haulage expertise as well as markets for all log products. They also have their own team of foresters to advise.
Timber sale and harvesting requires careful planning
Selling timber can be a daunting process, as it is the culmination of years of forest management and the first opportunity to generate an income.
Timber sale and harvesting requires careful planning. Farmers who research the market will be rewarded.
There are three stages to selling timber; planning, operation and post-harvesting.
This article focuses on planning. With the ongoing issues getting forest road and felling licences, it is advisable to start planning at least four years in advance to allow for unexpected delays.
This gives you time to employ a forester, develop a harvest plan and construct a forest road.
There are two main ways of selling timber; standing (where the buyer takes care of harvesting the trees) and roadside (where you or your forester manage the harvest and marketing). Both options have pros and cons depending on how much forest owners wish to be involved in the process.
It is important to get a quote for each product type based on diameter and length
There are two important aspects to consider – maximising the value of your logs and minimising operating costs. When looking at cost, you need to know the price/tonne to harvest your forest. If the operation is managed by your forester, you need to know their management fee structure.
The value of your harvest depends on many factors, including market conditions, total volume harvested, log quality, distance to market and access. It is important to get a quote for each product type based on diameter and length.
For example, farmers often get quoted one price for pallet wood, but depending on length, the price can vary from €40/t to €83/t depending on the actual product.
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