• Journal of Korean Society of Forest Science
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• v.108 no.3
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• pp.405-417
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• 2019

We analyzed the profitability of Korea's forestry by evaluating stumpage prices of the main economic tree species. Stumpage prices are evaluated with a market value formula, subtracting logging and transporting costs from market prices of logs. If trees are sold at the current cutting age, the stumpage price of larch is about 4.5 million KRW per hectare and that of Korean pine is about 3.7 million KRW per hectare. The stumpage prices do not cover reforestation cost, which is about 6.1 million KRW per hectare. If government subsidies did not support the cost of reforestation and silviculture, there would be no profits at all. The cost of forestry is very high in terms of planting and silviculture. In the future, the prices of logs are not predicted to rise and the wages for labor are not predicted to fall. Without reforming the current forestry regime, Korean forestry is, thus, not sustainable. Therefore, low-cost forestry efforts like natural regeneration should be adopted to make forestry viable. Investments in forestry infrastructure like forest roads are also required to decrease the timber logging and transporting costs.

• Journal of the Korean Association of Geographic Information Studies
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• v.3 no.3
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• pp.54-68
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• 2000

This study was tried to calculate the stumpage value using GIS technique. Before calculating this price the feasible areas to cut were divided from all forests. The stumpage value per $m^3$ was calculated by the method of calculating back from the market price, according to the working volume of logging unit and clearing a felling area using GIS. The distribution of the stumpage value for the coniferous stands was estimated from minimum 10,000 won to maximum 50,000 won, and for the deciduous stands the stumpage value was distributed from minimum 20,000 won to maximum 40,000 won. The total estimated selling price for the cutting available area (197.3ha) among this study area(250ha) except the cutting limited area was about 1.13 billions won. And the estimated selling price for the korean white pine stands was about 650 millions won, occupied 57% among the total selling price, and for the deciduous stands showed 383 millions won, occupied 34% of the total price, and for the japanese larch was 9.69 millions won, occupied 9% of the total price. But the rigida pine stands showed only 1.22 millions won.

• Journal of Forest and Environmental Science
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• v.28 no.1
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• pp.24-29
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• 2012

This paper assesses the stmpage value of Korean white pine (Pinus koraiensis) stands in the Research Forest of Kangwon National University. Assessment was done by means of the cost value method (Faustmann formula) for age class I, Glaser method for age class II-V, and inversion market method for age class over VI. Generally the value of stumpage is calculated by the inversion market method in the market. However, immature trees and middle age class trees are not assessed in market, and the Korean forest is not old enough to harvest. So, when forests are damaged by attacks from forest fire, blight and harmful insects, the forest cannot be compensated for the loss from the government or insurance company. For this reason, the value of all-age class trees are calculated by using appropriate methods. As a result, the value of age I class stands (0.3 ha) is calculated as 1,786,305 (won), age II-Vclass stands (22.1 ha) 206,677,975 (won) and age VI class and over stands (24.8 ha) 523,789,603 (won).

• Proceedings of the Korea Technical Association of the Pulp and Paper Industry Conference
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• 2006.06b
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• pp.305-309
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• 2006

This paper presents and illustrates the application of a growth and yield model that supports both forest and mill side volume and value estimates. Traditional forest stand growth and yield models represent the forest landowner view of yield and economics. Predicted yields are estimates of what one would expect from a procurement cruise, and current stumpage prices are applied to investigate optimum management strategies. Optimum management regimes and rotation ages obtained from the forest side view are unlikely to be economically optimal when viewed from the mill side. The actual distribution of recoverable manufactured product and its value are highly dependent on mill technologies and configurations. Overcoming this limitation of growth and yield computer models necessitates the ability to predict and price the expected manufactured distribution of lumber, lineal meters of veneer, and tonnes of air dried pulp fiber yield. With these embedded models, users of the yield simulator can evaluate the economics of possible/feasible management regimes from both the forest and mill business sides. The simulator is a forest side model that has been modified to produce estimates of manufactured product yields by embedding models for 1) pulpwood chip size class distribution and pulp yield for any kappa number (Schultz and Matney, 2002), 2) a lumber yield and pricing model based on the Best Opening Face model developed by the USDA Forest Service Forest Products Laboratory (Lewis, 1985a and Lewis, 1985b), and 3) a lineal meter veneer model derived from peeler block tests. While the model is strictly applicable to planted loblolly pine (Pinus taeda L.) on cutover site-prepared land in the United States (US) Gulf South, the model and computer program are adaptable to any region and forest type.

• Journal of Korean Society of Forest Science
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• v.52 no.1
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• pp.37-49
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• 1981

The purpose of the study is to find out the objective method of valuation on the forest stands through the analysis of logging costs that is positively related to timber production. The two forest (Amgog, Whangryoung), located nereby, but forest type, logging and skidding conditions being slightly different, were slected to carry out the study. The objective timber stumpage value were determined by investigating the appropriate timber production costs and profits of logging operations. The main result obtained in this study are as follows: 1. The rate of logging cost in consisting of timber market price is 13.15% in the area of Amgog logging place and 19.48% in Whangryoung. 2. The rate of the other production cost excluding logging cost is 15.36% in the area of Amgog logging place and 28.85% in Whangryoung. 3. The total rate of timber production cost in consisting of the market price is more than 28.51% in the area of Amgog logging place and 48.33% in Whangryoung, 4. Though the productivity of forest land is affected by the selection of tree species, tending, treatments and effective management of forest land, the more important problem is improvement of logging condition. 5. The rate of production cost in timber price is so high that we should endeavore to improve the productivity of labour and its quality, and minimize the difference of piece work per day in accordance to the various site condition. 6. Although the profit of forest industry is related to the period of recapturing investment, it is more closely related to the working condition, risk of investment and continuous change of social investment interest. 7. If the right variables which are related to the timber market, are objectively obtained, the stumpage value of mature forests can be objectively caculated by applying straight line discounting method or compound discounting method in caculating the stump to market price.

• Journal of Forest and Environmental Science
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• v.22 no.1
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• pp.1-12
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• 2006

This study was carried out to compile year 2001 forest resource statistics for the State of Virginia. USA. Virginia has 15.8 million acres (6.4 million ha) of forested 1and, accounting for 62% of the landcover with non-industrial private forest landowners owning 77% of the forested area. Deciduous forests make up 78% of Virginia's forests. Total tree volume is 26.5 billion cubic ft, of which average volume per acre is $1.677ft^3/ac(117m^3/ha)$. The overall annual volume of roundwood output is $543\;million\;ft^3$. Tree growth exceeds removals by $271\;million\;ft^3$ each year for all species statewide. Average net forest land loss in Virginia is 20,000 acre (8,094 ha) per year. In 1999, the forest products industry contributed over $25.4 billion to Virginia's economy while providing over 248,000 jobs. Among forest industries logging contributes to the economy at over $863 million/yr; timber accounts for the greatest amount (28%) of the total market value of Virginia's agricultural crops. Revenue received from stumpage by landowners exceeded $345 million/yr. In their entirety. Virginia's forests provide over $30.5 billion in annual return. including $3 billion for recreation and $1.9 billion for carbon sequestation and pollution control.