Forest Owner Groups
A Forest Owner Group can help achieve economies of scale and provide shared services
Benefits of Forest Owner Group
Thousands of landowners have established a forest since the early nineties. Many of these forests now require thinning.
Forest owners are finding it difficult sometimes to single-handedly thin their plantations as the cost of harvesting and transportation can outweigh the financial returns on an individual basis. There is little tradition or experience of private harvesting in the country which can be daunting for first-time forest owners. Many questions remain unanswered and in some cases the timeframe for thinning can pass. Some of these obstacles are addressed by neighbouring forest owners forming a forest owner group.
A forest owner group can help achieve economies of scale and provide shared services. Prices associated with harvesting, transporting and road construction can be shared and therefore reduced. It is easier to negotiate a reduction in the costs associated with thinning if larger quantities of material are sold. This structure is more attractive to purchasers as a consistent supply of timber can be obtained without the complexities of dealing with several individual owners.
A group approach will also give owners the confidence to make more informed decisions about their forests as learning from one another is a key component.
How can a group benefit me as a forest owner?
Forest owners regularly comment that they were unaware of other members had forests prior to joining the local forest owner group even though they may have met at the local marts selling cattle. As a forest owner, it is important to be conscious of the forest owners in your area as there is a high probability that you will need to join together to harvest and extract timber in the future.
Although the volume of timber available in a region may be large enough to justify carrying out group thinning; gaining access to the timber is often the key. Neighbouring forest owners can benefit by sharing resources, linking individual forest roads and by making joint forest road applications. This gives members an adequate extraction track to get timber to the roadside in addition to a well-constructed loading bay for a haulage lorry to safely load timber.
Forest owner groups also act as very effective information networks by sharing information and resources. Forest owner groups can organise forest visits building confidence and familiarising forest owners with the concept of thinning and timber marketing. Such meetings and excursions also help to build valuable relationships.
- Forest Owner Groups Conference 2013 including the following presentations:
- The Role of Forest Owner Groups, Michael Somers, Teagasc Forestry Development Department
- Progressing a Producer Group, Michael Ryan, Limerick Tipperary Woodland Owners
- LEADER and Forest Owner Groups, Niall Morrissey, CEO, South Tipperary Development Company
- Insuring your Forest Interests, John Phelan, Woodland Managers Ltd.
- Forestry Taxation, Declan McEvoy, IFAC Accountants