scholarly journals The status of and recent trends in forest sector research in British Columbia

1999 ◽  
Vol 75 (4) ◽  
pp. 607-613 ◽  
Author(s):  
Clark S. Binkley ◽  
Susan B. Watts

In the decade between 1988 and 1998, expenditures on forest sector research in British Columbia have increased substantially in absolute terms but have fallen in relation to the scale of the province's forestry enterprise. These aggregate trends mask important shifts in funding sources and in the specific fields of research that have been supported. The crown corporation Forest Renewal BC has emerged as the dominant source of support for forestry research, clearly displacing appropriated funds with-in the B.C. Ministry of Forests. As a result of falling stumpage fees and changes in forest policy, this source of support is now declining and the long-term security of the Forest Renewal BC research program is in question. At present, expenditures on forestry research are more or less consistent with expenditures on forestry research in other advanced forested jurisdictions, but the anticipated decline in Forest Renewal BC research support belies this otherwise favourable finding. Expenditures on forest products research in the province have not matched their counterparts elsewhere in the world, and recently have declined precipitously. Forestry – forest conservation, management, products and production processes – is becoming ever more complex. Research activity in the province does not appear adequate to sustain the flow of economic and ecological wealth from forests that British Columbians have always enjoyed and have come to expect.

1992 ◽  
Vol 68 (6) ◽  
pp. 730-735 ◽  
Author(s):  
Clark S. Binkley ◽  
Susan B. Watts

A survey of forestry and forestry products research in British Columbia indicates that the various research organizations in the province (e.g., Ministry of Forests, Forestry Canada, forest products companies, NSERC, and Universities) spent $71.1 million on research in 1991. This amounts to about 0.69% of gross sales, a figure that is less than half the research expenditures by such key competitors as the United States or Sweden. Although the economic returns to forestry and forest products research apparently are high, the failure to allocate more funds to research and development stems from a failure to conceptualize research as part of a larger forest sector strategy. Adopting this "third generation" approach to research planning would insure that research results are actually implemented, and would probably result in appropriately larger expenditures in this area.


1995 ◽  
Vol 25 (6) ◽  
pp. 978-986 ◽  
Author(s):  
Daowei Zhang ◽  
Clark S. Binkley

In 1987 the government of British Columbia (B.C.) made substantial changes in its forest policy, including "clawing back" 5% of the volume committed on all of its replaceable licenses and shifting of reforestation costs to the licensees. Analysis of the reaction of stock prices to the announcement of these policy changes reveals that the policy had a negative, but not statistically significant impact on B.C. forest products companies taken as a whole. Those medium-sized B.C. forest products firms that own little private land and operate mainly in B.C. suffered small but statistically insignificant losses. The policy changes apparently did not affect large B.C. forest products firms and non BC-based forest products firms. The results may arise because (i) as a result of restrictions on log exports the volume reductions were simply reallocated within extant timber markets, (ii) timber from the replaceable licences is fully priced, (iii) the adjustments were small when compared with the overall market capitalization of the firms involved, and (iv) there was general financial euphoria in the late 1980 s. These findings should not be extended to larger policy adjustments or to the problem of evaluating the impact of province-wide reductions in allowable harvest levels.


1998 ◽  
Vol 28 (4) ◽  
pp. 617-625 ◽  
Author(s):  
Clark S Binkley ◽  
Daowei Zhang

On 14 April 1994, the British Columbia government announced a new stumpage formula that, at then-expected product prices, increased the average charge by about $12/m3 and more than doubled the rate at which stumpage fees change when lumber prices change. Most of the increased revenues are reinvested in the forest sector by a new organization, Forest Renewal British Columbia (FRBC), created specifically for that purpose. Using standard event-study methodologies, this paper documents the net effect of the fee increases and new policy direction on British Columbia forest products companies. After controlling for firm-specific risk and the decline in the Toronto Stock Exchange that occurred at about the same time, the new stumpage policy extracted about $1.0 billion from shareholders of the firms studied, and perhaps $2.4 billion from all licencees (an amount roughly equal to the capitalized after-tax cost of the higher fees). The impact on individual firms is highly correlated with the allowable annual cut (AAC) in replaceable licenses each holds, with an average impact of about $33.3/m3 of AAC. The market appears to have discounted both the good news about offsets in impending timber-supply reductions that the creation of FRBC implies and the reductions in earnings risk that the new stumpage system provides. When added to the increased regulatory costs associated with the new provincial Forest Practice Code, the timber-fee increases appear to have fully depleted the value of holding British Columbia timber quotas.


2009 ◽  
Vol 39 (10) ◽  
pp. 1806-1820 ◽  
Author(s):  
Olaf Schwab ◽  
Thomas Maness ◽  
Gary Bull ◽  
Don Roberts

This paper describes the development and implementation of Cambium, an agent-based forest sector model for strategic analysis. This model is designed as a decision-support tool for assessing the effects that changes in product demand and resource inventories can have on the structure and economic viability of the forest sector. Cambium models aggregate product supply as an emergent property of individual companies’ production decisions and stand-level ecological processes. Modeling the forest-products sector as a group of interacting autonomous economic agents makes it possible to include production capacity dynamics and the potential for mill insolvencies as factors in analyzing the effects of market and forest inventory based disturbances. The utility of this model is tested by assessing the impacts of a market downturn in the US forest products market on forest industry structure and mountain pine beetle ( Dendroctonus ponderosae Hopkins) salvage harvesting in British Columbia, Canada. Simulation results indicate a significant medium-term timber supply shortage; reduced stumpage revenues; intensive cost competition among primary wood-products manufacturers; and a large number of insolvencies in the panel, lumber, and pulp sectors.


1993 ◽  
Vol 69 (3) ◽  
pp. 294-299 ◽  
Author(s):  
Clark S. Binkley

Traditionally an industry based on plentiful natural resources, the forest sector in British Columbia must be transformed to include a far higher amount of technology if its prosperity is to be sustained. Only by embodying a larger technological component in its products and processes can the forest sector offset the economic decline usually associated with the transition from old-growth to secondary, managed forests. Research will also increase the contribution the forests themselves can make to our economic and environmental well-being. Because of its position as a large producer of forest products, effective research strategies for British Columbia (and probably for Canada more broadly) will differ substantially from those pursued by major consuming nations such as the United States or Japan.


2019 ◽  
Vol 3 (1) ◽  
pp. 223-230
Author(s):  
Vladimir Sokolov ◽  
Elena Goryaeva ◽  
Olga Vtyurina

The Russian forest sector is running down. To remedy the situation, a strategy for developing the forest sector of the Russian Federation until 2030 was developed. The strategy basically repeats the mistakes of various concepts, strategies and programs developed in recent years for the Russian Federation as a whole and its subjects.Essentially, these documents are aimed at developing the forest industry, i.e. use of wood. The strategy analysis shows the unsatisfactory nature of this document, as it is based on the provisions of the detrimental Forest Code of 2006.The strategy primary error is underresourcedplanned indicators of forest products export and domestic consumption of wood raw materials. The strategy does not fix problem of forestry financing under a market economy. Based only on wood accounting, forest evaluationsare counterproductive for the forest sector, as they underestimate the value of forest areas, which are of great environmental and social importance. Further development of the forest sector will largely depend on the ability of the Federationto dialog withits subjects, forest companies and enterprises, scientific and public organizations in the field of forest policy and practice.


2018 ◽  
Vol 79 (4) ◽  
pp. 345-354
Author(s):  
Adam Kaliszewski

Abstract The aim of this paper was to review and analyse the main forest policy documents in terms of the priorities formulated at the European level for Austria, the Czech Republic, Slovakia, Germany (federal level) and Brandenburg (federal state level), as well as Finland. A total of 14 documents was covered in this research, including national forest programmes and forest strategies implemented in the period from 1997 to 2017. In all of the studied countries, forest policy documents were periodically revised and updated to account for changing political, economic, social and environmental conditions. As a result, at some point during the examined 20-year period, in each country the forestry priorities and goals were defined by a national forest programme. Furthermore, the vast majority of the priorities set by the European forest policy was reflected in the programmes and strategies of all the countries. Certain priorities concerning the illegal harvesting and trade of forest products, however, have not been included in the explored documents. Combating illegal harvesting of forest products and related trade is a corner stone of the EU FLEGT Action Plan and extends beyond forest policy issues of EU member states. The second corner stone is to ensure the contribution of the forest sector to a green economy, including a new concept of green economy, which still needs to be incorporated into national forest policies. Unlike Poland, in the studied countries the priorities of European forest policy have been included in single policy programmes or strategies, which define aims and goals, as well as means of their implementation in a comprehensive and coherent manner. This promotes strengthening the position of the forest sector within the national socio-economic system and supports active shaping of its relations to other sectors of the economy.


2001 ◽  
Vol 77 (2) ◽  
pp. 301-308 ◽  
Author(s):  
Bill Wilson ◽  
Brad Stennes ◽  
Sen Wang ◽  
Louise Wilson

Similar to many other jurisdictions, British Columbia (BC) is no longer able to expand forest sector production and employment by drawing upon additional timber reserves, so it is seeking to expand value-added (i.e., secondary) manufacturing in forest products. Given the significance of the forest sector to BC, it is important that decision-makers seeking to promote an expansion in secondary manufacturing have accurate sector information. This paper presents the results of a 1998-99 survey of the BC solid wood secondary manufacturing industry. The project gathered operational, employment, production, marketing and financial information on nine defined product groups of business types (BTs) for 1997. The industry information is analyzed to provide a quantitative and qualitative examination on the current structure and significance of the sector, and a discussion on the major challenges confronting secondary manufacturing. An analysis of sector trends is also provided.Sector employment for nine business types totalled 19 490 person years and total sector sales an estimated $3.87 billion (about 22% of total BC forest product sales). Sales for seven business types (excluding panelboards, shakes and shingles) totalled $2.69 billion, up about 40% from 1994 measured in nominal dollars. Direct employment coefficients for a standard volume of timber equivalent are estimated for each of the business types. Key words: forest industry, value-added, employment, markets, policy


1997 ◽  
Vol 73 (5) ◽  
pp. 553-559 ◽  
Author(s):  
Clark S. Binkley

Historically British Columbia's forests were managed under the implicit assumption that virtually the whole forested land base would, one day, be available for timber production. The BC Forest Service and licencees incorporate non-timber values into timber production plans through a process of "integrated resource management" which attempts to consider wildlife, riparian habitat, recreation, water flows, grazing and other forest uses in each decision about each hectare where logging is to occur. Under this extensive form of management, silvicultural investments are low. This policy has clearly failed either to satisfy legitimate demands from the environmental community or to produce the predictably high levels of timber harvest needed to sustain the forest products industry and industry-dependent communities. The core problem is that, despite a vast forest estate in British Columbia, land has become scarce. It is therefore logical to substitute capital, labour and knowledge for land in forest production processes. Such a policy could lead to substantial higher, sustainable timber harvests as well as a system of parks that covers more than half the Province. Implementing such a policy requires a change in forest management approach to zone the landscape and manage each zone intensively for a specific purpose. For the bulk of commercial timber production, intensively managed plantations appear to represent the best technological option. New directions in British Columbia's forest policy — land-use zoning, a new forest practice code, and dedicated capital for silvicultural investments—generally move towards this objective, but implementation remains uncertain. Major impediments include dysfunctional forest tenure arrangements and a comparatively poor information base. Key words: forest policy, British Columbia, intensive plantation forestry


2015 ◽  
Vol 166 (4) ◽  
pp. 238-245
Author(s):  
Willi Zimmermann ◽  
Kathrin Steinmann ◽  
Eva Lieberherr

Annual review of Swiss forest policy 2014 Swiss forest policy in 2014 was marked by the passage of the Federal Council's message and draft of an amendment of the Forest Law, which was also treated by the Council of State's Commission for Environment, Spatial Planning and Energy and by the Council of State itself. This revision affects more than 20 articles of the current Forest Law. Despite these numerous alterations, the revision has not caused major debates. The forest-relevant parliamentary interventions decreased drastically in 2014, but since the beginning of 2015 a countertrend is notable. The forest budget remained practically the same as in previous years. The number of federal court decisions in relation to the forest sector has stayed small. Yet there are increasingly significant cantonal court decisions in this domain. In terms of broader forest policy, the public administration has mainly undertaken new standpoints regarding spatial planning and energy policies.


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