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7.7 Quality and Value Recovery
Authors: G MurphyPublication: NZIF Forestry Handbook, Volume Section 7 – Harvesting, pp 7, Dec 2023
Publisher: New Zealand Institute of Forestry
Abstract: As foresters we spend decades establishing the potential value in each tree through our choice of silvicultural and management practices. The challenge at harvest time is to recover the optimal value in each tree, along with delivering the product to the right customer, on time and within specification. Customers usually have choice of supplier. Grading and sorting during harvesting determine the quality of the raw materials entering their mills, their grade out-turn, their productivity and their profitability. The capability of a supplier to provide logs that meet the customer’s needs will affect the ability to make a sale, the maintenance or improvement of market share, and the price a buyer is prepared to pay. Logs that do not meet specification are likely to be rejected, incurring additional handling and transportation costs for their removal or the cost of remerchandising to meet specification. Between standing tree and delivery of logs to the customer there are many ways that value may be lost along the supply chain. Considerable financial losses can occur when volume is sacrificed or the wrong log grade selection is made from each tree. Harvesting managers should not accept losing value as a part of doing business.