Net Income Comparison of Forest Rotation Length

IN CONTEXT #44, Summer 1996
© December 1994 by Tom Bender, © 1996 by Context Institute


Table from "Improving The Economic Value Of Coastal Public Forest Lands" by Tom Bender. Data from "The Economics of Sustainable Forestry" by Mark Wigg, Society of American Foresters, 1989



ACTIVITY



FOREST ROTATION LENGTH

60 Year

90 Year

180 Year


Clearcut (Acres)

300

200

100

BF VOL/AC

15,239

23,251

68,514

CF VOL/AC

4,249

4,844

12,412

AVE DBH

12.0

23.7

45.6

Stumpage Price $/MBF

$120

$238

$285

Income/Acre

$1,829

$5,534

$19,526

Subtotal Income

$548,604

$1,106,800

$1,952,600


First Commercial Thin (Acres)

0

200

100

BF VOL/AC

 

4,622

4,622

CF VOL/AC

 

1,693

1,693

AVE DBH

 

10.7

10.7

Stumpage Price $/MBF

 

$35

$35

Income/Acre

 

$162

$162

Subtotal Income

 

$32,400

$16,200


Second Commercial Thin (Acres)

 

200

100

BF VOL/AC

 

8,748

8,748

CF VOL/AC

 

2,243

2,243

AVE DBH

 

14.1

14.1

Stumpage Price $/MBF

 

$74

$74

Income/Acre

 

$647

$647

Subtotal Income

 

$129,400

$64,700


Third Commercial Thin (Acres)

 

 

100

BF VOL/AC

 

 

6,408

CF VOL/AC

 

 

1,378

AVE DBH

 

 

19.8

Stumpage Price $/MBF

 

 

$142

Income/Acre

 

 

$910

Subtotal Income

 

 

$91,000


TOTAL INCOME/YEAR

$548,604

$1,268,600

$2,124,500


Site Preparation (Acres)

300

200

100

$/Acre

$246

$246

$246

Subtotal

$73,800

$49,200

$24,600


Reforestation (Acres)

300

200

100

$/Acre

$300

$300

$300

Subtotal

$90,000

$60,000

$30,000


Precommercial (Acres)

300

200

100

$/Acre

$383

$383

$383

Subtotal

$114,900

$76,600

$38,300


Release (Acres)

300

200

100

$/Acre

$101

$101

$101

Subtotal

$30,300

$20,200

$10,100


Fertilize (Acres)

300

200

100

$/Acre

$65

$65

$65

Subtotal

$19,500

$13,000

$6,500


TOTAL EXPENSES/YEAR

$328,500

$219,000

$109,500


NET INCOME/YEAR

$220,104

$1,049,600

$2,015,000

POI Harvested (BF)

9.1

3.8

1.4

Volume Harvested (BF)

4,571,700

7,324,200

8,829,200

Volume Harvested (CF)

1,418,700

1,756,000

1,772,600

Acres Treated

1,800

1,600

900

Average Inventory (MMBF)

50

190

625




© December 1994 by Tom Bender, © 1996 by Context Institute

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Last Updated 29 June 2000.

URL: http://www.context.org/ICLIB/IC44/ForestTb.htm

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