Record timber volumes forecast from our private plantations

By Donal Magner

Huge increase in applications for felling licences

The high prices recorded for timber over the past nine months and the reopening of grant aid for roads, have generated huge interest in the sale of thinnings, especially from private growers.

In the first six months of 2010, 312 felling licences have been issued out of 481 applications (Table 2). It is difficult to get accurate data for past private sector applications as gross numbers supplied by the Forest Service included Coillte applications. However, according to Donal Whelan, technical director of the Irish Timber Growers Association (ITGA), previous licence applications were only a fraction of current numbers. ''If the trend for the first six months continues, volumes from thinnings and clearfells will be in line with COFORD forecasts,'' he said.

The ITGA technical director urged growers to apply for felling licences in plenty of time and road grants where necessary.

''Growers should familiarise themselves with all aspects of thinning including price, yield and aspects such as security of timber removal addressed in the Model Timber Sales Proposal as featured on the ITGA website - www.itga.ie.''

The unprecedented increase in applications for felling licences presents a major challenge to the Forest Service who issue licences. At current rates of application and approval, it is likely that around 624 licences will be issued out of an estimated 962 applications over a one year period.

Based on data for the first half of the year, licences issued will cover an area of 4,614ha while total applications received, equate to an area of 7,313ha.

It is important therefore that the gap is closed between applications issued and received. While 64% of all thinning licence applications have been issued, only 35% of clearfell applications have been approved. Given that growers are constantly urged to thin their plantations, should a felling licence be necessary at all for first thinnings? At the moment this is a requirement of the 1946 Forestry Act.

The removal of this condition, or relaxation in areas not environmentally sensitive, would free up staff to inspect licence applications for clearfells, which are necessary. If areas that receive felling licences are harvested this year, an estimated 480,000m3 would reach the market. However, if all applications were granted, up to 846,000m3 could be harvested (Table 1).

While many believed that the 2009 COFORD forecasts were over optimistic, Jim Hurley, of Forwood has held the view that they were conservative. ''Past data may have underestimated the volume potential of many of the plantations established post 1990,'' he said.

Plantations

''There are many plantations with yield class 24 (m3/ha/annum) and greater coming on the market.

''These are providing excellent yields and the challenge now is to put the necessary infrastructure in place to cater for the likely upsurge in thinning.''

He says that it is difficult to source harvesters and extraction units at the moment. ''There needs to be significant investment in machinery to harvest the increased volumes. From my discussions with contractors, they are not keen on investing, even if loans were available which they are not.'' He maintained that a short-term investment of around €15m is needed to purchase harvesting and extraction units.

It is difficult to ascertain how many felling licence applications are made in tandem with road grant applications. Roading grant availability is limited and harvesting may be delayed due to the lack of suitable roads.

Whatever the outcome, the increased applications for felling licences prove that plantation owners are now prepared to thin and provide much needed logs for timber processors. It brings new pressures on the Forest Service to provide road grants and rapid felling licence inspections, while all the time maintaining a flow of funds to keep the afforestation programme on track.

It looks like it's going to be a lively year down in Johnstown Castle.