Sawlog prices - the highest possible benefit with Timbro

Sawlog sales with Timbro

The highest possible prices for sawlogs or roundwood can be obtained if you have the necessary knowledge of the forestry sector or if you use consultants with appropriate experience. At Timbro, we often encounter situations where forest owners who have decided to cut and sell roundwood themselves do not get the highest roundwood prices. Most often, the reason for this is a lack of information and knowledge, prejudices and outdated information, which results in losses. The price of sawlogs is determined by the way logging is approached and how the assortment list is prepared. Unfortunately, forest owners often turn to us at a stage when the wood has already been sawn and it is difficult to obtain the highest possible timber prices.

Factors affecting sawlog prices:

  1. A smartly created sawing assortment list - this is the most important factor to get the highest possible sawlog prices. To create an assortment list that will provide the highest sawlog or round timber prices, in-depth knowledge of logging and the timber market is required. For example, when sawing spruce, many forest owners cut the first sections 3.7m long, as most sawmills take this length. On the other hand, there are sawmills in Vidzeme that buy exactly 3.1m long first sections at a higher price, plus there is another nuance here – a 3.1m long roundwood can be loaded into a 40m3 timber truck, while a 3.7m one can only fit 27m3, which also affects the roundwood prices that the owner ultimately receives. 
  2. Information and databases on roundwood and sawn timber prices in Latvia and the Baltics must be available. If this information is analyzed, it is possible to make a timely decision on changes in the assortment list if the price of a certain roundwood assortment suddenly increases or decreases. Timbro has experience in roundwood sales in the Baltics, as well as contacts with all the most important roundwood supply points, which helps us to find out about possible roundwood price changes in time.
  3. A recommended factor would be to carry out timber scaling before felling, which helps to create an even more accurate assortment list.
  4. Thoughtful logging and experienced logging operators can also affect sawlog prices, as one operator's mistake or, conversely, a correct decision can improve the quality of the sawn roundwood, which in turn affects the final roundwood prices.
  5. A neatly stacked storage area can affect the fact that truck drivers load roundwood faster and do not make mistakes.
  6. Smartly planned logistics from the storage area can also affect roundwood prices by 1-2 per cubic meter.

These are just a few examples from Timbro's approach to roundwood sales, which clearly shows how forest owners can get higher roundwood prices with Timbro's help. 

Why will sawlog prices be higher with the Timbro approach?

  1. Timbro consultants have diverse experience in forest management, logging and roundwood sales in Latvia and the Baltics, which helps to create well-thought-out assortment lists.
  2. We ourselves provide full-cycle forest management, therefore we ourselves carry out and supervise all processes from forest valuation, timber scaling, cutting area preparation, assortment list creation, logging, logistics to roundwood sales.
  3. A radically transparent process where the forest owner participates in all processes and where all information on the obtained timber prices and the removed timber volumes is displayed.

Will roundwood prices be higher if you sell the roundwood yourself?

Of course, you may be lucky if you have a small amount of wood or if you have private relationships with one of the sawmills. But we can say with some confidence that in most cases higher timber prices will be obtained by using the services of an experienced consultant. Knowledge is power! On the other hand, ignorance is not a shame, but not using other people's knowledge and experience can turn into shame and losses.

Frequently Asked Questions on How to Get the Best Prices for Sawn Logs
How to get the highest possible sawlog prices?
Knowledge and experience in forest management and roundwood sales in Latvia and even the Baltics are required. For example, a large part of Northern Vidzeme and even all of Vidzeme sawlogs are taken to Estonia, where the price is often 10-20 euros higher. Timbro recommends hiring competent and honest consultants to get the highest possible sawlog prices and not have to spend time on it yourself.
How long can sawlogs stand in a storage yard?
It depends on the assortment, season, and weather conditions. For example, firewood and wood chips can safely stand up to 6 months in a storage yard, and the price for these two assortments is usually higher in autumn and winter. However, you cannot get carried away with keeping sawlogs and veneer in the storage yard; it is recommended to take them away as soon as possible.
What taxes must be paid when selling roundwood?
When selling roundwood, a 7.5% personal income tax will have to be paid on the amount received, if it is your property from which the wood is sold.

Interested in how to get higher sawlog prices? Contact us and we will share this knowledge!

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