Family Forestry in Finland

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Family Forestry in Finland
Family Forestry in Finland
Family Forestry in Finland
STRUCTURE OF LAND USE IN FINLAND, 2014-2016
                Total land area 30 390 thous.ha, forest land area 20 150 thous.ha

                      Forest land
                        66,2%

                                                                                           Other land
                                                                                             15,9%

                                                                                    Agricultural land
                                                                                          8,9%
                                                                Other wooded land
                                                                       9,0%

                  Source: Natural Resources Institute Finland

PEFC/02-44-03
WHO OWNS FINNISH FOREST LAND?
                                   Share of forest area, %
                                             Private families 62%*
                             Wage & salary earners                        Pensioners
                                    15%                                      21%

                                                                                 Other private
                                    Farmers                                          5%
                                      15%
                                                                                 Other (e.g. municipalities
                                                                                  5% and parishes)

                                Entrepreneurs
                                     5%
                                         Forest Industry                State
                                              9%                        25%
                So u rce: Natu ral Reso u rces In stitu te F in lan d

PEFC/02-44-03
FOREST OWNERSHIP STRUCTURE IN FINLAND

                100%                                  5                                5
                                10                                    6
                                                      10              9                9
                                12
                80%
                                                      17              21              26
                                                                                                   Others
                60%                                                                                Forest
                                                                                                  Industry
                                                                                                   State
                40%             78                                                                 Priv ate
                                                      68              64              60
                20%

                 0%
                         COMMERCIAL               ANNUAL          VOLUME OF      PRODUCTION
                         FELLINGS/year          INCREMENT       GROWING STOCK    FOREST AREA
                          60 MILL. M3          109,9 MILL. M3    2464 MILL. M3    20,1 MILL. HA

                  Source: Natural Resources Institute Finland

PEFC/02-44-03
Family Forestry is characterised by
‒                   Multiobjectivity
                    → family forestry incorporates multiple values and functions
‒                   Over-generational thinking
                    → the needs of future generations are constantly borne in mind and the forest holding is
                      handed down to the next generation in a further improved condition
‒                   Various benefits and services provided to the society
                    → e.g. Everyman's Right - the forests and waters are free for everyone to visit and enjoy

    PEFC/02-44-03
Number of Private Forest Holdings by Size Classes 31 Dec 2013
                   forest holdings w ith forestry fee 301 181 units, average size 34,4 ha

                          1000 units
                   180
                   160
                   140
                   120
                   100
                    80
                    60
                    40
                    20
                     0
                               500
                                                               hectares
                   Source: National Board of Taxes

PEFC/02-44-03
Family forest owners’ priorities
MTK promotes sustainable family forestry in accordance with the following
principles:
     → Landowners’ constitutional rights are respected
     → Forest owners have the right and the opportunity to manage and use their forests in compliance with their
       objectives
     → Forestry is economically profitable
     → Forests are managed in compliance with the principles of sustainable forestry
     → All forest owners regardless of the size and location of forest has to have access to advisory and
       management services

 PEFC/02-44-03
Forest Management
‒                   Wood production and protection of biodiversity combined
‒                   Only domestic species used -> spruce, pine and birch account for 97 % of
                    growing stock
‒                   One tree stand (< 2 ha) treated at a time
‒                   Long rotation period (60 – 120 years)
‒                   Normally 2-3 thinnings and final felling -> forest management methods will
                    diversify in the future
‒                   => 80 – 90 % of the forest management activities in private forests are carried
                    out by FMAs (= forest owners’ associations)

    PEFC/02-44-03
TIMBER BALANCE IN FINLAND
                       mill.m3                                                                                                             mill.m3
                120                                                                                                                                    120
                110                                                                                                                                    110
                100                                                                                                                                    100
                90                                                                                                                                     90
                80                                                                                                                                     80
                70                                                                                                                                     70
                60                                                                                                                                     60
                50                                                                                                                                     50
                40                                                                                                                                     40
                30                                                                                                                                     30
                20                                                                                                                                     20
                10                                                                                                                                     10
                 0                                                                                                                                     0
                      1955       60          65           70          75        80      85       90       95       00        05       10       15
                                                      Total drain               Growth, 5-yr. average *
                                                                                  * Growth incl. industrial roundwood (logs and pulpwood). In
                        So u rce: Natu ral Reso u rces In stitu te F in lan d     addition, annual harvesting potential of energy wood (i.e. logging
                                                                                  residues and stumps) is 10-15 mill. m3.

PEFC/02-44-03
MTK Organisation

                                       RURAL
                                   ENTREPRENEURS                  FOREST
          FARMERS                                                 OWNERS
                                   ~ 331 000 members

      Local Farmers Associations                            Forest management
                (359)                                      associations (FMA) (75)

REGIONAL FARMERS        PROAGRIA ADVISORY       FUR BREEDERS´               JOINT FOREST
   UNIONS (14)              CENTRES              ASSOCIATION                ASSOCIATION

                     THE OFFICE OF THE CENTRAL UNION OF AGRICULTURAL
                           PRODUCERS AND FOREST OWNERS (MTK)
                              Maaseudun Tulevaisuus (Newspaper)
MTK - the Central Union of Agricultural Producers and
Forest Owners
It…
- was founded in 1917 under Russian rule
− supervises the interests of farmers, forest owners and rural
  entrepreneurs at national, EU and global level;
− represents its members and related industries that use renewable
  natural resources in a sustainable way; and
− has ca. 331 000 members.

 PEFC/02-44-03
MTK - the Central Union of Agricultural
Producers and Forest Owners
‒ A national central organisation of private forest owners, ~ 100 workers
                 •   to influence forest policy legislation
                 •   to protect the interests of the Forest Management Associations
                 •   to look after the private forest owners' interests in timber trade
                 •   Strategic management of FO organisation
‒ MTK has no position to oblige FMAs – all co-operation is based on
  voluntariness
‒ 30 % of operating costs is covered by membership fees, 70 % by
  capital income

 PEFC/02-44-03
The role of FMAs
Forest owners’ service organisation on local level:
‒ FMAs are working in a close co-operation with the forest owners in all
    matters related to forests:
      ‒             forest management services (harvesting, regeneration, ditching etc.)
      ‒             training and planning services
      ‒             timber sales services
      ‒             practical organiser of PEFC group certification
‒    80% of the forest management activities in private forests are carried out by FMAs
‒    70% of preliminary planning of timber sales
‒    Employ 1000 officials and 400 permanent forest workers
‒    Employ also high number of contractors and entrepreneurs
‒    Activities financed by membership fee and business activities
‒    New FMA law (in force from 1.1.2015) is based on voluntariness and provides level playing field for
     all service providers. Forest management associations are still statutory organisations.
‒    Has enabled new models of cooperation between FMAs and forest industry

    PEFC/02-44-03
Forest management associations have a big role on timber
markets
  FMAs draw up 70 % of plans for timber sales
       •           Defining cutting areas, identifying valuable habitats and other necessary details
       •           Field work, marking off the cutting area, marking off the valuable flora and fauna and trees not to be cut
       •           Regeneration method selection
       •           Timber amount and price estimates
       •           Forest use declaration

  FMAs make 40 % of the forestry sales on behalf of forest owners (power of attorney)
       •           Tender bid and comparison
       •           Forest owner always makes the final decision
       •           Contracts
       •           Supervision of harvesting and measuring
       •           Supplying information to forest owner

   PEFC/02-44-03
Family forestry manage for both wood production and
biodiversity
‒ Forest owners invest 50-65 million € per year in forest environment and
                    biodiversity
‒                   Forest Act, §10: Habitats of special importance for biodiversity shall be
                    preserved
        • 100 000 sites in family forests
        • 50 000 - 60 000 has not included in the statistics on protected area
Evaluation of environmental quality of forest operation 2010:
        • 95 % excellent or good
‒                   85 % of family forests are certified according to PEFC

    PEFC/02-44-03
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