Report on the Finland Survey ( ) by Knut Sturm (Silva Verde GmbH)

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1 Report on the Finland Survey ( ) by Knut Sturm (Silva Verde GmbH) Table of contents 1. Introduction Target and intention of the survey Visited forest types and assessment Visited forest types Assessment of the inspected forests with regard to nature-oriented forestry Assessment of the inspected forest in regard to aspects of nature conservation Assessment of the opportunities of Innofor in the wood market Evaluation and proposal for co-operation Written by: Silva Verde GmbH Knut Sturm Lorenz-von-Stein-Ring 1-5 D Eckernförde

2 1. Introduction The Finnish company Innofor Finland Ltd plans to establish a multifunctional, close-to-nature system of forestry on a larger scale in Finland. At the moment the company works as a consultant for communal and private forest owners. Innofor develops management strategies for forestry, arranges for arranges selected logging companies for its clients and organizes the sale of the wood of the forest owners. Further information concerning specific management principles, the international concept, owner and contacts can be found on the homepage of the company ( For the short term it is planned to expand the cultivated area from currently ca ha up to ha. The focus is to be levelled on communal and private forests. 2. Tasks and goals of the journey The tasks and the goals of the survey can be divided into two groups. Basically, international environmental organizations are interested in cooperation with forest companies in the boreal zone that pursue a forestry approach closer to nature than conventional clearcut logging. Innofor is seeking co-operation partners for marketing and as independent control bodies in order to gain access to the international market. In this document SILVA VERDE tries to determine and describe the common features for such collaboration. On 25 th of February and 3 rd of March 2009 Silva Verde met to hear the viewpoint of Greenpeace with regard to forestry targets in North Europe. Greenpeace was represented by Dr. C. Thies. It was generally agreed that the cooperation established between Greenpeace and Precious Woods Ltd in Brazil can serve as a role model also for N Europe. On 3 rd of May 2009 in Helsinki, the goals of the survey were further discussed with Greenpeace Finland. Greenpeace Finland focuses on the practical realisation of goals concerning nature conservation and forestry management recommended by environmental associations. To what extent is the handling and protection of forests integrated into the management of old forests? Are there certain specifications for the protection of habitats and species that need special protection? Do guidelines exist concerning nature conservation and forestry and how can they be judged in relation to close-to-nature forestry beyond the boreal zone? Are the differences in ecological conditions and intensity of disturbance between the boreal zone and the remaining forest zones taken into account in the management plan? Are there precise, plausible and testable specifications for the management of dead wood? Do indicators for cultivation and non-cultivation exist? How are these indicators derived and how are they put to effect? How does Innofor promote the close-to-nature forestry approach in Finland? These questions were discussed with the managers of Innofor during the trip

3 through Finland. On the 3 rd of March, Marcus Walsh (Innofor) and Knut Sturm (Silva Verde) discussed the objectives of Innofor as well as the general forestry targets of Greenpeace and other nature conservation organisations. The entrepreneurial objectives of Innofor are sufficiently described in the internet ( Innofor wishes to increase its general credibility from outside auditing by Silva Verde; this in turn is to gain credibility for Innofor's sustainability claims in the eyes of the consumer and to improve dialogue between the company and environmental NGOs. 3. Visited forest types and assessment 3.1. Visited forest types Photo 1 shows a privately owned old mixed forest (spruce/pine) located near Oulainen, Pohjois-Pohjanmaa, Finland. The forest was visited by the assessor on 4 th of April Photo 1 The photo shows a mature stand in a level area, on fresh and wet soils. This kind of boreal forest is harvested in Finland with the method of clear cutting. In contrast to the common procedure only 50% of the forest (slightly above 200 m3/ha) was harvested. Every tree in the

4 understory and middle level as well as the natural regeneration is protected against damage. The existing old aspens and most of the birches are protected as well. An inventory of the ecologically valuable habitats had been previously performed. These habitats were generally excluded from harvesting. A system of logging roads is not installed. The harvest was carried out in winter under snow cover and strong frost. The harvested timber consists of 60% saw log and 40% industry log. The target setting of the harvest is the development of a rich-structured, unequally aged and species-rich forest of spruce and pine with a stock of 200 to 250 m3/ha. A high production of saw timber is suggested. Photo 2 Photo 2 shows a mixed pine forest on a boulder moraine close to the town of Vihanti (Pohjois-Pohjanmaa, Finland), also privately owned. This stand was visited by Innofor, the owner and the assessor on the 4 th March The situation is comparable to photo 1. As opposed to the first picture several species such as aspen and spruce occur rarely (photo 2). 50% of the stand was felled. However, due to previous low thinning management, the middle growth is not very well developed, in contrast to the natural regeneration that consists of sections of spruces and several birches (photo 2).

5 As before an inventory of the ecologically valuable habitats was performed and taken into account for the management plan. The younger stands as well as the ones with a lower growth rate appearing on rocky locations were not felled. Because of the conditions of the location a system of logging roads has not been installed. The logging activities were carried out in winter during snow cover and sharp frost. The harvested timber consists of 50% saw log and 50% industry log/ firewood. The target setting of the harvest is the development of a rich-structured, unequally aged and species-rich spruce and pine forest with a stock of 200 up to 250 m3/ha. A high production of saw logs is suggested. Photo 3 is a pole wood of pine with groups of black elder and birch. The level locations can be classified as between fresh and swampy. The stand is located close to the city Pori and is privately owned.. This stand was visited by Innofor, the owner and the assessor on the 5 th March The 30-year-old stand is artificially planted. As opposed to the pole wood of pine that is regenerated naturally, the stems have obviously more branches. The cut timbers will be exclusively energy wood. The impact can be quantified up to 20 m3/ha. Additionally the skidding trails were cut. The thinning procedure benefited the growth of rare species. The harvested wood is 100% for use in industry or energy (photo 3). Photo 3 The sole target of the felling is the production of wood. Because the costs are higher than the proceeds, the loss is paid by subvention by the authorities. The thinning benefits the promotion of spruce, that only occurs in the understory and middle growth

6 Photo 4 shows weak to medium spruces and birches with single mixed in pines of different ages. The location is between fresh and wet, sometimes swampy. The stand is located near Pori and is privately owned. This stand was visited by Innofor, the owner and the assessor on the 5 th March Photo 4 Target trees were felled (diameter 40cm). At the same time birch and spruce were promoted. The use of target trees was combined with gap cuttings (photo 4). In this procedure mature spruces and the understory were cut to promote natural regeneration. The timber transport was done on a marked system of skidding trails. The timber is composed of 70% saw log, and 30% industry or energy-wood. The target is the production of large diameter spruce and the creation of rich-structured stands with widespread natural regeneration within small clearances. During the survey the diameter of the target trees such as pine, spruce and birch was intensively discussed. A consequent use of single target trees and the effects on the stand structure and the forest management were also discussed by using this example.

7 Photo 5 shows weak up to medium-age spruce and birch. The trees stand solitary or in groups and are mixed with pines and alder of different ages. The soil is fresh, wet or mildly swampy. The trees on the borders of the clear cutting areas had been broken down by wind. Small gaps had therefore developed in or at the edge of the stand. The stand is located near Tampere close to Kangasala and is owned privately.. The stand was visited by Innofor and the assessor on the 5 th March Photo 5 In this stand a thinning is planned that targets spruce with smaller diameters. The wet stands of alder were saved. For these stands there was very little information in the inventory. A system of marked skidding trails exist. The harvest consists of 30% saw wood (large diameter), 30% saw wood (small diameter) and 40% industry or energy wood.

8 Photo 6 shows weak to strong spruce mixed with single pines and birches. Because of the quite old age of the stand a middle growth has developed as well as a naturally regenerated population of spruce in the understory (photo 6). The natural regeneration is inhibited by raspberry growth in areas with greater light. Some small areas were removed from cultivation for reasons of nature conservation. The soil of these stands is fresh or swampy. The stand is located near Tampere, close to Kangasala and is privately owned. The stand was visited by Innofor and the assessor on the 5 th March No felling was carried out in the visited stand. The future felling activities and the general goal can be discussed on the basis of the assessment. A system of skidding trails does not exist. Basically the target discussion was focussed on the kind of protected areas, the size of the regeneration areas and the size of the target diameter. The non-cultivated areas are important for nature conservation. In addition they serve as role model for the management of forestry. The use of reference areas is not discussed in Finland. The question arose with the owner as to why parts of the stand regularly die off. Photo 6

9 3.2. Assessment of the inspected forests in regard to nature-orientated forestry The close-to-nature approach, as pursued by Innofor, is a big step forward for Finnish forestry. The concept is generally based on the considerations of nature orientated forestry in central Europe. While silviculture deals without clear-cuttings, chemicals and tilling, ideas of nature conservation are integrated into the normal forestry procedures. Thus the new concept differs fundamentally from the traditional Finnish forestry system. Innofor promotes spacious and complex structured forests, that contain a full range of ages and diameters. To this end maintenance is reduced to numerous, small sized actions in order to minimize the stress in harvesting and tending of the forest. The timber stand is planned to be continuous, with a permanent use of numerous local forest species in all ranges of size and quality. Natural regeneration is used instead of clearance felling. As a result of this innovative forest management, the forests of Innofor are characterized by big closed, equal aged stands formed mainly by pine and spruce. In general the regeneration is man-made and follows clearance felling. The fact that some stands are a result of natural regeneration confirms the suspicion of a former complex structured forest (see photo 7). Another indication is the growth rings of the timbers that become narrower towards the centre. This indicates a closed canopy or shadowing in the development of the trees, as well as a high plasticity of both species in sub-natural conditions and the ability to transform the superior conditions into the acceleration of growth Photo 7: Old spruce and pines with target diameter The present situation of the cultivated forests in Finland, characterized by low species diversity, same age and single levelled stands, seems to be a product of the younger development in forestry. This explains why semi-natural structures can be found in older stands (photo 6).

10 Innofor s management goals in forestry meet with the complete approval of the assessor. The guidelines of management and forestry design provide a basis for reaching the economic demands. The assessor would appreciate the offer of English guidelines to obtain a better transparency in the pan-european marketing of timber. Instead of a complete review the assessor was only able to check a few samples depending on the translation by the employees of Innofor. The software modules used for the forestry management as well as the technical additives (GPS, GIS) are the best available technology. The discussions held in the field and in the office show that the debate about the goals has to be continued in detail. In contrast to the discussion of the general goals which have been successfully completed, the further discussion should focus on single cultivated stands. The results have to be fixed in the management plan. The present discussion is restricted to the activities. The activities can be deducted from the general goals and do not have to be analysed separately for a single stand. The controlling must be adjusted according to the activities, not to the general goals. A general problem is the yield science. It is based on yield tables of pure stands of main species like pine, spruce and birch. On this basis no exact calculation of the growth rate or the using rate for mixed forests (equal/unequal aged) is possible. In the medium term this problem can be solved by generating a grid of sample plots and calculating new yield tables. The assessor generally appreciates the measures that are planned to implement the goals of a close-to-nature approach. In the assessor s opinion the harvesting measures for the visited stands are over-dimensioned. The estimated annual growth rate of 6 m3/ha is too high, particularly in regard to a halved density in the main layer of the forest stand. In this context the yield science necessarily needs to be improved. In the south of Finland the intensity of harvesting measures is relatively speaking lower with a significantly higher growth rate and simultaneous stock of wood. Therefore the transfer seems to be much faster and easier than in the centre of Finland. In the concept of forestry particular attention should be given to the use of single trees. Right now this concept is weakly supported and at best implemented for target trees in the south of Finland. The assessor approves the establishment of reference areas, analogous to the FSC standard in Germany or the Prozessschutz Waldbau. This concept generates new yield data and contributes to the process of target setting in forestry. 3.3 Assessment of the inspected forests in regard to aspects of nature conservation The assessor appreciates the nature orientated approach, a close-to-nature management, which attempts to integrate the issues of nature conservation into common forest management. A consultant service which assists with the applying and obtaining of uncultivated forests corresponds to the assessor s concept. This system of forestry alone can provide a network that links the protected forest areas of northern Finland with the areas

11 in the middle and south of Finland. Further information considering the goals of nature conservation is available on the homepage of Innofor. Additionally, the management directives contain important advice for the protection of rare tree species and habitats, special single trees worthy of protection, as well as a certain amount of deadwood. The advice is of sufficient exactness and is comprehensible. As mentioned before, a translation of the guidelines would increase the transparency for marketing purposes. In the surveying of biotopes a special focus should be put on a self-conducted registration of endangered habitats, animals and plants. This data must be considered in the management plan. Today this data is largely determined by the authorities. From the assessors point of view the authorities data is too imprecise to evaluate the biotope realistically. 4. Assessment of the opportunities of Innofor on the woodmarket For marketing of its own brand of Wisewood timber, Innofor will require a separate marketing system of its own that is independent of the traditional timber market in Finland. In the short term this can only be realized by cultivation of a larger area. The company's approach appear auspicious and raise chances for a successful realisation. In contrast to the traditional Finnish system, the assortment of timber requires greater differentiation in quality and diameter. In this way the best quality will gain the best prices. At the present moment the market only distinguishes between saw log and industry log without classifying according to diameter. Therefore there is no incentive to producing strong, old high quality timbers, that achieve best prices on the international market. Especially with this assortment, there is a need to develop the market. The central European market is ideally suited, because the industry there is adapted to manufacturing timbers with a large diameter and is able to offer an adequate price. 5. Valuation and proposal for cooperation The assessor approves in principle of Innofor's practices as a starting point for dialogue between the company and environmental, social or other progressive organisations. Both sides can benefit from each other: On the one hand Innofor needs partners for marketing and independent control bodies in order to gain access to the international market. On the other hand Greenpeace and other NGOs are interested in the knowledge of close-to-nature forestry in the boreal zone. The cooperation can run analogous to the cooperation with companies such as Precious Woods Ltd. in Brazil. In addition Innofor is subject to periodical control legal guidelines and the local management. Innofor gets additional input in silviculture by periodic controls according to the rules e.g. of the Forestry Stewardship Council as well as Finnish national requirements.