Marketing

SALES AGREEMENT

It is absolutely imperative that a timber sales agreement be in place prior to the commencement of harvesting. This should clearly state:

  1. Agreed timber price.

  2. Payment schedule

  3. Commencement date approx.

  4. Completion date by which all timber must be removed from roadside.

  5. Clearly outline any forest service or other environmental considerations.

  6. Insurance.

  7. Transparency.


I own and manage my own plantations. I would only recommend to my clients those purchasers to whom I would offer my own timber for sale. With these I am assured of proper silvicultural thinning and prompt payment.


Forest owners should consider the various options open to them in selling their thinnings. They include selling thinnings by employing a consultant forester, working with a producer group or selling thinnings themselves where the owners feel that they have the necessary expertise. Another option to seriously consider is to enter a long term contract with a consultant or forestry company.  The owner is the primary producer and to ensure he/she gets the best price for the crop make sure your timber is offered to the market and having examined all tenders in consultation with your consultant or forestry company then you decide which is the best offer for you, taking into account all factors. If in partnership or a along term contract ensure that you receive more than just the one offer presented to you. The difficulty with cluster groups is that it is very difficult to get a group with the same planting year and clearfell year, and with the same yield class. It is much easier to work with a single  forest owner  on a one to one personal level.


For most forest owners selling their timber standing may be the only option. Another to consider is to sell the timber by category. This is a separate for Boxwood, Stakewood and Pulpwood. Depending on the form of the crop the best option should be applied. Sale by weight is becoming the norm for timber growers and the forest owner will only get paid for that timber weighed over the weigh bridge. A secure timber sales dispatch system is vital for forest owners and purchasers. This is achieved by the docket system. On arrival at the forest, the top copy of the forest docket is placed inside a secure docket box which is placed at the entrance to the forest. This docket contains a number of sections which must be included on entry to the wood. These include, the vehicle registration number, the drivers name and signature, and the time that the hauler entered the forest. The vender, or somebody acting on his behalf, will subsequently collect all dockets. The buyer will then forward the weight dockets for these corresponding forest dockets. The number of weight dockets received must agree with the number of forest dockets taken from the docket box.