Financial impact in case of investment to the forest property as a result of different tree species composition in the Czech Republic

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Technická Univerzita v Liberci
Technical university of Liberec, Czech Republic
Abstract
The spruce covers the largest area 44.7% in the Czech Republic, but its natural representation was 11.2%. Forest owners and managers are motivated to change their species composition. But the change will have an economic impact on their property. The aim of this research is to create a model of dependency of total profit from forest stand depending on its composition and prove that if the species composition is changed in favour of beech, the financial impact will be significantly negative. The model has area 100 ha with 100 forest groups which differ in age of one year. All the silviculture and logging activities were done within one year for eleven site indexes. Total volume of cuts was used from the Mensuration and Growth Tables. Prices of contractors including their profit margin and wood price from the Czech statistical office were used for revenues and costs calculations related to the roadside. The profit from the pure spruce stand is higher than profit from pure beech stand. The costs for establishing plantation did not differ in absolute values so much. The difference between revenues is caused mostly by different price for species assortments according to their quality. The profitability of potential investment, which presents costs to the pure spruce stands with the highest site index +1 (36) is 234%, whereas profitability of beech stand in the same site index is only 151%. Profit is a linear function of changing species composition. The localities with the lowest site index was it the red.
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stakeholder, stakeholder circle methodology, stakeholder index, stakeholder identification, stakeholder prioritization
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12123609
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