What About the Future of Hardwoods?

1. What About the Future of Hardwoods? Chris RasorReforestation Coordinator Pacific Cascade Region Washington State Department of Natural Resources chris.rasor@dnr.wa.gov

2. Objectives • Share hardwood supply and demand trends for the Pacific Northwest, focusing on Western WA • Discuss factors contributing to current and future market success of red alder • Identify necessary steps to secure a sustainable future for the hardwood industry

3. Hardwood Industry Prerequisites Sustainability Supply Demand Infrastructure

4. The “global” supply of red alder! Supply & Demand Factors: Ecological Economic Social

5. Source: Glen Ahrens summary of USFS Forest Inventory and Analysis, BC Ministry of Forests Data

6. Source: Glenn Ahrens, Oregon State University Extension

7. Factors Influencing Supply & Demand Ecological/Social Economic > 200% Net Present Value vs. Douglas-fir Return on Investment (ROI) greatest of native species Produces sawlogs and veneer on a short rotation (25-35 years) Produces high value end products: furniture, moldings, trim, doors • Native species • Nitrogen fixer • Restores soil stability, fertility after disturbances • Immune to laminated root rot and Swiss Needle Cast • Sustains forest health • Contributes to wildlife habitat: bird foraging, understory ungulate forage • Recognized as providing diversity

8. Source: Mason, L. Rural Technology Initiative Factsheet #22, 2003.

9. Source: Mason, L. Rural Technology Initiative Factsheet #22, 2003.

10. Wood Properties favoring long-term demand for red alder • Excellent working properties versus its hardwood competitors lowers cost of production • As good or better than American cherry, hard maple, soft maple in the following categories: • Finishing, Gluing, Screwing, Nailing, Machining • Preferred for pallet construction in grocery industry • High quality source for paper chips • Can mimic higher cost hardwoods like cherry and walnut at a lower price point • No juvenile core or distinct differences between heartwood and sapwood Source: Mason, C. in Deal, R.L. and Harrinton, C.A., 2006. Red alder- a state of knowledge. General Technical Report PNW-GTR-669.

13. Source: Glenn Ahrens summary of USFS Forest Inventory and Analysis, 2003

14. Conifer boom busted red alder!

15. Harvestable Hardwood Landbase Excludes: >1,968 ft. elevation, RMZs, federal lands Source: Hardwood Resource Assessment for Western Washington, Washington Hardwood Commission (WHC) June 2002.

16. Hardwood Resource Assessment for Western Washington (2001) • Total available hardwood = 14.3 billion bf • Total “harvestable” hardwood = 8.6 billion bf (62%) • Deductions (38%): • 19% in riparian zones • 19% on federal lands

19. *Non- red alder included in"Other Hwd" pre -2004

20. Source: Washington Hardwood Commission Logs Processed Summary

21. http://www.brighterenergy.org/11327/news/bioenergy/work-begins-on-73m-cellulosic-biofuel-plant-in-oregon/http://www.brighterenergy.org/11327/news/bioenergy/work-begins-on-73m-cellulosic-biofuel-plant-in-oregon/ Source: Lee Jimmerson, Collins Company 2010

22. Supply: Future Threats Land Conversion • “Washington’s working forests are declining at the rate of 30,000 acres (46 square miles) per year” (RTI website) • Conversion reduces hardwood production base • 5 million acres of small private forestland in Washington owned by 90,000 owners! Small Private Technical Support: • Washington stewardship forestry program currently limited to a single field position • Improved access to decision criteria is critical Source: Rural Technology Initiative (RTI), University of WA; Washington Farm and Forest Association website.

23. 40% 30% Source: Glenn Ahrens summary of USFS Forest Inventory and Analysis

24. Future WA DNR Supply: Red alder GIS modeled site suitability on WA DNR trustlandsGreen = potential for plantation red alder

26. Current WA DNR Hardwood Harvest FY 2009 Timber Sale Volume FY 2009 Red alder log grades

27. WA DNR- Red alder trends • Supply dominated by natural red alder • 2030 red alder plantation harvests begin to be harvested in SW WA. • Low supply of premium grades (<25% 12”+) from natural stands • Thinning red alder during slashing vs. weeding

28. Outlook for Hardwoods +/- • Private owners need access to management tools +ORGANON red alder model to be available in 2011 • Continued emphasis on conifer management • Natural hwd inventories are approximate, dated • Conversion is shrinking hardwood land base +Red alder stumpage prices maintaining incentive for growing future supply +The rest of the world cannot yet grow red alder!

29. Steps to Secure a Sustainable Future • Maintain “social license” to practice forestry • Maintain accurate hardwood inventories • Prevent forest conversion • Build knowledge, skills and abilities to manage hardwoods by sharing information! • Choose hardwoods on suitable sites

30. Resources Cited • Washington Hardwood Commission, 2002. Hardwood Resource Assessment for Western Washington. • Haynes 2003, An Analysis of the Timber Situation in the United States: 1952-2050 USDA PNW-GTR-560 • http://www.fs.fed.us/pnw/pubs/gtr560/ • RP-478 94-018 (1995). Hardwood supply in the Pacific Northwest: a policy perspective by R.L. Raettig, K.P. Connaughton, and G.R. Ahrens . • Mason, C. in Deal, R.L. and Harrinton, C.A., 2006. Red alder- a state of knowledge. General Technical Report PNW-GTR-669. • Washington State Forest Facts, Washington Farm and Forest Association website, 2010. • Washington Department of Natural Resources Planning and Tracking Database, 2011. • Washington Department of Natural Resources Delivered Hardwood Prices, February, 2008 to June, 2010. • Mason, L. 2003. Rural Technology Initiative, Factsheet #22. After decades of Douglas-fir plantations, is it time for forest landowners to consider planting alder and cedar?