Forestry-service entrepreneurs as producers of services

The concept of forestry-service enterprise used in the joint study (1997-7999) by the TTS-Institute and the Finnish Forest Research Institute (Metla) refers to enterprises and co-operatives (including forest workers operating as entrepreneurs) offering services in the fields of silviculture, basic forest improvement, planning and wood-harvesting sector. Companies practicing large-scale wood-conversion and traditional forestry-machine and road haulage contractors are not included in this approach. It can be estimated that there is a total of 450 such entrepreneurs in the country Those engaged in only a minor degree in providing forestry services are not included in the figure. The nation-wide research material was collected in the form of a mail questionnaire addressed to forestry-service entrepreneurs (n=320) in the spring of 1998. Almost all forestry-service entrepreneurs provide timber felling as a service. More than half of them do planting, cleaning of young stands, tending of young stands, and forest haulage of timber. Forestry planning is done by nearly a quarter. With the focus of operations as calculated from the enterprises turnover serving as the basis, it became apparent that the majority of entrepreneurship takes place in the form of logging. The means of transport is mostly an agricultural tractor. Most of entrepreneurs have switched to entrepreneurship only recently. Nearly a third have college level education in forestry, 39 % have switched over from their previous occupation of forest worker. Most entrepreneurs are full-time, private practitioners. Their median turnover in 1997 was FIM 180 000. Non-industrial private forest owners form the clientele for 82 % of the entrepreneurs, while local forest management associations are sources of employment for 68 % of the entrepreneurs. As to the average breakdown of the sources of their turnover 31 % is earned from jobs done for local forest management associations, 31 % comes from local forest management associations, 27 % from forest owners, and 24 % from work done for large forest-industry companies. (orig.)