Forest Economics Wood Based Industry

Front 1

The wood Based Industries

Back 1

Raw Materials and Supply

Logging Industry

Lumber Industry

Veneer and Plywood Industry

Pulp and Paper industry

Particle Board Industry

Fiber Board Industry

Front 2

____ were the source of raw materials for the Philippine wood industry until the ___

Back 2

Old growth forests - 1980s

Front 3

Major timber producing regions include:

Back 3

Region 10 (Northern Mindanao),

Region 11 (Southern Mindanao),

Region 02 (Cagayan Valley),

CARAGA (Agusan and Surigao provinces)

Front 4

Logging of old growth forests banned in ___

Back 4

1992 (DAO 12 S. 1992)

Front 5

is allowed only in residual or secondary forests

Back 5

Commercial logging

Front 6

also are sources of raw materials many are privately owned

Back 6

Tree plantations

Front 7

Philippine logging industry was ___

Back 7

export-oriented

Front 8

In the __--_ more than half of the log production was exported

Back 8

1960 to early 1970s

Front 9

Export decline in the late ___ due to recession and inflation in importing countries

Back 9

1973

Front 10

Domestically, ___ were used to produce lumber, veneer, ply wood and other wood products

Back 10

logs

Front 11

As of ___, the provinces of Nueva Vizcaya and Quirino of Region II officially recorded a total of 1,113 cubic meters of gmelina (__ %) logs mostly from plantations established in Nueva Vizacaya.

Back 11

2015 - 97%

Front 12

Existed during the Spanish times

Back 12

Lumber Industry

Front 13

___ were established mostly around Manila, gang saw was used

Back 13

Sawmills

Front 14

Domestic uses of lumber

Back 14

Residential/non-residential construction sector

Government construction sector

Low cost housing sector

Furniture and fixture industry

Front 15

____ exported lumber to Mexico and Cuba through the ___

Back 15

Spaniards- Galleon Trade

Front 16

During the ___ period, lumber production increased

Back 16

American

Front 17

Greater bulk of production was used ___, the rest was exported to the ___.

Back 17

domestically- U.S

Front 18

____ was used since it is easier to install and cheaper to maintain

Back 18

Circular saw

Front 19

During the ___ time, the lumber industry was completely destroyed, rehabilitated after World War II

Back 19

Japanese

Front 20

In the ____, ___ saw was banned due to poor lumber recovery and thick sawkert, replaced by the bandsaw

Back 20

1970s -circular saw

Front 21

From the ___ to early ___, lumber was produced primarily for ___

Back 21

1960s to early 1970s, - domestic market

Front 22

is used mainly as raw material in plywood production

Back 22

Veneer

Front 23

Started as early as ___ by the Cadwallader Gibson Lumber Company in Limay, Bataan

Back 23

1919

Front 24

Started in ___ when the ____ (Negros Occidental) established an integrated pulp and paper mill based on sugar cane bagasse using soda chorine pulping process

Back 24

1941- Central Azucarera de Bais

Front 25

Wood pulp production began in ___, but the country imported pulp, especially long-fibered pulp

Back 25

1969

Front 26

From ___-____, pulp importation decreased because of the utilization of local wood species suitable for wood pulp production

Back 26

1975-1982

Front 27

Started in 1962 by Timber Export (TIMEX) in Zamboanga City

Back 27

Particleboard Industry

Front 28

___ installed primarily to utilize waste generated by veneer and plywood mill of the company

Back 28

Plant

Front 29

Plant ceased to operate in __ due to high production costs

Back 29

1963

Front 30

In ___, ____ reintroduced the particleboard in the Philippine market

Back 30

1970- Haywood Marketing, Inc

Front 31

Introduced by the Nasipit Lumber Co. (NALCO) in 1957

Back 31

Fiberboard Industry

Front 32

Used the trade name ___

Back 32

LAWANIT

Front 33

Only ___ plants produced this product then, the other one being ___

Back 33

two- Davao Timber

Front 34

Fiber Industry was introduced by the ___

Back 34

Nasipit Lumber Co. (NALCO) in 1957

Front 35

Future trends in Supply and Demand

Back 35

1. Changes in technology and preferences will increase consumption of reconstituted wood products as opposed to solid products like sawn wood

2. Parts of the developing world may need to increase their imports

3. Tropics will increasingly become less important to overall forest products trade therefore international trade in tropical timber is expected to decline

4. Temperate countries will use their own forest resources to meet their needs and domestic consumption

5. While total volume of tropical timber trade may decline, producer countries may export a higher proportion of value- added wood products, making any decline in the value of trade to be less significant

Front 36

___ will increase consumption of reconstituted wood products as opposed to solid products like sawn wood

Back 36

Changes in technology and preferences

Front 37

___ will increasingly become less important to overall forest products trade therefore international trade in tropical timber is expected to decline

Back 37

Tropics

Front 38

___ will use their own forest resources to meet their needs and ___ consumpt

Back 38

Temperate countries- domestic

Front 39

Factors affecting timber production

Back 39

1. Peculiarities of timber production

2. Ownership of forest lands

3. Interest- prices paid for the use of money or capital

Front 40

Peculiarities of timber production

Back 40

Long period of production compared to other production ventures

Immobility of standing timber

Dual nature of standing timber

High ratio of inventory to annual growth

One-way flexibility of production and marketing

Aggregative nature of forests

Presence of externalities

Front 41

Ownership of Forestland

Back 41

a. Most commercial forest lands are owned by the state

b. Number of TLAs greatly reduced

c. Agreements governing forest lands

d. Public versus private ownership of forest lands

e. Growing number of private individuals going into tree plantation establishment

Front 42

Number of TLAs greatly reduced

Back 42

1969-58 TLAS

1977-230 TLAS

1998- 37 TLAS

Front 43

Agreements governing forest lands

Back 43

Integrated Forest Management Agreement (IFMA)

Socialized Industrial Forest Management Agreement (SIFMA)►

Community-Based Forest Management Agreement (CBFMA)

Front 44

Factors affecting interest rate

Back 44

a. Time preference (individual or social)

b. Risk, uncertainty and expectations

c. Pure rate of interest

Front 45

Time preference (individual or social)

Back 45

Rate at which an individual or society discounts the value of a future incometo make it comparable to a present income

Individual time preference-affected by age, present and expected incomes, present needs, attitude towards savings and consumption

Society has longer life expectancy, needs to take long view in utilizing resourcesIn general, individuals have higher time preference than the society

Time preference of developing and developed countries differ

Effect of time preference on utilization of resources

Front 46

Possibility that something will be lost or injured

Back 46

Risk, uncertainty

Front 47

How a person feels about the future

Back 47

expectations

Front 48

A risk-free interest rate, often a very low rate

Back 48

Pure rate of interest