Operating profit in non-industrial private forest 2020 (provisional)

• According to preliminary data, operating profit in non-industrial private forestry was EUR 109 per hectare in 2020. The decrease continued for the second year, as felling volumes of industrial wood in non-industrial private forests decreased by 14% from the previous year.
• The operating profit per hectare decreased by nearly EUR 20 from the previous year, down by 14% in real terms. Compared with the average of the past five years, earnings decreased by one quarter.
• In Southern Finland, the operating profit was EUR 140 per hectare, showing a decrease of 14% from the previous year in real terms.  In Northern Finland, the operating profit was EUR 47 per hectare (-17%). Northern Finland comprises the regions of Northern Ostrobothnia, Kainuu and Lapland.
• Earnings of wood production in non-industrial private forestry totalled EUR 1,752 million (EUR 128 per hectare). These earnings include wood sold to forest industries and for energy generation, as well as wood harvested for private use. The earnings comprise gross stumpage earnings that are calculated by multiplying the felling volume by standing sales prices.
• Estimated investments in wood production were EUR 18 per hectare (EUR 245 million). The amount includes the estimated value of work carried out by forest owners. Investments are expected to remain at the previous year’s level. The total costs of non-industrial private forestry, including the estimated administrative expenses and equivalent, remained at EUR 22 per hectare. 
• Some investments are funded by state subsidies for non-industrial private forestry. In 2020, state subsidies were EUR 50 million (EUR 3.7 per hectare), being at the previous year’s level. Due to the lack of suitable silviculture and forest improvement projects, almost EUR 6 million of assigned subsidies remained unused.
• The nominal values have been converted into real values using the cost-of-living index. 

The statistics were revised on 17 March 2021 due to the errors found in the felling statistics concerning industrial roundwood and energywood in 2019. The change affected the operating profit concerning the whole of Finland by 0.7%. The corrections had the most significant impact on the operating profit in the regions of Northern Ostrobothnia (-3.3%), Kainuu (-4.1%) and Lapland (-4.5%).