An economic evaluation of a full tree chip harvesting operation in southwestern New Brunswick

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dc.contributor.advisorJeremy, Richards
dc.contributor.authorRobinson, Kevin James
dc.date.accessioned2023-06-07T21:26:13Z
dc.date.available2023-06-07T21:26:13Z
dc.date.issued1986
dc.description.abstractRecent developments within the forest industry have led to companies gaining an increased interest in chipping hardwood trees for pulp fibre. Independent, privately owned chip harvesting contractors have begun to appear on the market scene to cash in on this new found interest. However, not all operations will prove to be economically viable. The determining factors in this profitability are the type of hardwood chips produced (whether it be for fuel or fibre) and the current market price being paid for said chips. An economic evaluation of a small scale, private full tree chipping operation, currently operating in southwestern New Brunswick, was instituted. The economic viability is determined by using a discounted cash flow analysis to arrive at a rate of return on investment for such an operation. Such an evaluation proved that privately owned operations are profitable, (25.96% return on investment), but only when market prices are high, about $26/green tonne, and the type of chips produced are for pulp fibre. Chips produced for fuel purposes do not possess a high enough market value to return a profit for the producer. Return on investment may be increased through the lowering of operating expenses and higher productivity rates. The reduction of chip delivery costs alone result in a return on investment being increased to 37.92%, a rise of 11.96%. Key Words: wood chip harvesting, fibre chips, fuel chips, full tree harvesting, discounted cash flow analysis, rate of return on i nvestment
dc.description.copyrightNot available for use outside of the University of New Brunswick
dc.description.noteRobinson, Kevin James (1986). An economic evaluation of a full tree chip harvesting operation in southwestern New Brunswick. (Engineering Senior Report no. TFEM-164 1986). Fredericton : University of New Brunswick, Faculty of Forestry and Environmental Engineering TFEM-164 1986 1882/12737
dc.description.noteUniversity of New Brunswick. Faculty of Forestry.
dc.format.extentix, 133 pages
dc.format.mediumelectronic
dc.identifier.urihttps://unbscholar.lib.unb.ca/handle/1882/35870
dc.language.isoen_CA
dc.publisherUniversity of New Brunswick
dc.rightshttp://purl.org/coar/access_right/c_16ec
dc.subject.disciplineForest Engineering
dc.titleAn economic evaluation of a full tree chip harvesting operation in southwestern New Brunswick
dc.typesenior report
thesis.degree.disciplineForest Engineering
thesis.degree.fullnameBachelor of Science in Forest Engineering
thesis.degree.grantorUniversity of New Brunswick
thesis.degree.levelundergraduate
thesis.degree.nameB.Sc.F.E.

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