Editor's note: This is printed in response to the article "Don't sell timber on shares" by Scott Brundage that appeared in the June/July issue of Today's Farmer

When all parties are properly educated, informed and trained, a timber harvest benefits all involved, whether it be the landowner, timber harvester or forester.

Timber appraisal does not equal selling on shares, as many landowners do not rely on the first logger who appraises their timber to cut it. As with any business decision, it is best to educate yourself, then shop around. This process should be repeated when selecting a forester. Often when a logger is cutting on a percentage, the logger will also shop around to get the best price for himself, yielding more for the landowner.

"If a logger wants to cut your timber on shares, ask for at least three references from people who he has previously cut timber on shares," said Cecil Williams of Ace Log and Lumber Company." And you should talk to the actual sawmill that the logs are being hauled to-most sawmills will give you prices and how much the logger has logged in."

To be assured you are receiving a fair deal, use a trained logger. A logger trained by the Missouri Forest Products Association is trained in the ethical practices of the business, general forest management, water quality protection, minimizing residual damage, as well as efficient and safe harvesting.

Consulting foresters generally work on a percentage of what the timber sale brings. A lump sum sale makes this arrangement easy to administer-the landowner gets his share, the consulting forester receives a share and the logger gets what is left. However, if the sale "cuts out" well, there may be a windfall for the logger. When a trained logger works on a percentage basis, often the landowner receives more on the bid basis. The logger attempts to buy on a percentage basis mainly due to lack of working capital and adversity to risk.

"If a logger looks at a job and thinks it will cut out $100,000 worth of timber, he will go back to his same formula of a 50/50 split and play it safe with a $40,000 bid," Randy Mueller of Mueller Brothers Timber, Inc. said. "In fact, the timber may cut real well and gross $110,000 and the landowner still only walks away with $40,000, or almost 15 percent less than on shares. This scenario is not unheard of."

What is unheard of are the majority of Missouri log prices quoted by the author of "Don't sell timber on shares." Brundage states that walnut averages $6 per board foot and white oak averages $2.50 per foot. These prices may be more realistic in states such as Indiana and Ohio where the quality of timber is much higher.

"If walnut averages $6 and white oak $2.50, I will start selling to him today," Rustic Wood Products' Kurt Rehagen said. "We have been doing business for a long time, and have never heard of walnut and white oak averaging those prices."

Also at issue in the article is the quantity of veneer logs. Typically Missouri tracts of timber do not produce many high quality veneer logs and the figure used ($3 to $10 per board foot with an average of $6), is extremely high. Generally, veneer logs account for 1 percent of total sales. Pallet lumber processed from the mill usually runs around $0.18 to $0.20 per board foot. Grade lumber averages $0.40 to $0.50 per board foot processed from the mill, and makes up 15 to 25 percent of total sales. Low-grade logs account for around 60 to 65 percent of sales.

Ignored in the article are the actual costs for a timber harvester to operate. A four-man crew requires seven chainsaws that average $900 to $1,500 each. Expenses for logger labor average between $100 and $150 daily-per logger. Skidder operators cost around $150 per day plus expenses and labor rates on equipment are $80 per hour at the minimum. Skidders are obviously required and cost between $25,000 used and $250,000 new. Include the costs of a driver ($100 per day), a truck mount loader (between $35,000 and $40,000), and two trucks (between $15,000 used and $90,000 new). That's not to mention rising costs for fuel, equipment and liability insurance.

The Missouri Forest Products Association represents all members of the forest products industry, from foresters to landowners to timber harvesters to wood processing facilities. The association recently began an on-line timber sale program to assist the buyer and seller. Other resources are also available at www.moforest.org.

Foresters are an integral part of the industry, giving sound forestry advice and marking trees-information worth their average 10 percent that they charge. However, this service by no means outweighs the role of loggers who put in the labor to cut and deliver the trees to a wood processing facility.

It is essential that forest landowners actively manage their forest land for the forests of the future. By doing so, there will be aesthetic, wildlife and financial incentives for all involved.

The solution of education, training and certification for the entire industry is the answer. All three of these services are made readily available by the Missouri Forest Products Association.

Rodric Bradford is communications coordinator for the Missouri Forest Products Association based in Jefferson City.