Cascade use of wood in the Czech Republic

Research Highlights: One of the priorities of the European Commission is to build up an effective circular economy based on recycling and multiple use of materials. Wood biomass is a renewable raw material and can be used several times in a cascading sequence. Each country has a unique situation regarding the availability and utilization of wood sources. Background and Objectives: The objective of this study was to analyze wood flow in the Czech Republic using the cascading principle of biomass use. The specific situation in the Czech Republic lies in a lack of valid and reliable input data from official statistics. Therefore, the reverse input method was applied. Materials and Methods: Input data analyses of roundwood sources and foreign trade were based on official statistical data. The calculation of raw wood volume consumption in primary processing was performed based on the data after our own correction and recalculation. It was then possible to build up a basic model of multi-stage cascade wood use. The input volume of roundwood was divided among all types of primary processing production using conversion factors. Results: Cascading use of wood (CUW) showed the level of efficiency of the resource. Official statistical input data and the reversed input data regarding raw wood volume entering wood processing revealed differences at a level of 27%. The overall CUW in the Czech Republic indicates a high rate of wood use in primary processing with low added value and in generating energy. Conclusions: The reverse input method reveals the real situation of wood consumption irrespective of the level of official statistical data. It is suitable to apply in an environment of incomplete or incorrect input data. CUW in Czechia showed an opportunity for increasing the efficiency of wood utilization. The structure of wood use needs to be optimized towards creating greater added value.O

Regional importance of forests and forestry for rural development

In the rural area represents forest management the significant and often the sole source of job opportunities, especially in border areas of the Czech Republic. As the sector is forestry such an important participant of regional development, incl. location factors relation in the face of traceable processing branches. All this increases the social role of forestry and it is a factual fulfilling of specific social functions of forest management in the sense of strategic development documents.National forestry programs are considered as concepts for application of sustainable forest management in long-term improvement of competitiveness of forestry. They are part of the state forestry policy and at the same time they fulfill the EU Forestry Strategy. The paper focuses on the National Forest Programme of the Czech Republic for the period up to 2013 in relation to regional development and the importance of forestry in rural development area in the Czech Republic.The paper focuses on the Programme LEADER too, aimed to engage in the rural areas more forestry bodies into the local action groups and into the elaboration of local development strategies

State aid for forestry and higher local-administrative units

The paper focuses on state aid for forestry through public corporations, especially financial resources provided from the budget of Regions as higher level of local-administrative units. Development of the current situation and situation in the provision of the public support at national level – through the Ministry of Agriculture is analyzed. Mainly data sources from the website of the regions as publicly available source of information are analysed. In terms of methodological approach is also important the approach to the evaluation of regional forest programmes for description of the analysed topic. The paper mentions some possible directions, which may take further development in the researched field. There is complex of legislatively, politically repressive and economically accessible, supportive and educational instruments of state and regional forest policy, which give many options, which are not used yet very much

Cascade Use of Wood in the Czech Republic

Research Highlights: One of the priorities of the European Commission is to build up an effective circular economy based on recycling and multiple use of materials. Wood biomass is a renewable raw material and can be used several times in a cascading sequence. Each country has a unique situation regarding the availability and utilization of wood sources. Background and Objectives: The objective of this study was to analyze wood flow in the Czech Republic using the cascading principle of biomass use. The specific situation in the Czech Republic lies in a lack of valid and reliable input data from official statistics. Therefore, the reverse input method was applied. Materials and Methods: Input data analyses of roundwood sources and foreign trade were based on official statistical data. The calculation of raw wood volume consumption in primary processing was performed based on the data after our own correction and recalculation. It was then possible to build up a basic model of multi-stage cascade wood use. The input volume of roundwood was divided among all types of primary processing production using conversion factors. Results: Cascading use of wood (CUW) showed the level of efficiency of the resource. Official statistical input data and the reversed input data regarding raw wood volume entering wood processing revealed differences at a level of 27%. The overall CUW in the Czech Republic indicates a high rate of wood use in primary processing with low added value and in generating energy. Conclusions: The reverse input method reveals the real situation of wood consumption irrespective of the level of official statistical data. It is suitable to apply in an environment of incomplete or incorrect input data. CUW in Czechia showed an opportunity for increasing the efficiency of wood utilization. The structure of wood use needs to be optimized towards creating greater added value

The Impact of International Trade of Raw Wood to the Economic Growth of Forest-Based Sectors in the Czech and Slovak Republics

International trade metrics can indicate the competitive advantage of the industry in international markets. However, the export of the raw materials utilized by the industry can influence company and industry performance negatively. This article assessed the effectiveness of the international trade with raw wood and its impact on the economic results of the industry. A system of indicators was formed to measure the international trade impact on the industry performance, and the following hypothesis was established: increasing the international trade with raw wood influences the economic growth of the industry negatively. The results confirmed the hypothesis, showing that the growth of export volume and also import of raw wood decreased industry performance during the monitored period. In the forestry sector, the more significant influence appeared in revenues, which influenced the profit most in the timber industry. Other findings demonstrated that the international wood trade in the Czech Republic and the Slovak Republic does not create a comparative advantage, but decreases competitiveness of the forestry sector

Effects of Foreign Trade on the Economic Performance of Industries—Evidence from Wood Processing Industry of Czechia and Slovakia

As was first stressed by the classical economists Adam Smith and David Ricardo, international trade plays a crucial role in the growth process. The paper aims to analyze the influence of foreign trade on economic performance in the wood processing industry (WPI) of Czechia and Slovakia. The multivariate regression method (MLR), assumption tests for MLR models, and Granger causality test were applied to identify association between foreign trade economic performance, and indicators were formed to measure the effects of foreign trade at the industry level. The Granger test revealed the unidirectional causality in the Slovak WPI and bidirectional causality in the Czech WPI. The results revealed that the net export growth has a positive effect on the economic performance of the industry, but only if the growth in imports is lower than in exports. The balanced trade balance indicated no influence of foreign trade on economic performance. The paper contributes to existing knowledge with indicators for evaluation of foreign trade effects on the performance of the industry. The paper also brings new empirical knowledge in trade balance effects on the economic performance of industries

Effects of Foreign Trade on the Economic Performance of Industries—Evidence from Wood Processing Industry of Czechia and Slovakia

As was first stressed by the classical economists Adam Smith and David Ricardo, international trade plays a crucial role in the growth process. The paper aims to analyze the influence of foreign trade on economic performance in the wood processing industry (WPI) of Czechia and Slovakia. The multivariate regression method (MLR), assumption tests for MLR models, and Granger causality test were applied to identify association between foreign trade economic performance, and indicators were formed to measure the effects of foreign trade at the industry level. The Granger test revealed the unidirectional causality in the Slovak WPI and bidirectional causality in the Czech WPI. The results revealed that the net export growth has a positive effect on the economic performance of the industry, but only if the growth in imports is lower than in exports. The balanced trade balance indicated no influence of foreign trade on economic performance. The paper contributes to existing knowledge with indicators for evaluation of foreign trade effects on the performance of the industry. The paper also brings new empirical knowledge in trade balance effects on the economic performance of industries