Financial selection of rotation age for SRIC plantations

Abstract

Short rotation intensive culture (SRIC) plantations, established in central Pennsylvania, were analyzed to determine their economic optimum rotation age. The general management design for the plantations used fertilized and non-fertilized strategies, a tree spacing of 0·48 m² and a rotation length of 4 years. A stand-level financial model analyzed the unit cost of production for alternate rotation lengths based upon the plantation's investment and operating costs and resulting biomass yields.

Analysis of the first two rotations indicated that the minimum unit cost for fertilized and non-fertilized strategies was in the fourth year of the first rotation and the third year of the second rotation. Growth curves for the rotations also showed a maximum volume production at the same points in the rotations. Selection of a 3-year rather than 4-year harvest during the second rotation would reduce unit costs by 14% in the non-fertilized strategy and by 15% in the fertilized strategy.