Evaluation of a novel logistics solution for roundwood import

Abstract

Investment analysis on a logistics concept for timber transportation in South-Eastern Finland is presented. Concept utilises longer freight train units, efficient terminal operations and multimodality based on high-capacity transport (HCT) trucks. This is compared to a current state of shorter direct train transportation to factories. Primary interest is on Russian birch wood import (used in pulp manufacturing). Analysis reveals that the modelled logistics concept is feasible. Taking the time-value of money into account, in the long-term this alternative method has lower overall costs compared to the current one. Possibility for intermodal container backhauling provides potential for synergy benefits. Synergies could also be accessed from the joint use of terminal by number of near-by factories. Although investment seems to be profitable, sensitivity analysis on the most crucial parameters should draw attention. Different factors should be analysed further with advanced simulation tools such as illustrated using Vensim and Forio simulate.