Over the next five years, JSC “Latvijas valsts meži” will increase the volume of tree seedlings grown by 32%, or 17 million, reaching 70 million seedlings per year.
This future outlook was outlined by the president of JSC “Latvijas valsts meži” (LVM), Roberts Strīpnieks, at a meeting of the Saeima Public Expenditure and Audit Committee. He pointed out that demand for tree seedlings is growing every year. “Tree seedlings are one of the company's most ‘popular’ export items, and the satisfaction of demand is limited only by the number of available seedlings,” R. Strīpnieks described the situation. He emphasised that the company currently exports just under a quarter of the total seedlings grown by LVM. “LVM seedlings successfully compete with products from Finnish, Swedish, and German tree nurseries,” the company's head noted. At the same time, R. Strīpnieks recalled that in 2001, the tree nurseries of the time produced only 14 million seedlings, even though consumption in forests managed by LVM was more than 20 million seedlings per year. “We were facing serious problems because we were digging up wildlings to plant in clearings; therefore, turning our attention to seedling cultivation and setting it as a priority was logical, as it is impossible to grow a high-value forest without quality tree seedlings,” stated R. Strīpnieks. He reminded that at the turn of the century, no one was even interested in growing tree seedlings, which left LVM with no choice but to develop seedling production themselves.
53 million is not enough!
“The total sales volume of seedlings this year will be approximately 53 million, of which almost 27 million seedlings are for planting areas under the management of LVM, while private forest owners in Latvia have reserved almost 14 million seedlings, and about 11 million more are being exported – mostly to Sweden,” explained Guntis Grandāns, director of the “LVM Sēklas un stādi” (LVM Seeds and Seedlings) structural unit of JSC “Latvijas valsts meži”, regarding the situation with planting material. He notes that the volume of tree seedling exports varies each year, as the company’s priority is to supply LVM with planting material. At the same time, nearly 10 million spruce seedlings with improved root systems and a smaller number of pine seedlings are mostly exported. G. Grandāns points out that Latvian spruce seedlings with improved root systems are planted in Sweden south of Stockholm, where the climate is similar to that of Latvia. He does not hide that, partly because of Swedish buyers, the Mazsili tree nursery once implemented a project treating container-grown spruce seedlings with sand glue to protect them against pine weevil damage. “Treatment with sand glue provides protection for two seasons, whereas chemical treatment only lasts for a month, or two at most,” G. Grandāns mentions as the advantage of the technology. He notes that a waxing robot operates at the Podiņi tree nursery, which ensures the treatment of spruce seedlings with improved root systems. G. Grandāns admits that market demand has exceeded supply, so, evaluating all possible future development scenarios, a significant program to increase seedling production capacity is being launched. “It is intended that in 2024 we will be able to sell 17 million more seedlings on the market than this year,” G. Grandāns explains the plan. Total investments are estimated at 25 million euros, although the investment amount may change due to inflation/deflation affecting construction costs.
Starting gun
Currently, contracts have already been signed with contractors for the expansion of the Podiņi tree nursery and also for the preparation of so-called zero-cycle areas for a container seedling nursery in Jaunkalsnava. According to G. Grandāns, the annual capacity of the Jaunkalsnava tree nursery will be 12.5 million container seedlings, which is planned to be reached in 2023, while the first seedlings would be available on the market as early as 2022. “A large-scale expansion is also taking place at the Podiņi tree nursery,” says G. Grandāns.
“If we currently grow about 18 million seedlings each year, after the expansion there will be 3.6 million more – about 21.6 million seedlings with improved root systems,” Jānis Siksalietis, head of the Podiņi tree nursery, says about the plan. He notes that seedling growing areas are being increased (from 87 to 110 ha) and a new greenhouse is also in the construction stage. G. Grandāns points out that according to the assessment of Swedish experts, the Podiņi tree nursery is already the world's largest nursery for tree seedlings with improved root systems. The nursery manager informs that, as a result of the expansion, there will be an opportunity to increase the sale of spruce with improved root systems both in the domestic market and in Sweden. “This year we could have sold about 0.5 million more seedlings than we grew,” J. Siksalietis replies to the question of whether there has been a situation where the potential demand of clients has exceeded the grown volumes.
More will be needed in Latvia too
The demand for high-productivity tree seedlings will grow not only abroad but also in Latvia, points out Arnis Muižnieks, Chairman of the Board of the Forest Owners' Association of Latvia. He substantiates this: until now, private forest owners have been regenerating only about 12% (on average) of the deforested areas by planting. “Currently, a draft project for amendments to regulations has been prepared, which stipulates: if you want to cut faster, the deforested areas must be compulsorily regenerated with quality tree seedlings,” says A. Muižnieks. He says that, especially in recent years, the desire of forest owners to regenerate deforested areas with quality planting material, which allows for faster growth of trees to a given diameter, is growing, albeit slowly. In turn, G. Grandāns also points to LVM's plans to increasingly regenerate deforested areas by planting trees rather than relying on natural regeneration. “Scientists have done a good job, because the seedlings are grown using seeds obtained from the best seed orchards, the productivity of which is on average 15-18% higher than using seed material obtained from ordinary forest stands. Moreover, by using new technologies, the forest growth time can be shortened by 20-25%, which creates greater opportunities for the forest owner,” says G. Grandāns. At the same time, consolidation processes in private forestry will also increase the demand for quality seedlings.
Volume of sold tree seedlings (million)
2001.g. 14.7
2002.g. 12.4
2003.g. 18.1
2004.g. 25.3
2005.g. 28.3
2006.g. 31.3
2007.g. 32.8
2008.g. 36.1
2009.g. 36.4
2010.g. 38.3
2011.g. 45.3
2012.g. 48.1
2013.g. 44.1
2014.g. 45.3
2015.g. 46.8
2016.g. 47.2
2017.g. 50.8
2018.g. 52.4
2019.g.* 53.0
2020.g.* 53.0
2021.g.* 59.6
2022.g.* 68.3
2023.g.* 68.3
2024.g.* 70.0
*- forecast
Source: JSC "Latvijas valsts meži"