The forests owned by the Republic of Slovenia are an important and surely the most reliable source of the raw material for forest based industries, although state owned forets represent only 21% of the total potential of all Slovenian forests.

Wood from the state forests can be sold in 5 ways:

Selling of forest wood products at public auctions

In this way, all forest wood products not sold by SiDG through a public tender for concluding long-term sales contracts and direct sale are sold. Forest wood products with quality, quantity and starting price already determined by SiDG are sold at auctions. Forest wood products are sold to the bidder offering the highest price ex warehouse to which the wood is transported. All bidders can participate in public calls for bids.

Selling of forest wood products by public bidding rounds

In this case, short-term contracts are signed for selling forest wood products. As in public auctions, in this way, all forest wood products not sold by SiDG through a public tender for concluding long-term sales contracts and direct sale are sold. In this kind of sale, quality and quantity are determined on a truck road upon wood transport. Forest wood products are sold to the bidder offering the highest price ex truck road. All bidders can participate in public calls for bids.

Selling of standing timber

Exceptionally, SiDG can also sell standing timber. In this way, wood is sold only in the case of forests of the lowest quality and at rounded small land plots at other location with a total surface area up to 5 ha. In exceptional cases, this is used for addressing extraordinary situations related to the elimination of dangers in a forest. The sale of standing timber must not exceed 30 m³. In the case of natural disasters, standing timber from forests of higher quality can be sold with no restrictions on the quantity.

Direct selling of forest wood products

Direct selling is intended for the sale of up to 30 m³ of annual supply to an individual buyer. In this way, the wood is sold to non-profit organisations, local communities and natural persons (wood fuel).

Selling of forest wood products through long-term agreements to wood processors

This is the main way (which SiDG uses to sell the largest share of wood) to sell forest wood products from state forests. By concluding long-term agreements, SiDG promotes wood processing industries. Agreements must be signed only with buyers who manage to prove that they will process all the wood supplied, which is also verified by SiDG. Long-term agreements provide that the maximum quantity of wood is used in Slovenian wood processing industries. The sale price of wood under long-term agreements is formed based on the market price achieved.

Forest wood products scaling

After trees are cut, the wood is suitably processed and sorted at the storage site by the truck road. Transport of wood is carried out during working hours of SiDG. If this is not possible, SiDG must provide a representative to be present at the roundwood loading site. All forest wood products are measured and classified according to the Rules on the measurement and classification of forest wood products from forests owned by the Republic of Slovenia. Wood is classified according to its purpose of use to logs, pulpwood, other industrial roundwood and wood fuel. Logs are used for producing sawn wood (including railway sleepers) and veneer sheets. Pulpwood is all roundwood used for producing pulp, particle boards and fibre boards. Other industrial or technical roundwood is used in particular for poles, posts, pillars, fences, excavation supports, tannin extraction and woodenware. Wood fuel is produced from low quality trunks and branches and used as fuel. Each of the above-mentioned wood categories is then classified in the quality classes. Negative effects of wood defects are taken into account in determining the quality of forest wood products. Quality and quantity of forest wood products are determined by a scaler at the truck road upon wood transport. The scaler uses tree calliper, measuring tape and PDA for scanning tags, hammer for fixing tags and case for storing tags. Upon transport, quality and dimension of product are determined for each individual piece of roundwood (diameter, length and volume). A tag is also attached to the face of each log to provide traceability of wood. When selling pulpwood, a tag is attached to each individual load or if a load comprises several different quality classes, one tag is used for each quality class. After the scaling procedure is concluded, the scaler draws up a delivery order including all information on the loaded/transported forest wood products.