Metsä Group to pay double bonus for delivery sales

Photo: Metsä Group

Metsä Group will offer added benefits to its committed owner-members by paying a double bonus on wood purchased through delivery sales between 1 November 2022 and 31 January 2023.

“Due to our investments in Rauma and Kemi, our wood procurement is growing, and we aim to purchase the additional volumes from our owner-members. Through the double bonus campaign, we want the good demand for wood to also benefit those Metsä Group’s owner-members who sell wood through delivery sales,” says Jani Riissanen, SVP, Wood Trade and Forest Services Finland.

The double bonus will be offered to all members with the right to a bonus who engage in wood trade with Metsä Group through delivery sales between 1 November 2022 and 31 January 2023. The double bonus will be paid for both log wood and pulpwood. The bonus paid per cubic metre is determined based on the volume of wood received from the owner-member in the previous four years and on the level of contract customer relationship.

For members qualifying for the double bonus, this means an additional EUR 0.60 to EUR 2.80 per cubic metre.

The owner-members selling their wood through delivery sales most quickly will also benefit from an early delivery premium, which will be paid for wood received from owner-members by 15 December 2022.

High demand for delivery sales

“We’re the largest buyer of wood through delivery sales in Finland and we’re increasing our purchases through delivery sales even more. There’s strong demand for wood purchased from our owner-members through delivery sales,” Riissanen says.

Delivery sales mean the forest owner fells the trees, cuts them and delivers the wood to the roadside, where Metsä Group’s contract entrepreneur picks it up with a timber lorry.

The delivery sales agreement is signed with Metsä Group’s local forest specialist and involves agreeing the volume of wood to be delivered by the forest owner, the prices, dimensions and the storage location at the roadside.

“The more wood trade an owner-member does with Metsä Group, the more they benefit from their membership. The logs and pulpwood we receive from owner-members this year – including delivery sales – will be included in the future profit sharing based on wood trade,” Riissanen points out.