Is planting pine trees on idle fields a good investment? (2024)

FAQs

Is planting pine trees on idle fields a good investment? ›

Economic analysis has shown that returns on investment when planting pines on old fields will generate REAL rates of return between 10 and 17 percent, depending on site quality. Yes, planting pines on old fields is an excellent investment for landowners.

Case studies show existing pine stands can earn an average of about $100 to $150 per acre per year. "That doesn't mean you plant the trees and get $100 to $150 a year -- landowners must properly manage the timber, thinning a few times over the 35-year lifespan.

It's an investment that can create both revenue and value on a multi-generational level. If you base your investments on a minimum acceptable rate of return, you can generally expect a return of 10%. This is close to the average for the stock market and higher than the average of bonds.

Pines are typically planted in what are known as "plantations," in which seedlings are either manually or mechanically planted in rows, with typical tree-per-acre counts running between 400-600 trees to the acre.

How Old Is This Tree: Tree Age Calculator. Large pine trees on average are worth $30, while logs are worth around $60 per 1000 board feet.

Landowners can usually expect normal monetary returns of $100 to $400 per acre for first thinnings, depending on stand and site conditions as well as local markets. Second thinnings can be conducted 6 - 12 years after a first thinning based on landowner objectives, stand quality and local markets.

The American Elm is a fast-growing shade tree that can grow to a huge size depending on where it is grown. What makes this a popular and profitable tree is that it is a favorite for shade. It can also last a very long time, up to 300 years!

Pine straw can be sold by the bale or by the acre. Current per acre reported prices in the Southeastern US range from $50 to $125 per acre per year. Revenues for a single rake have been as high as $300 to $400 per acre in high quality longleaf pine stands. Pine straw can also be sold by the bale.

However, in general, pine trees can be a very lucrative investment. In the United States, the average value of pine timber is around $100 per ton. However, the value can be much higher for high-quality timber. For example, the value of longleaf pine timber can be as high as $500 per ton.

How long does it take a pine tree to grow 100 feet? ›

The Radiata Pine tree grows to about 100 feet tall in approximately 25 years. The Maritime Pine can grow up to 2 feet per year. The Limber Pine can grow up to 1 foot per year.

On a well drained, moist soil this species will outgrow any other evergreen that can be planted there, and a 20 year old tree can be 40 ft tall. Deer will readily eat this species and due to all the new growth coming out of the very tip of a branch, browsing can severely deform or kill this plant.

This is especially important if your tree is planted close to your house. While it's always wise to plant trees about 15 feet away from your house, sometimes you are in a situation where you purchased a home with existing mature trees. Then you have to assess how that tree's continued growth may impact your home.

The wood from a longleaf is heavier than that of other pine species. Since wood is sold on a per ton basis, more money is paid for longleaf for a given volume. Longleaf pine also produces poles, which is the highest valued timber product.

Importantly, for landowners, these resources provide revenue. Conventional rotation or optimal harvest age in loblolly pine plantations is typically 30 to 33 years. Other species such as longleaf pine have much longer optimal rotation ages. However, the more a tree grows, the better the wood.

When pulpwood markets are favorable, a complete stand harvest within 15 to 20 years is possible and may bring an acceptable return. However, longer rotations can bring higher financial returns on larger diameter trees if landowners are willing to begin thinning their pine stands when trees are 10 to 15 years old.

Timber farming can be quite profitable, with gains varying based on location, species, and market conditions. While the initial investment is significant for land acquisition or planting new trees if necessary, the profit realized from mature timber makes it worth the wait.

Like any new business undertaking, Christmas tree farming has startup costs. But once your farm is established, you can make a decent profit. Depending on which state you live in and the type of trees you sell, you can expect to make anywhere from $20 to more than $100 per tree, depending on its size.

Good lumber trees include hardwood trees, such as oaks, hickories, pixamaples, birch and cherry, among others. These trees can be harvested when they are 14 to 20 inches in diameter, but letting them grow larger will make them worth more.

Pine straw harvesting can be highly profitable and sustainable as long as appropriate management practices are followed. Typically, pine stands will yield 100 to 150 bales per acre per year if all conditions are right or approximately two tons per acre each year.