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Identification of Value-adding Strategies in the Swedish Sawn Wood Industry

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Abstract:

Swedish sawmills are increasing their application of value-adding processes in sawn wood production. This study identified the most common value-adding combinations used by the Swedish sawmills. Data were obtained from a survey of Swedish sawmills in 1995 and from industry statistics. Nine different groupings of sawmills with regard to the level and types of value-adding technologies were identified by cluster analysis. The largest group added value only to marginal quantities of their production. Eight other groups that applied different combinations of value-adding processes were identified. Drying and planing were important elements in several strategies. Adding value to the sawn wood is not a homogeneous strategy; instead it includes several ways to focus production on different products and customer groups. Advanced value-adding processes often generated a higher unit profit margin than the production of commodity sawn wood.

Keywords: ADDING; ALUE; ANALYSIS; CLUSTER; INDUSTRIES; PROCESSES; PRODUCTION; STRUCTURE; WOOD

Document Type: Research Article

DOI: https://doi.org/10.1080/028275802317221127

Publication date: 2002-01-01

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