(466.9 billion euros in 2004), NRW is also a region of major economic impor- tance within Germany and the EU (Landesamt für Datenverarbeitung und Statistik NRW, 2003).
Sustainable forestry has a long tradition in NRW, as it does in Germany in general. Forest land (915,800 ha) covers 27% of the total land area in NRW.
While 52.7% of the forest consists of deciduous stand types and corresponding tree species, the remaining 47.3% consists of coniferous stand types and tree species. The dominating tree species are spruce (Picea abiesL.), 36%; beech (Fagus sylvatica L.), 16%; and oak species (Quercus robur L. and Quercus petraea Liebl.), 15%. The age class distribution of the forest is biased towards younger stands, especially in the coniferous stands, which is mostly a result of afforestation following the effects of the Second World War (degradation and deforestation). Forest landownership is dominated by private forest owners (64%), followed by municipal (20%), state (13%) and federal (3%) forest owner- ship. The privately owned forest area is characterized by a very large number of owners (>150,000) and mostly small (≥200 ha) and very small parcels of forest land (<200 ha). Concerning forest productivity, the merchantable timber volume (under bark) is 221 m3/ha on average and 194.4 million m3in total.
The current total annual timber harvest is 3.9 million m3. Considering that the mean annual increment is 9.1 m3/ha on average, the current timber harvest level is significantly smaller than the sustainable harvest level based on the annual allowable cut volume. Forest management is based on the principles of sustainability, multiple forest use and nature-oriented silviculture (e.g. Nature Oriented Forest Management Programme) (Ministerium für Umwelt und Naturschutz, Landwirtschaft und Verbraucherschutz des Landes NRW 2003a, b;
Schulte, 2003a).
NRW is characterized by a high concentration of wood-processing indus- tries, covering both the primary and secondary level and all types of wood pro- cessing. For example, the concentration of the wood furniture industry in NRW is of nationwide and international relevance.
In addition to the traditional industry branches of forestry (e.g. the sawmill, wood-based panel and pulp and paper industries), the cluster concept also includes other businesses related to forests, such as non-timber forest products and services (e.g. hunting, tourism) and supporting institutions (e.g. the govern- mental administration, non-governmental organizations (NGOs), education, research). More information on these different industry branches is provided in the discussion of the definition of the forest and wood-processing industry cluster of NRW later in this section.
The overall goal of the cluster concept is to support generally all industry branches and their individual companies as well as related institutions. The main objective is the optimization of production and value-addition processes within and between different industry branches. For example, the concept can contribute to the competitiveness of forest industries by increasing productivity and innovation. A secondary objective is to support forestry stakeholders in developing an improved self-image for their industries. It can also help build more effective communications with policymakers, media and the general public.
Wood manufacturing industry Wood-processing
industry
Pulp and paper industry Forestry
Woodcraft industry
Timber trade industry
Wood-based energy use Wood products
ancillary industry Administration and
NGOs
Education and research NTFPS Forest and wood-processing industries cluster
Fig. 8.2. Main branches of the forest and wood-processing industries cluster in NRW.
NTFPS, non-timber forest products and services. (Modified and extended from Kommission der Europäischen Gemeinschaften, 1999; Schulte, 2003a, b; Mrosek and Schulte, 2004;
Mroseket al., 2005; Schulte and Mrosek, 2006)
The two main components of the cluster concept are cluster analysis and cluster management. Cluster analysis can provide relevant information on important socio-economic and political aspects of SFM at different spatial scales, ranging from local to international levels. The case study presented in this chapter is based at the state (Land) level. Other studies (all still in progress) of cluster organization in forestry within Germany are available for the national (Fischer, 2004a, b), regional and local (Anon., 2005) levels. Although the strategies and tools for cluster management can be diverse (e.g. corporate networking to improve communication and cooperation, coordinating marketing and public relations campaigns, mobilizing political support, including the provision of funding), in this chapter the focus is on information and knowledge transfer.
Information transfer within the cluster should be participatory and recipro- cal. In this way, cluster management can support an effective and target-oriented transfer of information between all stakeholders and provide valuable input in the policy process. More specifically, scientists and practitioners can provide the information that policymakers require to support SFM in a meaningful way.
Figure 8.3 shows the transfer concept of the forest and wood-processing industry cluster. The cluster-based transfer platform for communication and cooperation (e.g. in the form of networks or forums) is the basis for providing input for the cluster analysis (e.g. through stakeholder panels or expert interviews).
Discussion
Transfer concept of the forest and wood-processing industries cluster
Industry
Policy Media
General public Education
Cluster-based transfer platform for communication and
cooperation
Stakeholders as target & dialogue groups Input to
cluster analysis
Output for cluster management Cluster-related information and
knowledge
Fig. 8.3. The transfer concept of the forest and wood-processing industry cluster in NRW.
In this way, cluster-related information and knowledge (e.g. concerning the socio-economic importance of forestry) are created.
This information provides the basis for cluster management, which can take place in the form of recommendations to industry and policy decision makers, public relations activities or environmental education efforts. Once the transfer platform is established and the relevant information becomes available, incre- ased communication and cooperation within and between all stakeholders can take place. In a reciprocal process of information and knowledge transfer, the stakeholders of the cluster serve a dual role as target and dialogue groups at the same time.
Case study of the NRW forest and wood-processing industry cluster
The suitability of the forest and wood-processing industry clusters concept is further demonstrated by the NRW case study results (Schulte, 2003a, b;
Schulte and Mrosek, 2006).
Definition of the forest and wood-processing industry cluster of NRW Sustainable forestry and the wood-processing industry have traditionally been of high importance in NRW. However, although the industry branches are well established in regional, national and international markets and suitable policy framework conditions exist, a holistic view of all industry branches and an appropriate representation to policymakers and the general public has been lacking.
Applying the EU cluster definition, the forest and wood-processing industry cluster of NRW is comprised of four main categories, which are summarized in Table 8.1.
Cluster category Industry branches
Forestry Forestry companies and forestry
consultants Wood-processing industry (primary
wood processing)
Sawmill, veneer, wood-based panel and other roundwood processing industries Wood manufacturing (secondary
wood processing)
Furniture, woodcraft, wood construction, wood-based packaging and other specialized wood-processing industries Other wood-based industries Pulp and paper, printing and publishing,
fuel wood; also, timber trade and ancillary wood product industries Table 8.1. Primary categories in the forest and wood-processing cluster of NRW (timber trade and ancillary wood product industries not considered in this study).
(Modified from Schulte 2003a, b; Schulte and Mrosek, 2006)
Socio-economic profile of the NRW forest and wood-processing industry cluster
Traditionally, the socio-economic contribution of forestry in NRW has been considered less important by politicians and the general public, particularly in comparison with ‘high-technology’ industries such as the mechanical, electron- ics or chemical industry. However, the results of this analysis and assessment of the forest and wood-processing industry cluster have started to change this perception.
With 260,000 employees (∼4.5% of the entire employment in NRW) and an annual revenue of about 35 billion euros (Ministerium für Umwelt und Naturschutz, Landwirtschaft und Verbraucherschutz des Landes Nordrhein- Westfalen, 2003b; Schulte 2003a, b), the cluster is highly significant for the economy and the employment market. These numbers become even more sig- nificant when compared with important industry branches traditionally associ- ated with the highly industrialized region of NRW. In this context, Fig. 8.4 shows the total employment provided by and Fig. 8.5 the annual revenue of selected industry branches in NRW in 2001.
The forest and wood-processing industry cluster leads in employment when compared with selected industry branches such as finances and insurance (225,000 employees), electronics (195,000 employees) and chemicals (132,000 employees).
Employment by Selected Industry Branches in North-Rhine/Westphalia in 2001
0 50,000 100,000 150,000 200,000 250,000 300,000
Industry Branch
Forestry and Wood- processing Industry Cluster Finances and Insurance Industry
Electronics Industry Tourism Industry Chemical Industry Car Manufacturing Industry Energy and Water Supply Industry
Mining Industry
Textile and Clothing Industry
Total Employment
Fig. 8.4. Total employment (number of employees with social insurance registration) within selected industry branches in NRW in 2001, illustrating the socio-economic importance of the forestry and wood-processing industry cluster. (Modified from Schulte 2003a, b;
Schulte and Mrosek, 2006)
In terms of annual revenue, the forest and wood-processing industry cluster creates revenue comparable to the traditionally important mechanical engineer- ing industry (35 billion euros). It even has a dominant position when compared with other important high-technology branches, such as the car manufacturing industry (29 billion euros) and the metalworking industry (28 billion euros).
Improved information and knowledge transfer within the forest and wood-processing industry cluster of NRW
The case study provides various examples of how information and knowledge transfer can be supported through cluster organization in forestry.
In NRW, the general public traditionally did not recognize the significant role of the forest and wood-processing industry. In terms of marketing and interaction with policymakers, even the members and representatives of the forest and wood-processing industry cluster themselves usually underestimated the importance of their own profession and did not present their cluster effectively.
Consequently, the forest industry and the wood-processing industry were not represented to their best advantage in the policy process and received only lim- ited political support. Based on the new information available from the cluster analysis and cluster management efforts, the stakeholders reviewed their own position in the state economy and started to develop a more appropriate self-image. When this new information was presented within focused and multi-media-based public relations strategies, the forest and wood-processing industry cluster of NRW received high-level media and policy attention.
Annual Revenue of Selected Industry Branches in North-Rhine/Westphalia in 2001
0 5 10 15 20 25 30 35 40
Industry Branch
Forest and Wood-
processing Industry Cluster Mechanical Engineering Industry
Mining Industry
Car Manufacturing Industry Metalworking Industry Textile and Clothing Industry
Annual Revenue (in billion euros)
Fig. 8.5. Annual revenue of selected industry branches in NRW in 2001, illustrating the socio-economic importance of the forest and wood-processing industry cluster.
(Modified from Schulte 2003a, b; Schulte and Mrosek, under review.)
For example, the results of the research project were presented in the form of several hundred newspaper articles, several broadcasts and a few television shows, as well as through numerous personal presentations at conferences and special events. As an outcome of these research results and the recommenda- tions made to decision makers in policy, industry and society, selected industry branches and selected regions with a high importance of forestry received politi- cal support. Follow-up initiatives were also initiated and additional research activities were launched. For example, based on the positive experiences at the state level, two cluster studies for municipalities within NRW (the municipality of Steinfurt and the city of Arnsberg) are currently under way (Anon., 2005) and regional initiatives are in preparation. Furthermore, a national study of Germany’s forest and wood-processing industry cluster is also in progress (Fischer 2004a, b).