Call for Timber Industrial Strategy to boost industry in Scotland

Mr Goodall also said false and misleading claims about woodland creation schemes were a big problem: "Misinformation is running wild. Lots of claims about forestry are utterly without foundation, and there have been flawed studies widely touted as authoritative. The industry is hugely frustrated by this because it is making such a big contribution to rural economies and to climate change and biodiversity."

The impact of the uncertainty created by all these factors was investment starting to look elsewhere, he said - which meant the industry was very much at the crossroads.

Mr Goodall said: "The next Scottish Government will wield considerable influence in the future of our industry. We want politicians to realise that forestry can help tackle the cost of living crisis, housing emergency and climate emergency, at the same time and without any trade-offs.

"We want more Scottish wood to be used, but Scottish industry cannot do this alone. We need a partnership with a supportive and active Government."

An industry panel highlighted some of the challenges. David Robertson, a Director at Scottish Woodlands Ltd, said: "We are seeing larger, more complex woodland creation schemes, but the regulatory processes (for applications and approvals) are not fit for purpose. We are being held to a much higher standard than under the UK Forest Standard, which is already one of the most robust regimes in the world.

"We've been forced to create schemes that are less productive than they could be - and this is criminal, in my mind."

Mr Robertson also highlighted that woodland creation grant rates hadn't moved with inflation, and urged Scottish Forestry to call out false and misleading claims made about forestry.

The huge potential for forestry and wood was illustrated by Alex Murray, Head of Forestry at Glennon Brothers, which recently invested almost £20 million into its Alexander Timber Design plant in North Ayrshire, using robotics to build Scottish homes from Scottish timber.

The plant makes 2,500 timber frames for Scottish homes every year, and could increase this by a further 1,250 per year by adding an extra shift.

Mr Murray said there was a good pipeline of timber coming into the market over the next 15 years, but that this was predicted to tail off in the early 2040s. He added: "There's no silver bullet to increase long-term timber supply, but when it costs £50-80 million to build a new wood processing plant, nobody is going to invest that kind of money unless they can be sure they will get the raw material."

At a time of tight public finances, Mairi Gougeon said private investment was important to help forestry succeed - but Rob Carlow of Gresham House warned the climate for investors was worsening.

He explained that his business had invested very heavily in forestry in Scotland, and launched a hugely successful £300 million fund in 2021. He added: "There was an appetite to do it again, to 'rinse and repeat', but we looked at the environment and felt it was too risky a proposal."

Mr Carlow reinforced concerns about the complex woodland creation landscape: "It's entirely appropriate that we operate to strict guidelines, but we cannot operate when all the guidelines are being changed as our forests grow over 30 or 40 years. We need certainty in the long term to deploy our capital."

After the event, Mr Goodall said: "This was an excellent event, with thoughtful and detailed contributions from both the industry and politicians. It's heartening to see that the political debate about forestry is much more informed and substantive than it has been in the past.

"Confor will continue promoting a message to all political parties of a more stable climate for woodland creation, tackling misinformation about our industry, and the need for a Timber Industrial Strategy. We will be publishing a manifesto for the May 2026 Holyrood election and look forward to engaging with all parties to develop a strategy so forestry and wood processing can deliver to its full potential for our economy and environment."