VALUATION OF TEAK PLANTATION FOR THE FAMILY COURT
A valuation of a teak plantation was required for a Family Court matter in tropical Queensland. The firm handling the valuation of the land and other assets sought an independent assessment of the plantation, as there was disagreement between the parties as to the value of the trees.
Forsite Forestry managed the field inventory of the plantation using sub-contractor staff, which involved the collection of appropriate biometric data (tree size, log form, defect assessment). Site slope and access information was also collected, to evaluate alternative harvesting options. Forsite Forestry analysed the data using a variety of published and unpublished taper functions, and estimated the commercial volume of logs stratified into size and quality classes.
The volumetric estimate was then provided to a third party, a nationally respected Forestry Consultant who determined the probable value of the trees and costs of production, by reference to domestic and international markets. He then used the ‘Lump Sum’ method in accordance with “A Standard for valuing commercial forests in Australia V2.1, 2010, Institute of Foresters of Australia”, to determine a Present Value for the plantation. The Inventory Report, Valuation Report and Affadavit were submitted as required by the Family Court Rules (2004) for Expert Evidence.
This project provides an example of co-operation between separate sub-contracting organisations, managed by Forsite Forestry, to provide an independent valuation of a standing tree crop, compliant with the standards required for a legal court.