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NON-WOOD FOREST PRODUCTS z Gum naval stores: turpentine and rosin from pine resin Food and Agriculture Organization of the Unaed Nations - NON-WOOD FOREST PRODUCTS 2 Gum naval stores: turpentine and rosin from pine resin

Gum naval stores: turpentine and rosin from pine resin · for standardization specification for gum spirit of turpentine 45 chapter 3. processing and plant description 24 introduction

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NON-WOOD FOREST PRODUCTSz

Gumnaval stores:

turpentineand rosin

from pine resin

FoodandAgricultureOrganizationoftheUnaedNations

-

NON-WOOD FOREST PRODUCTS ~->

2

Gum naval stores: turpentine and rosin

from pine resin

'MfNATURAL RESOURCES INSTITUTE

FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONSRome, 1995

\O\ -WOOD FOREST PRODUCTS

2

Gum

naval stores:

turpentineand rosin

from pine resin

J.J.W. Coppen and G.A. Hone

NON-WOOD FOREST PRODUCTS

2

Gum naval stores:

• turpentine and rosin

from pine resin

J.J.W. Coppen and G.A. Hone

Mi( NATURAL RESOURCES INSTITUTE

FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS Rome, 1995

The designations employed and the presentation of material in thispublication do not imply the expression of any opinion whatsoever onthe part of the Food and Agriculture Organization of the UnitedNations concerning the legal status of any country, territory, city orarea or of its authorities, or concerning the delirnitation of its frontiersor boundaries.

M-37ISBN 92-5-103684-5

All rights reserved. No part of this publication may be reproduced, stored in aretrieval system, or transmitted in any form or by any means, electronic,mechanicai, photocopying or otherwise, without the prior permission of thecopyright owner. Applications for such permission, with a statement of thepurpose and extent of the reproduction, should be addressed to the Director,Publications Division. Food and Agriculture Organization of the United Nations,Viale delle Terme di Caracalia, 00100 Rome, Italy.

0 FAO 1995

The designations employed and the presentation of material in this publication do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations concerning the legal status of any country, territory, city or areaorofits authorities, orconcerning the delimitation of its frontiers or boundaries.

M-37 ISBN 92-5-103684-5

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying or otherwise, without the prior permission of the copyright owner. Applications for such permission, with a statement of the purpose and extent of the reproduction , should be addressed to the Director, Publications Division, Food and Agriculture Organization of the United Nations, Viale delle Terme di Caracalla. 001 00 Rome, Italy.

© FAD 1995

PREFACE

This global study was undertaken by the Natural Resources Institute (NRI)*, the scientificarrn of the United Kingdom's Overseas Development Administration (ODA). Funding forthe study and for the publication of the report was met by ODA's Forestry ResearchProgramme.

The information and analyses presented in this report are based on the authors'research and first-hand knowledae of gum naval stores production in a number ofproducing countries.

A complementary study carried out by NRI, which provided some inputs for thepresent one and which was financed by the ODA Forestry Research Programme withsupport from FAO, has involved an assessment of the prospects for development of newaum naval stores industries in Central and Southern Africa. Single copies of the Africareport are available from the FAO Regional Office for Africa (PO Box 1628, Accra,Ghana).

Natural Resources Institute, Central Avenue, Chatharn Maritime, Kent MEA 4TB, United Kingdom.

PREFACE

This global study was undertaken by the Natural Resources Institute (NRl)*, the scientific arm of the United Kingdom's Overseas Development Administration (ODA). Funding for the study and for the publication of the report was met by ODA's Forestry Research Programme.

The information and analyses presented in this report are based on the authors' research and first-hand knowledge of gum naval stores production in a number of producing countries.

A complementary study carried out by NRI, which provided some inputs for the present one and which was financed by the ODA Forestry Research Programme with support from FAO, has involved an assessment of the prospects for development of new gum naval stores industries in Central and Southern Africa. Single copies of the Africa report are available from the FAO Regional Office for Africa (PO Box 1628, Accra, Ghana).

* Natural Resources Institute, Central Avenue, Chatham Maritime, Kent ME4 4TB, United Kingdom.

III

CONTENTS

Page

PREFACE

ABBREVIATIONS viii

SUMMARY ix

INTRODUCTION 1

CHAPTER 1. PRODUCTION, TRADE AND MARKETS 3

DESCRIPTION, USES AND PRINCIPAL SOURCES 3

Resin 3

Rosin 4

Turpentine 4

WORLD PRODUCTION, TRADE AND OUTLOOK 5

Production and trade 5

Prices 7Maj or m arkets 8

Trading structures and procedures 8

Trade in crude resin 9

People's Republic of China 10

Indonesia and other countries of Southeast Asia 11

Portugal and elsewhere in Europe 11

Russia 12

North America 12

Central and South America and the Caribbean 13

Africa 14

Indian sub-continent 14

ESTIMATES OF WORLD PRODUCTION AND EXPORTS 15

CHAPTER 2. RAW MATERIALS AND INPUTS 17

RAW MATERIAL REQUIREMENTS 17

RESIN TAPPING OPERATION 18System of tapping using a wide face 20System of tapping using a narrow face 21

LABOUR AND ORGANIZATION 22

CONTENTS

Page

PREFACE III

ABBREVIATIONS Vlll

SUMMARY ix

INTRODUCTION 1

CHAPTER 1. PRODUCTION, TRADE AND MARKETS 3

DESCRIPTION, USES AND PRINCIPAL SOURCES 3 Resin 3 Rosin 4 Turpentine 4

WORLD PRODUCTION, TRADE AND OUTLOOK 5 Production and trade 5 Prices 7 Major markets 8 Trading structures and procedures 8 Trade in crude resin 9 People's Republic of China 10 Indonesia and other countries of Southeast Asia 11 Portugal and elsewhere in Europe 11 Russia 12 North America 12 Central and South America and the Caribbean 13 Africa 14 Indian sub-continent 14

ESTIMATES OF WORLD PRODUCTION AND EXPORTS 15

CHAPTER 2. RAW MATERIALS AND INPUTS 17

RAW MA TERrAL REQUIREMENTS 17

RESIN TAPPING OPERATION 18 System of tapping using a wide face 20 System of tapping using a narrow face 21

LABOUR AND ORGANIZATION 22

v

vi

CHAPTER 3. PROCESSING AND PLANT DESCRIPTION 24

INTRODUCTION

OLUSTEE PROCESS FOR THE PRODUCTION OF TURPENTINEAND ROSIN 24

PRODUCTION OF TURPENTINE AND ROSIN IN PORTUGAL 27

SCALE OF OPERATIONS AND LABOUR REQUIREMENTS 29

CHAPTER 4. FINANCIAL AND ECONOMIC ASPECTSOF RESIN TAPPING AND PROCESSING 31

RESIN TAPPING OPERATIONS 31

RESIN PROCESSING OPERATIONS 33

COMPARATIVE ADVANTAGES AND DISADVANTAGES OFDOMESTIC, REGIONAL AND EXPORT MARKETS FOR A NEWPRODUCER 35

CHAPTER 5. CONCLUSIONS AND ADVICE TO ANEW PRODUCER 37

TABLES

Table 1 Commercially tapped sources of pine resin: species and countryof production 3

Table 2 Crum rosin: landed prices, 1991-95 7

Table 3 Estimated world production and exports of crude resin, gurn rosinand gum turpentine 16

Table 4 Resin tapping operations: estimated pre-production, fixedinvestment, working capital and annual production costs for anAfrican country 32

Table 5 Resin processing operations: estimated pre-production, fixedinvestment, working capital and annual production costs for anAfrican country 34

Table 6 Some trade specifications for gum rosin 44

Table 7 Physical property requirements of the International Organizationfor Standardization specification for gum spirit of turpentine 45

CHAPTER 3. PROCESSING AND PLANT DESCRIPTION 24

INTRODUCTION 24

OLUSTEE PROCESS FOR THE PRODUCTION OF TURPENTINE AND ROSIN

PRODUCTION OF TURPENTINE AND ROSIN IN PORTUGAL

SCALE OF OPERATIONS AND LABOUR REQUIREMENTS

CHAPTER 4. FINANCIAL AND ECONOMIC ASPECTS

24

27

29

OF RESIN TAPPING AND PROCESSING 31

RESIN TAPPING OPERATIONS 31

RESIN PROCESSING OPERATIONS 33

COMPARATIVE ADVANTAGES AND DISADVANTAGES OF DOMESTIC, REGIONAL AND EXPORT MARKETS FOR A NEW ~OOOC~ 35

CHAPTER 5. CONCLUSIONS AND ADVICE TO A NEW PRODUCER 37

TABLES

Table 1

Table 2

Table 3

Table 4

Table 5

Table 6

Table 7

Commercially tapped sources of pine resin: species and country of production 3

Gum rosin: landed prices, 1991-95 7

Estimated world production and exports of crude resin, gum rosin and gum turpentine 16

Resin tapping operations: estimated pre-production, fixed investment, working capital and annual production costs for an African country 32

Resin processing operations: estimated pre-production, fixed investment, working capital and annual production costs for an African country 34

Some trade specifications for gum rosin 44

Physical property requirements of the International Organization for Standardization specification for gum spirit of turpentine 45

vi

Table 8 Resin quality and yield characteristics of some Pinus species 46

Table 9 Rosin: exports from the People's Republic of China, 1987-92 53

Table 10 Rosin: exports from Portugal, 1987-92 53

Table 11 Rosin: exports from Indonesia, 1987-92 54

Table 12 Rosin: exports from Brazil, 1987-93 55

Table 13 Rosin: exports from the United States, 1989-93 56

Table 14 Rosin: imports into the European Community, 1987-92 57

Table 15 Rosin: imports into Japan, 1987-93 58

Table 16 Rosin: imports into the United States, 1989-93 58

Table 17 Turpentine: exports from the People's Republic of China, 1987-92 59

Table 18 Turpentine: exports from Portugal, 1987-92 59

Table 19 Turpentine: exports from Indonesia, 1987-92 60

Table 20 Turpentine: imports into the European Community, 1987-92 61

Table 21 Turpentine: imports into Japan, 1987-93 62

FIGURES

Figure 1 Systems of resin tapping using a wide and narrow face 19

Figure 2 Scheme of resin processing in the United States of America 25

Figure 3 Scheme of resin processing in Portugal 28

APPENDICES

Appendix 1 References and further reading 41

Appendix 2 Quality criteria, specifications and test methods 43

Appendix 3 Genetic factors influencing resin composition and yields 46

Appendix 4 Packaging of turpentine and rosin 48

Appendix 5 List of importers and traders of naval stores 50

Appendix 6 Statistical tables 53

vii

Table 8 Resin quality and yield characteristics of some Pinus species

Table 9 Rosin: exports from the People's Republic of China, 1987-92

Table 10 Rosin: exports from Portugal, 1987-92

Table 11 Rosin: exports from Indonesia, 1987-92

Table 12 Rosin: exports from Brazil, 1987-93

Table 13 Rosin: exports from the United States, 1989-93

Table 14 Rosin: imports into the European Comm)lJlity, 1987-92

Table 15 Rosin: imports into Japan, 1987-93

Table 16 Rosin: imports into the United States, 1989-93

Table 17 Turpentine: exports from the People's Republic of China, 1987-92

Table 18 Turpentine: exports from Portugal, 1987-92

Table 19 Turpentine: exports from Indonesia, 1987-92

Table 20 Turpentine: imports into the European Community, 1987-92

Table 21 Turpentine: imports into Japan, 1987-93

FIGURES

Figure 1 Systems of resin tapping using a wide and narrow face

Figure 2 Scheme of resin processing in the United States of America

Figure 3 Scheme of resin processing in Portugal

APPENDICES

Appendix 1 References and further reading

Appendix 2 Quality criteria, specifications and test methods

Appendix 3 Genetic factors influencing resin composition and yields

Appendix 4 Packaging of turpentine and rosin

Appendix 5 List of importers and traders of naval stores

Appendix 6 Statistical tables

vii

46

53

53

54

55

56

57

58

58

59

59

60

61

62

19

25

28

41

43

46

48

50

53

ABBREVIATIONS

ASTM American Society for Testing and Materialsc & f cost and freightEC European CommunityIMDG International Maritime Dangerous GoodsISO International Organization for StandardizationUS$ United States dollar

In tables: na indicates not availablens indicates not specified- indicates nil

ABBREVIATIONS

ASTM c&f EC IMDG ISO US$

In tables:

American Society for Testing and Materials cost and freight European Community International Maritime Dangerous Goods International Organization for Standardization United States dollar

na indicates not available ns indicates not specified - indicates nil

viii

SUMMARY

Information is provided on the technical and economic aspects of crude resin productionfrom pine trees and on the subsequent production of gum turpentine and gum rosin (knowncommercially as gum naval stores). Recent trends in world production and markets arealso reviewed. The publication is aimed at prospective new producers of gum naval stores,and organizations and individuals appraising projects involving their production. It isparticularly intended for those in developing countries.

Total world production of rosin is approximately- 1.2 million tonnes annually, ofwhich almost 720 000 tonnes, 60% of the total, is estimated to be gum rosin derived fromtapping living pine trees. World production of turpentine is about 330 000 tonnes from allsources, of which 100 000 tonnes is estimated to be gum turpentine. The number ofcountries producing gum naval stores is large but the People's Republic of China dominatesproduction ,and world trade; of the other producers, Indonesia, Portugal and Brazil are themost important in terms of world trade. Present (early 1995) prices for gum rosin are atthe highest levels for some years, due largely to recent events in the People's Republic ofChina. The prospects of entry into the international market by new suppliers will dependmainly on future trends in Chinese production and consumption.

Rosin has a wide range of applications including adhesive, paper size and printingink manufacture. Turpentine is used either as a solvent for paints and varnishes, or as a rawmaterial for fractionation and value-added derivative manufacture. Most prospective newproducers will have opportunities for domestic or regional sales of rosin and turpentine.

While most pines are capable of yielding resin on tapping, it is only economic to doso if the quantity obtained is sufficient and its quality is acceptable. Both these factors aredetermined primarily by the species of Pinus which is tapped, so information is provided onthe suitability of different species for gum naval stores production. Tapping can be carriedOut either on natural stands or plantations. Methods of tapping which do not adverselyaffect the quality of the trunkwood are described and these enable plantation pines to befelled and utilized in the normal manner when tapping is stopped. The cleaning anddistillation operations involved in processing the crude resin are described, and qualitycriteria, specifications and packaging options for rosin and turpentine are provided.

An indication of the costs involved in the production and processing of pine resin isgiven. 'These are based on 1000 tonnes of resin being produced from 400 000 trees whicheach yield an average of 2.5 kg of resin. The comparative advantages and disadvantages ofdomestic, regional and export markets for a new producer are discussed.

ix

SUMMARY

Infonnation is provided on the technical and economic aspects of crude resin production from pine trees and on the subsequent production of gum turpentine and gum rosin (known commercially as gum naval stores). Recent trends in world production and markets are also reviewed. The publication is aimed at prospective new producers of gum naval stores, and organizations and individuals appraising projects involving their production. It is particularly intended for those in developing countries.

Total world production of rosin is approximately 1.2 million tonnes annually, of which almost 720 000 tonnes, 60% of the total, is estimated to be gum rosin derived from tapping living pine trees. World production of turpentine is about 330 000 tonnes from aU sources, of which 100 000 tonnes is estimated to be gum turpentine. The number of countries producing gum naval stores is large but the People's Republic of China dominates production ·and world trade; of the other producers, Indonesia, Portugal and Brazil are the most important in tenns of world trade. Present (early 1995) prices for gum rosin are at the highest levels for some years, due largely to recent events in the People's Republic of China. The prospects of entry into the international market by new suppliers will depend mainly on future trends in Chinese production and consumption.

Rosin has a wide range of applications including adhesive, paper size and printing ink manufacture. Turpentine is used either as a solvent for paints and varnishes, or as a raw material for fractionation and value-added derivative manufacture. Most prospective new producers will have opportunities for domestic or regional sales of rosin and turpentine.

While most pines are capable of yielding resin on tapping, it is only economic to do so if the quantity obtained is sufficient and its quality is acceptable. Both these factors are detennined primarily by the species of Pinus which is tapped, so infonnation is provided on the suitability of different species for gum naval stores production. Tapping can be carried out either on natural stands or plantations. Methods of tapping which do not adversely affect the quality of the trunkwood are described and these enable plantation pines to be felled and utilized in the nonnal manner when tapping is stopped. The cleaning and distillation operations involved in processing the crude resin are described, and quality criteria, specifications and packaging options for rosin and turpentine are provided.

An indication of the costs involved in the production and processing of pine resin is given. These are based on 1000 tonnes of resin being produced from 400 000 trees which each yield an average of 2.5 kg of resin. The comparative advantages and disadvantages of domestic, regional and export markets for a new producer are discussed.

ix

INTRODUCTION

'Naval stores' is the inclusive term used to denote the products obtained from the oleoresinor resin* of pine trees (genus Pinus). The term originates frorn the days when woodensailing ships, including naval ships, were waterproofed using pitch and tar and otherresinous products from pine trees. Although the connection with ships is now remote, theterm is still commonly- used by those in the trade and elsewhere. There are three distinctsources of naval stores:

Gum naval stores are obtained by the -tapping of living pine trees. Collection ofthe 'gum or resin is a labour-intensive operation (similar to rubber tapping).Distillation of the resin, which can be undertaken in fairly simple equipment,produces gum rosin and gurn turpentine in varying ratios, usually bemeen 4;1 and6:1.

Sulphate naval stores are by-products recovered during the conversion of pinewood chips to pulp by the sulphate (kraft) pulping process. Sulphate turpentineis condensed from the cooking vapours. Crude tall oil, obtained from the alkalineliquors, is fractionated into various products including tall oil rosin and tall oilfatty acids.

Wood naval stores are obtained from resin-saturated pine stumps long after thetree has been felled. The stumps are solvent extracted using capital intensivetechnology, to give wood turpentine, wood rosin, dipentene and natural pine oil.

Pinus is one of the most widely distributed genera of trees in the northernhemisphere, extending from the polar region to the tropics; one species, P. merkusii, occursnaturally south of the Equator. The aenus is also one of the most widely planted exoticsbecause of its large-scale use for timber and pulp, and large areas of Pinus are foundoutside its natural range in South America, Africa and Australasia. Standing resources ofpine trees exist, therefore, in many parts of the world.

The two major products of the naval stores industry are rosin (a brittle, transparent,glossy, faintly- aromatic solid) and turpentine (a clear liquid with a pungent odour and bittertaste). Annual world production of gum rosin and gum turpentine is approximately 700000 tonnes (valued at around US$420 million at first half 1994 prices) and 100 000 tonnes(valued at US$50 million), respectively. For many years rosin and turpentine were used inan unprocessed form in the soap, paper, paint and varnish industries. Today, most rosin ismodified and used in a wide ranae of products including paper size, adhesi-ves, printinginks, rubber compounds and surface coatings. The composition of turpentine can varyconsiderably according to the species of pine exploited, and this geatly influences its valueand end use. Turpentine, like rosin, is a very versatile material and nowadays is usedmainly as a feedstock by the world's chemical industries. The alpha- and beta-pineneconstituents of turpentine, in particular, are the starting materials for the synthesis of a wide

The terms 'oleoresin' and 'resin' may be used interchangeably, and for convenience the term 'resin', whichmust not be confused with rosin, is used in this report. Standard terminology relating to naval stores isgiven in the American Society for Testing and Materials (AST'M) standard D 804-92.

1

INTRODUCTION

'Naval stores' is the inclusive term used to denote the products obtained from the oleoresin or resin* of pine trees (genus Pinus ). The term originates from the days when wooden sailing ships, including naval ships, were waterproofed using pitch and tar and other resinous products from pine trees. Although the connection with ships is now remote, the term is still commonly used by those in the trade and elsewhere. There are three distinct sources of naval stores:

• Gum naval stOl'es are obtained by the tapping of living pine trees. Collection of the 'gum' or resin is a labour-intensive operation (similar to rubber tapping). Distillation of the resin , which can be undertaken in fairly simple equipment, produces gum rosin and gum turpentine in varying ratios, usually between 4: 1 and 6:1.

• Sulphate naval stores are by-products recovered during the conversion of pine wood chips to pulp by the sulphate (kraft) pulping process. Sulphate turpentine is condensed from the cooking vapours. Crude tall oil, obtained from the alkaline liquors, is fractionated into various products including tall oil rosin and tall oil fatty acids.

• Wood naval stores are obtained from resin-saturated pine stumps long after the tree has been felled. The stumps are solvent extracted using capital intensive technology to give wood turpentine, wood rosin, dipentene and natural pine oil.

Pinus is one of the most widely distributed genera of trees in the northern hemisphere, extending from the polar region to the tropics; one species, P. merkusii, occurs naturally south of the Equator. The genus is also one of the most widely planted exotics because of its large-scale use for timber and pulp, and large areas of Pinus are found outside its natural range in South America, Africa and Australasia. Standing resources of pine trees exist, therefore, in many parts of the world.

The two major products of the naval stores industry are rosin (a brittle, transparent, glossy, faintly aromatic solid) and turpentine (a clear liquid with a pungent odour and bitter taste). Annual world production of gum rosin and gum turpentine is approximately 700 000 tonnes (valued at around US$420 million at first half 1994 prices) and 100 000 tonnes (valued at US$50 million), respectively. For many years rosin and turpentine were used in an unprocessed form in the soap, paper, paint and varnish industries. Today, most rosin is modified and used in a wide range of products including paper size, adhesives, printing inks, rubber compounds and surface coatings. The composition of turpentine can vary considerably according to the species of pine exploited, and this greatly influences its value and end use. Turpentine, like rosin, is a very versatile material and nowadays is used mainly as a feedstock by the world's chemical industries. The alpha- and beta-pinene constituents of turpentine, in particular, are the starting materials for the synthesis of a wide

* The terms 'oleoresin' and 'resin' may be used interchangeably, and for convenience the term 'resin', which mU.';;;t not be confused with rosin, is used in thh report. Standard tenninoiogy relating to naval stores is given in the American Society for Testing and Materials (ASTM) standard D 804-92.

1

range of fragrances, flavours, vitamins and polyterpene resins, and form the basis of asubstantial and growing chemical industry. However, the simpler, more traditionalproducts in which rosin and turpentine can be used, such as soap, paper size and paints andvarnishes, can still be of value to the domestic economy of developing countries, and it isnot necessary to think only in terms of the wider international markets when planning navalstores production. Consumer demand in developing countries is expected to grow withincreasing industrialization and urbanization and there are, therefore, opportunities forcountries with suitable pine resources to replace imported naval stores products with thoseproduced locally.

The aim of this publication is to provide basic information to enable prospectivenew producers of gum turpentine arld gum rosin to make considered judgements onwhether or not to proceed with investment. Information on the production of wood andsulphate naval stores, and on further processing of gum rosin a_nd gum turpentine, is notincluded. The publication is intended particularly for prospective producers andgovernment bodies, financial institutions or donor agencies in developing countriesconcerned with the appraisal of projects involving gum naval stores production. It is

hoped, also, that it will assist existing producers, traders and consumers of gum turpentineand rosin by increasing their awareness of production methods and product characteristicsin other parts of the world, and their knowledge of market demands, trends andpreferences.

The text is presented in five chapters. Follos,ving this introduction, Chapter 1summarizes major aspects of production, trade and markets for gum naval stores. Thechief pine species used in different parts of the world are listed, and the levels of productionand trends in all the major producing countries are indicated. Chapter 2 reviews thetapping methods used to recover resin from the tree, and in Chapter 3 the technologyrequired to process the resin into rosin and turpentine is described. In Chapter 4, thefinancial and economic aspects of the resin tapping and processing operations are analysed.In the final chapter, the technical and economic aspects which must be considered whenplanning a gum naval stores industry are summarised. The appendices contain referencesand suggested further reading, quality criteria, specifications and test methods for rosin andturpentine, a discussion of genetic factors influencing resin composition and yields and theimportance of correct species and provenance selection when assessing pine trees fortapping, packaging requirements for turpentine and rosin, a list of importers and traders ofnaval stores, and statistical tables.

2

range of fragrances, flavours, vitamins and polyterpene resins, and form the basis of a substantial and growing chemical industry. However, the simpler, more traditional products in which rosin and turpentine can be used, such as soap, paper size and paints and varnishes, can still be of value to the domestic economy of developing countries, and it is not necessary to think only in terms of the wider international markets when planning naval stores production. Consumer demand in developing countries is expected to grow with increasing industrialization and urbanization and there are, therefore, opportunities for countries with suitable pine resources to replace imported naval stores products with those produced local I y.

The aim of this publication is to provide basic information to enable prospective new producers of gum turpentine and gum rosin to make considered judgements on whether or not to proceed with investment. Information on the production of wood and sulphate naval stores, and on further processing of gum rosin and gum turpentine, is not included. The publication is intended particularly for prospective producers and government bodies, financial institutions or donor agencies in developing countries concerned with the appraisal of projects involving gum naval stores production. It is hoped, also, that it will assist existing producers, traders and consumers of gum turpentine and rosin by increasing their awareness of production methods and product characteristics in other parts of the world, and their knowledge of market demands, trends and preferences.

The text is presented in five chapters. Following this introduction, Chapter 1 summarizes major aspects of production, trade and markets for gum naval stores. The chief pine species used in different parts of the world are listed, and the levels of production and trends in all the major producing countries are indicated. Chapter 2 reviews the tapping methods used to recover resin from the tree, and in Chapter 3 the technology required to process the resin into rosin and turpentine is described. In Chapter 4, the financial and economic aspects of the resin tapping and processing operations are analysed. In the final chapter, the technical and economic aspects which must be considered when planning a gum naval stores industry are summarised. The appendices contain references and suggested further reading, quality criteria, specifications and test methods for rosin and turpentine, a discussion of genetic factors influencing resin composition and yields and the importance of correct species and provenance selection when assessing pine trees for tapping, packaging requirements for turpentine and rosin, a list of importers and traders of naval stores, and statistical tables.

2

PiMIS elliottii Engelm.P. massoniana D. DonP. kesiya R.oyale ex GordonP. pinaster AitonP. nzerkusii Jungh. & VrieseP. roxburghii Sarg.P. oocarpa SchiedeP. caribaea MoreletP. sylvestris L.P. halepensis MillerP. radiata D. Don

CHAPTERPRODUCTION, TRADE AND MARKETS

DESCRIPTION, USES AND PRINCIPAL SOURCES

Resin

Crude resin obtained by tapping living pine trees is a thick, sticky, but usually, still fluidmaterial. It is opaque (due to the presence of occluded moisture), milky-grey in colour,and inevitably contains a certain amount of forest debris (pine needles, insects, etc.) when itis collected from the trees.

Most Pinus species 'bleed when the stem wood (xylem) is cut or otherwise injured,but probably only a few dozen of approximately 100 species which exist has ever beentapped commercially as a source of resin for rosin and turpentine production; in the others,poor yields and/or quality of the resin make exploitation uneconomic. The principal specieswhich are presently tapped, and the countries in which this takes place, are listed in Table 1.

Table ICommercially tapped sources of pine resin: species and country of production

Brazil, Argentina, South Africa, (USA, Kenya)People's Republic of ChinaPeople's Republic of ChinaPortugalIndonesia, (Viet Nam)India, (Pakistan)Mexico, HondurasVenezuela, (South Africa. Kenya)RussiaGreece(Kenya)

Notes:a In some case only the major species tapped in a particular country isindicated. In the People's Republic of China, P. massoniana is themain species utilized and although the contribution of species such asP. kesiya is small by Chinese standards, it is significant compared tothe scale of production in other countries. Relatively sin all butincreasing areas of P. elliottii and other exotic pines are tapped inChina in addition to P. massoniana and other native species. InMexico, P. oocarpa often occurs in mixed stands so that other speciesare likely to be tapped.

b The list of countries is not intended to be exhaustive. Parenthesc.'sindicate a minor producer.

Until very recently, the crude resin was never considered to be a product forinternational trade. Although it might often be transported some distance by road or rail to

3

Species° Producing countryb

CHAPTER 1

PRODUCTION, TRADE AND MARKETS

DESCRIPTION, USES AND PRINCIPAL SOURCES

Resin

Crude resin obtained by tapping living pine trees is a thick, sticky, but usually, still fluid material. It is opaque (due to the presence of occluded moisture), milky-grey in colour, and inevitably contains a certain amount of forest debris (pine needles, insects, etc.) when it is collected from the trees.

Most Pinus species 'bleed' when the stem wood (xylem) is cut or otherwise injured, but probably only a few dozen of approximately 100 species which exist has ever been tapped commercially as a source of resin for rosin and turpentine production; in the others, poor yields and/or quality of the resin make exploitation uneconomic. The principal species which are presently tapped, and the countries in which this takes place, are listed in Table 1.

Table 1 Commercially tapped sources of pine resin: species and country of production

Pinus elliottii Engelm. P. massoniand D. Don P. kesiya Royale ex Gordon P. pinasler Aiton P. merkusii Jungh. & Vriese P. roxburghii Sarg. P. oocarpa Schiede P. caribaea Morelet P. sylveslris L. P. holepensis Miller P. radiala D. Don

Producing counrryb

Brazil, Argentina. South Africa, (USA, Kenya) People's Republic of China People's Republic of China Portugal Indonesia, (Viet Narn) India, (Pakistan) Mexico, Honduras Venezuela, (South Africa, Kenya) Russia Greece (Kenya)

Notes:a In some case only the major species tapped in a particular country is indicated. In the People's Republic of China, P. massoniana is the main species utilized and although the contribution of species such as P. kesiya is small by Chinese standards, it is significant compared to the scale of production in other countries. Relatively small but increasing areas of P. elliottii and other exotic pines are tapped in China in addition to P. massoniana and other native species. In Mexico, P. oocarpa often occurs in mixed stands so that other species are likely to be tapped.

b The list of cOWltries is not intended to be exhaustive. Parentheses indicate a minor producer.

Until very recently, the crude resin was never considered to be a product for international trade. Although it might often be transported some distance by road or rail to

3

the factory where it was processed, processing still took place within the producingcountry. However, the acute shortage experienced by some traditional producers in recentyears has led to the importation of resin for the first time; India and Portugal are bothknown to have imported crude resin. Although losing the benefits of added value, newproducers therefore have the option of tapping trees and exporting crude resin to nearbycountries without needing to process it themselves.

Rosin

Rosin is the major product obtained from pine resin. It remains behind as the involatileresidue after distillation of the turpentine and is a brittle, transparent, glassy solid. It isinsoluble in water but soluble in many organic solvents. It is graded and sold on the basisof colour, the palest shades of yellow-brown being the better quality. Quality criteria andspecifications are described in Appendix 2. Several other physico-chemical characteristicsinfluence the quality and these are largely dependent on the species of pine from which therosin is obtained, i.e., they are determined more by genetic than environmental andprocessing factors. These aspects are discussed in more detail in Appendix 3.

Most rosin is used in a chemically modified forrn rather than in the raw state inwhich it is obtained. It consists primarily of a mixture of abietic- and pimaric-ty-pe acidswith srnaller amounts of neutral compounds. This intrinsic aciclity, coupled with otherchemical properties, enables it to be converted to a large number of downstream derivativeswhich are used in a wide range of applications. The derivatives include salts, esters andmaleic anhydride adducts, and hy-drogenated, disproportionated and polymerized rosins.Their most important uses are in the manufacture of adhesives, paper sizing agents, printinginks, solders and fluxes, various surface coatings, insulating materials for the electronicsindustry, synthetic rubber, chewing gums and soaps and detergents.

Although it is more economical to manufacture derivatives if large quantities ofrosin are involved, small producers often manufacture simple derivatives for sale in thedomestic market as a substitute for imported products. For example, fortified rosin sizescan be made based on the reaction of rosin with maleic anhydride. However, for thepurposes of this report, no further reference is made to the technical aspects of additionalprocessing or to the products themselves.

Tll rpentine

Turpentine is a clear, flammable liquid, with a pungent odour and bitter taste. It is

immiscible with water and has a boiling point above 150°C. Quality criteria andspecifications are indicated in Appendix 2. Turpentine is a mixture of organic compounds,mainly terpenes, and its composition can vary considerably (more so than rosin) accordingto the species of pine from which it was derived. This gr e atl y influences its value and enduse and is discussed in greater detail in Appendix 3.

For some applications turpentine is used in whole form, usually as a solvent forpaints and varnishes or as a cleaning agent. However, like rosin it is a very versatilematerial chernicall.v-, and nowadays, it is used mostly after further processing. It usually-

4

the factory where it was processed, processing still took place within the producing country. However, the acute shortage experienced by some traditional producers in recent years has led to the importation of resin for the first time; India and Portugal are both known to have imported crude resin. Although losing the benefits of added value, new producers therefore have the option of tapping trees and exporting crude resin to nearby countries without needing to process it themselves.

RosIn

Rosin is the major product obtained from pine resin. It remains behind as the involatile residue after distillation of the turpentine and is a brittle, transparent, glassy solid. It is insoluble in water but soluble in many organic solvents. It is graded and sold on the basis of colour, the palest shades of yellow-brown being the better quality. Quality criteria and specifications are described in Appendix 2. Several other physico-chemical characteristics influence the quality and these are largely dependent on the species of pine from which the rosin is obtained, i.e., they are determined more by genetic than environmental and processing factors. These aspects are discussed in more detail in Appendix 3.

Most rosin is used in a chemically modified form rather than in the raw state in which it is obtained. It consists plimarily of a mixture of abietic- and pimaric-type acids with smaller amounts of neutral compounds. This intrinsic acidity, coupled with other chemical properties, enables it to be converted to a large number of downstream delivatives which are used in a wide range of applications. The derivatives include salts, esters and maleic anhydride adducts, and hydrogenated, disproportionated and polymerized rosins. Their most important uses are in the manufacture of adhesives, paper sizing agents, printing inks, solders and fluxes, various surface coatings, insulating materials for the electronics industry, synthetic rubber, chewing gums and soaps and detergents.

Although it is more economical to manufacture derivatives if large quantities of rosin are involved, small producers often manufacture simple derivatives for sale in the domestic market as a substitute for imported products. For example, fortified rosin sizes can be made based on the reaction of rosin with maleic anhydride. However, for the purposes of this report, no further reference is made to the technical aspects of additional processing or to the products themselves.

Turpentine

Turpentine is a clear, flammable liquid, with a pungent odour and bitter taste. It is immiscible with water and has a boiling point above ISOoC. Quality criteria and specifications are indicated in Appendix 2. Turpentine is a mixture of organic compounds, mainly terpenes, and its composition can vary considerably (more so than rosin) according to the species of pine from which it was derived. This greatly influences its value and end use and is discussed in greater detail in Appendix 3.

For some applications turpentine is used in whole form, usually as a solvent for paints and varnishes or as a cleaning agent. However, like rosin it is a very versatile material chemically, and nowadays, it is used mostly after further processing. It usually

4

undergoes fractional distillation to isolate the desirable chemicals (mainly alpha-pinene andbeta-pinene) which are then transformed into value-added derivatives. This furtherprocessing is only economic if it is carried out on a very large scale, and it is not somethingto be considered by a new producer of gum naval stores. Occasionally, the ttu-pentine isrich enough in alpha-pinene, for example, to be used in whole form. The derivatives arewidely used in fragrance, flavour, vitamin and polyterpene resin manufacture, a_nd form thebasis of a substantial and growing chemical industry. The biggest single turpentinederivative, synthetic pine oil, is used in disinfectants, cleaning agents and other productswith a 'pine' odour. Many derivatives, including isobornyl acetate, camphor, linalool, citral,citronellol, citronellal and menthol are used either on their own or in the elaboration ofother fragrance and flavour compounds. A few of the minor constituents of ttu-pentine,such as anethole, are employed for fragra_nce or flavour use without the need for chemicalmodification. Downstream derivatives are not discussed ftirther in this report.

WORLD PRODUCTION, TRADE AND OUTLOOK

Many of the uses to which rosin can be put are subject to intense competition fromsynthetic, petroleum-based resins, and between gum rosin and tall oil rosin. Tall oil rosin,which used to suffer from odour problems associated with its method of production and atendency to crystallize, was considered to be inferior to gum rosin for many applications.Today, most of these problems have been overcome and tall oil rosin competes moreeffectively with gum rosin. Technical developments which have led to more effectiveformulations for many rosin-based products have meant that less rosin is needed to achievea particular result. In the paper industry, for example, the development of more effectivefortified rosin sizes and emulsions, and changes in the paper-making process itself, have ledto a marked decrease in the amount of rosin consumed per tonne of paper produced. Theincreasing, demand for paper, however, means that the use of rosin by the paper industry isstill substantial.

Any detailed analysis of the naval stores industry which attempts to followproduction, trade and markets beyond the primary rosin and turpentine stage, and betweenthe different sources of naval stores, is complex and difficult and beyond the scope of thisreport. In any case, a prospective new producer of gum naval stores will first need toassess local pine resources, and their capacity to meet domestic or regional markets forrosin and turpentine (rather than their derivatives), and such additional detail isunnecessary-.

Production and trade

Total annual production of rosin is about 1.2 million tonnes world-wide. Of this, it isestimated that almost 720 000 tonnes, or 60%, is gum rosin; most of the remainder, about35%, is tall oil rosin and the rest is wood rosin. World production of turpentine isapproximately 330 000 tonnes from all sources; almost 100 000 tonnes (30%) is estimatedto be gum turpentine, and the bulk of the remainder is sulphate turpentine.

The naval stores industry is complex and ever-changing. In the early part of thecentury, gum naval stores production was the dominant, and in most cases, the only, means

5

undergoes fractional distillation to isolate the desirable chemicals (mainly alpha-pinene and beta-pinene) which are then transformed into value-added derivatives. This further processing is only economic if it is carried out on a very large scale, and it is not something to be considered by a new producer of gum naval stores. Occasionally, the turpentine is rich enough in alpha-pinene, for example, to be used in whole form. The derivatives are widely used in fragrance, flavour, vitamin and polyterpene resin manufacture, and form the basis of a substantial and growing chemical industry. The biggest single turpentine derivative, synthetic pine oil, is used in disinfectants, cleaning agents and other products with a 'pine' odour. Many derivatives, including isobornyl acetate, camphor, linalool, citral, citronellol, citronellal and menthol are used either on their own or in the elaboration of other fragrance and flavour compounds. A few of the minor constituents of turpentine, such as anethole, are employed for fragrance or flavour use without the need for chemical modification. Downstream derivatives are not discussed further in this report.

WORLD PRODUCTION, TRADE AND OUTLOOK

Many of the uses to which rosin can be put are subject to intense competition from synthetic, petroleum-based resins, and between gum rosin and tall oil rosin. Tall oil rosin, which used to suffer from odour problems associated with its method of production and a tendency to crystallize, was considered to be inferior to gum rosin for many applications. Today, most of these problems have been overcome and tall oil rosin competes more effectively with gum rosin. Technical developments which have led to more effective formulations for many rosin-based products have meant that less rosin is needed to achieve a particular result. In the paper industry, for example, the development of more effective fortified rosin sizes and emulsions, and changes in the paper-making process itself, have led to a marked decrease in the amount of rosin consumed per tonne of paper produced. The increasing demand for paper, however, means that the use of rosin by the paper industry is still substantial.

Any detailed analysis of the naval stores industry which attempts to follow production, trade and markets beyond the primary rosin and turpentine stage, and between the different sources of naval stores, is complex and difficult and beyond the scope of this report. In any case, a prospective new producer of gum naval stores will first need to assess local pine resources, and their capacity to meet domestic or regional markets for rosin and turpentine (rather than their derivatives), and such additional detail is unnecessary.

Production and trade

Total annual production of rosin is about 1.2 million tonnes world-wide. Of this, it is estinnated that almost 720 000 tonnes, or 60%, is gum rosin; most of the remainder, about 35%, is tall oil rosin and the rest is wood rosin. World production of turpentine is approximately 330 000 tonnes from all sources; almost 100 000 tonnes (30%) is estimated to be gum turpentine, and the bulk of the remainder is sulphate turpentine.

The naval stores industry is complex and ever-changing. In the early part of the century, gum naval stores production was the dominant, and in most cases, the only, means

5

of producing rosin and turpentine. Wood naval stores production, involving the uprootingand extraction of old pine stumps, developed in those countries with large areas of rawmaterials, such as the United States and the former Soviet Union; production in the UnitedStates peaked during the 1950s and has since declined to a low level. The recovery of talloil rosin and sulphate turpentine as by-products of chemical pulping of pine chips alsobegan during the 1950s.

As labour in the more industrialized countries has become more expensive and lesswilling to undertake the task of tapping, gum naval stores production has declined and thecentre of its production has shifted. The United States and many forrner producingcountries of Europe are either no longer producers, or are now only able to sustainproduction at very low levels. Production has also declined in countries such as India andMexico; in India, a shortage of trees for tapping has added to the other problems. Duringthe 1980s, Brazil emerged as a significant producer of gum naval stores, but here too, thecost of labour is now being felt. Also, government financial incentives which encouragednew planting in Brazil have been reduced, so as existing areas of plantation come to the endof their tapping life fewer suitable trees are available to replace them.

The focus of production for world gum naval stores today is Southeast Asia. ThePeople's Republic of China has been the world's dominant producer for many years, but adramatic increase in production, signalled by the installation of an improved and expandedprocessing capacity in the early 1980s, has seen Indonesia become the second biggestproducer of gum rosin and turpentine in the world. Chinese production accounts for 430000 tonnes (about 60%) of the total annual production of gum rosin and Indonesiaaccounts for a further 69 000 tonnes (almost 10%). While Chinese production is unlikelyto increase further, Indonesia has an ample (and growing) number of trees available fortapping and the potential to increase production significantly in the years to come.

The People's Republic of China and Indonesia also dominate \vorld trade in gumrosin and turpentine. Trade statistics for the major exporting and importing countries aregiven in Appendix 6. Chinese exports of gum rosin were approximately 277 000 tonnes in1993 (70% of world trade) and Indonesian exports were about 46 000 tonnes. Russia andBrazil produce more gum rosin than Portugal but most of it is used to meet domestic needs.Portugal is the third biggest exporter and exports most of its output (about 26 000 tonnesin 1992, although some of this was produced from imported crude resin). A much smallerproportion of the turpentine produced in the People's Republicof China is exported (about5500 tonnes); both Indonesia (7500 tonnes) and Portugal (6000 tonnes) export more.

The future supply of gum rosin and turpentine to the world market depends mainlyon production trends in the People's Republic of China, Indonesia and Portugal (in thatorder), and to a lesser extent, Brazil. It also depends on consumption trends in Chinawhich are difficult to predict; increasing Chinese industrialization and domesticconsumption of naval stores may eventually result in a decreasing surplus available forexport. The desire to earn foreign exchange, and the potential for some provinces toexpand production as others decline (see below), may enable exports to be maintained atabout their present level. Any decrease in exports could be partly or wholly made up byincreased supplies from Indonesia.

6

of producing rosin and turpentine. Wood naval stores production, involving the uprooting and extraction of old pine stumps, developed in those countries with large areas of raw materials, such as the United States and the former Soviet Union; production in the United States peaked during the 1950s and has since declined to a low level. The recovery of tall oil rosin and sulphate turpentine as by-products of chemical pulping of pine chips also began during the 1950s.

As labour in the more industrialized countries has become more expensive and less willing to undertake the task of tapping, gum naval stores production has declined and the centre of its production has shifted. The United States and many former producing countries of Europe are either no longer producers, or are now only able to sustain production at very low levels. Production has also declined in countries such as India and Mexico; in India, a shortage of trees for tapping has added to the other problems. During the 1980s, Brazil emerged as a significant producer of gum naval stores, but here too, the cost of labour is now being felt. Also, government financial incentives which encouraged new planting in Brazil have been reduced, so as existing areas of plantation come to the end of their tapping life fewer suitable trees are available to replace them.

The focus of production for world gum naval stores today is Southeast Asia. The People's Repubbc of China has been the world's dominant producer for many years, but a dramatic increase in production, signalled by the installation of an improved and expanded processing capacity in the early 1980s, has seen Indonesia become the second biggest producer of gum rosin and turpentine in the world. Chinese production accounts for 430 000 tonnes (about 60%) of the total annual production of gum rosin and Indonesia accounts for a further 69 000 tonnes (almost 10%). While Chinese production is unlikely to increase further, Indonesia has an ample (and growing) number of trees available for tapping and the potential to increase production significantly in the years to come.

The People's Republic of China and Indonesia also dominate world trade in gum rosin and turpentine. Trade statistics for the major exporting and importing countries are given in Appendix 6. Chinese exports of gum rosin were approximately 277 000 tonnes in 1993 (70% of world trade) and Indonesian exports were about 46 000 tonnes. Russia and Brazil produce more gum rosin than Portugal but most of it is used to meet domestic needs. Portugal is the third biggest exporter and exports most of its output (about 26 000 tonnes in 1992, although some of this was produced from imported crude resin). A much smaller proportion of the turpentine produced in the People's Republicof China is exported (about 5500 tonnes); both Indonesia (7500 tonnes) and Portugal (6000 tonnes) export more.

The future supply of gum rosin and turpentine to the world market depends mainly on production trends in the People's Republic of China, Indonesia and Portugal (in that order), and to a lesser extent, Brazil. It also depends on consumption trends in China which are difficult to predict; increasing Chinese industrialization and domestic consumption of naval stores may eventually result in a decreasing surplus available for export. The desire to earn foreign exchange, and the potential for some provinces to expand production as others decline (see below), may enable exports to be maintained at about their present level. Any decrease in exports could be partly or wholly made up by increased supplies from Indonesia.

6

The availability of gum rosin (and turpentine) decreased sharply in late 1994 as theeffects of severe floods in the People's Republic of China during June to September becameknown. Many of the major production areas were affected and this led to a significantreduction in China's ability to collect and process crude resin and export it to worldmarkets. Some trade estimates have suggested that supplies for 1994/95 may- be reducedby as much as 30-40%. This damaging drop in production has been compounded by arapid and competitive expansion in the number of licensed exporters within the country,and by a radical change in the export licensing system. Severe droughts in the productionareas of Indonesia and Brazil also led to reduced production in 1994, and as a result of theensuing disruption and disorganization, world prices rose sharply between late 1994 andearly 1995.

Prices

Estimates for EUM rosin price levels from 1991-94, and for the first quarter of 1995, areshown in Table 2. They show the large price rises between those dates and the differencein the price of rosin from different origins, but they are not exact transaction prices.

Table 2Gum rosina: landed prices, 1991-95b

(US$/tonne)

Source: London dealersNotes: a WW grade

b Average annual prices except 1994 (July) and 1995 (January)

It is likely that prices will fall back from the high levels of early 1995 to aboutUSS700/tonne by the end of 1995. However, some uncertainty exists because the extent oflost production in the People's Republic of China, and the ability for production to recoverduring 1995/96 is not known. At the early 1995 price levels, Portugal and Brazil couldboth expand tappina, but fw-ther falls in rosin prices would make this extra output doubtful.Indonesia will continue to expand production.

It is not useful to give a similar price series for aum turpentine, which is traded athigh prices in drums or much lower prices in 20 000 litre ISO tanks. The scale and ex-tentof international trade is more limited than for gum rosin, but a price level of US$450-550/tonne delivered was typical from 1 993 to mid-1994. Levels of US$600-650/tonne c8z.fIndia or Europe would be more representative of early 1995 price levels.

7

1991 1992 1993 1994 1995

Portuguese 800 765 795 835 900

Chinese 675 675 650 575 750-775

Indonesian 570 620 575 560 650-670

Brazilian 680 680 600 590 775-850

The availability of gum rosin (and turpentine) decreased sharply in late 1994 as the effects of severe floods in the People's Republic of China during June to September became known. Many of the major production areas were affected and this led to a significant reduction in China's ability to collect and process crude resin and export it to world markets. Some trade estimates have suggested that supplies for 1994/95 may be reduced by as much as 30-40%. This damaging drop in production has been compounded by a rapid and competitive expansion in the number of licensed exporters within the country, and by a radical change in the export licensing system. Severe droughts in the production areas of Indonesia and Brazil also led to reduced production in 1994, and as a result of the ensuing disruption and disorganization, world prices rose sharply between late 1994 and early 1995.

Prices

Estimates for gum rosin price levels from 199] -94, and for the first quarter of 1995, are shown in Table 2. They show the large price rises between those dates and the difference in the price of rosin from different origins, but they are not exact transaction prices.

Portuguese

Chinese

Indonesian

Brazilian

Table 2 Gum rosina: landed prices, 1991-95b

(US$/tonne)

1991 1992 1993 1994

800 765 795 835

675 675 650 575

570 620 575 560

680 680 600 590

Source: London dealers Notes: a WW grade

1995

900

750-775

650-670

775-850

b Average annual prices except 1994 (July) and 1995 (January)

It is likely that prices will fall back from the high levels of early 1995 to about US$700/tonne by the end of 1995. However, some uncertainty exists because the extent of lost production in the People's Republic of China, and the ability for production to recover during 1995/96 is not known. At the early 1995 price levels, Portugal and Brazil could both expand tapping but further falls in rosin prices would make this extra output doubtful. Indonesia will continue to expand production.

It is not useful to give a similar price series for gum turpentine, which is traded at high prices in drums or much lower prices in 20 000 litre ISO tanks. The scale and extent of international trade is more limited than for gum rosin, but a price level of US$450-550/tonne delivered was typical from ]993 to mid-1994. Levels of US$600-650/tonne c&f India or Europe would be more representative of early 1995 price levels.

7

Major markets

Virtually all the non-producing countries in the world (and some of the producers) importrosin and tutpentine, or their derivatives or synthetic competitors. Examples of the scale ofimports can be seen in some of the trade statistics in Appendix 6. The biggest markets forimported gum rosin are Japan, Western European countries, particularly Germany, theNetherlands and France, the Republic of Korea, the United States and India. Globally, theEuropean Community (EC) is the biggest importer and consumer, and the People'sRepublic of China is its biggest supplier by far. France and Spain are the biggest importersof gum turpentine in the EC; they fractionate it and manufacture downstream derivativesfor domestic consumption and re-export. Japan and India are other large importers ofturpentine; supplies of rosin and turpentine to India supplement indigenous production.The very large requirements for both rosin and turpentine in countries such as the UnitedStates and the for-rner Soviet Union are met primarily through domestic supplies of tall oilrosin and sulphate turpentine.

Elsewhere, although demand may be relatively low it is still significant. Demand issometimes met by domestic production. In Kenya, the paper industry- uses about 1000tonnes of rosin per year, most of which is supplied from local sources. In other countries itis necessary to import most or all of the requirements. Thailand, for example, produces afew hundred tonnes of rosin but imports several thousand tonnes a year.

Trading structures and procedures

In some of the major producing countries, the structure of the industry, and the channels ofdistribution of gum naval stores into the international market, has changed in recent years.In Portugal, individual producers have formed producer groups throw.:,,h which trade isconducted. This relatively small number of groups has generally simplified the negotiationof imports from Portugal and given some measure of consistency in the level of prices.Conversely, there has been a move away from the more centralized system of trading in thePeople's Republic of China to one in which different provinces have the freedom to enterinto contracts with international buyers. Even within one province there may be severalgroups competing for sales.

Most of the production in smaller producing countries is for domestic consumption.The processors sell directly to end users such as paper mills, paint or chemical companies.However, there are some basic procedures and practices which should be noted byprospective new producers or others considering the sale of exports. Most purchases aremade on the basis of agreed specifications. As indicated in Appendix 2, these specificationswill vary according to the origin of the rosin or turpentine. New producers will thereforeneed to reassure potential buyers of the quality of the material being offered by providingsamples beforehand and, perhaps, a trial shipment. International trade is normally-conducted throug,h agents or dealers, rather than by direct negotiation between producerand end user. Agents usually act on behalf of a specific producer. Dealers buy and sell ontheir own account, their main contacts being other dealers, producers and end users. Theyare very well informed about markets and trends, prices, product uses and end userrequirements; this knowledge may be difficult for producers to acquire, particularly smallones.

8

Major markets

Virtually all the non-producing countries in the world (and some of the producers) import rosin and turpentine, or their derivatives or synthetic competitors. Examples of the scale of imports can be seen in some of the trade statistics in Appendix 6. The biggest markets for imported gum rosin are Japan, Western European countries, particularly Germany, the Netherlands and France, the Republic of Korea, the United States and India. Globally, the European Community (EC) is the biggest importer and consumer, and the People's Repu blic of China is its biggest supplier by far. France and Spain are the biggest importers of gum turpentine in the EC; they fractionate it and manufacture downstream derivatives for domestic consumption and re-export. Japan and India are other large importers of turpentine; supplies of rosin and turpentine to India supplement indigenous production. The very large requirements for both rosin and turpentine in countries such as the United States and the former Soviet Union are met primarily through domestic supplies of tall oil rosin and sulphate turpentine.

Elsewhere, although demand may be relatively low it is still significant. Demand is sometimes met by domestic production. In Kenya, the paper industry uses about 1000 tonnes of rosin per year, most of which is supplied from local sources. In other countries it is necessary to import most or all of the requirements. Thailand, for example, produces a few hundred tonnes of rosin but imports several thousand tormes a year.

Trading structures and procedures

In some of the major producing countries, the structure of the industry, and the channels of distribution of gum naval stores into the international market, has changed in recent years. In Portugal, individual producers have formed producer groups through which trade is conducted. This relatively small number of groups has generally simplified the negotiation of imports from Portugal and given some measure of consistency in the level of prices. Conversely, there has been a move away from the more centralized system of trading in the People's Republic of China to one in which different provinces have the freedom to enter into contracts with international buyers. Even within one province there may be several groups competing for sales.

Most of the production in smaller producing countries is for domestic consumption. The processors sell directly to end users such as paper mills, paint or chemical companies. However, there are some basic procedures and practices which should be noted by prospective new producers or others considering the sale of exports. Most purchases are made on the basis of agreed specifications. As indicated in Appendix 2, these specifications will vary according to the origin of the rosin or turpentine. New producers will therefore need to reassure potential buyers of the quality of the material being offered by providing samples beforehand and, perhaps, a trial shipment. International trade is normally conducted through agents or dealers, rather than by direct negotiation between producer and end user. Agents usually act on behalf of a specific producer. Dealers buy and sell on their own account, their main contacts being other dealers, producers and end users. They are very well informed about markets and trends, prices, product uses and end user requirements; this knowledge may be difficult for producers to acquire, particularly small ones.

8

A new producer of gum naval stores may wish to sell directly to the final user toavoid paying commission to intermediaries. When selling the products domestically, thismay be the only option. However, in the international market, various middlemen have avaluable role and end users will usually prefer to conduct their transactions using agentsand dealers. Commercial practices vary between companies and countries, and details ofterms and conditions for buying and selling are a matter of negotiation between the twoparties. Established suppliers are normally paid by cash against documents, but buyerswould prefer to make payment after receipt of the merchandise from new producers.

Brief reference is made to packaging options for rosin and turpentine in Chapter 3and they are described in more detail in Appendix 4. Buyers of material transported byocean freight prefer to minimize transport and handling costs by importing- a minimumshipment size of one container load (approximately 20 tonnes gross weight).

Trade in crude resin

In any analysis of world production and trade in gum naval stores, the volume of tradetaking place in crude resin needs to be estimated. Until recently, this did not need to beconsidered as all resin was processed at origin and rosin and turpentine were the primaryproducts of trade. However, trade in crude resin has developed over the past five years asthe capacity for tapping has fallen in some of the traditional producing countries, notablyPortugal and India. These countries have excess processing capacity (usually fullydepreciated) which can be brought back into production if an economic, external source ofcrude resin is found. The absence of capital costs therefore enables the processors ofimported resin to sell the outputs (gum rosin and turpentine) at a price which only needcover raw material and processing costs, freight, drums and profit. The sale of crude resinalso allows producing countries with a surplus to earn extra revenue without investing inadditional capacity for processing.

The main suppliers of crude resin in 1993 were Brazil (exporting about 12 000-13000 tonnes), Indonesia (2000-3000 tonnes) and the People's Republic of China (3000-4000tonnes). Total exports in 1993, based on trade estimates, were therefore 17 000-20 000tonnes. Present levels are likely to be much reduced in the short term as a result of thedestructive floods in China in 1994 and the impact of severe summer droughts in Indonesia(Java) and Brazil. At the moment, Brazil is probably exporting less than 10 000 tonnes ofcrude resin, and the People's Republic of China and Indonesia may not be exporting any.The buyers of crude resin in 1993 were Portugal (which imported 8000-10 000 tonnes ofBrazilian resin) and India (which bought 3000-4000 tonnes from Brazil, and most ofChinese and Indonesian resin exports, to give a total of 8000-11 000 tonnes).

'There is little likelihood that tapping will be expanded in either Portugal or India,and if the present reduced trade in crude resin becomes permanent, Portugal will have lessrosin to sell, and India will need to import more Chinese and Indonesian rosin andturpentine in order to meet domestic requirements.

It is suggested elsewhere (Chapter 4) that once domestic market demand has beensatisfied, the export of crude resin could be more profitable for new, small producers than

9

A new producer of gum naval stores may wish to sell directly to the final user to avoid paying commission to intermediaries. When selling the products domestically, this may be the only option. However, in the international market, various middlemen have a valuable role and end users will usually prefer to conduct their transactions using agents and dealers. Commercial practices vary between companies and countries, and details of terms and conditions for buying and selling are a matter of negotiation between the two parties. Established suppliers are normally paid by cash against documents, but buyers would prefer to make payment after receipt of the merchandise from new producers.

Brief reference is made to packaging options for rosin and turpentine in Chapter 3 and they are described in more detail in Appendix 4. Buyers of material transported by ocean freight prefer to minimize transport and handling costs by importing- a minimum shipment size of one container load (approximately 20 tonnes gross weight).

Trade in crude resin

In any analysis of world production and trade in gum naval stores, the volume of trade taking place in crude resin needs to be estimated. Until recently, this did not need to be considered as all resin was processed at origin and rosin and turpentine were the primary products of trade. However, trade in crude resin has developed over the past five years as the capacity for tapping has fallen in some of the traditional producing countries, notably Portugal and India. These countries have excess processing capacity (usually fully depreciated) which can be brought back into production if an economic, external source of crude resin is found. The absence of capital costs therefore enables the processors of imported resin to sell the outputs (gum rosin and turpentine) at a price which only need cover raw material and processing costs, freight, drums and profit. The sale of crude resin also allows producing countries with a surplus to earn extra revenue without investing in additional capacity for processing.

The main suppliers of crude resin in 1993 were Brazil (exporting about 12 000-13 000 tonnes), Indonesia (2000-3000 tonnes) and the People's Republic of China (3000-4000 tonnes). Total exports in 1993, based on trade estimates, were therefore 17 000-20 000 tonnes. Present -levels are likely to be much reduced in the short term as a result of the destructive floods in China in 1994 and the impact of severe summer droughts in Indonesia (Java) and Brazil. At the moment, Brazil is probably exporting less than 10 000 tonnes of crude resin, and the People's Republic of China and Indonesia may not be exporting any. The buyers of crude resin in 1993 were Portugal (which imported 8000-10 000 tonnes of Brazilian resin) and India (which bought 3000-4000 tonnes from Brazil, and most of Chinese and Indonesian resin exports, to give a total of 8000-11 000 tonnes).

There is little likelihood that tapping will be expanded in either Portugal or India, and if the present reduced trade in crude resin becomes permanent, Portugal will have less rosin to sell, and India will need to import more Chinese and Indonesian rosin and turpentine in order to meet domestic requirements.

It is suggested elsewhere (Chapter 4) that once domestic market demand has been satisfied, the export of crude resin could be more profitable for new, small producers than

9

the export of small volumes of gum rosin and turpentine. However, this would depend ona continuing demand for external supplies of resin from Portuguese and Indian processors.

One unfortunate consequence of the use of crude resin which is not indigenous tothe country in which it is processed is that the compositional characteristics of the rosin andturpentine may no longer indicate the source of the processed products. In the past, thedifferent species of pine used by the major producers of internationally traded gum rosinand turpentine have conferred on the products intrinsic chemical properties which denotetheir origin. End users have also become accustomed to the predictable, consistentproperties of products delivered from traditional suppliers; the greater the trade in cruderesin, the less certain these properties become.

In the next sections, production and trade in the major producing countries andregions is described.

People's Republic of China

Vast areas of native pines growing in the south of the country form the basis of the Chinesegum naval stores industry. The principal species used is P. massoniana (mostly naturalstands), with smaller contributions from P. yunnanensis, P. latteri, P. tabulaeformis andP. kesiya. A small proportion of the resin raw material is obtained from plantations ofP. massoniana and a further small, but increasing, amount from plantations of exoticP. elliottii. P. elliottii was introduced primarily as a timber species but it has been found togive significantly higher yields of resin than the native pines when tapped. The mainproduction areas are Guangxi, Guangdong, Fujian, Jiangxi, Yunnan and Hunan provinces;Guangxi and Guangdong are currently the most important. However, these two provincesare among those which are undergoing dramatic socio-economic changes, including thedrift of the rural population to more attractive and remunerative employment in the cities.This may eventually lead to a decrease in gum naval stores production in these traditionallyimportant areas. On the other hand, Yunnan has a considerably greater standing pineresource than any of the other provinces plus the benefit of a large pool of low-cost labour,so it will probably assume greater importance as a supply source.

In spite of the very recent fall in production due to the floods in 1994, total annualproduction of crude resin in recent years has exceeded 500 000 tonnes, giving around 400000 tonnes of gum rosin after processing. Resin processing covers all scales of operationfrom the very small, involving only a few hundred tonnes of resin, to the very large; onefactory in Wuzhou, eastern Guangxi, is claimed to be the largest in the world, with a rosinoutput capacity of 40 000 tonnes/year. A recent Chinese source (Shen Zhaobang, 1994)indicates that in 1993, 430 000 tonnes of rosin were produced, of which approximately60% (277 000 tonnes) was exported. Of the rosin which remains for domesticconsumption, about 44% is used for the manufacture of soap (1990 data) and about 35%for paper. Increasing amounts of rosin and turpentine (30 000 tonnes and 20 000 tonnes,respectively) are converted to downstream derivatives within the country.

10

the export of small volumes of gum rosin and turpentine. However, this would depend on a continuing demand for external supplies of resin from Portuguese and Indian processors.

One unfortunate consequence of the use of crude resin which is not indigenous to the country in which it is processed is that the compositional characteristics of the rosin and turpentine may no longer indicate the source of the processed products. In the past, the different species of pine used by the major producers of internationally traded gum rosin and turpentine have conferred on the products intrinsic chemical properties which denote their origin. End users have also become accustomed to the predictable, consistent properties of products delivered from traditional suppliers; the greater the trade in crude resin, the less certain these properties become.

In the next sections, production and trade in the major producing countries and regions is described.

People's Republic of China

Vast areas of native pines growing in the south of the country form the basis of the Chinese gum naval stores industry. The principal species used is P. massoniana (mostly natural stands), with smaller contributions from P. yunnanensis, P. latteri, P. tabulae/ormis and P. kesiya. A small proportion of the resin raw material is obtained from plantations of P. massoniana and a further small, but increasing, amount from plantations of exotic P. elliottii. P. elliottii was introduced primarily as a timber species but it has been found to give significantly higher yields of resin than the native pines when tapped. The main production areas are Guangxi, Guangdong, Fujian, Jiangxi, Yunnan and Hunan provinces; Guangxi and Guangdong are currently the most important. However, these two provinces are among those which are undergoing dramatic socio-economic changes, including the drift of the rural population to more attractive and remunerative employment in the cities. This may eventually lead to a decrease in gum naval stores production in these traditionally important areas. On the other hand, Yunnan has a considerably greater standing pine resource than any of the other provinces plus the benefit of a large pool of low-cost labour, so it will probably assume greater importance as a supply source.

In spite of the very recent fall in production due to the floods in 1994, total annum­production of crude resin in recent years has exceeded 500 000 tonnes, giving around 400 000 tonnes of gum rosin after processing. Resin processing covers all scales of operation from the very small, involving only a few hundred tonnes of resin, to the very large; one factory in Wuzhou, eastern Guangxi, is claimed to be the largest in the world, with a rosin output capacity of 40 000 tonnes/year. A recent Chinese source (Shen Zhaobang, 1994) indicates that in 1993, 430 000 tonnes of rosin were produced, of which approximately 60% (277 000 tonnes) was exported. Of the rosin which remains for domestic consumption, about 44% is used for the manufacture of soap (1990 data) and about 35% for paper. Increasing amounts of rosin and turpentine (30 000 tonnes and 20 000 tonnes, respectively) are converted to downstream derivatives within the country.

10

Indonesia and other countries of Southeast Asia

Although Indonesia has produced rosin and turpentine for many years, it was not untilcomparatively recently that it emerged as a major force in world trade. Virtually all cruderesin production is based on extensive areas of P. merkusii plantations on Java. These aremanaged by Perum Perhutani, the Forest State Corporation, who are also responsible forthe tapping and processing operations (although some of the factories fall within the privatesector). A very small quantity of resin is produced intermittently in Sumatra. In the early1980s, modern processing methods were introduced to replace the older, direct-fireddistillation units. Production subsequently rose from 16 000 tonnes of crude resin (9000tonnes of rosin) in 1981 to 70 000 tonnes of resin (49 000 tonnes of rosin and 8000 tonnesof turpentine) in 1991; by 1993, it had risen to over 100 000 tonnes of resin (69 000 tonnesof rosin and 12 000 tonnes of turpentine). Slightly lower production levels are forecast for1994 because of a severe drought which affected resin yields.

Although most of the rosin and turpentine produced in Indonesia is exported, anincreasing proportion of both is being consumed domestically. Perum Perhutani statisticsfor 1993 show that approximately 46 000 tonnes of rosin (two thirds of total production)and 7500 tonnes of turpentine were exported. Figures from the official Indonesian tradestatistics are significantly lower. Production of downstream derivatives is likely to attractincreasing attention in the years to come.

In 1991, production in Indonesia came from about 100 000 ha of pine. The actualarea of planted pine in Java is about four times this figure and still expanding. There arealso large areas of pine plantations on Sumatra, Sulawesi and Kalimantan and these, too,are increasing in size to meet the demand for wood pulp. The potential for increased resinproduction is therefore very large (assuming that labour continues to be available) and infuture years Indonesia will -undoubtedly consolidate and improve its position as the secondbiggest producer of gum naval stores after the People's Republic of China.

Production elsewhere in Southeast Asia is very low. Viet Nam producedapproximately 2500 tonnes of resin from P. merkusii in each of the five years from 1986 to1990, and as the country is now open to foreign investment this figure may rise in thefuture. There is some production in Thailand and Laos from P. merkusii, and some fromP. kesiya in Myanmar (Btu ma), but it is very low (less than 500 tonnes/year) and does notenter international trade.

Portugal and elsewhere in Europe

The warm summer temperatures which are conducive to high resin flow, and the large areasof natural pine which exist, made Portugal and some Mediterranean countries majorproducers of gum naval stores at one time. Some production also took place in central andeastern Europe. However, increasing labour costs and a growing unwillingness amongstworkers to undertake tapping has led to a decline in production, sometimes to the pointwhere it has ceased altogether.

P. pinaster occurs quite widely in central and western areas of northern Portugaland, with the exception of recent purchases of crude resin from Brazil, is the sole source of

11

Indonesia and other countries of Southeast Asia

Although Indonesia has produced rosin and turpentine for many years, it was not until comparatively recently that it emerged as a major force in world trade. Virtually all crude resin production is based on extensive areas of P. merkusii plantations on Java. These are managed by Perum Perhutani, the Forest State Corporation, who are also responsible for the tapping and processing operations (although some of the factories fall within the private sector). A very small quantity of resin is produced intermittently in Sumatra. In the early 1980s, modem processing methods were introduced to replace the older, direct-fired distillation units. Production subsequently rose from 16 000 tonnes of crude resin (9000 tonnes of rosin) in 1981 to 70 000 tonnes of resin (49 000 tonnes of rosin and 8000 tonnes of turpentine) in 1991; by 1993, it had risen to over 100 000 tonnes of resin (69 000 tonnes of rosin and 12 000 tonnes of turpentine). Slightly lower production levels are forecast for 1994 because of a severe drought which affected resin yields.

Although most of the rosin and turpentine produced in Indonesia is exported, an increasing proportion of both is being consumed domestically. Perum Perhutani statistics for 1993 show that approximately 46 000 tonnes of rosin (two thirds of total production) and 7500 tonnes of turpentine were exported. Figures from the official Indonesian trade statistics are significantly lower. Production of downstream derivatives is likely to attract increasing attention in the years to come.

In 1991, production in Indonesia came from about 100 000 ha of pine. The actual area of planted pine in Java is about four times this figure and still expanding. There are also large areas of pine plantations on Sumatra, . Sulawesi and Kalimantan and these, too, are increasing in size to meet the demand for wood pulp. The potential for increased resin production is therefore very large (assuming that labour continues to be available) and in future years Indonesia will undoubtedly consolidate and improve its position as the second biggest producer of gum naval stores after the People's Republic of China.

Production elsewhere in Southeast Asia is very low. Viet Nam produced approximately 2500 tonnes of resin from P. merkusii in each of the five years from 1986 to 1990, and as the country is now open to foreign investment this figure may rise in the future. There is some production in Thailand and Laos from P. merkusii, and some from P. kesiya in Myanmar (Burma), but it is very low (less than 500 tonnes/year) and does not enter international trade.

Portugal and elsewhere in Europe

The warm summer temperatures which are conducive to high resin flow, and the large areas of natural pine which exist, made Portugal and some Mediterranean countries major producers of gum naval stores at one time. Some production also took place in central and eastern Europe. ~owever, increasing labour costs and a growing unwillingness amongst workers to undertake tapping has led to a decline in production, sometimes to the point where it has ceased altogether.

P. pinaster occurs quite widely in central and western areas of northern Portugal and, with the exception of recent purchases of crude resin from Brazil, is the sole source of

11

Portuguese gum naval stores. In the ten years 1978 to 1987, crude resin productionaveraged 110 000 tonnes/year and yielded 84 000 tonnes of rosin and 19 000 tonnes ofturpentine. By 1992, production had declined to approximately 30 000 tonnes of resin(equivalent to 22 000 tonnes of rosin), although a slight increase is predicted for the1994/95 crop year. Most of Portugal's rosin output is still exported, although an increasingamount is being used internally; much of its turpentine is fractionated or consumeddomestically.

France no longer produces gum rosin or turpentine and production in Spain hasfallen to a very low level. Production in central and eastern European countries such asPoland, Bulgaria, and the former Yugoslavia and Czechoslovakia has also declined. Greeceproduced about 6000 tonnes of resin from P. halepensis in 1993, but the trend forproduction is downwards. Production of resin is now reported to have ceased in Turkey,although in the late 1980s it produced about 3000 tonnes/year from P. brutia.

Russia

P. sylvestris covers vast areas of Russia and other parts of the former Soviet Union andforms the basis of a substantial naval stores industry. The main areas for gum naval storesproduction are in Irkutsk and Yekaterinbourg (the former Sverdlovsk region), the centralparts of the Krasnoyarsk region, and the central and northern regions of the European partof Russia. Siberia and the Urals account for about 50% of crude resin production; theremainder comes from European Russia. The colder regions of Siberia are not conduciveto high resin yields and productivity, in general, is believed to be low. Russian sourceshave stated that production of resin has fallen in recent years from a high of 115 000 tonnesto around 90 000 tonnes in 1992; this total is believed to include very minor amounts oflarch and fir oleoresin. If plans to tap trees in the Crimea go ahead, production may bestabilized at this level as resin yields in this area are expected to be higher.

Most of the rosin and turpentine produced in Russia is used domestically, but smallamounts have been offered on the international market in recent years.

North America

For many years, the United States has experienced problems in recruiting labour for thearduous task of tapping trees at a wage which makes the collection and processing of resineconomically viable. This has led to a steady decline in gum naval stores production, andfrom a wide supply base in the southeast where P. elliottii (slash pine) is grown forpulpwood, tapping is now confined to the state of Georgia. Extant production is probablyonly a few thousand tonnes; exports of gum rosin averaged about 1200 tonnes/year for thefive years 1989-93 and were less than 1000 tonnes in 1993. Naval stores productionremains a major industry in the USA (and a dominant force in the world), but it is basedlargely on sulphate turpentine and tall oil rosin recovered during chemical pulping (sulphatenaval stores) and. to a much lesser extent, on wood naval stores.

12

Portuguese gum naval stores. In the ten years 1978 to 1987, crude resin production averaged 110 000 tonnes/year and yielded 84 000 tonnes of rosin and 19 000 tonnes of turpentine. By 1992, production had declined to approximately 30 000 tonnes of resin (equivalent to 22 000 tonnes of rosin), although a slight increase is predicted for the 1994/95 crop year. Most of Portugal's rosin output is still exported, although an increasing amount is being used internally; much of its turpentine is fractionated or consumed domestically.

France no longer produces gum rosin or turpentine and production in Spain has fallen to a very low level. Production in central and eastern European countries such as Poland, Bulgaria, and the former Yugoslavia and Czechoslovakia has also declined. Greece produced about 6000 tonnes of resin from P. haZepensis in 1993, but the trend for production is downwards. Production of resin is now reported to have ceased in Turkey, although in the late 1980s it produced about 3000 tonnes/year from P. brutia.

Russia

P. syZvestris covers vast areas of Russia and other parts of the former Soviet Union and forms the basis of a substantial naval stores industry. The main areas for gum naval stores production are in Irkutsk and Yekaterinbourg (the former Sverdlovsk region), the central parts of the Krasnoyarsk region, and the central and northern regions of the European part of Russia. Siberia and the Urals account for about 50% of crude resin production; the remainder comes from European Russia. The colder regions of Siberia are not conducive to high resin yields and productivity, in general, is believed to be low. Russian sources have stated that production of resin has fallen in recent years from a high of 115 000 tonnes to around 90 000 tonnes in 1992; this total is believed to include very minor amounts of larch and fir oleoresin. If plans to tap trees in the Crimea go ahead, production may be stabilized at this level as resin yields in this area are expected to be higher.

Most of the rosin and turpentine produced in Russia is used domestically, but small amounts have been offered on the international market in recent years.

North America

For many years, the United States has experienced problems in recruiting labour for the arduous task of tapping trees at a wage which makes the collection and processing of resin economically viable. This has led to a steady decline in gum naval stores production, and from a wide supply base in the southeast where P. elliottii (slash pine) is grown for pulpwood, tapping is now confined to the state of Georgia. Extant production is probably only a few thousand tonnes; exports of gum rosin averaged about 1200 tonnes/year for the five years 1989-93 and were less than 1000 tonnes in 1993. Naval stores production remains a major industry in the USA (and a dominant force in the world), but it is based largely on sulphate turpentine and tall oil rosin recovered during chemical pulping (sulphate naval stores) and, to a much lesser extent, on wood naval stores.

12

There are probably more native Pinus species in Mexico than in any other countryin the world. Although many of the species are unsuitable for tapping, a large naval storesindustry has developed using those which are. Although mixed stands of pines are oftentapped, the major species is P. oocarpa. Tapping is concentrated in the states ofMichoacán, Jalisco and Mexico. However, as in the United States, there has been adownward trend in resin production, and output has fallen from about 60 000 tonnes/yearin the early 1980s to about 30 000 tonnes/year in the early 1990s. Gum rosin andturpentine production was around 22 000 tonnes and 4000 tonnes, respectively, in 1991;most was consumed domestically.

Central and South America and the Caribbean

Several countries in Central America have tapped pines for resin at some time butHonduras remains the major producer. Most of the resin is obtained from P. oocarpaalthough a small quantity comes from P. caribaea var. hondurensis. Production of cruderesin in Honduras peaked in the early 1980s, but has since declined. In recent years itappears to have stabilized at about 6000-8000 tonnes/year (equivalent to approximately4500-6000 tonnes of rosin). Most of the rosin is exported, mainly to Europe, whereGermany is the largest importer.

Brazil is the biggest producer of gum naval stores in South America. Considerableareas (approximately 1.5 million ha) are planted with pine of different species; the tropicalP. caribaea and P. oocarpa are grown in the north and the more temperate P. elliottii andP. taeda (a poor resin yielder) are grown in the south. Large-scale tapping began in thelate 1970s and production of crude resin increased steadily to around 65 000 tonnes in thelate 1980s. The resin has been obtained almost entirely from P. elliottii and production hastaken place mainly in Sdo Paulo state; there is some additional production in Paraná, SantaCatarina, Rio Grande do Sul and Rio de Janeiro. Production fell somewhat in 1991 and1992 but is currently believed to be around 60 000-65 000 tonnes (equivalent to 42 000-45000 tonnes of rosin and 7000-8000 tonnes of turpentine). Most of the processed productsare consumed domestically, but significant quantities are exported (13 500 tonnes of gumrosin and 3000 tonnes of turpentine in 1993). Replanting is not keeping pace with the lossof P. elliottii trees as they come to the end of their tapping life and it is likely thatP. caribaea will be increasingly targeted as a source of resin in the future.

Argentina and Venezuela are the only other two countries producing gum navalstores in South America. in Argentina, plantations of P. elliottii are tapped in the north-eastern provinces of Misiones, Corrientes and Entre Rios. Crude resin production isestimated at approximately 30 000 tonnes (1993) from which 21 000 tonnes of rosin and4000 tonnes of turpentine are obtained. Substantial amounts of both products areconverted into value-added derivatives for domestic consumption and export. Venezuela isbelieved to produce around 7000 tonnes of crude resin from P. caribaea.

There are some very large plantations of P. radiata in Chile (about 1.5 million ha).Experimental tapping has taken place and although the quality of the turpentine fromP. radiata is probably superior to that from any other species, yields of resin are not highenough to encourage commercial production.

13

There are probably more native Pinus species in Mexico than in any other country in the world. Although many of the species are unsuitable for tapping, a large naval stores industry has developed using those which are. Although mixed stands of pines are often tapped, the major species is P. oocarpa. Tapping is concentrated in the states of Michoacan, Jalisco and Mexico. However, as in the United States, there has been a downward trend in resin production, and output has fallen from about 60 000 tonnes/year in the early 1980s to about 30 000 tonnes/year in the early 1990s. Gum rosin and turpentine production was around 22 000 tonnes and 4000 tonnes, respectively, in 1991; most was consumed domestically.

Central and South America and the Caribbean

Several countries in Central America have tapped pines for resin at some time but Honduras remains the major producer. Most of the resin is obtained from P. oocarpa although a small quantity comes from P. caribaea var. hondurensis. Production of crude resin in Honduras peaked in the early 1980s, but has since declined. In recent years it appears to have stabilized at about 6000-8000 tonnes/year (equivalent to approximately 4500-6000 tonnes of rosin). Most of the rosin is exported, mainly to Europe. where Germany is the largest importer.

Brazil is the biggest producer of gum naval stores in South America. Considerable areas (approximately 1.5 million ha) are planted with pine of different species; the tropical P. caribaea and P. oocarpa are grown in the north and the more temperate P. elliottU and P. taeda (a poor resin yielder) are grown in the south. Large-scale tapping began in the late 1970s and production of crude resin increased steadily to around 65 000 tonnes in the late 1980s. The resin has been obtained almost entirely from P. elliottii and production has taken place mainly in Sao Paulo state; there is some additional production in Parana, Santa Catarina, Rio Grande do SuI and Rio de Janeiro. Production fell somewhat in 1991 and 1992 but is currently believed to be around 60 000-65 000 tonnes (equivalent to 42 000-45 000 tonnes of rosin and 7000-8000 tonnes of turpentine). Most of the processed products are consumed domestically, but significant quantities are exported (13 500 tonnes of gum rosin and 3000 tonnes of turpentine in 1993). Replanting is not keeping pace with the loss of P. elliottii trees as they come to the end of their tapping life and it is likely that P. caribaea will be increasingly targeted as a source of resin in the future.

Argentina and Venezuela are the only other two countries producing gum naval stores in South America. In Argentina, plantations of P. elliottii are tapped in the north­eastern provinces of Misiones, Corrientes and Entre Rios. Crude resin production is estimated at approximately 30 000 tonnes (1993) from which 21 000 tonnes of rosin and 4000 tonnes of turpentine are obtained. Substantial amounts of both products are converted into value-added derivatives for domestic consumption and export. Venezuela is believed to proouce around 7000 tonnes of crude resin from P. caribaea.

There are some very large plantations of P. radiata in Chile (about 1.5 million ha). Experimental tapping has taken place and although the quality of the turpentine from P. radiata is probably superior to that from any other species, yields of resin are not high enough to encourage commercial production.

13

In the Caribbean, small quantities of resin have been produced in Cuba from threenative pines (P, caribaea var. caribaea, P. tropicalis and P. cubensis) but output hasaveraged less than 700 tonnes/year for the five years from 1989 to 1993.

Africa

Although large areas of pines have been- planted for timber or pulp for some time, Africahas only become a producer of gum naval stores relatively recently. Tapping of P. elliottiiin the Chimanimani area of the Eastern Highlands of Zimbabwe began in 1976. Productionof crude resin has never exceeded about 1000 tonnes/year, however, and as the pineresource comes under increasing pressure for use as timber, output is expected to fall andperhaps cease altogether. Small amounts of rosin have been exported intermittently toSouth Africa but most is consumed domestically by the paper industry.

Kenya and South Africa both began production in about 1986. A diverse source ofraw materials is used in Kenya; P. elliottii growing in the Machakos area of southern Kenyaprovides most of the resin, P. caribaea var. hondurensis is tapped in the southern coastalregion of Kwale, and P. radiata is tapped at higher elevations near Nakuru. The total resinproduction of about 1000 tonnes/year is showing a small upward trend. All the rosin isconverted to a modified form and sold to local paper mills for use as a sizing agent.

South African tapping operations are centred on the extensive P. elliottii andP. caribaea var. caribaea plantings in the Lake St Lucia area of northern Natal.Production of resin is more than 2000 tonnes/year, which is the highest of the three Africancountries. Most of the resulting rosin and turpentine is consumed domestically. The rosinis used mainly for paper size and in the manufacture of adhesives; some is exported.

Several other African countries have the potential for gum naval stores productionby using the extensive areas of under-exploited pines which exist. There are signs that insome cases this potential is being realized in practical terms. Malawi, for example, hasmore than 50 000 ha of mature pines in the north of the country and although most of themare P. patula, a species with little or no prospect as a commercial source of resin, there areprobably enough P. elliottii to make commercial tapping a viable proposition; it is unlikely,however, to become a large producer of naval stores in international terms. It is

understood (late 1994) that commercial production will begin in Malawi in 1995. InUganda, commercial tapping of P. caribaea began on a small scale in late 1994. Severalother countries, including Tanzania and Zambia, have substantial areas of pines, but theirsuitability and capacity to support gum naval stores production has not yet been proved.

Indian sub-continent

India has been producing naval stores for a long time. Areas of natural and, more recently,plantation P. roxburghii (chir pine) have been used in the northern states of Jammu andKashmir, Uttar Pradesh and Himachal Pradesh. P. wallichiana grows at higher elevationsalong the same Himalayan belt but as it gives lower yields of resin than P. roxburghii, little,if any, is tapped commercially. Crude resin production peaked at about 75 000 tonnes in1975/76 and has since fallen steadily. Production in 1990/91 was less than 25 000 tonnes,

14

In the Caribbean, small quantities of resin have been produced in Cuba from three native pines (P. caribaea var. caribaea, P. tropicaiis and P. cubensis) but output has averaged less than 700 tonnes/year for the five years from 1989 to 1993.

Africa

Although large areas of pines have been'- planted for timber or pulp for some time, Mrica has only become a producer of gum naval stores relatively recently. Tapping of P. elliottii in the Chimanimani area of the Eastern Highlands of Zimbabwe began in 1976. Production of crude resin has never exceeded about 1000 tonnes/year, however, and as the pine resource comes under increasing pressure for use as timber, output is expected to fall and perhaps cease altogether. Small amounts of rosin have been exported intermittently to South Africa but most is consumed domestically by the paper industry.

Kenya and South Mrica both began production in about 1986. A diverse source of raw materials is used in Kenya; P. elliottii growing in the Machakos area of southern Kenya provides most of the resin, P. caribaea var. hondurensis is tapped in the southern coastal r~gion of Kwale, and P. radiata is tapped at higher elevations near Nakuru. The total resin production of about 1000 tonnes/year is showing a small upward trend. All the rosin is converted to a modified form and sold to local paper mills for use as a sizing agent.

South African tapping operations are centred on the extensive P. elliottii and P. caribaea var. caribaea plantings in the Lake St Lucia area of northern NataL Production of resin is more than 2000 tonnes/year, which is the highest of the three Mrican countries. Most of the resulting rosin and turpentine is consumed domestically. The rosin is used mainly for paper size and in the manufacture of adhesives; some is exported.

Several other Mrican countries have the potential for gum naval stores production by using the extensive areas of under-exploited pines which exist. There are signs that in some cases this potential is being realized in practical terms. Malawi, for example, has more than 50 000 ha of mature pines in the north of the country and although most of them are P. patuia, a species with little or no prospect as a commercial source of resin, there are probably enough P. elliottii to make commercial tapping a viable proposition; it is unlikely, however, to become a large producer of naval stores in international terms. It is understood (late 1994) that commercial production will begin in Malawi in 1995. In Uganda, commercial tapping of P. caribaea began on a small scale in late 1994. Several other countries, including Tanzania and Zambia, have substantial areas of pines, but their suitability and capacity to support gum naval stores production has not yet been proved.

Indian sub-continent

India has been producing naval stores for a long time. Areas of natural and, more recently, plantation P. roxburghii (chir pine) have been used in the northern states of Jammu and Kashmir, Uttar Pradesh and Himachal Pradesh. P. wallichiana grows at higher elevations along the same Himalayan belt but as it gives lower yields of resin than P. roxburghii, little, if any, is tapped commercially. Crude resin production peaked at about 75 000 tonnes in 1975/76 and has since fallen steadily. Production in 1990/91 was less than 25 000 tonnes,

14

although it is now believed to have recovered and stabilized at about 25 000-.30 000 tonnes(equivalent to approximately 18 000-21 000 tonnes of rosin). The main reason for thedecline has been the loss of trees for tapping, either because many of them have reached theend of their productive lives and there are no new areas of pine with which to replace them,or because the damage done to trees by the use of inefficient, incorrectly applied methodsof tapping has led to Forest Department bans on tapping.

The loss of substantial indigenous production of crude resin, and the demands ofIndian industry for naval stores products, have meant that India is now a net importer ofboth rosin and turpentine. The shortfall in local production has been further compensatedby the importation of about 10 000 tonnes/year of crude resin. The greatest single use ofturpentine in India is for the production of synthetic camphor.

P. roxburghii is also tapped in Pakistan, Nepal and Bhutan. The quantity of resinproduced by the three countries combined does not exceed a few thousand tonnes and isprobably much less. All the output from Nepal and Bhutan goes to India.

In Sri Lanka, about 30 000 ha of P. caribaea (mainly var. hondurensis) have beenplanted on degraded land, on which the species has flourished. These plantations havegreat potential as sources of gum naval stores, but although some small-scale tapping hastaken place, there is no large-scale collection and processing of resin at present.

ESTIMATES OF WORLD PRODUCTION AND EXPORTS

Estimates for production of crude resin, gum rosin and gum turpentine, and exports of gumrosin and gum turpentine are presented in Table 3. The estimates are based on publisheddata which are believed to be reliable, and on trade sources. In cases where figures differwidely the authors have used their judgement to provide an estimate.

15

although it is now believed to have recovered and stabilized at about 25000-30000 tonnes (equivalent to approximately 18 000-21 000 tonnes of rosin). The main reason for the decline has been the loss of trees for tapping, either because many of them have reached the end of their productive lives and there are no new areas of pine with which to replace them, or because the damage done to trees by the use of inefficient, incorrectly applied methods of tapping has led to Forest Department bans on tapping.

The loss of substantial indigenous production of crude resin, and the demands of Indian industry for naval stores products, have meant that India is now a net importer of both rosin and turpentine. The shortfall in local production has been further compensated by the importation of about 10 000 tonnes/year of crude resin. The greatest single use of turpentine in India is for the production of synthetic camphor.

P. roxburghii is also tapped in Pakistan, Nepal and Bhutan. The quantity of resin produced by the three countries combined does not exceed a few thousand tonnes and is probably much less. All the output from Nepal and Bhutan goes to India.

In Sri Lanka, about 30 000 ha of P. caribaea (mainly var. hondurensis) have been planted on degraded land, on which the species has flourished. These plantations have great potential as sources of gum naval stores, but although some small-scale tapping has taken place, there is no large-scale collection and processing of resin at present.

ESTIMATES OF WORLD PRODUCTION AND EXPORTS

Estimates for production of crude resin, gum rosin and gum turpentine, and exports of gum rosin and gum turpentine are presented in Table 3. The estimates are based on published data which are believed to be reliable, and on trade sources. In cases where figures differ widely the authors have used their judgement to provide an estimate.

15

Table 3Estimated world production and exports of crude resin, gum rosin and gum turpentine

(tonnes)

Source: Based on various literature and trade estimatesNotes: a Production and exports expected to be sharply reduced for 1994/95

b Does not include that produced from imported crude resinc Mainly downstream derivatives- Indicates small amounts

16

Production Exports

Crude resin Rosin Ttirpentine Rosin Turpentine

Total

of which:

976 000 717 000 99 400 384 000 25 000

China, People's Rep. of a1993 570 000 430 000 50 000 277 000 5 500

Indonesia 1993 100 000 69 000 12 000 46 000 7 500

Russia 1992 90 000 65 000 9 000 1 000 500

Brazil 1993 65 000 45 000 8 000 13 000 3 000

Portugal 1992 30 000 b22 000 b5 000 26 000 6 000

India 1994 30 000 b21 000 b4 000 - -

Argentina 1993 30 000 21 000 4 000 e10 000 2 000

Mexico 1991 30 000 22 000 4 000 5 000 ?

Honduras 1992 8 000 6 000 1 000 5 000 500

Venezuela 1993 7 000 5 000 800

Greece 1993 6 000 4 000 600

South Africa 1993 2 000 1 500 200

Viet Nam 1990 2 000 1 500 200 1 000

Others 6 000 4 000 600

Table 3 Estimated world production and exports of crude resin, gum rosin and gum turpentine

(tonnes)

Production Exports

Crude resin Rosin Turpentine Rosin Turpentine

Total 976000 717000 99400 384000 25000

a/which:

China, People's Rep. of a1993 570000 430000 50000 277000 5500

Indonesia 1993 100000 69000 12000 46000 7500

Russia 1992 90000 65000 9000 1000 500

Brazil 1993 65000 45000 8000 13 000 3000

Portugal 1992 30000 b22000 b5000 26000 6000

India 1994 30000 b21000 b4000

Argentina 1993 30000 21000 4000 Cio 000 2000

Mexico 1991 30000 22000 4000 5000 ?

Honduras 1992 8000 6000 1000 5000 500

Venezuela 1993 7000 5000 800

Greece 1993 6000 4000 600

South Africa 1993 2000 1500 200

Viet Nam 1990 2000 1500 200 1000

Others 6000 4000 600

Source: Based on various literature and trade estimates Notes: a Production and exports expected to be sharply reduced for 1994/95

b Does not include that produced from imported crude resin c Mainly downstream derivatives - Indicates small amounts

16

CHAPTER 2

RAW MATERIALS AND INPUTS

RAW MATERIAL REQUIREMENTS

The fundamental requirement is an adequate number of suitable, mature pine trees availablefor exploitation over the lifetime of a processing plant. Both natural forests and plantationsmay be used, although the high tree density and easier terrain which enables the tapper tovisit a greater number of trees per day, makes resin collection cheaper and easier to managein plantations. If the annual yield of resin is 3 kg/tree, at least 330 000 mature pine treeswould be necessary to provide resin feedstock to a small processing plant with an annualthroughput of 1000 tonnes.

Many countries have substantial resources of pine trees of one or more species,either as natural forests of indigenous species or as plantations of introduced exotics.Although all pines are capable of yielding resin, both the obtainable yield and the intrinsicquality of the rosin and turpentine can vary considerably according to the species. The wayin which these genetic factors can influence resin characteristics at the species, provenanceand individual tree level are discussed in more detail in Appendix 3. Species selection istherefore crucial to the marketability of the products and the profitability of the overalloperation. The principal pine species tapped in various parts of the world have alreadybeen noted in Chapter 1. It should be appreciated, however, that those which are tappedare invariably chosen from the standing resource already existing within the country eitheras natural stands or plantations. Pines are usually planted for timber or pulp rather thanresin, and whether the species originally selected for wood or fibre quality are also suitablefor resin production is a matter of chance. P. patula , for example, which is one of the mostwidely planted pines in Africa, produces a very poor quality resin in low yields and cannotbe tapped economically.

As well as being dependent on the species of pine tapped, the quantity of resin thatmay be obtained from a particular group of trees depends on a number of other factors.The most important of these include ambient temperature (and altitude insofar as it affectstemperature), rainfall, diameter and crown size of the tree, method of tapping and length oftapping season.

High temperatures are conducive to good resin flow, while prolonged periods ofhigh rainfall are not, and the extent of seasonal changes in climate will largely determine theperiod during the year when it is profitable to tap the trees. In temperate countries such asPortugal, tapping takes place for eight to nfrie months of the year. The time between theend of one tapping season and the beginning of the next is used for cleaning or replacingtools and accessories and installing or raising gutter systems and cups on the trees. In moretropical countries, where there are no prolonged cold periods, tapping may proceed all yearround, although seasonal heavy rains may interrupt it.

In general, the greater the diameter of the tree tapped and the bigger the proportionof live crown, the greater the resin yields. Selection of groups of trees for tapping willtherefore be made on the basis of utilizing the oldest or largest trees available of the

17

CHAPTER 2

RAW MATERIALS AND INPUTS

RAW MATERIAL REQUIREMENTS

The fundamental requirement is an adequate number of suitable, mature pine trees available for exploitation over the lifetime of a processing plant. Both natural forests and plantations may be used, although the high tree density and easier terrain which enables the tapper to visit a greater number of trees per day, makes resin collection cheaper and easier to manage in plantations. If the annual yield of resin is 3 kg/tree, at least 330 000 mature pine trees would be necessary to provide resin feedstock to a small processing plant with an annual throughput of 1000 tonnes.

Many countries have substantial resources of pine trees of one or more species, either as natural forests of indigenous species or as plantations of introduced exotics. Although all pines are capable of yielding resin, both the obtainable yield and the intrinsic quality of the rosin and turpentine can vary considerably according to the species. The way in which these genetic factors can influence resin characteristics at the species, provenance and individual tree level are discussed in more detail in Appendix 3. Species selection is therefore crucial to the marketability of the products and the profitability of the overall operation. The principal pine species tapped in various parts of the world have already been noted in Chapter 1. It should be appreciated, however, that those which are tapped are invariably chosen from the standing resource already existing within the country either as natural stands or plantations. Pines are usually planted for timber or pulp rather than resin, and whether the species originally selected for wood or fibre quality are also suitable for resin production is a matter of chance. P. patu/a, for example, which is one of the most widely planted pines in Africa, produces a very poor quality resin in low yields and cannot be tapped economically.

As well as being dependent on the species of pine tapped, the quantity of resin that may be obtained from a particular group of trees depends on a number of other factors. The most important of these include ambient temperature (and altitude insofar as it affects temperature), rainfall, diameter and crown size of the tree, method of tapping and length of tapping season.

High temperatures are conducive to good resin flow, while prolonged periods of high rainfall are not, and the extent of seasonal changes in climate will largely determine the period during the year when it is profitable to tap the trees. In temperate countries such as Portugal, tapping takes place for eight to nine months of the year. The time between the end of one tapping season and the beginning of the next is used for cleaning or replacing tools and accessories and installing or raising gutter systems and cups on the trees. In more tropical countries, where there are no prolonged cold periods, tapping may proceed all year round, although seasonal heavy rains may interrupt it.

In general, the greater the diameter of the tree tapped and the bigger the proportion of live crown, the greater the resin yields. Selection of groups of trees for tapping will therefore be made on the basis of utilizing the oldest or largest trees available of the

17

preferred species. Plantation pines are usually at least 15-20 years old before tappingcommences; some countries have regulations which limit tapping to those trees withdiameters greater than about 20-25 cm. Comprehensive data are available, from manysources, relating diameter and crown size to expected resin yields However, although suchdata may serve to illustrate the general dependence of yields on tree size, they apply only toa particular species; they might also be misleading if used directly to estimate yields outsidethe country from which they were derived. Furthermore, as resin yields are known to begenetically determined, considerable provenance and tree-to-tree variations may exist. As aguide, suitable species grown under favourable conditions can yield 3-4 kg/tree annually.Minimum acceptable yields are around 2 kg/tree; it is unlikely that yields much below 2 kgcould support a viable resin tapping operation.

Tapping trials to assess yields should therefore complement any feasibility stiklywhich examines the prospects for establishing a gum naval stores industry. At the sametime, samples of the resin obtained should be analysed to determine quality. Regardless ofthe quantity produced, if the quality of the rosin and turpentine derived from the resin is sopoor that the products are unacceptable to the market, the trees will not be worth tapping.Quality assessment criteria for gum rosin and gum turpentine are described in Appendix 2.In general, as far as international markets are concerned, the products from Portugal andthe People's Republic of China will set the standards against which gum naval stores fromnew sources will be judged.

RESIN TAPPING OPERATION

Resin is obtained from the tree in a manner analogous to rubber tapping except that theexudate is more viscous and slow-running than rubber latex. Tapping generally involvesthe following basic steps:

preparation of the face of the tree

installation of the resin collection system

wounding of the tree to induce resin flow

application of a chemical formulation to stimulate and maintain resin flow

collection of the resin, re-wounding of the tree, and application of the stimulant atsuitable intervals.

In some countries, traditional methods of tapping are used which do not entailapplication of a chemical stimulant and which are generally less efficient.

The precise manner in which the above steps are carried out in the various producercountries has developed in different ways over the course of many years. Nevertheless, it isgenerally recognized that tapping should be carried out carefully and in such a way as toavoid permanent damage to the tree. Older methods in which cuts were made deep into thewood have mostly been replaced by more modern practices involving removal of barkalone. Some producing countries have spent much time and effort developing and refiningprocedures and investigating the use of different materials and accessories such as cups andgutters. Others still adhere to traditional methods and materials. In Indonesia, trees aretapped by the frequent removal of slivers of wood from the stem without the application of

18

preferred species. Plantation pines are usually at least 15-20 years old before tapping commences; some countries have regulations which limit tapping to those trees with diameters greater than about 20-25 cm. Comprehensive data are available, from many sources, relating diameter and crown size to expected resin yields However, although such data may serve to illustrate the general dependence of yields on tree size, they apply only to a particular species; they might also be misleading if used directly to estimate yields outside the country from which they were derived. Furthermore, as resin yields are known to be genetically determined, considerable provenance and tree-to-tree variations may exist. As a guide, suitable species grown under favourable conditions can yield 3-4 kg/tree annually. Minimum acceptable yields are around 2 kg/tree; it is unlikely that yields much below 2 kg could support a viable resin tapping operation.

Tapping trials to assess yields should therefore complement any feasibility stddy which examines the prospects for establishing a gum naval stores industry. At the same time, samples of the resin obtained should be analysed to determine quality. Regardless ot the quantity produced, if the quality of the rosin and turpentine derived from the resin is so poor that the products are unacceptable to the market, the trees will not be worth tapping. Quality assessment criteria for gum rosin and gum turpentine are described in Appendix 2. In general, as far as international markets are concerned, the products from Portugal and the People's Republic of China will set the standards against which gum naval stores from new sources will be judged.

RESIN TAPPING OPERATION

Resin is obtained from the tree in a manner analogous to rubber tapping except that the exudate is more viscous and slow-running than rubber latex. Tapping generally involves the following basic steps:

• preparation of the face of the tree

• installation of the resin collection system

• wounding of the tree to induce resin flow

• application of a chemical formulation to stimulate and maintain resin flow

• collection of the resin, re-wounding of the tree, and application of the stimulant at suitable intervals.

In some countries, traditional methods of tapping are used which do not entail application of a chemical stimulant and which are generally less efficient.

The precise manner in which the above steps are carried out in the various producer countries has developed in different ways over the course of many years. Nevertheless, it is generally recognized that tapping should be carried out carefully and in such a way as to avoid permanent damage to the tree. Older methods in which cuts were made deep into the wood have mostly been replaced by more modem practices involving removal of bark alone. Some producing countries have spent much time and effort developing and refining procedures and investigating the use of different materials and accessories such as cups and gutters. Others still adhere to traditional methods and materials. In Indonesia, trees are tapped by the frequent removal of slivers of wood from the stem without the application of

18

stimulant (although steps are being taken to introduce alternative methods which do notinvolve the removal of so much wood). In India, although tapping is still carried out whichentails removal of wood from the tree in the form of 'blazes', the 'rill' method, in which anacid-based stimulant is applied to small channels cut in the xylem in a 'herring bone' fashion,is advocated. The method of tapping usually followed in the People's Republic of China isunusual because it involves moving down the tree during the course of the season ratherthan starting at the base and moving up; although the benefits of using stimulants toenhance resin yields have been demonstrated, the practice has not been widely adopted.

The particular style of tapping employed may also be influenced by the ex-tent towhich the trees are used for purposes other than naval stores production. If tapping isconducted on plantation pines, for which the principal interest is the final sale of the logsfor sawtimber or pulpwood, the common practice is to tap fairly intensively, using a wideface, for four years (perhaps extending to six or eight years) prior to felling. If there are nopressing demands for felling, or if there is a large enough number of trees available to allowthe use of a narrow face and still maintain the required production overall, tapping may becarried out for up to 20 years or more on the same group of trees.

Systems of tapping developed in the United States and Portugal are now described.Both entail the removal of bark and the application of sulphuric acid as a stimulant, butwhereas the former uses a wide face for intensive tapping, the latter uses a narrow facewith a simpler system of guttering. The two methods are illustrated in Figure 1.

Figure 1Systems of resin tapping using a wide and narrow face

Doubleheadednails

r "1 \./1

I N

V\

Face

Apron/gutter

Resín receiver

Nail

19

Either method, adapted to meet local circumstances where necessary, could beadopted by intending new producers. Both systems are well documented and the intentionhere is only to give an outline of the methods and materials used, highlighting thedifferences between the two systems, rather than to offer a complete guide to tapping withdetailed descriptions of tools and accessories.

stimulant (although steps are being taken to introduce alternative methods which do not involve the removal of so much wood). In India, although tapping is still carried out which entails removal of wood from the tree in the form of 'blazes', the 'rill' method, in which an acid-based stimulant is applied to small channels cut in the xylem in a 'herring bone' fashion, is advocated. The method of tapping usually followed in the People's Republic of China is unusual because it involves moving down the tree during the course of the season rather than starting at the base and moving up; although the benefits of using stimulants to enhance resin yields have been demonstrated, the practice has not been widely adopted.

The particular style of tapping employed may also be influenced by the extent to which the trees are used for purposes other than naval stores production. If tapping is conducted on plantation pines, for which the principal interest is the final sale of the logs for sawtimber or pulpwood, the common practice is to tap fairly intensively, using a wide face, for four years (perhaps extending to six or eight years) prior to felling. If there are no pressing demands for felling, or if there is a large enough number of trees available to allow the use of a narrow face and still maintain the required production overall, tapping may be carried out for up to 20 years or more on the same group of trees.

Systems of tapping developed in the United States and Portugal are now described. Both entail the removal of bark and the application of sulphuric acid as a stimulant, but whereas the former uses a wide face for intensive tapping, the latter uses a narrow face with a simpler system of guttering. The two methods are illustrated in Figure 1.

Double-headed

naiis

Figure 1 Systems of resin tapping using a wide and narrow face

.../ \ I ,

i 'II, ,\" II \., I

\ ,r V I IV , I'

0\. \ 1 ~ l/ \., \ I 'v l v

\

t. - -"-

I-----Face

r-T-~Apron/ gutter

'( .:.:....:. , ,

-+,,-T-- Resi n rece iver --~-'+--4r-

-I

v

,"", \ \"\

" \..'

Either method, adapted to meet local circumstances where necessary, could be adopted by intending new producers. Both systems are well documented and the intention here is only to give an outline of the methods and materials used, highlighting the differences between the two systems, rather than to offer a complete guide to tapping with detailed descriptions of tools and accessories.

19

Variations of the US system have been used in many parts of the world includingBrazil, other countries in Central and South America, and Zimbabwe. Countries using thePortuguese narrow face method include Mediterranean producers, South Africa and Kenya.Alternative tapping procedures which may be used in other countries are not described hereeither because their use is limited to a particular country, or because they are generallyconsidered to be less efficient.

System of tapping using a wide face

In order to facilitate installation of the collection system on trees which are to be workedfor the first time, the rough outer bark is first removed from the area at the base of the treewhere it is to be fixed. This rough shaving is usually extended for part of the way up thetree to make the subsequent tapping easier. Although a two-piece apron and gutter systemmade of galvanized iron is illustrated in Figure 1, this has been dispensed with in Brazil anda specially designed plastic bag is used instead; this fits across the width of the face and isheld flush to the tree by wire which goes round it. This system is simpler, cheaper andquicker to install than the cup and gutter system, and does not risk contaminating the resinwith dissolved iron (which rnay result from the corrosive action of the acid stimulant on thegalvanized iron gutter if its application is over-zealous). The risk of leaving the nails usedto fix the apron/gutter system in the tree after tapping has finished, and of damaging sawblades if the trees are destined for sawtimber, is also removed. However, it is rather moredifficult to remove the resin from the bags without wastage than from the rigid system, andthe bags have a shorter life. The apron/gutter system can be nailed in position using fivedouble-headed nails which are easy to remove and facilitate later removal of the guttering.Immediately below the guttering, a cup made of galvanized iron, aluminium or durableplastic is fixed; it is supported on a large nail and held in place by the bottom edge of theapron. In Zimbabwe, galvanized iron gutters and a small spout are used to direct the resininto glass jars.

A horizontal strip of bark 2-2.5 cm high is removed across the width of the tree,just above the gutter, to cause the resin to flow and the chemical stimulant, usually acid-based, is applied along the top edge of the exposed tissue ('streakt). The combination ofbark removal and acid treatment makes it unnecessary to cut into the wood to open theresin ducts, which was characteristic of older methods of tapping. Wounding to the tree istherefore only superficial and loss in growth during tapping is minimal. The acid alsomaintains resin flow for a longer period of time and the tapper, instead of having to returnto the face within two to four days, as is the case when traditional methods of tapping areused, need not repeat the task until some weeks later, at which time the bark is removedabove and adjacent to the first streak. In this manner, a two-week tapping interval using astreak height of 2 cm would necessitate about 16 visits to the tree in the course of an eightmonth tapping season, and would result in a vertical face about 32 cm high, down whichthe resin would flow to the cup. A shorter tapping interval, say 10 days, would use a streakheight proportionately less than 2 cm.

The first type of stimulant to be used commercially was a 50% solution of sulphuricacid, applied as a fine spray from a plastic bottle. Later developments led to the productionof a specially formulated sulphuric acid paste. This is applied as a thin bead from a plasticbottle and is now quite widely used, although the precise formulation varies somewhat

20

Variations of the US system have been used in many parts of the world including Brazil, other countries in Central and South America, and Zimbabwe. Countries using the Portuguese narrow face method include Mediterranean producers, South Africa and Kenya. Alternative tapping procedures which may be used in other countries are not described here either because their use is limited to a particular country, or because they are generally considered to be less efficient.

System of tapping using a wide face

In order to facilitate installation of the collection system on trees which are to be worked for the first time, the rough outer bark is first removed from the area at the base of the tree where it is to be fixed. This rough shaving is usually extended for part of the way up the tree to make the subsequent tapping easier. Although a two-piece apron and gutter system made of galvanized iron is illustrated in Figure 1, this has been dispensed with in Brazil and a specially designed plastic bag is used instead; this fits across the width of the face and is held flush to the tree by wire which goes round it. This system is simpler, cheaper and quicker to install than the cup and gutter system, and does not risk contaminating the resin with dissolved iron (which may result from the corrosive action of the acid stimulant on the galvanized iron gutter if its application is over-zealous). The risk of leaving the nails used to fix the apron/gutter system in the tree after tapping has finished, and of damaging saw blades if the trees are destined for sawtimber, is also removed. However, it is rather more difficult to remove the resin from the bags without wastage than from the rigid system, and the bags have a shorter life. The apron/gutter system can be nailed in position using five double-headed nails which are easy to remove and facilitate later removal of the guttering. Immediately below the guttering, a cup made of galvanized iron, aluminium or durable plastic is fixed; it is supported on a large nail and held in place by the bottom edge of the apron. In Zimbabwe, galvanized iron gutters and a small spout are used to direct the resin into glass jars.

A horizontal strip of bark 2-2.5 cm high is removed across the width of the tree, just above the gutter, to cause the resin to flow and the chemical stimulant, usually acid­based, is applied along the top edge of the exposed tissue ('streak'). The combination of bark removal and acid treatment makes it unnecessary to cut into the wood to open the resin ducts, which was characteristic of older methods of tapping. Wounding to the tree is therefore only superficial and loss in growth during tapping is minimal. The acid also maintains resin flow for a longer period of time and the tapper, instead of having to return to the face within two to four days, as is the case when traditional methods of tapping are used, need not repeat the task until some weeks later, at which time the bark is removed above and adjacent to the first streak. In this manner, a two-week tapping interval using a streak height of 2 cm would necessitate about 16 visits to the tree in the course of an eight month tapping season, and would result in a vertical face about 32 cm high, down which the resin would flow to the cup. A shorter tapping interva1, say 10 days, would use a streak height proportionately less than 2 cm.

The first type of stimulant to be used commercially was a 50% solution of sulphuric acid, applied as a fine spray from a plastic bottle. Later developments led to the production of a specially formulated sulphuric acid paste. This is applied as a thin bead from a plastic bottle and is now quite widely used, although the precise formulation varies somewhat

20

according to the availability of local materials.* As well as being less wasteful and lesshazardous to the person using it, the paste has the advantage of requiring slightly lessfrequent applications than the spray. The greater penetration of the paste requires theremoval of a bigger strip of bark than normal; so in spite of fewer visits to the tree, the totalheight of the face worked is about the same as for the spray. Whichever type of stimulantis used, its strength, frequency of application, and the height of bark removed should beoptimized so that at each removal of bark there is some live xylem tissue showing. This isindicated by the paler colour of the wood above the line which shows the extent ofpenetration of the acid from the previous streak; the wood below the line is darker andredder in colour. More recent research has shown that inclusion in the formulation of 2-chloroethylphosphonic acid (e.g. EthrelTm), a chemical used to enhance yields of latex inrubber tapping, also has beneficial effects on resin production. However, further research isneeded to demonstrate the long-term benefits and it is not thought to be used commerciallyin tapping pine trees at present.

During the course of its flow some resin solidifies on the face of the tree beforereaching the receiver. The extent to which this happens depends on the species of pinebeing tapped. The solid may be scraped off periodically during the season, or it may be leftto the end and collected and processed separately from the bulk of the resin as it will yield aslightly lower grade of rosin.

At about six monthly intervals, or at the end of the season, the cup and guttersystem is removed and re-installed where the last removal of bark was made; a secondseason's tapping can then be carried out. This is repeated for a third, fourth and, perhaps,fifth season (3-4 years in total), when the height finally attained is likely to be too great fora person to reach and it becomes uneconomic to proceed any higher. Depending on theintended use for the trees, it may be possible to initiate a second face for tapping on theopposite side of the trunk.

System of tapping using a narrow face

Procedures using a narrow face are also based on the removal of bark with acid treatment.However, the use of a narrower face, usually 10 cm wide, brings with it several advantages,the most important being the simpler system of guttering that can be used. A small, flat,arc-shaped piece of galvanized iron is inserted edgewise into the shaved part of the treewith a special tool; it requires no nails to hold it in place. A clay or plastic pot is supportedunder it by a single nail or wooden splint; in appropriate circumstances, a bamboo cup orcoconut shell can be used as the resin receiver. The height of bark removed at each visit tothe tree is similar to that for a wide face, about 2-2.5 cm; the tapping schedule (using sprayor paste-based stimulant) is also similar. After working on one vertical face for four years,

*In addition to the sulphuric acid solution itself, a typical paste contains small amounts of a lubricant-cum-surfactant (to reduce drying out and prevent sticking of the paste to the sides of the container), an acid-stable emulsifier (to prevent separation of the oil and aqueous phases), a pyrogenic silica (to act as athickener) and a carrier such as finely graded pecan shell or rice bran flour (to impart adhesive qualities tothe paste and provide texture). The concentration of the acid used to make the paste may be between 40%and 60% (w/w) depending on the tapping method used and the climatic conditions under which the paste isapplied. Note: appropriate safety precautions should be taken when preparing, handling and using stronglyacidic materials and their formulations.

21

according to the availability of local materials. * As well as being less wasteful and less hazardous to the person using it, the paste has the advantage of requiring slightly less frequent applications than the spray. The greater penetration of the paste requires the removal of a bigger strip of bark than normal; so in spite of fewer visits to the tree, the total height of the face worked is about the same as for the spray. Whichever type of stimulant is used, its strength, frequency of application, and the height of bark removed should be optimized so that at each removal of bark there is some live xylem tissue showing. This is indicated by the paler colour of the wood above the line which shows the extent of penetration of the acid from the previous streak; the wood below the line is darker and redder in colour. More recent research has shown that inclusion in the formulation of 2-chloroethylphosphonic acid (e.g. EthreI™), a chemical used to enhance yields of latex in rubber tapping, also has beneficial effects on resin production. However, further research is needed to demonstrate the long-term benefits and it is not thought to be used commercially in tapping pine trees at present.

During the course of its flow some resin solidifies on the face of the tree before reaching the receiver. The extent to which this happens depends on the species of pine being tapped. The solid may be scraped off periodically during the season, or it may be left to the end and collected and processed separately from the bulk of the resin as it will yield a slightly lower grade of rosin.

At about six monthly intervals, or at the end of the season, the cup and gutter system is removed and re-installed where the last removal of bark was made; a second season's tapping can then be carried out. This is repeated for a third, fourth and, perhaps, fifth season (3-4 years in total), when the height finally attained is likely to be too great for a person to reach and it becomes uneconomic to proceed any higher. Depending on the intended use for the trees, it may be possible to initiate a second face for tapping on the opposite side of the trunk.

System of tapping using a narrow face

Procedures using a narrow face are also based on the removal of bark with acid treatment. However, the use of a narrower face, usually 10 cm wide, brings with it several advantages, the most important being the simpler system of guttering that can be used. A small, flat, arc-shaped piece of galvanized iron is inserted edgewise into the shaved part of the tree with a special tool; it requires no nails to hold it in place. A clay or plastic pot is supported under it by a single nail or wooden splint; in appropriate circumstances, a bamboo cup or coconut shell can be used as the resin receiver. The height of bark removed at each visit to the tree is similar to that for a wide face, about 2-2.5 cm; the tapping schedule (using spray or paste-based stimulant) is also similar. After working on one vertical face for four years,

* In addition to the sulphuric acid solution itself, a typical paste contains small amounts of a lubricant-cum­surfactant (to reduce drying out and prevent sticking of the paste to the sides of the container), an acid­stable emulsifier (to prevent separation of the oil and aqueous phases), a pyrogenic silica (to act as a thickener) and a carrier such as finely graded pecan shell or rice bran flour (to impart adhesive qualities to the paste and provide texture). The concentration of the acid used to make the paste may be between 40% and 60% (w/w) depending on the tapping method used and the climatic conditions under which the paste is applied. Note: appropriate safety precautions should be taken when preparing, handling and using strongly acidic materials and their formulations.

21

another may be started about 10 cm to one side of the first. In this way, four or five faces,each lasting for four years, may be worked on large trees. If the trees are large enough,two or more faces may be worked simultaneously; however, although they will be higher,resin yields for two faces are not twice that for a single face.

Tapping remains essentially a manual operation whatever system is used, andalthough attempts have been made, notably in the United States, to introducemechanization for some of the tasks, particularly those which are physically demandingsuch as the initial shaving of the tree and the removal of bark, they have met with littlesuccess. The tools and accessories required for tapping are relatively few and simple andinclude the following:

bark shaving tool

cup or other form of receiver

guttering

nail (s) (to support cup and/or to fix guttering)

hammer

bark hack

file or whetting stone (for sharpening bark hack)

sulphuric acid-based stimulant (liquid or paste)

bottle (plastic, for application of acid)

bucket (into which resin from cup is emptied)

funnel (for transfer of resin from bucket to drum)

drum or barrel

protective clothing and accessories (for tapper, including visor or goggles, acid-proof gloves, plastic apron or other garment, and rubber boots).

LABOUR AND ORGANIZATION

Labour requirements and organization during the tapping season vary from producer toproducer. Methods of tapping which involve the removal of bark and application of achemical stimulant usually mean that the tapper only needs to visit the tree every 7-14 days;the interval may be even longer under favourable conditions and using acid paste. Methodswhich involve the removal of wood without applying stimulant require more frequent visits,every one to three days, and are therefore more demanding in terms of labour. Resin isemptied from the receiver every second, third or fourth visit depending on the system oftapping used and the size of the receiver. It is emptied into buckets and the full buckets areemptied into drums or barrels strategically located amongst the trees. When full, the drumsare transported directly to the processing plant or to a central storage depot.

Productivity is dependent on the system of tapping used and the efficiency of thetapper; it is also influenced by tree density and the terrain over which the tapper has tomove when going from tree to tree. Between 200 and 800 faces may be attended in oneday, so in a two-week cycle of 10 working days, 2000-8000 trees (or less if more than one

22

another may be started about 10 cm to one side of the first. In this way, four or five faces, each lasting for four years, may be worked on large trees. If the trees are large enough, two or more faces may be worked simultaneously; however, although they will be higher, resin yields for two faces are not twice that for a single face.

Tapping remains essentially a manual operation whatever system is used, and although attempts have been made, notably in the United States, to introduce mechanization for some of the tasks, particularly those which are physically demanding such as the initial shaving of the tree and the removal of bark, they have met with little success. The tools and accessories required for tapping are relatively few and simple and include the following:

• bark shaving tool

• cup or other form of receiver

• guttering

• nail(s) (to support cup and/or to fix guttering)

• hammer

• bark hack

• file or whetting stone (for sharpening bark hack)

• sulphuric acid-based stimulant (liquid or paste)

• bottle (plastic, for application of acid)

• bucket (into which resin from cup is emptied)

• funnel (for transfer of resin from bucket to drum)

• drum or barrel

• protective clothing and accessories (for tapper, including visor or goggles, acid­proof gloves, plastic apron or other garment, and rubber boots).

LABOUR AND ORGANIZATION

Labour requirements and organization during the tapping season vary from producer to producer. Methods of tapping which involve the removal of bark and application of a chemical stimulant usually mean that the tapper only needs to visit the tree every 7-14 days; the interval may be even longer under favourable conditions and using acid paste. Methods which involve the removal of wood without applying stimulant require more frequent visits, every one to three days, and are therefore more demanding in terms of labour. Resin is emptied from the receiver every second, third or fourth visit depending on the system of tapping used and the size of the receiver. It is emptied into buckets and the full buckets are emptied into drums or barrels strategically located amongst the trees. When full, the drums are transported directly to the processing plant or to a central storage depot.

Productivity is dependent on the system of tapping used and the efficiency of the tapper; it is also influenced by tree density and the terrain over which the tapper has to move when going from tree to tree. Between 200 and 800 faces may be attended in one day, so in a two-week cycle of 10 working days, 2000-8000 trees (or less if more than one

22

face is being worked per tree) can be tapped by one person. Although a different individualusually collects the accumulated resin from the trees, there may also be a division of labouramongst the tappers themselves. For example, one person in a team may be responsible forapplying the stimulant and/or replacing the cup on the tree (which is either covered orremoved during streaking to avoid pieces of bark falling into it) while the others carry outthe strealdng.

In addition to the tappers, small teams of people are required during theestablishment and maintenance phases: to shave the trees and install the cups and guttersprior to tapping new groups of trees (establishment), and to remove the cups and guttersand repeat the process at the end of one season in preparation for the next (maintenance).

Several systems of remuneration exist. The hourly wage system, which requiresconstant supervision, increases production costs and gives the labourers no incentive towork efficiently. A system in which contractors or pieceworkers undertake the tapping hasthe advantage of relieving management of some of the problems associated with having alarge labour force under its direct control, and payment on the basis of the quantity of resinproduced encourages higher levels of production. Some supervision or checking is stillrequired to ensure that tapping is being carried out correctly, and a system of bonuses orpenalties may be adopted to reward productivity and penalize poor workmanship. In somecountries a plot-holder is allocated a specific number of trees, perhaps 5000; he can thenemploy extra tapping labour at his own expense if he needs it, or involve other members ofhis family.

23

face is being worked per tree) can be tapped by one person. Although a different individual usually collects the accumulated resin from the trees, there may also be a division of labour amongst the tappers themselves. For example, one person in a team may be responsible for applying the stimulant and/or replacing the cup on the tree (which is either covered or · removed during streaking to avoid pieces of bark falling into it) while the others carry out the streaking.

In addition to the tappers, small teams of people are required during the establishment and maintenance phases: to shave the trees and install the cups and gutters prior to tapping new groups of trees (establishment), and to remove the cups and gutters and repeat the process at the end of one season in preparation for the next (maintenance).

Several systems of remuneration exist. The hourly wage system, which requires constant supervision, increases production costs and gives the labourers no incentive to work efficiently. A system in which contractors or pieceworkers undertake the tapping has the advantage of relieving management of some of the problems associated with having a large labour force under its direct control, and payment on the basis of the quantity of resin produced encourages higher levels of production. Some supervision or checking is still required to ensure that tapping is being carried out correctly, and a system of bonuses or penalties may be adopted to reward productivity and penalize poor workmanship. In some countries a plot-holder is allocated a specific number of trees, perhaps 5000; he can then employ extra tapping labour at his own expense if he needs it, or involve other members of his family.

23

CHAPTER 3

PROCESSING AND PLANT DESCRIPTION

INTRODUCTION

The separation of resin into its component parts, rosin and turpentine, involves two basicoperations: cleaning and distillation. Cleaning is necessary to remove all extraneousmaterial from the resin, looth solid and soluble. This includes forest debris such as bark,pine needles and insects, which may have fallen into the cup during its period on the tree,and which require removal by filtration. Water-soluble impurities carried into the cup byrain water are removed by washing the filtered resin with water. The approximatecomposition of crude resin, as it is received at the plant for processing, is 70% rosin, 15%turpentine and 15% debris and water. Small amounts of iron produced by the corrosiveaction of excess sulphuric acid on galvanized iron guttering and cups may also contaminatethe resin. As the presence of iron would lead to a darker, lower-grade rosin, it is removedby adding oxalic acid prior to filtration. Iron contamination has become less of a problemas the use of acid paste rather than spray has become more widely adopted. The use ofcups made of plastic or other non-ferrous material eliminates the risk of iron contaminationfrom this source.

The cleaned resin is then ready to be distilled, or, to be precise, steam-distilled; theolder type of direct-fired still has given way, almost universally, to a still in which steam isused both to heat the resin and to facilitate the distillation by co-distilling with theturpentine vapours. Designs of equipment, and the procedures followed, vary somewhatbetween producing countries. The Olustee process, developed and used in the UnitedStates and adopted elsewhere, is described first. The methodology is well documented, andsince the differences between this and any other system of processing are likely to bematters of detail rather than principle, a description of the process serves as a useful guideto any prospective processor of crude resin. The final design of plant can be tailored to suitlocal preferences and requirements in terms of scale. A description is then given ofPortuguese methods which are based on the same principles as the Olustee process, butwhich differ in the layout of equipment and the relative capacity of some of the units.Processing methods used in other producing countries are not described. To a greater orlesser degree they all follow the same basic principles, namely, filtration of the hot, dilutedresin, usually including a washing stage, and steam-distillation.

OLUSTEE PROCESS FOR THE PRODUCTION OF TURPENTINEAND ROSIN

The scheme of processing is illustrated in Figure 2. Barrels of resin arriving at the plant areimmediately weighed and upturned over an iron grill covering a large concrete or mild steeldump vat. The barrels are placed over steam outlets to remove the last of the adheringsemi-solid resin. 'Scrape', the solidified resin which is taken off the face of the tree at theend of the season and which yields a poorer quality rosin, is emptied into a separatecompartment for separate processing.

24

INTRODUCTION

CHAPTER 3

PROCESSING AND PLANT DESCRIPTION

The separation of resin into its component parts, rosin and turpentine, involves two basic operations: cleaning and distillation. Cleaning is necessary to remove all extraneous material from the resin, both solid and soluble. This includes forest debris such as bark, pine needles and insects, which may have fallen into the cup during its period on the tree, and which require removal by filtration. Water-soluble impurities carried into the cup by rain water are removed by washing the filtered resin with water. The approximate composition of crude resin, as it is received at the plant for processing, is 70% rosin, 15% turpentine and 15% debris and water. Small amounts of iron produced by the corrosive action of excess sulphuric acid on galvanized iron guttering and cups may also contaminate the resin. As the presence of iron would lead to a darker, lower-grade rosin, it is removed by adding oxalic acid prior to filtration. Iron contamination has become less of a problem as the use of acid paste rather than spray has become more widely adopted. The use of cups made of plastic or other non-ferrous material eliminates the risk of iron contamination from this source.

The cleaned resin is then ready to be distilled, or, to be precise, steam-distilled; the older type of direct-fired still has given way, almost universally, to a still in which steam is used both to heat the resin and to facilitate the distillation by co-distilling with the turpentine vapours. Designs of equipment, and the procedures followed, vary somewhat between producing countries. The Olustee process, developed and used in the United States and adopted elsewhere, is described first. The methodology is well documented, and since the differences between this and any other system of processing are likely to be matters of detail rather than principle, a description of the process serves as a useful guide to any prospective processor of crude resin. The final design of plant can be tailored to suit local preferences and requirements in terms of scale. A description is then given of Portuguese methods which are based on the same principles as the Olustee process, but which differ in the layout of equipment and the relative capacity of some of the units. Processing methods used in other producing countries are not described. To a greater or lesser degree they all follow the same basic principles, namely, filtration of the hot, diluted resin, usually including a washing stage, and steam-distillation.

OLUSTEE PROCESS FOR THE PRODUCTION OF TURPENTINE AND ROSIN

The scheme of processing is illustrated in Figure 2. Barrels of resin arriving at the plant are immediately weighed and upturned over an iron grill covering a large concrete or mild steel dump vat. The barrels are placed over steam outlets to remove the last of the adhering semi-solid resin. 'Scrape', the solidified resin which is taken off the face of the tree at the end of the season and which yields a poorer quality rosin, is emptied into a separate compartment for separate processing.

24

Figure 2Scheme of resin processing in the United States of America

Source: Based on McConnell (1963)

Stearn

Trap

Chargetank

Steam-Still

Separator

Condenser

Water

De iyiliator

Toturpentinereceiver

N VI

Figure 2 Scheme of res in processing in the United States of America

[J l lIl1P va l

... -Blow - , ... ..

C d S~

Source: Based on McConnell (19631

-.

S ieil lll

Wit , h w a ler

Was il 1<1 111,

S I( ~ ( lll \

J.-----W"s il l ank

dlllllP vat

t Conden ser

W a l el

""me 51111

+

In ~--

I p.u " ve l

Se p a la to l

De hydr3 10r

In order to facilitate the flow from one unit to another, the resin has to be dilutedwith turpentine and heated. As well as making the resin more fluid, dilution lowers itsspecific gravity, so that in the later washing stage it will form a two-phase system withwater more readily. The resin is transferred first from the dump vat to a blow-case, andthen from the blow-case to a melter, by the use of steam pressure. Filter aid (diatomaceousearth, 0.5-0.6 kg/tonne of resin) and oxalic acid (0.6-1.2 kg/tonne) are added at either ofthe two units. Turpentine (from a previous distillation) is added to bring the turpentinecontent of the resin to between 30% and 40%; the precise amount added depends onwhether good quality resin or 'scrape' is being processed. The temperature inside themelter is raised to 85-100°C by steam, the exact temperature again being dependent on thequality of the resin. Steam pressure is then used to force the hot resin first through a metalscreen at the bottom of the melter to remove the larger sized solid matter, and then througha filter to remove all remaining solids. The filter is of the horizontal or vertical plate typeand consists of about 12 plates backed with filter paper or cloth; filtration is assisted by thefilter aid added previously. The resin passes directly from the filter to the bottom of a washtank containing hot water. Each tank holds 1500-2000 litres of water which is sufficientfor washing up to 20 000 litres of resin (about seven charges from the melter). Afterwashing, the mixture is allowed to settle for at least 4 hours and preferably overnight. Thebottom aqueous layer is then run off to waste, an intermediate layer of unbroken emulsion('muck') is run off to be returned to the low grade dump vat for reprocessing, and the toplayer, which consists of washed resin, is drained and pumped to a charge tank inpreparation for distillation.*

The still is filled with resin from the charge tank. The temperature is then raised bymeans of steam coils to about 110°C at which point live steam is gradually introducedthrough sparger valves. As the temperature continues to rise, distillation proceeds and thesparger steam inflow is increased until, at the end of the distillation, the temperature hasreached 160-170°C. The rate of increase in temperature, and therefore the time taken forthe distillation, is dependent on the steam pressure used; the higher the pressure within therange 8.8-10.5 kg/cm2 (125-150 psi), the faster the distillation. For still capacities of about4-5 tonnes, distillation times vary between 90 and 150 minutes. If the steam pressure is toolow, it will be more difficult to remove the last of the turpentine (particularly if there areappreciable amounts of high-boiling components) and there will be an inordinately longresidence time for the hot rosin in the still; both these factors have an adverse effect on thequality of the rosin. The turpentine and steam vapours pass through an entrainment trap toremove any entrained resin and then condense in a water-cooled condenser. Completion ofdistillation is indicated by a minimal level of turpentine in the distillate (which, byexperience, is found to correspond to a particular temperature). A small proportion of theturpentine coming over at the beginning and end of the distillation may be collectedseparately as slightly lower-quality turpentine, and used for diluting the next batch of resinat the melter. Otherwise, there is no fractionation.

The water-turpentine distillate is led immediately to a separating tank; the upperturpentine layer overflows and passes first down to the base of the dehydrator and thenupwards through a bed of rock salt to remove all traces of water. The dry turpentine is

* Simple batch, rather than continuous or vacuum distillation, is most commonly used and is describedhere, although the other methods offer some advantages in terms of product quality and steam consumptionif there is sufficient throughput of resin to justify their use.

26

In order to facilitate the flow from one unit to another, the resin has to be diluted with turpentine and heated. As well as making the resin more fluid, dilution lowers its specific gravity, so that in the later washing stage it will form a two-phase system with water more readily. The resin is transferred first from the dump vat to a blow-case, and then from the blow-case to a melter, by the use of steam pressure. Filter aid (diatomaceous earth, 0.5-0.6 kg/tonne of resin) and oxalic acid (0.6-1.2 kg/tonne) are added at either of the two units. Turpentine (from a previous distillation) is added to bring the turpentine content of the resin to between 30% and 40%; the precise amount added depends on whether good quality resin or 'scrape' is being processed. The temperature inside the melter is raised to 85-100°C by steam, the exact temperature again being dependent on the quality of the resin. Steam pressure is then used to force the hot resin first through a metal screen at the bottom of the melter to remove the larger sized solid matter, and then through a filter to remove all remaining solids. The filter is of the horizontal or vertical plate type and consists of about 12 plates backed with filter paper or cloth; filtration is assisted by the filter aid added previously. The resin passes directly from the filter to the bottom of a wash tank containing hot water. Each tank holds 1500-2000 litres of water which is sufficient for washing up to 20 000 litres of resin (about seven charges from the me Iter) . After washing, the mixture is allowed to settle for at least 4 hours and preferably overnight. The bottom aqueous layer is then run off to waste, an intermediate layer of unbroken emulsion ('muck') is run off to be returned to the low grade dump vat for reprocessing, and the top layer, which consists of washed resin, is drained and pumped to a charge tank in preparation for distillation. *

The still is filled with resin from the charge tank. The temperature is then raised by means of steam coils to about 110°C at which point live steam is gradually introduced through sparger valves. As the temperature continues to rise, distillation proceeds and the sparger steam inflow is increased until, at the end of the distillation, the temperature has reached 160-170°C. The rate of increase in temperature, and therefore the time taken for the distillation, is dependent on the steam pressure used; the higher the pressure within the range 8.8-10.5 kg/cm2 (125-150 psi), the faster the distillation. For still capacities of about 4-5 tonnes, distillation times vary between 90 and 150 minutes. If the steam pressure is too low, it will be more difficult to remove the last of the turpentine (particularly if there are appreciable amounts of high-boiling components) and there will be an inordinately long residence time for the hot rosin in the still; both these factors have an adverse effect on the quality of the rosin. The turpentine and steam vapours pass through an entrainment trap to remove any entrained resin and then condense in a water-cooled condenser. Completion of distillation is indicated by a minimal level of turpentine in the distillate (which, by experience, is found to correspond to a particular temperature). A small proportion of the turpentine coming over at the beginning and end of the distillation may be collected separately as slightly lower-quality turpentine, and used for diluting the next batch of resin at the melter. Otherwise, there is no fractionation.

The water-turpentine distillate is led immediately to a separating tank; the upper turpentine layer overflows and passes first down to the base of the dehydrator and then upwards through a bed of rock salt to remove all traces of water. The dry turpentine is

* Simple batch, rather than continuous or vacuwn distillation, is most commonly used and is described here, although the other methods offer some advantages in terms of product quality and steam conswnption if there is sufficient throughput of resin to justify their use.

26

then fed to holding tanks for subsequent storage in bulk or in galvanized steel drums. Thehot rosin from the body of the still is discharged from the bottom into suitable containerswhich are set aside for the rosin to cool and solidify.

Yields of rosin and turpentine obtained by US producers were about 700 kg and160 litres (140 kg), respectively, from one tonne of resin. 'Scrape° yields less turpentinethan normal resin. Specifications for both products are given in Appendix 2. The generalappearance of the rosin should be hard, clear and bright, pale yellow-brown in colour, andwith no visible sign of foreign matter or turbidity due to the presence of moisture.Packaging options for turpentine and rosin are described below, but more detailedpackaging and labelling requirements are given in Appendix 4.

The materials used for the construction of the plant are important. The dump vat isconcrete or mild steel and the blow-case is mild steel. In order to avoid corrosion by theacidic material, any area where hot resin is handled should be stainless steel; the melter,filter (where it comes into contact with the resin), charge tank, still and all pipework are alltherefore made of stainless steel. The wash tank may be aluminium or stainless steel. Thecondenser, separator and dehydrator are also usually of stainless steel.

In the United States, melter capacity varied between 2.5 and 5 tonnes of resin whenthere were a number of independent processors. There were usually two or more washtanks, each capable of holding up to 22 tonnes of resin and each providing material for fourdistillations. Operation of two stills, or double shifts, allowed up to 10 000 tonnes of resinto be processed in a year.

PRODUCTION OF TURPENTINE AND ROSIN IN PORTUGAL

The scheme of processing followed in Portugal is based on the same principles which led tothe development of the Olustee process in the United States but some of the units whichmake up the plant differ in design and capacity. The process lay-out is illustrateddiagrammatically in Figure 3.

Metal drums containing resin are unloaded at the dump vat. To facilitate theemptying of the drums (which is the most labour-intensive part of the whole process), arectangular section (measuring about 25 cm x 15 cm) is cut out of the side before use. Thesection is then replaced but can easily be removed subsequently as required. On receipt,the drums are rolled on their sides to the vat opening and the resin is forced out with largespatulas. Resin from the dump vat is fed directly into a mixer (the equivalent of the melterin the previous scheme) with no intermediate transfer to and from a blow-case. The mixer,rather than being just a containing vessel like the melter, incorporates a stirrer so that thecontents, including the added turpentine and oxalic acid (if used), can be thoroughly mixedas well as heated.

Another significant difference is the addition of washing water in the form of livesteam (up to 10%) at this stage rather than in liquid form at a later stage. The hot mixtureis next passed through a metal screen to take out the larger solid impurities; this occurs in aseparate vessel rather than at the bottom of the melter as in the Olustee process.

27

then fed to holding tanks for subsequent storage in bulk or in galvanized steel drums. The hot rosin from the body of the still is discharged from the bottom into suitable containers which are set aside for the rosin to cool and solidify.

Yields of rosin and turpentine obtained by US producers were about 700 kg and 160 litres (140 kg), respectively, from one tonne of resin. 'Scrape' yields less turpentine than normal resin. Specifications for both products are given in Appendix 2. The general appearance of the rosin should be hard, clear and bright, pale yellow-brown in colour, and with no visible sign of foreign matter or turbidity due to the presence of moisture. Packaging options for turpentine and rosin are described below, but more detailed packaging and labelling requirements are given in Appendix 4.

The materials used for the construction of the plant are important. The dump vat is concrete or mild steel and the blow-case is mild steel. In order to avoid corrosion by the acidic material, any area where hot resin is handled should be stainless steel; the melter, filter (where it comes into contact with the resin), charge tank, still and all pipework are all therefore made of stainless steel. The wash tank may be aluminium or stainless steel. The condenser, separator and dehydrator are also usually of stainless steel.

In the United States, melter capacity varied between 2.5 and 5 tonnes of resin when there were a number of independent processors. There were usually two or more wash tanks, each capable of holding up to 22 tonnes of resin and each providing material for four distillations. Operation of two stills, or double shifts, allowed up to 10 000 tonnes of resin to be processed in a year.

PRODUCTION OF TURPENTINE AND ROSIN IN PORTUGAL

The scheme of processing followed in Portugal is based on the same principles which led to the development of the Olustee process in the United States but some of the units which make up the plant differ in design and capacity. The process lay-out is illustrated diagrammatically in Figure 3.

Metal drums containing resin are unloaded at the dump vat. To facilitate the emptying of the drums (which is the most labour-intensive part of the whole process), a rectangular section (measuring about 25 cm x 15 cm) is cut out of the side before use. The section is then replaced but can easily be removed subsequently as required. On receipt, the drums are rolled on their sides to the vat opening and the resin is forced out with large spatulas. Resin from the dump vat is fed directly into a mixer (the equivalent of the melter in the previous scheme) with no intermediate transfer to and from a blow-case. The mixer, rather than being just a containing vessel like the melter, incorporates a stirrer so that the contents, including the added turpentine and oxalic acid (if used), can be thoroughly mixed as well as heated.

Another significant difference is the addition of washing water in the form of live steam (up to 10%) at this stage rather than in liquid form at a later stage. The hot mixture is next passed through a metal screen to take out the larger solid impurities; this occurs in a separate vessel rather than at the bottom of the melter as in the Olustee process.

27

Figure 3Scheme of resin processing in Portugal

]Dom')

vat

SLreeoingvessel

Steam

SUUICD: Based oil Gama (1982)

Mixer

To

E) cc

foixur r-IF-1--

Miluk lank

VVashwat.

Chargetank

Steam

Still

Water

Separator

Condenser

Dellyili atur

Tot orpent atereueiVC1

N 00

Figure 3 Scherne of resin processing in Portugal

Dump vat

Stealll----j

Screenlilg ve~sel

..... -

Filter

------...

Sourc .. : Based on Gama (1982)

Mixer Decanter

Filter

Steam

Charge tillik

Still Condenser

Water -"1--1 ----1

t To

reLl-!IVt;H

Sep3rator

DeliydrdlUr

A slurry of diatomacaeous earth is added from another vessel and the screenedmixture then passes immediately through a fine filter as before. 'I'he hot, filtered mixturepasses to one of several decanters in which the aqueous portion is allowed to settle out,usually overnight; one charge from the mixer is sufficient to fill one decanter (unlike theOlustee system where one wash tank takes four to seven charges from the melter).

Both batch and continuous distillations are carried out in Portugal and althoughbatch stills are predominant, the larger throughput which is possible with continuousdistillation means that a significant proportion of Portuguese production is obtained in thisway. Batch stills in Portugal are relatively small, with a capacity of 0.5 or 1 tonne, anddistillation times are short, about 20-30 minutes. On completion of the distillation, therosin is often drained from the still into a wagon; this can then be pushed between two linesof steel drums spaced out on a concrete floor, and rosin can be discharged into them bylowering an overflow arrn. Alternatively, paper sacks may be filled.

Stainless steel is again the main construction material. Mixer and decantercapacities are each about 5-7 tonnes, and there are usually at least four decanters to providea constant supply of material for distillation. Nominal plant capacities range from a fewthousand tonnes up to about 10 000 tonnes/year.

SCALE OF OPERATIONS AND LABOUR REQUIREMENTS

The target production is determined by the availability of crude resin, the throughput whichcan be sustained, and the size of the market for the products. In some cases, the resinsupply may be limited by the number of suitable trees available for tapping. The annualproduction capacity required to meet the target is largely dictated by the still size, thenumber of stills, and the shifts worked. The smallest sized plant might have a single stillwith a capacity of one tonne and be capable of performing three distillations per day (singleshift). The number of working days available each year will be governed by the length ofthe tapping season, but assuming a 260-day year, an annual throughput of around 800tonnes of resin could be achieved.

The factors to be considered when choosing between the different processingsystems include relative plant costs, availability and cost of technical expertise, the costs ofmaintenance and spare parts, steam and water requirements, and the relative advantages ordisadvantages of using larger or smaller batch sizes. Estimates of plant costs are discussedin Chapter 4. Data necessary to make an accurate comparison of steam and waterrequirements for the different types of plant are not available. The use of larger stills meansfewer distillations are needed to process a given amount of resin. However, a small stillallows for greater flexibility if interruptions in steam, water or raw material supplies areanticipated. As the stills designed for distillation of pine resin are not suitable for distillingharvested plant material to produce essential oils, this is not an option for using sparecapacity should it occur. In any case, the risk of cross-contamination and taints would betoo high.

The labour requirements are comparatively small for a plant capable of handling upto 1000 tonnes/year of resin. Only four or five skilled workers and a greater number ofgeneral labourers are needed; one person is normally responsible for operating the still, two

29

A sluny of diatomacaeous earth is added from another vessel and the screened mixture then passes immediately through a fine filter as before. The hot, filtered mixture passes to one of several decanters in which the aqueous portion is allowed to settle out, usually overnight; one charge from the mixer is sufficient to fill one decanter (unlike the Olustee system where one wash tank takes four to seven charges from the melter).

Both batch and continuous distillations are carried out in Portugal and although batch stills are predominant, the larger throughput which is possible with continuous distillation means that a significant proportion of Portuguese production is obtained in this way. Batch stills in Portugal are relatively small, with a capacity of 0.5 or 1 tonne, and distillation times are short, about 20-30 minutes. On completion of the distillation, the rosin is often drained from the still into a wagon; this can then be pushed between two lines of steel drums spaced out on a concrete floor, and rosin can be discharged into them by lowering an overflow arm. Alternatively, paper sacks may be filled.

Stainless steel is again the main construction materiaL Mixer and decanter capacities are each about 5-7 tonnes, and there are usually at least four decanters to provide a constant supply of material for distillation. Nominal plant capacities range from a few thousand tonnes up to about 10 000 tonnes/year.

SCALE OF OPERATIONS AND LABOUR REQUIREMENTS

The target production is determined by the availability of crude resin, the throughput which can be sustained, and the size of the market for the products. In some cases, the resin supply may be limited by the number of suitable trees available for tapping. The annual production capacity required to meet the target is largely dictated by the still size, the number of stills, and the shifts worked. The smallest sized plant might have a single still with a capacity of one tonne and be capable of performing three distillations per day (single shift). The number of working days available each year will be governed by the length of the tapping season, but assuming a 260-day year, an annual throughput of around 800 tonnes of resin could be achieved.

The factors to be considered when choosing between the different processing systems include relative plant costs, availability and cost of technical expertise, the costs of maintenance and spare parts, steam and water requirements, and the relative advantages or disadvantages of using larger or smaller batch sizes. Estimates of plant costs are discussed in Chapter 4. Data necessary to make an accurate comparison of steam and water requirements for the different types of plant are not available. The use of larger stills means fewer distillations are needed to process a given amount of resin. However, a small still allows for greater flexibility if interruptions in steam, water or raw material supplies are anticipated. As the stills designed for distillation of pine resin are not suitable for distilling harvested plant material to produce essential oils, this is not an option for using spare capacity should it occur. In any case, the risk of cross-contamination and taints would be too high.

The labour requirements are comparatively small for a plant capable of handling up to 1000 tonnes/year of resin. Only four or five skilled workers and a greater number of general labourers are needed; one person is normally responsible for operating the still, two

29

or three others assist and operate the other pieces of equipment, and one is in charge of theboiler. The emptying of the barrels or drums of crude resin is the most labour-intensive andtime-consuming part of the whole processing operation and at least six labourers arerequired for unloading, loading and similar work. A storeman, and office and transportstaff, are also required. The total labour requirements for a larger plant do not increaseproportionately as the same number of workers are needed to operate the specialized piecesof equipment. More general labourers will be required, though, to handle the greaterquantities of resin and its products.

30

or three others assist and operate the other pieces of equipment, and one is in charge of the boiler. The emptying of the barrels or drums of crude resin is the most labour-intensive and time-consuming part of the whole processing operation and at least six labourers are required for unloading, loading and similar work. A storeman, and office and transport staff, are also required. The total labour requirements for a larger plant do not increase proportionately as the same number of workers are needed to operate the specialized pieces of equipment. More general labourers will be required, though, to handle the greater quantities of resin and its products.

30

CHAPTER 4FINANCIAL AND ECONOMIC ASPECTS OF RESIN

TAPPING AND PROCESSING

The aim of this section is to provide economic and financial guidelines for the productionand processing of pine resin. Although the production of crude resin, and its processinginto rosin and tut-pentine, are distinct operations, the cost levels of resin tapping willdirectly affect the economic and financial competitiveness of resin processing.

It is irnpossible to compete in world markets if crude resin costs are markedlyhigher than those of the largest three exporters, the People's Republic of China, Indonesiaand Brazil. The international trade in crude resin has expanded over the last five years,particularly- from Brazil to Portugal and India, but it still represents a very small percentageof the total volume of rosin and turpentine traded.

It must be emphasized that costs will be site specific and there could be substantialdifferences according- to local circumstances. This is particularly true of the tappingoperation, and a detailed feasibility study, which would be necessary before making anyinvestment decision, would need to look closely at the pine resource and the likelyproductivity. h has already been noted that intrinsic resin yields are influenced by speciesand local climatic conditions, but output is also greatly influenced by the productivity of theworkforce and the effectiveness of the management, and this may vary considerably fromone country to another (or even within-country).

RESIN TAPPING OPERATIONS

Tapping is a labour-intensive operation and labour costs will therefore greatly influenceproduction costs and, hence, profitability. The tapping operation itself can be cat-ried outby contractors or pieceworkers who are paid according to the amount of clean resin theyproduce. The advantages of this system of payment have been discussed in a previoussection. A much smaller, permanent work force is required to supervise and manage thetapping operation, anange for purchase, storage and transport of crtude resin, and maintainstores and accounts. However, it is essential for management to undertake periodic checksto ensure that con-ect tapping procedures are being followed.

The major capital cost N hen establishing a tapping operation is the purchase ofgutters and cups, a range of tools, and items of protective clothing and footwear for thetappers. The gutters and cups may be manufactured specifically for the purpose, or theymay be made using suitable secondhand materials. Other major items of expenditureinclude pre-production and start-up costs, transport within the forest and to the processingplant, and licence fees payable to the owner of the trees for tapping rights.

Although it is impossible to provide accurate costs of a tapping operation, Table 4gives details of the estimated pre-production, start-up, fixed investment, working capitaland annual production costs for an African country at 1995 prices.

31

CHAPTER 4

FINANCIAL AND ECONOMIC ASPECTS OF RESIN TAPPING AND PROCESSING

The aim of this section is to provide economic and financial guidelines for the production and processing of pine resin. Although the production of crude resin, and its processing into rosin and turpentine, are distinct operations, the cost levels of resin tapping will directly affect the economic and financial competitiveness of resin processing.

It is impossible to compete in world markets if crude resin costs are markedly higher than those of the largest three exporters, the People's Republic of China, Indonesia and Brazil. The international trade in crude resin has expanded over the last five years, particul arl y from Brazil to Portugal and India, but it still represents a very small percentage of the total volume of rosin and turpentine traded.

It must be emphasized that costs will be site specific and there could be substantial differences according to local circumstances. This is particularly true of the tapping operation, and a detailed feasibility study, which would be necessary before making any investment decision, would need to look closely at the pine resource and the likely productivity. It has already been noted that intrinsic resin yields are influenced by species and local climatic conditions, but output is also greatly influenced by the productivity of the workforce and the effectiveness of the management, and this may vary considerably from one country to another (or even Within-COuntry).

RESIN TAPPING OPERATIONS

Tapping is a labour-intensive operation and labour costs will therefore greatly influence production costs and, hence, profitability. The tapping operation itself can be carried out by contractors or pieceworkers who are paid according to the amount of clean resin they produce. The advantages of this system of payment have been discussed in a previous section. A much smaller, permanent work force is required to supervise and manage the tapping operation, arrange for purchase, storage and transport of crude resin, and maintain stores and accounts. However, it is essential for management to undertake periodic checks to ensure that con'ect tapping procedures are being followed.

The major capital cost when establishing a tapping operation is the purchase of gutters and cups, a range of tools, and items of protective clothing and footwear for the tappers. The gutters and cups may be manufactured specifically for the purpose, or they may be made using suitable secondhand materials. Other major items of expenditure include pre-production and start-up costs, transport within the forest and to the processing plant, and licence fees payable to the owner of the trees for tapping rights.

Although it is impossible to provide accurate costs of a tapping operation, Table 4 gives details of the estimated pre-production, start-up, fixed investment, working capital and annual production costs for an African country at 1995 prices.

31

Table 4Resin tapping operations: estimated pre-production, fixed inves-tment, working capital and

annual production costs for an African country

32

Annual production costsManpower: wages and salaries to permanent labour force 20 000Raw materials:Licence fees for use of trees 30 000Contractors' payments (based on 200 trees with double faceto be tapped per vvorking day) 80 000

Production materials:Nails 9 000Sulphuric acid paste 15 000

Transport: fuel, licences and insurance 35 000Equipment: maintenance and replacement 10 000General stores 15 000Contingencies (10%, all items except manpoweilraw materials) 8 400 222 400

Annual charge for fixed and working capital (20%) 73 100

TOTAL annual cost of resin 295 500

Sub-total(US$)

Total costs(US$)

Pre-production and start-up costsManpower recruitment and training: initial management andadministrative expenses: materials for training 25 000Contingencies (10%) 2 500 27 500

Fixed investment costsSite preparation, civil works and loading bay 5 000Buildings: staff housing and office 65 000Production equipment: bark shavers, gutters: cups, tappingtools, acid applicators, buckets, funnels, drums, acid-proofaprons, rubber boots 80 000Auxiliary equipment: vehicles, workshop and office equipment 70 000Contingencies (10%) 22 000 242 000

Working capital costs3 months' working capital for raw materials, labour andstaff costs, exploitation fees, vehicle licences and insurance 96 000

TOTAL fixed and working capital costs 365 500

Table 4 Resin tapping operations: estimated pre-production, fixed investment, working capital and

annual production costs for an African country

Pre-production and start-up costs Manpower recruitment and training; initial management and administrative expenses; materials for training Contingencies (J 0%)

Fixed investment costs Site preparation, civi l works and loading bay Buildmgs: staff housing and office Production equipment: bark shavers, gutters; cups, tapping tools, acid applicators, buckets, funnels, drums, acid-proof aprons, rubber boots Auxiliary equipment: vehiclcs, workshop and office equipment Contingencies (10%)

Working capital costs 3 months' working capital for raw materials, labour and staff costs, exploitation fees, vehicle licences and insurance

TOTAL rIXcd and working capital costs

Annual production costs Manpower: wages and salaries to permanent labour force Raw materi als: Licence fees for use of trees Contractors' payments (based on 200 trees with double face to be tapped per working day) Production materials: Nails Sulphuric acid paste

Transport: fuel, licences and insurance Equipment: maintenance and replacement General stores Contingencies (10%, all items except manpowe,/raw materials)

Annual charge fo r fixed and working capital (200/0)

TOTAL annual cost of resin

32

Sub-total (US$)

25000 2500

5000 65000

80000 70000 22000

20000

30000

80000

9000 15000 35000 10000 15000 8400

Total costs (US$)

27500

242000

96 000

365500

222 400

73100

295500

All the costs are based on 1000 tonnes of crude resin being produced from 400 000trees, each yielding an average of 2.5 kg of resin per y-ear from two faces. As stated above,labour productivity and annual resin yields per tree will be critical in determining theprofitability of the tapping operation.

It should be noted that in order for the data to reflect the true annual costs ofproduction, fixed and working capital costs are charged at 20%/year; this is lower than isusual in many African countries.

Table 4 shows a total annual cost of crude resin at the production site ofUS$295/tonne. 'World prices for crude resin in the period 1991-94 (for traded material)averaged US$270-320/tonne (c&f) but prices may fall back slightly between 1996 and2000. Allowances for ocean freight, internal transport costs, and ad valorem import duties,will enable a new resin producer in Africa, for instance, to be competitive in domestic andregional markets and to make a profit on capital employed, even if crude resin is producedat levels slightly above this range. Profitability is likely to be low, however, if imports arepermitted and duty levels are only 20% or lower.

RESIN PROCESSING OPERATIONS

The overall capital costs of a resin processing plant cover machinery and equipment, freightof all imported items, and installation and start-up. Pre-production costs such as manpowerrecruitment and training and all initial management and administrative expenses also have tobe included. It is assumed that the training element will be provided by a foreign technicalexpert. Additional provision must be made for land costs and civil works, buildings,utilities, auxiliary equipment and spares.

An approximation of pre-production, fixed investment, workim_-_,- capital and annualproduction costs for an African country is given in Table 5 (based on 1995 prices). Costsrelate to single-shift working throughout the year and are based on 1000 tonnes of cruderesin as raw material (costed in Table 4) producing an estimated 700 tonnes of rosin and110 tonnes of turpentine. Operation of the factory on a two-shift basis processing 2000tonnes of resin annually, would reduce unit fixed and working capital costs per tonne ofrosin produced. The annual charge for fixed costs would fall by US$60 000, but annualproduction costs would rise. Table 5 shows a total annual cost for processing 1000 tonnesof crude resin of about US$668 000.

Using the figures for total annual costs shown for the African model in Tables 4 and5, and assuming that 700 tonnes of rosin and 110 tonnes of turpentine are recovered from1000 tonnes of crude resin, it is possible to calculate the annual production cost per tonneof rosin. In those parts of Africa where petroleum-based 'mineral turpentine' or white spiritis available cheaply, gum turpentine may not be highly- valued, and it may be uneconomic toship small consignments to export markets because of the cost of drums and ocean freight.Therefore, in calculating a break-even price for rosin, turpentine is given a nominal value ofUS$350/tonne. The total value for 110 tonnes of turpentine is thus US$38 500, anddeducting this from the total annual production costs of US$668 400 gives a residual costof US$629 900; this is equivalent to a break-even price for the rosin of US$900/tonne.

33

All the costs are based on 1000 tonnes of crude resin being produced from 400 000 trees, each yielding an average of 2.5 kg of resin per year from two faces. As stated above, labour productivity and annual resin yields per tree will be critical in determining the profitability of the tapping operation.

It should be noted that in order for the data to reflect the true annual costs of production, fixed and working capital costs are charged at 20%/year; this is lower than is usual in many African countries.

Table 4 shows a tota l annual cost of crude resin at the production site of US$295/tonne. World prices for crude resin in the period 1991-94 (for traded material) averaged US$270-320/tonne (c&f) but prices may fall back slightly between 1996 and 2000. Allowances for ocean freight, internal transport costs, and ad valorem import duties, will enable a new resin producer in Africa, for instance, to be competitive in domestic and regional markets and to make a profit on capital employed, even if crude resin is produced at levels slightly above this range. Profitability is likely to be low, however, if imports are permitted and duty levels are only 20% or lower.

RESIN PROCESSING OPERATIONS

The overall capital costs of a resin processing plant cover machinery and equipment, frei ght of all imported items, and installation and start-up. Pre-production costs such as manpower recruitment and training and all initial management and administrative expenses also have to be included. It is assumed that the training element will be provided by a foreign technical expert. Additional provision must be made for land costs and civil works, buildings, utilities, auxiliary equipment and spares.

An approximation of pre-production, fixed investment, working capital and annual production costs for an African country is given in Table 5 (based on 1995 prices). Costs relate to single-shift working throughout the year and are based on 1000 tonnes of crude resin as raw material (costed in Table 4) producing an estimated 700 tonnes of rosin and 110 tonnes of turpentine. Operation of the factory on a two-shift basis processing 2000 tonnes of resin annually, would reduce unit fixed and working capital costs per tonne of rosin produced. The annual charge for fixed costs would fall by US$60 000, but annual production costS would rise. Table 5 shows a total annual cost for processing 1000 tonnes of crude resin of about US$668 000.

Using the figures for total annual costs shown for the African model in Tables 4 and 5, and assuming that 700 tonnes of rosin and 110 tonnes of turpentine are recovered from 1000 tonnes of crude resin, it is possible to calculate the annual production cost per tonne of rosin. In those parts of Africa where petroleum-based 'mineral turpentine' or white spirit is available cheaply, gum turpentine may not be highly valued, and it may be uneconomic to ship small consignments to export markets because of the cost of drums and ocean freight. Therefore, in calculating a break-even price for rosin, turpentine is given a nominal value of US$350/tonne. The total value for 110 tonnes of turpentine is thus US$38 500, and deducting this from the total annual production costs of US$668 400 gives a residual cost of US$629 900; this is equivalent to a break-even price for the rosin of US$900/tonne.

33

Table 5Resin processing operations: estimated pre-production, fixed investment, working capital

and annual production costs for an African country

34

Sub-total(US$)

Total costs(US$)

Pre-production and start-up costsTechnical expertise 20 000Manpower recruitment; training and administration; materialsfor trial runs 25 000Contingencies (10%) 4 500 49 500

Fixed inves-ttnent costsSite preparation and civil works 10 000Buildings:Factory 60 000Workshop and staff housing 80 000Contingencies (10%) 15 000Plant and equipment:Boiler (imported) 74 000All other production equipment (made locally) 240 000Manager's 4WD vehicle; workshop and office equipment;clothing and tools 60 000Contingencies (5%) 18 700 557 700

TOTAL fixed costs 607 200

Annual production costsManpower: wages and salaries to pennanent labour force 84 000Raw materials: 1000 tonnes of resin at US$295/tonne 295 000Production materials: filters, filter aid and oxalic acid 20 000Transport: truck hire; fuel, licences and insurance for ownvehicles 36 000Equipment: maintenance and replacement 10 000Packaging: 4-ply paper sacks with HDPE lining, 20 kg net 7 000General overheads: office, telephone. fax, etc. 30 000Contingencies (including a provision for working capital tocover two months' supply of resin) 65 000 547 000

Annual charge for fixed costs (20%) 121 400

TOTAL annual costs 668 400

Table 5 Resin processing operations: estimated pre-production, fixed investment, working capital

and annual production costs for an African country

Pre-production and start-up costs Technical expertise Manpower recruitment; training and admillistration; materials for trial runs Contingencies (10%)

Fixed investment costs Site preparation and civil works Buildings: Factory Workshop and staff housing Contingencies (J 0%) Plant and equipment: Boiler (imported) All other production equipment (made locally)

Manager's 4WD vchlcle; workshop and office equipment; clothing and tools Contingencies (5%)

TOTAL fixed costs

Annual production costs Manpower: wages and salaries to permanent labour force Raw materials: 1000 tonnes of resin at US$295/tonne Produclion materials: filters, filter aid and oxalic acid Transport: truck hire; fuel, licences and insurance for own vehicles Equipment: maintenance and replacement Packaging: 4-ply paper sacks with HOPE lining, 20 kg net General overheads: office, telephone, fax, etc, Contingencies (including a provision for working capital to

cover two months' supply of resin)

Annual charge for fixed costs (20%)

TOTAL annual costs

34

Sub-total (US$)

20000

25000 4500

10000

60000 80000 15000

74000 240000

60000 18700

84000 295000 20000

36000 10000 7000

30000

65000

Total costs (US$)

49500

557700

607200

547000

121 400

668400

It should be noted that the gum naval stores industries established during the last 20years will be operating with older, lower-cost equipment which will have fully or partiallydepreciated. As a result, they should be able to produce both crude resin and processedrosin at prices 20-30% lower than those shown in Tables 4 and 5 which are based oncapital equipment purchase and start-up costs at 1995 prices.

COMPARATIVE ADVANTAGES AND DISADVANTAGES OFDOMESTIC, REGIONAL AND EXPORT MARKETS FOR A NEWPRODUCER

It is recognized that the break-even price for rosin of US$900/tonne is high compared withthe price of Chinese or Indonesian imported rosin, although it should be possible to reducecosts by improvements in productivity, particularly in the tapping operation. However, ifthe quality of his product is acceptable, an African (or any other) producer would have anadvantage o-ver the end user of imported rosin, in terms of meeting domestic or regionaldemand, because he would not incur the following additional costs. First, internal transportcosts from port to factory for imported material would probably be around US$40-60/tonne. Even if exports are made to regional countries by rail and truck, the advantage willbe retained of not having to bear the cost of ocean freight (approximately US$70-90/tonne)incurred by Chinese, Indonesian and other competitors.

Secondly, any customs duties or tariffs levied on imports will add to the landedcost; a duty of 20% will add a further US$100-120/tonne. It is also possible that aneighbouring country buying gum naval stores will have a reduced (or preferential) rate ofduty, allowing the regional exporter to pay only 50% of the full ad valorem tariff.

Thirdly, relatively small users often experience difficulty in opening 30-day letters ofcredit or providing sight drafts; several months' working capital may be tied up in theimport of 50-200 tonnes of rosin in a single shipment, and interest charges may add afurther US$50-100/tonne to their costs.

These additional costs amount to US$190-280/tonne for imported rosin and wouldraise the cost to the end user from about US$600 (c&f) to US$790-880/tonne. At the early1995 rosin price of US$750-800 rather than US$600, the African producer could sellcompetitively in the domestic market for between US$900 (his break-even price) andUS$1100/tonne. However, as these price levels are unlikely to be sustained over the nextthree to five years, a new producer should aim to produce rosin at US$750-800/tonne orpreferably less.

Once the domestic demand is satisfied, the new producer wiLl face a dilemma. Hewill be obliged to become a competitive exporter to find new markets but will only havemarginal tonnage to sell. He may have a surplus of crude resin, but will have to contendwith low prices and with buyers' minimum volume requirements which are hard to meet.His factory may be able to sell all its rosin and rosin products but may also need to disposeof 50-150 tornes of turpentine in drums. Turpentine in such small quantities, and possiblynot of the best quality-, may be difficult to sell on international markets. However, it is alsodifficult to expand output from 1000 tonnes of product sold in domestic markets, to 3000-

35

It should be noted that the gum naval stores industries established during the last 20 years will be operating with older, lower-cost equipment which will have fully or partially depreciated. As a result, they should be able to produce both crude resin and processed rosin at prices 20-30% lower than those shown in Tables 4 and 5 which are based on capital equipment purchase and start-up costs at 1995 prices.

COMPARATIVE ADVANTAGES AND DISADVANTAGES OF DOMESTIC, REGIONAL AND EXPORT MARKETS FOR A NEW PRODUCER

It is recognized that the break-even price for rosin of US$900/tonne is high compared Wilh the price of Chinese or Indonesian imported rosin, although it should be possible to reduce costs by improvements in productivity, particularly in the tapping operation. However, if the quality of his product is acceptable, an African (or any other) producer would have an advantage over the end user of imported rosin, in terms of meeting domestic or regional demand, because he would not incur the following additional costs. First, internal transport costs from port to factory for imported material would probably be around US$40-60/ tonne. Even if exports are made to regional countries by rail and truck, the advantage will be retained of not having to bear the cost of ocean freight (approximately US$70-90/tonne) incurred by Chinese, Indonesian and other competitors.

Secondly, any customs duties or tariffs levied on imports will add to the landed cost; a duty of 20% will add a further US$100-120/tonne. It is also possible that a neighbouring country buying gum naval stores will have a reduced (or preferential) rate of duty, allowing the regional exporter to pay only 50% of the full ad valorem tariff.

Thirdly, relatively small users often experience difficulty in opening 30-day letters of credit or providing sight drafts; several months' working capital may be tied up in the import of 50-200 tonnes of rosin in a single shipment, and interest charges may add a further US$50-1 OO/tonne to their costs.

These additional costs amount to US$190-280/tonne for imported rosin and would raise the cost to the end user from about US$600 (c&f) to US$790-880/tonne. At the early 1995 rosin price of US$750-800 rather than US$600, the African producer could sell competitively in the domestic market for between US$900 (his break-even price) and US$1100/tonne. However, as these price levels are unlikely to be sustained over the next three to five years, a new producer should aim to produce rosin at US$750-800/tonne or preferably less.

Once the domestic demand is satisfied, the new producer will face a dilemma. He will be obliged to become a competitive exporter to find new markets but will only have marginal tonnage to sell. He may have a surplus of crude resin, but will have to contend with low prices and with buyers' minimum volume requirements which are hard to meet. His factory may be able to sell all its rosin and rosin products but may also need to dispose of 50-150 tonnes of turpentine in drums. Turpentine in such small quantities, and possibly not of the best quality, may be difficult to sell on international markets. However, it is also difficult to expand output from 1000 tonnes of product sold in domestic markets, to 3000-

35

4000 tonnes split between export and domestic markets. The greatest barrier is the extracost incurred from local transport by road or rail, port handling charges and ocean freight;although this was an advantage when import substitution began, it has now become a majorbarrier to profitable exporting, even if markets can be found for small tonnaaes. The costof new drums will add a further USS20-25/tonne to export costs.

These charges mean that the ex-factory prices of rosin and turpentine for a newproducer must be US$130-175/tonne (internal transport + ocean freight + packaging)below the market price for established producers if it is to be landed in importing countriesat parity,. For many small producers, the swing from a freight advantage of US$110-150/tonne (internal transport + ocean freight) on domestic sales to a freight disadvantage ofUS$130-175/tonne on export sales, is too great. Agents and brokers are sometimesreluctant to handle ver y small consignments of uncertain and untested material, and thetime and effort which may be required to overcome such diffic-ulties often provides afurther disincentive to the new or small producer.

The best solution to this problem is to first expand the processing capacity for rosinand turpentine in line with domestic or regional demand. Assuming there are sufficienttrees to support increased production of resin, crude resin exports, or increased output ofprocessed products (by working multiple shifts) which will be more marketable than verysmall quantities, can be considered at a later date.

New producers of crude resin, rosin and turpentine should anticipate these problemsof balancing resin supply, local demand, capacity and export sales, if they are to operateprofitably. It should not be presumed that the price levels of late 1994/early 1995 ofUS$750-800/tonne for rosin will continue for two or three more years.

36

4000 tonnes split between export and domestic markets. The greatest barrier is the extra cost incurred from local transport by road or rail, port handling charges and ocean freight; although this was an advantage when import substitution began, it has now become a major barrier to profitable exporting, even if markets can be found for small tonnages. The cost of new drums will add a further US$20-25/tonne to export costs.

These charges mean that the ex-factory prices of rosin and turpentine for a new producer must be US$130-l75/tonne (internal transport + ocean freight + packaging) below the market price for established producers if it is to be landed in importing countries at parity. For many small producers, the swing from a freight advantage of US$llO­ISO/tonne (internal transport + ocean freight) on domestic sales to a freight disadvantage of US$130-l75/tonne on export sales, is too great. Agents and brokers are sometimes reluctant to handle very small consignments of uncertain and untested material, and the time and effort which may be required to overcome such difficulties often provides a further disincenti ve to the new or small producer.

The best solution to this problem is to first expand the processing capacity for rosin and turpentine in line with domestic or regional demand. Assuming there are sufficient trees to support increased production of resin, crude resin exports, or increased output of processed products (by working multiple shifts) which will be more marketable than very small quantities, can be considered at a later date.

New producers of crude resin, rosin and turpentine should anticipate these problems of balancing resin supply, local demand, capacity and export sales, if they are to operate profitably. It should not be presumed that the price levels of late 1994/early 1995 of US$750-800/tonne for rosin will continue for two or three more years.

36

CHAPTER 5

CONCLUSIONS AND ADVICE TO A NEW PRODUCER

There are two major and distinct operations involved in producing gum rosin and gumturpentine: the tapping of pine trees to produce resin, and the recovery from resin of rosinand turpentine using the relatively simple technique of steam distillation. Production ofcrude resin alone is unlikely to be economic as a separate operation. A resin price of aboutUS$300/tonne close to the tapping operations in the forest will rise to an export price ofabout US$500/tonne when the costs of drums, internal transport and ocean freight areadded. This price could not compete with that for the crude resin currently available fromBrazil, Indonesia and the People's Republic of China which normally sells at belowUS$300/tonne deli \ ered to the importing country.

Operations in nearly all producing countries combine tapping with processing thecrude resin into rosin and turpentine. There may be options for further processing but thisusually demands a high volume of output to take advantage of economies of scale.However, if there is a local paper industry, the production of rosin size is a fairly simpleprocess which is worth considering. Despite the existence of a substantial internationalmarket for rosin and turpentine, it is recommended that a developing country should baseits operation initially on supplying, perhaps, the soap, paper and paint manufacturingindustries of the domestic market. This would yield immediate benefits from importsubstitution and the saving of forei an exchange. Once the raw materials and the technologyhave been proven in the domestic market, it would be appropriate to expand intoneighbouring regional markets and wider international ones.

A glim naval stores operation has several attractions for a developing country withsuitable pine resources. It is an industry based on renewable natural resources. Thetapping operations are labour intensive and can therefore offer employment and income-earning opportunities to people in rural areas. Although the processing operations havelow labour requirements, the total investrnent cost is also relatively low. In addition tosaving and earning foreign exchange from import substitution or exports, local industriesshould derive some 'benefit from the resin producer's expenditure on buildings and tappingequipment, as well as on the local fabrication of part of the resin processing plant.

As a guide, the minimum size of plant necessary, for a viable processing operationwould be one with sufficient capacity for a throughput of around 1000 tonnes of resinannually, workina on a single-shift basis. There would be scope for increasing the quantityof resin processed by worldng multiple shifts, with only marginal additions to fixed capital(storage capacity) and worldng capital for financing stocks of resin, rosin and turpentine. Itis estimated that for an operation of this size in one African country, the total investmentcosts for the tapping, operation are likely to be about US$350 000; this includes all pre-production and start-up costs and three months' working capital. The investment cost ofthe processina operation is about US$600 000. These figures could vary substantiallyaccording to the site and the specific local circumstances; costs, in general, are likely to beabout US$250 000-400 000 and US$500 000-700 000 for the tapping and processingoperations, respectively.

37

CHAPTERS

CONCLUSIONS AND ADVICE TO A NEW PRODUCER

There are two major and distinct operations iiwolved in producing gum rosin and gum turpentine: the tapping of pine trees to produce resin, and the recovery from resin of rosin and turpentine using the relatively simple technique of steam distillation. Production of crude resin alone is unlikely to be economic as a separate operation. A resin price of about US$300/tonne close to the tapping operations in the forest will rise to an export price of about US$SOO/tonne when the costs of drums, internal transport and ocean freight are added. This price could not compete with that for the crude resin currently available from Brazil, Indonesia and the People's Republic of China which normally seUs at below US$300/tonne delivered to the importing country.

Operations in nearly all producing countries combine tapping with processing the crude resin into rosin and turpentine. There may be options for further processing but this usually demands a high volume of output to take advantage of economies of scale. However, if there is a local paper industry, the production of rosin size is a fairly simple process which is worth considering. Despite the existence of a substantial international market for rosin and turpentine, it is recommended that a developing country should base its operation initially on supplying, perhaps, the soap, paper and paint manufacturing industries of the domestic market. This would yield immediate benefits from import substitution and the saving of foreign exchange. Once the raw materials and the technology have been proven in the domestic market, it would be appropriate to expand into neighbouring regional markets and wider international ones.

A gum naval stores operation has several attractions for a developing country with suitable pine resources. It is an industry based on renewable natural resources. The tapping operations are labour intensive and can therefore offer employment and income­earning opportunities to people in rural areas. Although the processing operations have low labour requirements, the total investment cost is also relatively low. In addition to

saving and earning foreign exchange from import substitution or exports, local industries should derive some benefit from the resin producer's expenditure on buildings and tapping equipment, as well as on the local fabrication of part of the resin processing plant.

As a guide, the minimum size of plant necessary for a viable processing operation would be one with sufficient capacity for a throughput of around 1000 tonnes of resin annually, working on a single-shift basis. There would be scope for increasing the quantity of resin processed by working multiple shifts, with only marginal additions to fixed capital (storage capacity) and working capital for financing stocks of resin, rosin and turpentine. It is estimated that for an operation of this size in one African country, the total investment costs for the tapping operation are likely to be about US$3S0 000; this includes aU pre­production and start-up costs and three months' working capital. The investment cost of the processing operation is about US$600 000. These figures could vary substantially according to the site and the specific local circumstances; costs, in general , are likely to be about US$2S0 000-400 000 and US$SOO 000-700 000 for the tapping and processing operations, respectively.

37

The viability of any gum naval stores industry depends mainly on the number of pinetrees available for tapping, resin yields and resin quality. The above estimates have beenbased on 400 000 trees each yielding, 2.5 kg of resin annually. It is unlikely that yieldsmuch below 2 kg could sustain an economically viable tapping operation. In favourablecircumstances, and depending on the tapping regime, 3-5 kg/year are possible. If adevelopment is contemplated, detailed and reliable information must first be obtained on theidentity, availability, age and distribution of the pine species, and on the climatic conditionsat the forest sites. All stages of the development process should be undertaken inconsultation with the Forest Department or owner of the trees as they will need to beassured that tapping will not injure the trees. In some instances, the preliminary data mayindicate that tappina would be unprofitable. If the preliminary survey suagests that theavailability of the raw material is satisfactory, limited tapping trials combined with alaboratory evaluation of resin samples should be undertaken. If these results are alsosatisfactory, more extensive tapping trials, together with a detailed feasibility study, shouldbe carried out.

Any feasibility study must examine carefully the costs of capital (with an adequateallowance for working capital costs and profits) and the annual charae for this, along withannual production costs, so that potential investors can compare their break-even sellingprice for rosin with the cost of imported rosin. The key elements or questions for anyfeasibility study are listed below.

Marketing The local demand for rosin and turpentine, the competition fromimports whether from regional producers or international suppliers, the potentialfor market growth over the next three to five years, and the level of prices fromthese competitors need to be assessed.

Quality An estimate will be needed of how locally produced rosin and turpentinewill compare with internationally traded material.

Raw materials The availability of the pine resource and its potential productivityshould be determined, taking full account of the felling and replantina policy inthe case of plantation pines, and of the possible changes which might occur inend use which would affect their availability for tapping. The ability to bringnew trees on stream' as worked ones reach the end of their tapping life is crucialto the sustainability of a gum naval stores operation. The intrinsic productivityof the trees, and the efficiency of the work force involved in tapping, need to besufficient to provide crude resin at an economically attractive price.

Processing If an existing producer is willing to consider purchases of cruderesin, the advantages and disadvantages of initially setting up a tapping operationonly, need to be evaluated. The location of a processing plant (availabilty ofenergy, water and labour supplies, transport costs, and the relative merits ofsiting the plant close to either the tapping areas, the end users, or the ports ofexit for inter-national markets) also requires consideration.

Labour The availability and cost of labour, particularly in the forest areas, andmethods of organization and payment, need to be determined. Adequate

38

The viability of any gum naval stores industry depends mainly on the number of pine trees available for tapping. resin yields and resin quality. The above estimates have been based on 400 000 trees each yielding 2.5 kg of resin annually. It is unlikely that yields much below 2 kg could sustain an economically viable tapping operation. In favourable circumstances. and depending on the tapping regime. 3-5 kg/year are possible. If a development is contemplated. detailed and reliable information must first be obtained on the identity. availability. age and distribution of the pine species. and on the climatic conditions at the forest sites. All stages of the development process should be undertaken in consultation with the Forest Department or owner of the trees as they will need to be assured that tapping will not injure the trees. In some instances. the preliminary data may indicate that tapping would be unprofitable. If the preliminary survey suggests that the availability of the raw material is satisfactory. limited tapping trials combined with a laboratory evaluation of resin samples should be undertaken. If these results are also satisfactory. more extensive tapping trials. together with a detailed feasibility study. should be carried out.

Any feasibility study must examine carefully the costs of capital (with an adequate allowance for working capital costs and profits) and the annual charge for this. along with annual production costs. so that potential investors can compare their break-even selling price for rosin with the cost of imported rosin. The key elements or questions for any feasibility study are listed below.

• Marketing The local demand for rosin and turpentine. the competition from importS whether from regional producers or international suppliers. the potential for market growth over the next three to five years. and the level of prices from these competitors need to be assessed.

• Quality An estimate will be needed of how locally produced rosin and turpentine wi 11 compare with internationally traded material.

• Raw materials The availability of the pine resource and its potential productivity should be determined. taking full account of the felling and replanting policy in the case of plantation pines. and of the possible changes which might occur in end use which would affect their availability for tapping. The ability to bring new trees 'on stream' as worked ones reach the end of their tapping life is crucial to the sustainability of a gum naval stores operation. The intrinsic productivity of the trees. and the efficiency of the work force involved in tapping. need to be sufficient to provide crude resin at an economically attractive price.

• Processing If an existing producer is willing to consider purchases of crude resin . the advantages and disadvantages of initially setting up a tapping operation only. need to be evaluated. The location of a processing plant (availabilty of energy. water and labour supplies. transport costs. and the relative merits of siting the plant close to either the tapping areas. the end users. or the ports of exit for international markets) also requires consideration.

• Labour The availability and cost of labour. particularly in the forest areas. and methods of organization and payment. need to be determined. Adequate

38

incentives will be required to retain an efficient work force who can collect resinat a low unit price.

Financial and economic appraisal An assessment of the financial and economicreturns will depend primarily on establishing a correct value for the cost of fixedand working capital to the investor(s) planning the project. A realistic annualchar.cle for capital must be included in the calculations to allow an accurateestimate of the full costs of tapping operations and resin processing. The keyfactors will not be factory and office overheads, marketing costs, depreciation orinterest on loans, but the price of crude resin and the project's ability, to sell gumrosin, against competing imports, at a price above the operation's break-evenproduction cost level. A cash flow analysis based on discounted costs andrevenues over the life of the project should use two or three different prices forcrude resin and three different prices for sales of rosin and turpentine. A propersensitivity analysis will show that crude resin costs and prices and the sales priceof rosin will largely determine whether a gum naval stores project is

economically viable or not.

39

incentives will be required to retain an efficient work force who can collect resin at a low unit price .

• Financial and economic appraisal An assessment of the financial and economic returns will depend primarily on establishing a correct value for the cost of fixed and working capital to the investor(s) planning the project. A realistic annual charge for capital must be included in the calculations to allow an accurate estimate of the full costs of tapping operations and resin processing. The key factors will not be factory and office overheads, marketing costs, depreciation or interest on loans, but the price of crude resin and the project's ability to sell gum rosin, against competing imports, at a price above the operation's break-even production cost level. A cash flow analysis based on discounted costs and revenues over the life of the project should use two or three different prices for crude resin and three different prices for sales of rosin and turpentine. A proper sensitivity analysis will show that crude resin costs and prices and the sales price of rosin will largely determine whether a gum naval stores project is economically viable or not.

39

APPENDIX I

REFERENCES AND FURTHER READING

Pirius species

CRITCHFIELD, W.B. and LITTLE, E.L. (1966) Geographic Distribution of the Pines ofthe World. USDA Forest Service Miscellaneous Publication 991. Washington, USA:USDA.

Production technologies

CLEMENTS, R.W. (1974) Manual, Modern Crum Naval Stores Methods. USDA ForestService Southeastern Forest Experiment Station General Technical Report SE-7.Asheville, USA: USDA.

DIRECÇÀO GERAL DOS SERVIÇOS FLORESTAIS E AQUICOLAS (1962) [ResinTapping - Basic Instruction for Resin Tappers.] Portugal: Junta Nacional dos Resinosos.(In Portuguese)

GAMA, A. (1982) [Processing, of pine resin in Portugal.] Boletim do Instituto dosProdutos Florestais - Resinosos, no. 38: 26-30. (In Portuguese)

GREENHALGH, P. (1982) The Production, Marketing and Utilization of Naval Stores.Report of the Tropical Products Institute [now Natural Resources Institute], G170.

KRISHNAMURTHY, T., JUYAL, S.P. and UPADHAYA, L.P. (1971) A review of someinvestigations on pines for their oleoresin (review of tapping methods used worldwide). pp.Q1-Q35. In: Seminar on the Role of Pine Resin in the Economic and IndustrialDevelopment of India, New Delhi, April, 1971.

LAWRENCE, R.V. (1989) Processing pine gum into turpentine and rosin. pp. 123-142.In: Naval Stores. Production, Chemistry, Utiliattion, Zinkel, D.F. and Russell, J. (eds).New York: Pulp Chemicals Association.

McCONNEL, N.C. (1963) Operating Instructions for Olustee Process for Cleaning andSteam Distillation of Pine Gum. USDA publication ARS-687. (Available from theSoutheastern Forest Experiment Station, Olustee, Florida, USA).

McREYNOLDS, R.D., KOSSUTH, S.V. and CLEMENTS, R.W. (1989) Gum navalstores methodology. pp. 83-122. In: Naval Stores. Production, Chemistry, Utilization.Zinkel, D.F. and Russell, J. (eds). New York: Pulp Chemicals Association.

VERMA, V.P.S. (1978) Field Guide to Modern Methods of Resin Tapping [in India].Dehra Dun, India: Forest Research Institute.

41

Pinus species

APPENDIXl

REFERENCES AND FURTHER READING

CRITCHFIELD, W.B. and LITTLE, E.L. (1966) Geographic Distribution of the Pines of the World. USDA Forest Service Miscellaneous Publication 991. Washington, USA: USDA.

Production technologies

CLEMENTS, R.W. (1974) Manual, Modem Gum Naval Stores Methods. USDA Forest Service Southeastern Forest £rperiment Station General Technical Report SE-7. Asheville, USA: USDA.

DIREC<;:Ao GERAL DOS SERVI<;:OS FLORESTAIS E AQuicOLAS (1962) [Resin Tapping - Basic Instruction for Resin Tappers. ] Portugal: Junta Nacional dos Resinosos. (In Portuguese)

GAMA, A. (1982) [Processing of pine resin in Portugal.] Boletim do Instituto dos Produtos Florestais - Resinosos, no. 38: 26-30. (In Portuguese)

GREENHALGH, P. (1982) The Production, Marketing and Utilization of Naval Stores. Report of the Tropical Products Institute [now Natural Resources Institute] , G170.

KRISHNAMURTHY, T., JUYAL, S.P. and UPADHAYA, L.P. (1971) A review of some investigations on pines for their oleoresin (review of tapping methods used worldwide) . pp. Q1 -Q35. In: Seminar on the Role of Pine Resin in the Economic and Industrial Development of India, New Delhi, April, 1971.

LAWRENCE, R.V. (1989) Processing pine gum into turpentine and rosin. pp. 123-142. In: Naval Stores. Production, Chemistry, Utilirotion. Zinkel, D.F. and Russell, J. (eds). New York: Pulp Chemicals Association.

McCONNEL, N.C. (1963) Operating Instructions for Olustee Process for Cleaning and Steam Distillation of Pine Gum . USDA publication ARS-687. (Available from the Southeastern Forest Experiment Station, Olustee, Florida, USA).

McREYNOLDS, R.D., KOSSUTH, S.V. and CLEMENTS, R.W. (1989) Gum naval stores methodology. pp. 83-122. In: Naval Stores. Production, Chemistry, Utilization. Zinkel, D.F. and Russell, J. (eds). New York: Pulp Chemicals Association .

VERMA, V.P.S. (1978) Field Guide to Modern Methods of Resin Tapping [in India]. Dehra Dun, India: Forest Research Institute.

41

Quality assessment of Pinus species

COPPEN, J.J.W., GAY, C., JAMES, D.J., ROBINSON, J.M. and MULLIN, L.J. (1993)Xylem resin composition and chemotaxonorny of three varieties of Pinus caribaea.Phytochemistly, 33: 1103-1111.

COPPEN, J.J.W., GAY, C., JAMES, D.J., ROBINSON, J.M. and SUPRIAN.A, N. (1993)Variability in xylem resin composition amongst natural populations of Indonesian Pinusnierkusii. Phytochetnistry, 33: 129-136.

COPPEN, J.J.W., GREEN, C.L., GREENHALGH, P., KEEBLE, B. and MILCHARD,M.J. (1985) The potential of some tropical pines as sources of marketable turpentine. pp.138-147. In: Proceedings, Ninth International Congress on E'ssential Oils, Singapore,1983, (Book- 5).

COPPEN, J.J.'W. and ROBINSON, J.M. (1988) Terpenoid constituents and properties ofxylem oleoresin from exotic Pinus mdiata. Naval Stores Review, (Mar./Apr.): 12-14.

COPPEN, J.J.W., ROBINSON, J.M. and KAUSHAL, A.N. (1988) Composition of xylemresin from Pinus wallichiana and P. roxburghii. Phytocheinistry, 27: 2873-2875.

COPPEN, J.J.W., ROBINSON, J.M. and MULLIN, L.J. (1988) Composition of xylemresin from five Mexican and Central American Pinus species growing in Zimbabwe.Phytochemistry, 27: 1731-1734.

GREEN, C.L., KEEBLE, B. and BURLEY, J. (1975) Further gum turpentine analyses ofsome P. oocarpa, P. caribaea and P. k.esiya provenances. Tropical Science, 17: 165-174.

SHEN ZHAOBANG (1994) Chemical utilization of non-wood forest products in China.Nanjing: Research Institute of Chemical Processing and Utilization of Forest Products.[Unpublished report.]

Additional note

Naval Stores Review is published bi-monthly and contains trade news, information andtechnical papers on all aspects of the pine chemicals in.dustry. It also includes papers fromthe annual International Naval Stores Conference organized by the Pulp ChemicalsAssociation. The present annual cost of subscription (late 1994) is USS80 (six issues andthe International Yearbook). The. address for subscriptions is: Naval Stores Review, KriedtEnterprises Ltd, 129 S. Cortez Street, New Orleans, LA 70119, USA.

The address of the Pulp Chemicals Association is: PO Box 105113, Atlanta, GA 30348,USA.

42

Quality assessment of Pinus species

COPPEN, JJ.W., GAY, C., JAMES, DJ., ROBINSON, J.M. and MULLIN, L.J. (1993) Xylem resin composition and chemotaxonomy of three varieties of Pinus caribaea. Phytochemistry, 33: 1103-1111.

COPPEN, J.J.W., GAY, C., JAMES, D.J., ROBINSON, J.M. and SUPRIANA, N. (1993) Variability in xylem resin composition amongst natural populations of Indonesian Pinul' merkusii. Phytochemist/y, 33: 129-136.

COPPEN, J.J.W., GREEN, c.L., GREENHALGH, P., KEEBLE, B. and MILCHARD, MJ. (1985) The potential of some tropical pines as sources of marketable turpentine. pp. 138-147. In: Proceedings, Ninth International Congress on &sential Oils, Singapore, ] 983, (Book 5).

COPPEN, J.J.W. and ROBINSON, J.M. (1988) Terpenoid constituents and properties of xylem oleoresin from exotic Pinus radiata. Naval Stores Review, (Mar./Apr.): 12-14.

COPPEN, J,J.W., ROBINSON, J.M. and KAUSHAL, A.N. (1988) Composition of xylem resin from Pinus wallichiana and P. roxburghii. Phytochemistry, 27: 2873-2875.

COPPEN, J.J.W., ROBINSON, J.M. and MULLIN, L.J. (1988) Composition of xylem resin from five Mexican and Central American Pinus species growing in Zimbabwe. Phytochemisny , 27: 1731-1734.

GREEN, C.L. , KEEBLE, B. and BURLEY, J. (1975) Further gum turpentine analyses of some P. oocarpa, P. caribaea and P. kesiya provenances. Tropical Science, 17: 165-174.

SHEN ZHAOBANG (1994) Chemical utilization of non-wood forest products in China. Nanjing: Research Institute of Chemical Processing and Utilization of Forest Products. [Unpublished report.]

Additional note

Naval Stores Re view is published bi-monthly and contains trade news, information and technical papers on all aspects of the pine chemicals industry. It also includes papers from the annual International Naval Stores Conference organized by the Pulp Chemicals Association. The present annual cost of subscription (late 1994) is US$80 (six issues and the International Yearbook) . ThE; address for subscriptions is: Naval Stores Review, Kriedt Enterprises Ltd, 129 S. Cortez Street, New Orleans, LA 70119, USA.

The address of the Pulp Chemicals Association is: PO Box 105113, Atlanta, GA 30348, USA.

42

APPENDIX 2

QUALITY CRITERIA, SPECIFICATIONS AND TESTMETHODS

Rosin

Although several other criteria determine rosin quality and acceptability for differentapplications, colour and softening point are usually sufficient indicators of quality to satisfypurchasers of rosin from traditional and proven sources. Rosin is graded on the basis ofcolour, the palest being the most desirable and designated WW* ('water-white'). This gradeand the slightly lower grade WG ('window-glass') are the most commonly traded rosins. Asuperior grade, X, is sometimes offered. Darker grades are N, M, K, I, H and lower.Rosin is a glass, rather than a crystalline solid, and the point at which is softens whenheated is referred to as the softening point (rather than melting point). A softening point inthe range 70-80°C is usual, the higher end of the range representing the better quality.

Since rosin is an acidic material and the manufacturer of downstream derivativesdepends on its acid functionality, a high acid number (and saponification number) is also anindication of good quality. The better quality rosins usually have an acid number in therange 160-170. Provided that the acid number is high, the detailed resin acid compositionof rosin is usually of little consequence or interest to the end user. An exception is rosinderived from P. merkusii which, because of the presence of a rather rare resin acid, has anacid number which is higher than normal; it may reach 190 or more. The percentage ofunsaponifiable matter indicates the amount of non-acidic material in the rosin, so the lowerthis value, the better; anything above about 10% unsaponifiable matter would be considereda poorer quality rosin.

'There are no international standards for rosin, and although the American Societyfor Testing and Materials (ASTM) describes standard test methods, it stipulates nospecifications to which rosin should conform. The appropriate controlling bodies of someproducing countries do provide specifications but, inevitably, companies and tradersinvolved in the rosin industry have their own 'in-house' specifications which will vary fromcompany to company, and this makes it difficult to generalize and quote 'typical' analyticaldata.

Table 6, which was compiled from trade sources, presents some specifications forgum rosin of different origins and may be used as a guide for assessing the acceptability ofrosin by those thinking of entering rosin production.

Data such as the contents of volatile oil, insoluble matter, ash and iron (whichshould all be low) may be specified by producers of rosin. Other, less w,ell definedproperties, such as the tendency of the rosin to crystallize (which is undesirable), also affectits value; Chinese and, to some extent, Indonesian rosin have this particular shortcoming.

'The notation follows the USDA colour scale for rosin which is used universally in inter-national trade.

43

Rosin

APPENDIX 2

QUALITY CRITERIA, SPECIFICATIONS AND TEST METHODS

Although several other criteria determine rosin quality and acceptability for different applications, colour and softening point are usually sufficient indicators of quality to satisfy purchasers of rosin from traditional and proven sources. Rosin is graded on the basis of colour, the palest being the most desirable and designated ww- ('water-White'). This grade and the slightly lower grade WG ('window-glass') are the most commonly traded rosins. A superior grade, X, is sometimes offered. Darker grades are N, M, K, I, H and lower. Rosin is a glass, rather than a crystalline solid, and the point at which is softens when heated is referred to as the softening point (rather than melting point). A softening point in the range 70-80°C is usual, the higher end of the range representing the better quality.

Since rosin is an acidic material and the manufacturer of downstream derivatives depends on its acid functionality , a high acid number (and saponification number) is also an indication of good quality. The better quality rosins usually have an acid number in the range 160-170. Provided that the acid number is high, the detailed resin acid composition of rosin is usually of little consequence or interest to the end user. An exception is rosin derived from P. merkusii which, because of the presence of a rather rare resin acid, has an acid number which is higher than normal; it may reach 190 or more. The percentage of unsaponifiable matter indicates the amount of non-acidic material in the rosin, so the lower this value, the better; anything above about 10% unsaponifiable matter would be considered a poorer quality rosin.

There are no international standards for rosin, and although the American Society for Testing and Materials (ASTM) describes standard test methods, it stipulates no specifications to which rosin should conform. The appropriate controlling bodies of some producing countries do provide specifications but, inevitably, companies and traders involved in the rosin industry have their own 'in-house' specifications which will vary from company to company, and this makes it difficult to generalize and quote 'typical' analytical data.

Table 6, which was compiled from trade sources, presents some specifications for gum rosin of different origins and may be used as a guide for assessing the acceptability of rosin by those thinking of entering rosin production.

Data such as the contents of volatile oil, insoluble matter, ash and iron (which should all be low) may be specified by producers of rosin. Other, less well defined properties, such as the tendency of the rosin to crystallize (which is undesirable), also affect its value; Chinese and, to some extent, Indonesian rosin have this particular shortcoming.

"'The notati on follows the USDA colour scale for rosin which is used universally in internati onal trade.

43

269-92464-92

D 465-92509-70889-581063-511064-581065-923008-90

E 28-92

Turpentine

Specifications for 'gum spirit of turpentine' have been published by several national bodiesincluding, the American Society for Testing and Materials (ASTM D 13-92) and the Bureauof Indian Standards (IS 533:1973). These standards were devised largely for the qualityassessment of turpentine intended for use as a solvent, i.e., in whole forrn rather than as achemical feedstock in which the composition is of prime importance. They generallyspecify parameters such as relative density or specific p-avity, refractive index, distillationand evaporation residues.

The International Organization for Standardization (ISO), which is a world-widefederation of national standards institutes, has issued a standard, the main requirements ofwhich are shown in Table 7.

A draft ISO standard for 'Oil of turpentine, Portugal type, Pinus pinaster' (1994)includes physical data very similar to that in Table 7 but with the addition of a range foroptical rotation (20°C) of -28° to -35°. Compositional ranges are also given for a numberof constituents of the turpentine including alpha-pinene (72-85%) and beta-pinene (12-20%).

Table 6Some trade specifications for gum rosin

Insoluble matter in rosinSaponification number of rosinAcid number of rosinSampling and gradina rosinVolatile oil in rosinAsh in rosinIron in rosinUnsaponifiable matter in rosinResin acids in rosin by gas-liquid chromatographySoftening point by ring-and-ball apparatus

44

Origin Colour Softening Acid Saponification Unsaponifiablepoint t°C) nurnber number marter (70)

China, PR WW 70-85 162-175 ma.x 7.5Portugal WW miti 70 165-171 171-177 4.3-5.5Brazil X/WW 70-78 155-170 165-185 max 10Indonesia WW/WG 75-78 160-200 170-210

For determination of these physical data, reference should be made to thedefinitions and methods of analysis given by the ASTM. The following test methodsconcerning rosin are described (Annual Book of ASTM standards. Section 6):

Table 6 Some trade specifications for gum rosin

Origin Colour Softening Acid Saponification Unsaponifiablc point (OC) number number maner (%)

China, PR WW 70-85 162-175 max 7.5 Portugal WW min 70 165-171 171-177 4.3-5.5 Brazil X/WW 70-78 155-170 165-185 max 10 Indonesia WW(WG 75-78 160-200 170-210

For determination of these physical data, reference should be made to the definitions and methods of analysis given by the ASTM. The following test methods concerning rosin are described (Annual Book of ASTM standards, Section 6):

0269-92 0464-92 0465-92 0509-70 0889-58 01063-51 01064-58 01065-92 03008-90 E 28-92

Turpentine

Insoluble matter in rosin Sapocification number of rosin Acid number of rosin Sampling and grading rosin Volatile oil in rosin Ash in rosin Iron in rosin Unsaponifiable maner in rosin Resin acids in rosin by gas-liquid chromatography Softening point by ring-and-ball apparatus

Specifications for 'gum spirit of turpentine' have been published by several national bodies including the American Society for Testing and Materials (ASTM 0 13-92) and the Bureau of Indian Standards (IS 533:1973). These standards were devised largely for the quality assessment of turpentine intended for use as a solvent, i.e., in whole form rather than as a chemical feedstock in which the composition is of prime importance. They generally specify parameters such as relative density or specific gravity, refractive index, distillation and evaporation residues.

The International Organization for Standardization (ISO), which is a world-wide federation of national standards institutes, has issued a standard, the main requirements of which are shown in Table 7.

A draft ISO standard for 'Oil of turpentine, Portugal type, Pinus pinaster' (1994) includes physical data very similar to that in Table 7 but with the addition of a range for optical rotation (20°C) of _28° to _35°. Compositional ranges are also given for a number of constituents of the turpentine including alpha-pinene (72-85%) and beta-pinene (12-20%).

44

Table 7Physical property requirements of the International Organization for Standardization

specification for gum spirit of turpentine (ISO 412-1976)

Relative Refractive Distillation Evaporation Residue alter Acid Flashdensity index v/v) residue polymerization value point(20/20°C) 120°C. D line) m/m) v/v) (oc)

Turpentine purchased by the chemical industry as a source of isolates forsubsequent conversion to pine oil, fragrance and flavour compounds, and other derivatives,is assessed on the basis of its detailed composition. The major demand is for turpentinescontaining a hiah total pinene content. P. elliottii turpentine contains around 60% ofalpha-pinene and 30% of beta-pinene. P. radiata turpentine, noted earlier as being ofexc,eptionally good quality, generally contains more than 95% of total pinene, of whichover half is beta-pinene; it has virtually no high-boiling constituents. However, the relativeproportions of other components may also influence an individual buyer's qualityevaluations; 3-carene, which is found in significant proportions in the turpentine of somePitius species (such as P. rayburghii and P. sylvestris) is of little value, and even if it ispresent in relatively small amounts it may be undesirable for certain applications.Depending on the variety, P. caribaea turpentine may contain up to 50% or more of beta-phellandrene. While such a composition does not diminish its value as a solvent for paints,it would not be attractive as a source of pinenes for derivative manufacture.

45

0.862-0.872 1.465-1.478 max 1 below 150°C max 2.5 max 12 max 1 min 32min 87 below 170°C

Table 7 Physical property requirements of the International Organization for Standardization

specification for gum spirit of turpentine (ISO 412-1976)

Relative Refractive Distillation Evaporntion Residue after Acid Flash <Jens;I)' index t% vI \') residue polymerizatioo value point (20!20oC) (20°e. D line) 1% m1m) (% "Iv) 1°C)

0.862-0.872 1.465-1.478 max 1 below lSOoC max 2.5 max 12 max! min 32 min 8i below l700e

Turpentine purchased by the chemical industry as a source of isolates for subsequent conversion to pine oil, fragrance and flavour compounds, and other derivatives, is assessed on the basis of its detailed composition. The major demand is for turpentines containing a high total pinene content. P. elliottii turpentine contains around 60% of alpha-pinene and 30% of beta-pinene. P. radiata turpentine, noted earlier as being of exceptionally good quality, generally contains more than 95% of total pinene, of which over half is beta-pinene; it has virtually no high-boiling constituents. However, the relative proportions of other components may also influence an individual buyer's quality evaluations; 3-carene, which is found in significant proportions in the turpentine of some Pinus species (such as P. roxburghii and P. sy[vestris) is of little value, and even if it is present in relatively small amounts it may be undesirable for certain applications. Depending on the variety, P. caribaea turpentine may contain up to 50% or more of beta­phellandrene. While such a composition does not diminish its value as a solvent for paints, it would not be anractive as a source of pinenes for derivative manufacture.

45

APPENDIX 3

GENETIC FACTORS INFLUENCING RESINCOMPOSITION AND YIELDS

Some of the factors which affect resin yields have been referred to earlier. Genetic factorsplay a major role in determining both yields and composition (quality) of the resin, and aprovisional judgement on the suitability of a standing resource of pines for tapping canoften be made simply by consideration of the species concerned. For example P. patula,which is widely planted in Africa. gives a very poor quality resin in low yields, and is nottapped commercially anyv,There in the world. P. caribaea provides turpentine and rosin ofacceptable, but not exceptional quality, but it is now being recognized as a particularlyhigh-yielding species; in Africa and Brazil it has out-yielded P. elliottii, a species often usedas the benchmark by which others are judged. P. radiata, on the other hand, producesprobably the best quality turpentine in the world, but resin yields are poorer than P. elliottii,for example, and it is not widely tapped.

Table 8 gives an indication of the relative quality and quantities of resin which miahtbe expected from some species of Pinus.

Table 8Resin quality and yield characteristics of some Pinus species

Note: Resin characteristics are rated on a scalefrom very gcxxl (+4-0 to poor (-)

The list is not intended to be exhaustive, and no attempt has been made to providespecific quantity values based on yield data reported in the scientific literature. Such dataencompass a wide range of variables (age and size of trees, climate, tapping method, etc.)and it could be rnisleading to quote precise figures. Site-specific factors can affect therating either favourably or adversely, so a relatively poor rating does not mean that thespecies cannot be used (P. oocarpa and P. sylvestrt's are tapped in Mexico/Central Americaand Russia, respectively). Conversely, a high rating does not ensure profitability if that

46

Species Quality Quantity

P. elliottii ++ ++P. pinaster ++ +P. massoniana + +P. merkusii + +P. caribaea + +++P. radiata +++ +P. roxburghii + +P. kesiya + +/-P. oocarpa +I- +I-P. sylvestrks +I- +I-P. patilla -

APPENDIX 3

GENETIC FACTORS INFLUENCING RESIN COMPOSITION AND YIELDS

Some of the factors which affect resin yields have been referred to earlier. Genetic factors playa major role in determining both yields and composition (quality) of the resin, and a provisional judgement on the suitability of a standing resource of pines for tapping can often be made simply by consideration of the species concerned. For example P. patula, which is widely planted in Africa, gives a very poor quality resin in low yields, and is not tapped commercially anywhere in the world. P. caribaea provide~ turpentine and rosin of acceptable, but not exceptional quality, but it is now being recognized as a particularly high-yielding species; in Africa and Brazil it has out-yielded P. elliottii, a species often used as the benchmark by which others are judged. P. radiata, on the other hand, produces probably the best quality turpentine in the world, but resin yields are poorer than P. elliottii, for example, and it is not widely tapped.

Table 8 gives an indication of the relative quality and quantities of resin which might be expected from some species of Pinus.

Table 8 Resin quality and yield characteristics of some Pinus species

Species

P. elliottii P. pbwster P. massoniantl P. merkusii p. caribaea P. radiata P. roxburghii P. kesiya p. oocarpa P. sylvesrris P.paruia

Quality Quantity

++ ++ ++ + + + + + + +++ +++ + + + + +/-+/- +/-+/- +/-

Note: Resin characteristics are rated on a scale from very good (+++) to poor (-)

The list is not intended to be exhaustive, and no attempt has been made to provide specific quantity values based on yield data reported in the scientific literature. Such data encompass a wide range of variables (age and size of trees, climate, tapping method, etc.) and it could be misleading to quote precise figures. Site-specific factors can affect the rating either favourably or adversely, so a relatively poor rating does not mean that the species cannot be used (P. oocmpa and P. sylvestris are tapped in Mexico/Central America and Russia, respectively). Conversely, a high rating does not ensure profitability if that

46

particular species is tapped; if temperatures are low the resin will not flow, no matter howgood a yielder the species may be intrinsically.

A relatively recent development is the interest shown by foresters in Pinus hybrids.By controlled crossing of appropriate species it is possible to combine the desirable featuresof one species with those of another at the expense of the less favourable attributes.Recent work in South Africa, following earlier research in Australia, has confilined thepotential for improved wood production of P. elliottii x P. caribaea hybrids over theparent species. Of equal importance to naval stores production, was the finding that thehybrid also gives enhanced resin yields. In the future, Pinus hybrids may become a valuableresource for combined wood and resin production, if they are found to be suitable.

In spite of the generalizations which can be made about the suitability of certainpine species for naval stores production, intrinsic variation in resin properties can alsooccur within a species according to the natural population from which the trees are derived,i.e., the provenance origin; P. caribaea shows some variability between and within each ofthe varieties (var. caribaea, var. honciurensis and var. bahamensis). As resin composition(measured in terms of the turpentine and rosin) is easily determined and is less influencedby environmental factors than yield, most of the available inforrnation on provenancevariation relates to composition rather than yield. Compositional variation is most oftenseen in the turpentine and can sometimes be quite marked. The turpentine from oneprovenance might have a high (and therefore desirable) pinene content, whereas turpentinefrom a different provenance might be richer in 3-carene. Rosin composition is much morestable within a species than turpentine.

If natural stands of pines are being considered for tapping, it is essential to surveythe different areas where it grows in order to determine the extent of any major variation inresin quality; tapping trials at different sites should also be carried out to assessproductivity. If plantation pines are derived from different provenances, samples from eachprovenance should be tested to ensure that they are all suitable for exploitation. Althoughthe variability of turpentine composition may appear to impose constraints on theutilization of a pine resource, in practice it does not, particularly for a small producer. Theturpentine is likely to be used locally, in whole for-rn, rather than as a source of chemicalisolates for which composition is crucial. Variations in resin yields are far more important.

If individual trees are examined, pronounced differences in resin (turpentine)composition and yields become apparent even within the same provenance. Trees ofcomparable size growing close to each other (and therefore experiencing identical climaticand edaphic conditions) can yield vastly different amounts of resin. In order to evaluate theproductivity of a particular site, tapping trials should be designed to take account of thisvariability by testin,g, a sufficient number of trees. In spite of the disadvantages, thesedifferences offer some long term scope for improvements in quality and productivity byélite germplasm selection. In a few cases, seed orchards have been established from whichsuperior seed can be purchased (P. elliottii in the United States, for example).

47

particular species is tapped; if temperatures are low the resin will not flow, no matter how good a yielder the species may be intrinsically.

A relatively recent development is the interest shown by foresters in Pinus hybrids. By controlled crossing of appropriate species it is possible to combine the desirable features of one species with those of another at the expense of the less favourable attributes. Recent work in South Africa, following earlier research in Australia, has confinned the potential for improved wood production of P. elliottii x P. caribaea hybrids over the parent species. Of equal importance to naval stores production, was the finding that the hybrid also gives enhanced resin yields. In the future, Pinus hybrids may become a valuable resource for combined wood and resin production, if they are found to be suitable.

In spite of the generalizations which can be made about the suitability of certain pine species for naval stores production, intrinsic variation in resin properties can also occur within a species according to the natural population from which the trees are derived, i.e., the provenance origin; P. caribaea shows some variability between and within each of the varieties (var. caribaea , var. hondurensis and var. bahamensis). As resin composition (measured in terms of the turpentine and rosin) is easily determined and is less influenced by environmental factors than yield, most of the available information on provenance variation relates to composition rather than yield. Compositional variation is most often seen in the turpentine and can sometimes be quite marked. The turpentine from one provenance rrlight have a high (and therefore desirable) pinene content, whereas turpentine from a different provenance rrlight be richer in 3-carene. Rosin composition is much more stable within a species than turpentine.

If natura I stands of pines are being considered for tapping, it is essential to survey the different areas where it grows in order to determine the extent of any major variation in resin quality; tapping trials at different sites should also be carried out to assess productivity. If plantation pines are derived from different provenances, samples from each provenance should be tested to ensure that they are all suitable for exploitation. Although the variability of turpentine composition may appear to impose constraints on the utilization of a pine resource, in practice it does not, particularly for a small producer. The turpentine is likely to be used locally, in whole form, rather than as a source of chemical isolates for which composition is crucial. Variations in resin yields are far more important.

If individual trees are examined, pronounced differences in resin (turpentine) composition and yields become apparent even within the same provenance. Trees of comparable size growing close to each other (and therefore experiencing identical climatic and edaphic conditions) can yield vastly different amounts of resin. In order to evaluate the productivity of a particular site, tapping trials should be designed to take account of this variability by testing a sufficient number of trees. In spite of the disadvantages, these differences offer some long term scope for improvements in quality and productivity by elite germ plasm selection. In a few cases, seed orchards have been established from which superior seed can be purchased (P. elliottii in the United States, for example).

47

APPENDIX 4

PACKAGING OF TURPENTINE A_ND ROSIN

Turpentine

International shipments of turpentine are usually made in container size (20-tonne) bulktanks. In response to the world-wide concern for adequate safety measures to ensure thesafe handling and transportation of materials that are actually or potentially dangeroussubstances, increasing attention is being paid by importing countries to the packaging andlabelling of 'dangerous goods'. As ttxpentine is a flammable material it is classified underthis heading.

Within the European Community, a 1979 Council Directive (79/831/EEC), whichhas now become mandatory, details 'laws, regulations and administrative provisions relatingto the classification, packaging and labelling of dangerous substances'. The Directiverequires every package to show the name and origin of the substance, the danger symbol(e.g. a flame in a red diamond indicating a flamrnable liquid) and standard phrasesindicating special nisks (e.g. 'flammable') and safety advice. The MiTliMUM size andplacement of labels is also specified. When dangerous 'substances' are transported theybecome 'goods', and when conveyed from one country to another they are subject tointernational regulations according to the means of conveyance. VVhen sending shipmentsby sea, the regulations of the International Maritime Dangerous Goods (IMDG) code haveto be observed. As with dangerosus substances, dangerous goods have to be marked withwarning labels.

Turpentine is shipped under United Nations number 1299 which means that thecontainer must meet certain requirements; this number falls within Class 3, Packing, GroupIII, and has to be quoted in all shipping, documents. A new producer contemplating theexport and international shipment of turpentine should obtain more detailed informationfrom national transportation authorities or prospective importers.

When it arrives in the country to which it is being shipped, the importer may dividethe consignment into lacquer-lined steel drums for local sales. If the importer is willing totake the turpentine in drums, they should be new galvanized steel drums of about 200 litres(170-185 kg net) capacity. Internal lacquering of the drams is usually preferred, but careshould be taken to avoid cracking the lacquer layer when handling because this has anadverse effect OT1 the turpentine.

Rosin

Requirements for the labelling of rosin for transportation into, and within, the EuropeanCommunity are currently (late 1994) under discussion and may not be resolved for sometime. Prospective exporters of rosin to the EC or elsewhere are therefore advised to seekup-to-date information from importers in the countries concerned.

48

Turpentine

APPENDIX 4

PACKAGING OF TURPENTINE AND ROSIN

International shipments of turpentine are usually made in container size (20-tonne) bulk tanks. In response to the world-wide concern for adequate safety measures to ensure the safe handling and transportation of materials that are actually or potentially dangerous substances, increasing attention is being paid by importing countries to the packaging and labelling of 'dangerous goods'. As turpentine is a flammable material it is classified under this heading.

Within the European Community, a 1979 Council Directive (79/831/EEC), which has now become mandatory, details 'laws, regulations and administrative provisions relating to the classification, packaging and labelling of dangerous substances'. The Directive requires every package to show the name and origin of the substance, the danger symbol (e.g. a flame in a red diamond indicating a flammable liquid) and standard phrases indicating special risks (e.g. 'flammable') and safety advice. The minimum size and placement of labels is also specified. When dangerous 'substances' are transported they become 'goods', and when conveyed from one country to another they are subject to .international regulations according to the means of conveyance. When sending shipments by sea, the regulations of the International Maritime Dangerous Goods (IMDG) code have to be observed. As with dangerous substances, dangerous goods have to be marked with warning labels.

Turpentine is shipped under United Nations number 1299 which means that the container must meet certain requirements; this number falls v.-ithin Class 3, Packing Group Ill, and has to be quoted in all shipping documents. A new producer contemplating the export and international shipment of turpentine should obtain more detailed information from national transportation authorities or prospective importers.

When it arrives in the country to which it is being shipped, the importer may divide the consignment into lacquer-lined steel drums for local sales. If the importer is willing to take the turpentine in drums, they should be new galvanized steel drums of about 200 litres (170-185 kg net) capacity. Internal lacquering of the drums is usually preferred, but care should be taken to avoid cracking the lacquer layer when handling because this has an adverse effect on the turpentine.

Rosin

Requirements for the labelling of rosin for transportation into, and within, the European Community are currently (late 1994) under discussion and may not be resolved for some time. Prospective exporters of rosin to the EC or elsewhere are therefore advised to seek up-to-date information from importers in the countries concerned.

48

Rosin may be packaged in a variety of forms. On discharge from the still, themolten rosin is often fed into new, galvanimd steel drums of around 225-250 kg (net)capacity. The drums have domed tops so that after they have been set aside for the rosin tocool and solidify (with resulting contraction in volume), the tops can be hammered flat.Alternatively, flat-topped drums can be filled in two or three stages over several days toallow for the change in volume on cooling. International shipments of rosin are also usuallymade in container loads. In the larger producing countries in which there are large end-user consumers of rosin, transportation of molten rosin in specially designed tank-cars isfeasible; this is unlikely, however, to be something which a new, smaller producer wouldcontemplate.

End users are showing a growing preference for less robust forms of packaging toenable easier opening and handling, and in this case, silicone or polypropylene-lined multi-wall paper Was can be used. The sacks can be filled either with molten rosin directly fromthe still (which is then allowed to cool to forrn a solid block) or with flakes of solidifiedrosin. The flakes are formed by discharging hot rosin onto a moving belt; by the time it hasreached the end of the line, the rosin has solidified into a thin sheet which can easily bebroken up and transferred to bags. For ease of handling, 25 kg bags are a convenient size.

For relatively small naval stores operations, the quantities of rosin produced or theintended markets may not warrant investment in new drums or other forms of moreexpensive packaaing.,, so simpler ways of handling and transporting the rosin can be used.'I'he molten rosin from the still can be drained either into cardboard boxes supported bysuitable frames, or into split drums. Solidified rosin from split drums can be broken intolumps and bagaed. The disadvantage of this method is the formation of an appreciablequantity of powdered rosin which is prone to oxidation and discolouration, and whichresults in a poorer quality product.

49

Rosin may be packaged in a variety of forms. On discharge from the still, the molten rosin is often fed into new, galvanized steel drums of around 225-250 kg (net) capacity. The drums have domed tops so that after they have been set aside for the rosin to cool and solidify (with resulting contraction in volume), the tops can be hammered flat. Alternatively, flat-topped drums can be filled in two or three stages over several days to allow for the change in volume on cooling. International sltipments of rosin are also usually made in container loads. In the larger producing countries in wltich there are large end­user consumers of rosin, transportation of molten rosin in specially designed tank-cars is feasible; tltis is unlikely, however, to be something wltich a new, smaller producer would contemplate.

End users are showing a growing preference for less robust forms of packaging to enable easier opening and handling, and in tltis case, silicone or polypropylene-lined multi­wall paper bags can be used. The sacks can be filled either with molten rosin directly from the still (wltich is then allowed to cool to form a solid block) or with flakes of solidified rosin. The flakes are formed by discharging hot rosin onto a moving belt; by the time it has reached the end of the line, the rosin has solidified into a thin sheet which can easily be broken up and transferred to bags. For ease of handling, 25 kg bags are a convenient size.

For relatively small naval stores operations, the quantities of rosin produced or the intended markets may not warrant investment in new drums or other forms of more expensive packaging, so simpler ways of handling and transporting the rosin can be used. The molten rosin from the still can be drained either into cardboard boxes supported by suitable frames, or into split drums. Solidified rosin from split drums can be broken into lumps and bagged. The disadvantage of tltis method is the formation of an appreciable quantity of powdered rosin which is prone to oxidation and discolouration, and wltich results in a poorer quality product.

49

APPENDIX 5

LIST OF IMPORTERS AND TRADERS OF NAVALSTORES

The follovving list gives the names and addresses ot some of the companie,s which import ortrade in naval stores. Such companies may be willing to consider purchases of export-quality, container-load shipments of rosin or turpentine from a new producer. Onlycompanies in Europe, Japan and the United States are given. The list should not beregarded as exhaustive and inclusion in the list does not imply that FAO or NRI have anyknowledge of the financial standing of the company.

EUROPE

France

Almimet SA18 Rue de la Michodière75002 Paris

Dérives Resiniques et Terpeniques30 Rue Gambetta40105 Dax

Germany

Gratenau & Hesselbacher Chemie KGKlosterwall 220017 Hamburg

Hermann ter Hell & Co.Kattrepelsbriicke 120095 Hamburg

Weissmeer-Baltische GmbHLange Miihren 92000 Hamburg

Willers, Engel GmbH & Co.Grimm 820457 Hamburg

Italy

Chemverga SLVia Romagnosi 2000196 Rome

50

APPENDlX5

LIST OF IMPORTERS AND TRADERS OF NA VAL STORES

The following tist gives the names and addresses of some of the companies which import or trade in naval stores. Such companies may be willing to consider purchases of export­quality, container-load shipments of rosin or turpentine from a new producer. Only companies in Europe, Japan and the United States are given. The tist should not be regarded as exhaustive and inclusion in the tist does not imply that FAO or NRI have any knowledge of the financial standing of the company.

EUROPE

France

AlmimetSA 18 Rue de la Michodiere 75002 Paris

Derives Resiniques et Terpeniques 30 Rue Gambetta 40105 Dax

Germany

Gratenau & Hesselbacher Chemie KG KJosterwall 2 20017 Hamburg

Hermann ter Hell & Co. Kattrepelsbriicke 1 20095 Hamburg

Weissmeer-Baltische GmbH Lange Miihren 9 2000 Hamburg

Willers, Engel GmbH & Co. Grimm 8 20457 Hamburg

Italy

Chemverga SL Via Romagnosi 20 00196 Rome

50

1EMPSA DeltaVia Boccaccio 329020 Trezzano on NaviglioMilan

Netherlands

De Monchy International BVPO Box 762Meent 1063000 AT Rotterdam

Integrated Chemicals BVKanaalstraat 276PO Box 3022160 AH Lisse

G.C. Rutteman & Co.Exchange Building, Room 374PO Box 300283001 DA Rotterdam

United Kingdom

Ferguson & Menzies Ltd312 Broomloan RoadGlasgow G51 2JW

Langley Smith cg:. Co. Ltd36 Spital SquareLondon El 6DY

A.V. Pound & Co. Ltd83a High StreetEsher KT10 9PZ

White Sea and Baltic Co. LtdArndale HouseOtley RoadHeadingleyLeeds LS6 2UU

Japan

Arakawa Chemical Industries Ltd3-7 Hirano-machi 1-chomeChuo-kuOsaka 541

51

IEMPSA Delta Via Boccaccio 3 29020 Trezzano on Naviglio Milan

Netherlands

De Monchy International BV POBox 762 Meent 106 3000 AT Rotterdam

Integrated Chemicals BV Kanaalstraat 276 PO Box 302 2160 AH Lisse

G.C. Rutteman & Co. Exchange Building, Room 374 PO Box 30028 3001 DA Rotterdam

United Kingdom

Ferguson & Menzies Ltd 312 Broomloan Road Glasgow G51 2JW

Langley Smith & Co. Ltd 36 Spital Square London E1 6DY

A.V. Pound & Co. Ltd 83a High Street Esher KTlO 9PZ

White Sea and Baltic Co. Ltd Amdale House Otley Road Headingley Leeds LS6 2UU

Japan

Arakawa Chemical Industries Ltd 3-7 Hirano-machi 1-chome Chuo-ku Osaka 541

51

Harima Chemical Inc.6-7 Dosho-machi 3-chomeChuo-kuOsaka 541

Sang Yo Boeki LtdDaiwa Bank Buildings 2-5-28Kyu Taro-machiChuo-kuOsaka 541

Toyo Chemical Co. Ltd16-12 Ginza 6-chomeChuo-kuTokyo 104

United States

PDM Inc.3512-6 Silverside RoadWilmingtonDE 19810

Rausch Naval Stores Co. Inc.PO Box 4085New OrleansLA 70178

Ter Chemicals Inc.PO Drawer PPass ChristianMS 39571

52

Harima Chemical Inc. 6-7 Dosho-machi 3-chome Chuo-ku Osaka 541

Sang Yo Boeki Ltd Daiwa Bank Buildings 2-5-28 Kyu Taro-machi Chuo-ku Osaka 541

Toyo Chemical Co. Ltd 16-12 Ginza 6-chome Chuo-ku Tokyo 104

United States

PDM Inc. 3512-6 Silverside Road Wilmington DE 19810

Rausch Naval Stores Co. Inc. PO Box 4085 New Orleans LA 70178

Ter Chemicals Inc. PO DrawerP Pass Christian MS 39571

52

1987 1988 1989 1990 1991 1992

APPENDIX 6

STATISTICAL TABLES

Table 9Rosina: exports from the People's Republic of China, 1987-92

(tonnes)

Total 193 000 193 000 182 975 174 000 205 000 261 000

Source: Customs Statistical Yearbook, 1992Note: a Believed to be wholly or mainly gum rosin

Table 10Rosina: exports from Portugal, 1987-92

(tonnes)

Notes: a Defined as 'rosin obtained from fresh oleoresins or 'gum rosin' [excludes othertypes of rosin and rosin derivatives]

53

1987 1988 1989 1990 1991 1992

Total

of which to:

84 456 59 068 54 258 57 107 47 050 26 069

France 13 107 8 059 10 448 9 091 7 655 5 068Germany 22 156 15 454 15 687 20 518 18 493 9 535Netherlands 9 590 8 338 4 302 4 213 3 368 1 994Italy 9 122 7 005 7 657 8 894 6 882 2 804UK 5 687 5 028 3 342 3 122 1 831 1 520Belgium/Luxembourg 907 434 289 698 325 471Spain 14 059 8 890 7 250 5 664 3 997 649Switzerland 356 412 315 400 369 258Austria 485 428 181 275 269 354Japan 300 263 193 193 298 315USA 3 016 2 471 2 311 1 985 1 592 1 389Canada 408 169 476 180 403 111Venezuela 1 224 100 106 140 140 140South Africa 1 115 337 224 120 80 135Morocco 830 302 547 402 641 679Other countries 2 094 1 378 930 1 212 707 647

Source: Eurostat

Table 9

APPENDIX 6

STATISTICAL TABLES

Rosina: exports from the People's Republic of China, 1987-92 (tonnes)

1987 1988 1989 1990 1991 1992

Total 193000 193000 182975 174000 205000 261000

Source: Customs Statistical Yearbook , 1992 Note: a Believed to be wholly or mainly gum rosin

Table 10 Rosina: exports from Portugal, 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 84456 59068 54258 57107 47050 26069

a/which to: France 13 107 8059 10448 9091 7655 5068 Gennany 22156 15454 15687 20518 18493 9535 Netherlands 9590 8338 4302 4213 3368 1994 Italy 9122 7005 7657 8894 6882 2804 UK 5687 5028 3342 3122 1 831 1520 Belgium/Luxembourg 907 434 289 698 325 471 Spain 14059 8890 7250 5664 3997 649 Switzerland 356 412 315 400 369 258 Austria 485 428 181 275 269 354 Japan 300 263 193 193 298 315 USA 3016 2471 2311 1985 1592 1389 Canada 408 169 476 180 403 III Venezuela 1224 100 106 140 140 140 South Africa I lIS 337 224 120 80 135 Morocco 830 302 547 402 641 679 Other countries 2094 I 378 930 I 212 707 647

Source: Euraslat Notes: a Defined as 'rosin obtained from fresh oleoresins' or 'gum rosin' [excludes other

types of rosin and rosin derivatives]

53

Table 11ROSina,b: exports from Indonesia, 1987-92

(tonnes)

Source: Indonesia Foreign Trade StatisticsNotes: a Defined as 'pine resin' but believed to be wholly or mainly gum rosin

h Additional, small quantities are classified under 'rosin'. Totals are: nil (1987),na (1988), 148 (1989), 607 (1990), 404 (1991), 104 (1992); in each case, mostwent to India.

na Not available

54

1987 1988 1989 1990 1991 1992

Total

of which to:

14 966 22 103 7 380 14 562 17 480 23 274

Gerrnany - na 18 696 653Netherlands - 126 342 1 397 1 920Italy 350 36 288 936 1 453UK - 126 54 36 108 40Belgium/Luxembourg - na - - 346Portugal - - - 340 1 056Spain - - 38 1 709Greece na 36 36 125Turkey 18 36 594India 5 645 5 294 1 310 5 937 3 290 1 795Bangladesh 386 474 54 144 54 454Pakistan 791 630 15 913Sri Lanka - na 72 113Japan 2 786 4 822 4 420 2 520 4 392 2 856Taiwan, Prov. of China 3 417 5 660 702 1 574 1 088 2 451Singapore 1 388 2 115 492 225 239 352Korea, Rep. of 522 594 162 1 166 2 282 2 072Thailand 750 499 101 1 085 742 595Philippines 54 864 50 176 387 650Australia 76 144 186 1 116USA 16 95 614 1 015Mexico na - 55Colombia na - 335Ecuador - na 72Eg-ypt - - - 528 96Other countries 18 296 0 56 76 438

Table 11 RosinG,b : exports from Indonesia, 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 14966 22 103 7380 14562 17480 23274

a/which to: Gennany na 18 696 653 Netherlands 126 342 1397 1920 Italy 350 36 288 936 1453 UK 126 54 36 108 40 Be1giumILuxembourg na 346 Portugal 340 I 056 Spain 38 1 709 Greece na 36 36 125 Turkey 18 36 594 India 5645 5294 1 310 5937 3290 1 795 Bangladesh 386 474 54 144 54 454 Pakistan 791 630 15 913 Sri Lanka na 72 113 Japan 2786 4822 4420 2520 4392 2856 Taiwan, Provo of China 3417 5660 702 1574 1088 2451 Singapore I 388 2 115 492 225 239 352 Korea, Rcp. of 522 594 162 1 166 2282 2072 Thailand 750 499 101 1085 742 595 Philippines 54 864 50 176 387 650 Australia 76 144 186 1 116 USA 16 95 614 1 015 Mexico na 55 Colombia na 335 Ecuador na 72 Egypt 528 96 Other countries 18 296 0 56 76 438

Source: Indonesia Foreign Trade Statistics Notes: a Defined as 'pine resin' but believed to be wholly or mainly gum rosin

b Additional, small quantities are classified under 'rosin'. Totals are: nil (1987), na (1988), 148 (1989), 607 (1 990),404 (1991) , 104 (1992); in each case, most went to India .

na ~ Not available

54

Table 12Rosina,b: exports from Brazil, 1987-93

(tonnes)

Source: National trade statisticsNotes: a Defined as 'colofonias [excludes rosin derivatives]

b Believed to be wholly or mainly gum rosinna = Not available

55

1987 1988 1989 1990 1991 1992 1993

Total

of which to:

962 11 682 13 843 8 451 8 330 10 384 13 502

Germany 101 490 na 15 na na naNetherlands 120 1 779 na 1 772 na na naItaly 177 na 20 T1 a na naUK- 40 925 na 235 na na naBelgiurn 84 na 38 na na naPortugal 415 na na na naSpain 60 na 79 na na naJapan 36 na 779 na na naSingapore 10 10 na 74 na na naUSA 477 4 531 na 3 938 na na naMexico - na 387 na na naUruguay 135 326 na 302 na na naChile 42 705 na 425 na na naEcuador 30 10 na na na naVenezuela 1 598 na 156 na na naPeru 103 na 120 na na naArgentina na 25 na na naSouth Africa 4 335 na 40 na na naOther countries 3 98 na 46 na na na

Table 12 Rosino,b: exports from Brazil, 1987-93

(tonnes)

1987 1988 1989 1990 1991 1992 1993

Total 962 II 682 13 843 8451 8330 10 384 13 502

o/which to: Gennany 101 490 na 15 na na na Netherlands 120 1 779 na 1772 na na na Ital y 177 na 20 n. na na UI< 40 925 na 235 n. na na Belgium 84 na 38 n. na n. Portugal 415 na na na na Spain 60 na 79 na na na Japan 36 na 779 n. na na Singapore 10 10 na 74 na na na USA 477 4 531 na 3938 na na na Mexico na 387 n. na na Uruguay 135 326 na 302 n. na na Chile 42 705 na 425 na na na Ecuador 30 10 na na na na Venezuela 1 598 na 156 na na na Peru 103 na 120 na na n. Argentina n. 25 n. na n. South Afric. 4 335 n. 40 n. na n. Other countries 3 98 n. 46 n. n. n.

Source: National trade statistics Notes: a Defined as 'colofonias' [excludes rosin deriv.tives]

b Believed to be wholly or mainly gum rosin na :::::: Not available

55

Table 13Rosina: exports from the United States, 1989-93

(tonnes)

Source: National trade statistic.sNote: a Defined as 'gum rosin [separate from wood rosin and taIl oil rosin]

56

1989 1990 1991 1992 1993

Total

of which to:

1 808 1 087 1 274 1 109 820

Germany 91 122 35 - 19Netherlands 30 5 4Italy 5 22 17 17UK 83 - 57Belgium 101 -

Lebanon - 95Pakistan - 15 71

Japan 480 428 477 51 258Singapore 7 1 18 6 22Thailand 23 11 11 -

Philippines 9 8 7 27Cariada 116Mexico 78 191 38 706 69El Salvador 60 15 11 27Panama 5 54 28 32 -

Venezuela 2 80 232 49 35Peru 10 2 49 32 15Colombia 36 7 45 -

Argentina - 95Egypt 750 -

Kenya - 139South Africa 85 18Other countries 106 61 117 35 35

Table 13 Rosina: ex pons from the United States, 1989-93

(tonnes)

1989 1990 1991 1992 1993

Total 1 808 1087 1274 1 109 820

a/which to : Gennany 91 122 35 19 Netherlands 30 5 4 Italy 5 22 17 17 UK 83 57 Belgium 101 Lebanon 95 Pakistan 15 71 Japan 480 428 477 51 258 Singapore 7 1 18 6 22 Thailand 23 11 11 Phil ippines 9 8 7 27 Canada 11 6 Mexico 78 191 38 706 69 EI Salvador 60 15 11 27 Panam a 5 54 28 32 Venezuela 2 80 232 49 35 Peru 10 2 49 32 IS Colombia 36 7 45 Argentina 95 Egypt 750 Kenya 139 South Africa 85 18 Other countries 106 61 117 35 35

Source: National trade statistics Note : a Defined as 'gum rosin' [separate from wood rosin and tall oil ros in]

56

Table 14Rosina: imports into the European Community, 1987-92

(tonnes)

Notes: a Defined as 'rosin obtained from fresh oleoresins' or 'gurn rosin [excludes othertypes of rosin and rosin derivatives]

ns = Not specified

57

1987 1988 1989 1990 1991 1992

Total

of which from:

151 986 147 897 141 961 146 075 160 354 188 036

France 672 574 362 544 496 2 276Germany 1 254 1 551 1 835 1 405 1 782 1 989Netherlands 395 1 796 2 889 1 624 2 490 5 213UK 69 58 215 593 1 276 2 068Belgium/Luxembourg 472 407 401 465 1 677 3 243Portugal 71 875 54 442 50 219 51 654 41 551 23 142Spain 509 292 412 457 478 520Yugoslavia, forrric.T 5 187 8 539 312 45Greece 165 91 81 157 302 300Soviet Union, former 23 347 2 894 977 952 303Russia ns ris ns ns ns 942China, People's Rep. of 65 468 66 725 66 459 76 843 94 790 123 895Indonesia - 404 180 579 4 664 10 872Hong Kong 329 1 879 161 304 234 1 389USA 763 1 303 716 689 799 1 110Mexico 1 221 835 585 142 197 73Honduras 2 809 2 308 3 352 2 749 2 841 3 463Brazil 101 3 045 5 941 2 063 2 708 5 009Argentina 15 42 973 241 76 639Venezuela 66 1 316 20 -

South Africa - - 81Other countries

of which to:

659 3 259 3 908 3 273 2 976 1 509

France 20 888 19 861 17 396 18 211 21 725 21 979Germany 49 069 47 425 44 833 54 487 54 553 61 053Netherlands 33 644 34 025 38 023 33 445 39 564 43 811Italy 16 036 13 601 12 846 12 292 15 083 15 639UK 15 546 18 386 14 033 13 335 11 323 12 658Belgiurn/Luxembour 2-, 2 087 1 970 2 228 3 121 3 038 5 758Spain 14 037 10 519 11 158 8 999 8 607 13 994Portugal 12 1 410 503 809 3 115 8 875Greece 2 - 9 134Denmark 329 310 356 184 794 1 029Ireland 336 390 576 1 192 2 552 3 106

Source: Euro star

Table 14 Rosina: imports into the European Community. 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 151986 147897 141961 146075 160354 188 036

~rwhich lrom: France 672 574 362 544 496 2276 Germany 1254 ] 551 1 835 1405 ] 782 1 989 Netherlands 395 ] 796 2889 1624 2490 5213 UK 69 58 215 593 1276 2068 Belgium/Luxembourg 472 407 401 465 1677 3243 Portugal 71875 54442 50219 51 654 41551 23 142 Spain 509 292 412 457 478 520 Yugoslavia, fanner 5 187 8539 312 45 Greece 165 91 81 157 302 300 Soviet Union, fanner 23 347 2894 977 952 303 Russia ns ru; ns ns ru; 942 China. People's Rep. of 65468 66725 66459 76843 94790 123895 Indonesia 404 180 579 4664 ] 0872 Hong Kong 329 ] 879 161 304 234 1 389 USA 763 1 303 716 689 799 1 11 0 Mexico 1221 835 585 142 197 73 Honduras 2 809 2308 3352 2749 2841 3463 Brazil 101 3045 5941 2063 2708 5009 Argentina 15 42 973 241 76 639 Venezuela 66 1 316 20 Sou th Africa 81 Other countries 659 3259 3908 3273 2 976 1 509

alwhich to: France 20888 19861 17396 18211 21725 21 979 Germany 49069 47425 44 833 54487 54553 61 053 Netherla1l(ls 33644 34025 38023 33445 39564 43811 Italy 16036 13 601 12846 12292 15083 15 639 UK 15546 18386 14033 13 335 11 323 12658 Belgium/Luxembourg 2087 1 970 2228 3121 3038 5758 Spain 14037 10519 11 158 8999 8607 13 994 Portugal 12 I 410 503 809 3115 8875 Greece 2 9 134 Denmark 329 310 356 184 794 I 029 Ireland 336 390 576 1192 2552 3 106

Source: Eurostal Notes: a Defined as 'rosin obtained from fresh oleoresins l or 'gum rosin' [excludes other

types of rosin and rosin derivatives] ns = N at specified

57

Table 15Rosina: imports into Japan, 1987-93

(tonnes)

Source: Japan Exports and InwortsNotes: a Defined as 'rosin or 'rosin and resin acids' [excludes salts, ester gums and

other derivatives]b Believed to be wholly or mainly g,tun rosin

Table 16Rosina: imports into the United States, 1989-93

(tonnes)

Source: National trade statisticsNotes: a Defined as 'gum rosin' [separate from wood rosin and tall oil rosin]

b Believed to be wholly or mainly gtun rosin

58

1987 1988 1989 1990 1991 1992 1993

Total

of which .from:

71 011 82 416 78 911 60 844 74 442 68 927 75 303

China, People's Rep. ofb 60 473 66 399 59 589 48 328 60 697 58 046 61 '755Taiwan, Prov. of China 230 - - 522 630Lndonesiab 3 372 5 038 9 005 3 474 5 656 4 968 8 172Hong Kong 118 200 1 022 535 1 150 1 531 212Viet Namb - - - 300 815 821New Zealand 1 885 1 375 1 491 1 374 1 163 845 1 003Portugalb 248 298 263 158 333 333 263USA 4 809 8 663 7 429 6 072 4 416 1 554 2 379Brazilb 36 97 798 634 20 20Other countries 106 177 15 105 93 293 48

1989 1990 1991 1992 1993

Total

of which from:

14 301 16 783 13 703 14 639 13 671

Portugal 1 863 1 758 1 895 2 118 2 168China. People's Rep. ofb 3 281 5 818 5 508 7 028 3 112Indonesiab 18 678 1 073 1 228Hong Kong 220 127 1 081 560 347Singapore 151

Canada 274 294 - 202Mexicob 963 390 26 16 49Hondurasb 396 120 60 20Brazilb 6 068 4 275 3 756 2 864 6 093Argentina12 838 3 382 664 807 433Venezuelab 44 452 -

Other countries 354 149 35 2 39

Table 15 Rosina: imports into Japan, 1987-93

(tonnes)

1987 1988 1989 1990 1991 1992 1993

Total 71011 82416 78911 60844 74442 68927 75303

of which from: China, People's Rep, ofb 60473 66399 59589 48328 60697 58046 61755 Taiwan, Prov, of China 230 522 630 Indonesiab 3372 5038 9005 3474 5656 4968 8172 Hong Kong 118 200 1022 535 1 150 1531 212 Viet Namb 300 815 821 New Zealand 1 885 1 375 1491 1374 1 163 845 1003 Portugalb 248 298 263 158 333 333 263 USA 4809 8663 7429 6072 4416 1554 2379 Brazilb 36 97 798 634 20 20 Other countries 106 177 15 105 93 293 48

Source: Japan Exports alUi Imports Notes: a Defined as 'rosin' or 'rosin and resin acids' [excludes salts, ester gwns and

other derivatives] b Believed to be wholly or mainly gum rosin

Table 16 Rosina: imports into the United States, 1989-93

(tonnes)

1989 1990 1991 1992 1993

Total 14301 16783 13 703 14 639 13 671

ofwhichtom: I 863 1758 1895 2118 2 168 Portugal

China, People's Rep, ofb 3281 5818 5508 7028 3112 Inctonesiab 18 678 1073 1228 Hong Kong 220 127 1 081 560 347 Singapore 151 Canada 274 294 202 Mexkob 963 390 26 16 49 Hondurasb 396 120 60 20 Brazilb 6068 4275 3756 2864 6093 Argentinab 838 3382 664 807 433 Venezuelab 44 452 Other cOWltries 354 149 35 2 39

Source: National trade statistics Notes: (l Defined as 'gum rosin' [separate from wood rosin and tall oil rosin]

b Believed to be wholly or mainly gum rosin

58

Table 17Turpentinea: exports from the People's Republic of China, 1987-92

(tornes)

1987 1988 1989 1990 1991 1992

Source: Customs Statistical Yearbook, 1992Note: a Believed to be wholly or mainly gum turpentine

Table 18Turpentinea: exports from Portugal, 1987-92

(tonnes)

Notes: a Defined as 'gum spirits of turpentine [separate from spirits of wood and sulphateturpentine]

59

1987 1988 1989 1990 1991 1992

Total

of which to:

12 695 9 888 7 974 5 784 7 875 5 775

France 5 675 4 398 3 153 1 694 2 767 1 561Gerrnany 665 749 517 603 510 363Netherlands 182 196 170 89 149 91Italy 318 160 54 429 280 398UK 417 352 222 60 102 64Belgium/Luxembourg 344 250 185 159 275 299Spain 4 583 3 480 3 614 2 658 3 721 2 968Other countries 511 303 59 92 71 31

Source: Eurostat

Total 2 855 6 769 24 323 1 788 8 052 5 560

Table 17 Turpentine": exports from the People's Republic of China, 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 2855 6769 24 323 1788 8052 5 560

Source: . Customs Stalistical Yearbook, 1992 Note: a Believed to be wholly or mainly gum turpentine

Table 18 Turpentine": exports from Portugal, 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 12695 9888 7974 5784 7875 5775

o/which to: France 5675 4398 3153 1694 2767 1 561 Germany 665 749 517 603 510 363 Netherlands 182 196 170 89 149 91 Italy 31 8 160 54 429 280 398 UK 417 352 222 60 102 64 Belgium/Luxembourg 344 250 185 159 275 299 Spain 4583 3 480 3614 2658 3721 2968 Other countries 511 303 59 92 71 31

Source: Eurosrat Notes: a Defined as 'gum spirits of turpentine' [separate from spirits of wood and sulphate

turpentine]

59

Table 19Turpentinea: exports from Indonesia, 1987-92

(tonnes)

Source: Indonesia Foreign Trade StatisticsNote: a Defined as 'gum turpentine'

60

1987 1988 1989 1990 1991 1992

Total

of which to:FranceGermanyNetherlandsItalyUKBelgium/LuxembourgGreeceIndiaBangladeshJapanTaiwan, Prov. of ChinaHong KongSingaporeKorea, Rep. ofThailandNew ZealandUSACanadaEgyptOther countries

2

1

147

587

35895

97

80

0

3

1

1

421

-

619

128269

3414

327

30

3

2

403

349163

-

50

030-

55296

-

10954

-

-

-

0

4

2

935

97360

227312394

-

470-

29282

-

-

14

-

63157

-

0

3

2

989

23765

192126

422095

559

204152

5914

39152

14

19

7

4

234

50816538

754164123366121

68956894

-

-

41

209379

2813

Table 19 Turpentine": exports from Indonesia. 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 2147 3421 3403 4935 3989 7234

a/which to : France 97 237 508 Germany 349 360 65 165 Netherlands 163 192 38 Italy 227 126 754 UK 50 312 42 164 Belgium/Luxembourg 394 20 123 Greece 95 366 India 1587 1 619 2030 2470 2559 4121 Bangladesh 68 Japtlo 358 11 28 552 292 204 95 Taiwan, Provo of China 95 269 96 82 152 68 Hong Kong 94 Singapore 34 59 Korea. Rep. of 27 14 14 Thailand 80 109 14 41 New Zealand 327 54 USA 631 39 209 Canada 57 152 379 Egypt 14 28 Other countrico;; 0 30 0 0 19 13

Source: Indonesia Foreign Trade Statistics Note: a D efined as 'gum turpentine'

60

Table 20Turpentinea: imports into the European Community, 1987-92

(tonnes)

Notes: a Defined as 'gurn spirits of turpentine [separate from spirits of wood and sulphateturpentine]

ns -= Not specified

61

1987 1988 1989 1990 1991 1992

Total

qf which from:

14 715 14 546 21 288 19 903 15 821 16 415

Portugal 12 965 11 042 9 350 6 415 8 062 5 977Germany 127 311 1 063 2 135 825 992Bulgaria 58 90 150 266 376Yugoslavia, farmer 505 1 243 945 302 87 -

Soviet Union, former 589 879 415 103 717 120Russia ns ns ns ns TIS 457China, People's Rep. of - 80 7 498 7 528 3 149 3 492Indonesia - 501 1 072 594 2 125Brazil 28 233 513 771 1 155 1 684Argentina - - 626South Africa - 109 339 247 127Other countries

of which to:

443 758 804 1 088 719 439

France 5 648 5 886 9 301 6 725 6 453 3 938Germany 868 1 103 2 658 2 557 1 540 1 341Netherlands 159 259 283 176 308 132Italy 1 472 1 555 1 542 1 359 770 1 379UK 490 468 411 463 339 306Belgium/Luxembourg 441 375 357 650 379 481Spain 5 305 4 869 5 452 7 260 4 936 6 373Portugal 59 1 100 445 650 1 618Greece 135 - 148 236 417 812Denmark 95 15 10 16 21 22Ireland 43 16 26 16 8 13

Source: Eu rostat

Table 20 Turpentine": imports into the European Community, 1987-92

(tonnes)

1987 1988 1989 1990 1991 1992

Total 14715 14546 21288 19903 15821 16415

of which from: Portugal 12965 11 042 9350 6415 8062 5977 Germany 127 311 1 063 2135 825 992 Bulgaria 58 90 150 266 376 Yugoslavia, former 505 I 243 945 302 87 Soviet Union, fanner 589 879 415 103 717 120 Russia ns ns ns ns ns 457 China, People's Rep. of 80 7498 7528 3 149 3492 Indonesia 501 1072 594 2125 Brazil 28 233 513 771 1 155 1684 Argentina 626 South Africa 109 339 247 127 Other cotmtries 443 758 804 1 088 719 439

afwhich to: France 5648 5886 9301 6725 6453 3938 Germany 868 1 103 2658 2557 1540 1 341 Netherlands 159 259 283 176 308 132 Italy 1472 1 555 1542 1 359 770 1 379 UK 490 468 411 463 339 306 Belgitun/LtLxembourg 441 375 357 650 379 481 Spain 5305 4869 5452 7260 4936 6373 Portugal 59 1 100 445 650 1 618 Greece 135 148 236 417 812 Denmark 95 15 10 16 21 22 Ireland 43 16 26 16 8 13

Source: Eurostoc Notes: a Defined as 'gum spirits of turpentine' [separate from spirits of wood and sulphate

turpentine] ns ~ Not specified

61

Table 21Turpentin ea : imports into Japan, 1987-93

(tonnes)

Source: Japan Exports and ImportsNotes: a Defined as 'gum, wood or sulphate turpentine oils'

b Believed to be wholly or mainly gum turpentine

62

1987 1988 1989 1990 1991 1992 1993

Total

ofwhich from:

7 995 12 266 14 894 6 580 7 629 8 240 6 533

China, People's Rep. ofb 1 711 4 828 8 357 2 484 2 384 1 809 3 196Indonesiab 302 1 521 770 176 272 136 567Hong Kong 53 53 98 56Viet Namb 20 40 40 30 24New Zealand 899 1 120 498 1 360 1 307 1 915 906USA 4 418 3 979 4 551 2 001 3 039 3 537 1 274Chile 645 775 625 476 528 762 571

Other countries 0 3 0 0 1 1 19

Table 21 Turpentine": imports into Japan, 1987-93

(tonnes)

1987 1988 1989 1990 1991 1992 1993

Total 7995 12266 14894 6580 7629 8240 6533

a/which/rom: China, People's Rep. ofb 1711 4828 8357 2484 2384 1 809 3196 Indonesiab 302 1 521 770 176 272 136 567 Hong Kong 53 53 98 56 Viet Namb 20 40 40 30 24 New Zealand 899 1 120 498 1 360 1307 1915 906 USA 4418 3979 4551 2001 3039 3537 1274 Chile 645 775 625 476 528 762 571 Other countries 0 3 0 0 1 1 19

Source: Japan E'ports and imports Notes: a Defined as 'gum, wood or sulphate turpentine oils'

b Believed to be wholly or mainly gum turpentine

62

Pinus is one of the most widely distributed genera of

trees in the northern hemisphere. Its range extends

from the polar region to the tropics and includes

Central and North America, Europe and Asia. Pines

are among the most widely planted exotics for

timber and pulp purposes, and large areas of these

trees are therefore found outside their natural range

in South America, Africa and Australasia. Pine trees

are important not only for wood, but also as a

valuable source of non-wood forest products. They

can be tapped for resin, which can then be distilled

to produce gum turpentine and gum rosin.

Gum naval stores: turpentine and rosin from pine

resin provides information on the technical and

economic aspects of pine resin production including

the tapping of trees and the distillation of the resin.

It also reviews recent trends in world production

and markets for gum turpentine and gum rosin. The

book is intended for prospective producers of

turpentine and rosin and for organizations and

individuals appraising projects involving their

production. It is particularly intended for readers in

developing countries.

Itktover

441 iirel-f-Aiint-

\

ISBN 92-5-103684-5 ISSI'J 020-3370

1111 1111 110ID 09 -7 8 9 2 5 1 0 3 6 8 4 6-

M-37 V6460E/1/5 95/2000

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Pinus is one of the most widely distributed genera of

trees in the northern hemisphere. Its range extends

from the polar region to the tropics and includes

Central and North America, Europe and Asia. Pines

are among the most widely planted exotics for

timber and pulp purposes, and large areas of these

trees are therefore found outside their natural range

in South America, Africa and Australasia. Pine trees

are important not only for wood, but also as a

valuable source of non-wood forest products. They

can be tapped for resin, which can then be distilled

to produce gum turpentine and gum rosin.

Gum naval stores: turpentine and rosin from pine

resin provides information on the technical and

economic aspects of pine resin production including

the tapping of trees and the distillation of the resin.

It also reviews recent trends in world production

and markets for gum turpentine and gum rosin. The

book is intended for prospective producers of

turpentine and rosin and for organizations and

individuals appraising projects involving their

production. It is particularly intended for readers in

developing countries.

ISSI" 92-5-103684-5

111111111111111111111111 9 7 8925 1 03 684 6

M-37