The forests and woods are the main resources in Latvia. It is vital to understand the amount of wood resources that is being extracted from private forests now and in future in order to be able to predict the forest sector development and growth. The study objective was to identify the key factors in the wood resource availability and assess their role in private forests. In October 2009, the study was conducted to appraise the private forest owners the operational results and find out the future plans in connection to wood resource extraction. In the study a random sampling method was applied, where in the respondent selection the State Forest Service database information was used. In the study the respondent interviewing method CATI with computerized telephone interviews was used. In the selection of affecting factors the expert's method was applied. The study showed that only 25.40% of all private forest owners claimed that there was wood resources extraction in forests, but 29.50% of all private forest owners claimed that they were planning to perform the wood resource extraction in 2010. If the timber selling prices increased by more than 10 LVL per m3 in 2010, then 38% of all respondents claimed that they would increase the wood resource extraction in forests. The study data show that 30% of all private forest owners admit that there are growing stands in the forests, but they can’t be harvested, because road infrastructure is poorly developed or there are no roads in the forests.

Forest industry consists of two related industries forestry and wood processing. Wood processing industry, which is a direct consumer of timber resources generated by forestry sector is eager to search for an answer about kind and amount of round wood they can count on in long term period. In Latvia for every five years State Forest Service calculates cutting volumes for the state owned forests based on models which do not guarantee safe long term income maximization. Long term cutting volumes and assortments in privately owned forests have not been analyzed very deeply. The aim of the research was to estimate the hypothetic amount of different timber resources available in the territory of Latvia for wood processing industry within next hundred years and look at geographic location of timber resources and woodworking companies. Research results showed that forests in Latvia are not being depleted and current annual cutting volumes could be increased. Geographic observation of primary wood processing companies showed that most of them are located close to large cities or near main roads of Latvia. This location makes easier round wood deliveries to factory and facilitates transportation of produced goods to an end customer. To clarify where and what profile (softwood or hardwood) production volumes should be increased, model of timber resource demand indicator was implemented.