A "FAIR and transparent pricing mechanism" will be introduced in some forestry contracts in a bid to mitigate rising fuel costs. 

Forestry and Land Scotland (FLS) chiefs say they will work with partners, such as Confor and the Forestry Contracting Association, to develop the measures at a time where spiralling prices are being felt across the sector. 

Coming as a result of Russia's invasion of Ukraine and the sanctions levelled against the nation, costs have risen exponentially in recent weeks, with red diesel now going routinely for more than £1.30/litre. Many have also reported not being able to get their hands on the fuel.

READ MORE: Red diesel costs 'could hit £1.30/litre', warns Forestry Contracting Association

Doug Knox, head of technical services group at FLS, said: “Contractors all over Scotland help us with our forest management activities and fuel costs are factored in to their bids for contracts.

Forestry Journal: Rising red diesel costs are among those hitting the industry right now Rising red diesel costs are among those hitting the industry right now (Image: EA)

"However, some of the more mechanised operations are ‘fuel-heavy’ and significant cost increases place those contractors under increased financial pressure.

“Areas of work that are impacted the most include road construction and maintenance, harvesting and forwarding, ground preparation and haulage." 

Forwarding and harvesting work is likely to be among those prioritised by any new mitigation measures.

Doug added: "We are looking at how we can develop additional mechanisms in our contracts and will prioritise support for the most badly affected businesses working on Scotland’s national forests and land.

Forestry Journal: Russia's invasion of Ukraine is affecting fuel prices Russia's invasion of Ukraine is affecting fuel prices

“Working with industry bodies such as Confor, the Road Haulage Association, Forestry Contracting Association, and the Institution of Civil Engineers, we’ll work on developing a fair and transparent pricing mechanisms for use in contracts, which will take account of the significant swings in fuel prices that we are now seeing.”

Any forestry service suppliers that have immediate concerns that they wish to discuss with FLS are encouraged to contact procurement@forestryandland.gov.scot