The market price of wood in Japan is considerably affected by the price of imported logs, which account for 75% of the wood supply. The decrease in the log prices in recent years has brought about a depreciation of the price of stumpage, while the cost of producing logs is rising due to constant increases in wages and material costs. This situation results in the decrease in the profitability of forestry year after year. The internal rate of return (IRR) in forestry that was most recently computed was around 1.5%. Furthermore, the shortage in forestry labor has become a major problem. At the same time, national expectations of the purposes of forests, such as environmental conservation, are triggering the development of new forestry projects and changes in the current management policy to increase the profitability of forestry activities.