This paper summarizes an economic evaluation of whole-tree feedstock production. Our analysis indicates that wood feedstocks have the potential to be grown, harvested and delivered at costs approximating $1.80 GJ(-1) on good cropland. However attaining this cost requires that special consideration be given to selecting the land base, carefully matching appropriate clones to sites and using whole-tree direct load harvesting concepts. The direct load system significantly reduces harvest and handling costs by eliminating skidding and minimizing in-field handling, using high-speed continuous cutting principles and harvesting all year round for better equipment utilization and reduced biomass losses from handling and storage. Our estimate is also based on regenerating new stands by replacing cut trees with improved clones rather than by coppice regrowth. (C) 1996 Published by Elsevier Science Ltd.