The aim of this study was to develop a Scots pine (Pinus sylvestris L.) breeding objective for a vertically integrated sawmill in northern Sweden. The production system was defined as comprising the sawmill and the forests supplying it. Volume per hectare, wood density, survival and straightness were used as objective traits and the related selection criteria were measurements, collected at young tree age, of height, diameter, pilodyn penetration, vitality and straightness. A bio-economic model was used to calculate economic weights for the objective traits identified. We also investigated the efficiency of different selection indices based on these economic weights, in combination with available data on genetic parameters. Furthermore, we studied the effect of different discount rates on the calculated economic weights. The results showed that, compared to the full index (which included all selection criteria), omitting either vitality or straightness had a negligible effect, reducing predicted profit gain per hectare by less than one per cent. Height or diameter each had a greater effect, with a loss of predicted profit gain per hectare of up to 6%. Excluding pilodyn penetration from the selection index caused the largest reduction in predicted profit gain per hectare, amounting to over 10%. However, when both height and diameter were removed the predicted profit gain per hectare dropped to one-third of that based on the full index. Finally, ranking and genetic selection for the developed breeding objective was insensitive to changes in the discount rate.