Global timber market review #11-2015

– Södra raised the price for standard pine and spruce sawlogs by SEK 20 (EUR 2,16) per cubic metre since 25 May, but a temporary contracting premium of SEK 20 will be introduced to stimulate early contracting.

– Following a sharp drop of -5.7% in April, the price of EnplusA1 pellets in Austria continued to decline in May, Fordaq reported.

– On May 23, a decree by the Turkish cabinet of ministers increased the tax rate on furniture imports to 50 percent from 13 percent. Moreover, Turkey’s Ministry of Economy has initiated anti-dumping investigations on plywood imports of Chinese origin.

– Finland’s government has set out a bold target of reducing Finnish dependence on foreign fossil fuels, by halving oil imports and increasing the share of renewable fuels use to 40 percent by 2030.

– Due to carrier rates changes, the lurking geopolitical tension has had a direct impact on companies that do not even engage in business with Russia, especially in the Baltic states, as the Lithuanian wood processing company UAB Juodeliai reports quoted by Fordaq. Russia’s food embargo has mostly affected the carriers, significantly raising the cost of truck transportation to Western European manufacturers.

– Japanese Ministry of Agriculture, Forestry and Fisheries disclosed wood statistics for 2014. Log supply decreased by 1.7% because of drop of housing starts.

More detailed review of global market trends of roundwood, lumber, wood panels and pellets as well as news of the Russian timber industry; exclusive articles and interviews; over 25 pages of price charts are available in our digital Russian Timber Journal.