The furniture and wood-based panels sectors are one of the most affected of the Russian timber industry during the COVID-19 period

It appears that the most affected sectors of the timber industry remain to be the production of furniture and wood-based panels. Diminution in demand for furniture, interior design items, and finishes is forcing Russian producers of particleboards, MDF, and plywood to reduce production targets, and it is even possible that they suspend their production sites.

Sveza, the flagship of the Russian plywood industry, forecasts that one of the likely scenarios for 2020 is a 20% reduction in output. Anatoly Fishman, its General Director, does not exclude that it can be decided to completely suspend production.

Answering to the official request of WhatWood, Oleg Chistyakov, Operations Director of Sveza Group, replied that the company increased its production output in Q1 2020 by 3% on the level of Q4 2019. “During the public holidays in May, there will be a scheduled shutdown at two plants for equipment maintenance, as it happened in the previous years as well.

The remaining plants continue to operate normally. Besides that, the production sites are fully provided with orders in April and May so they will run at full capacity. Purchases of raw materials are steadily decreasing, but this is a normal situation for the end of the harvesting period and the closure of some roads. It happens like this every year in April-May,” Mr. Chistyakov commented.

Read more: Russian Timber Journal 04-2020.