As the Egger Group's CEO Thomas Leissing recently declared at the company's annual press conference, the Austrian giant was looking for a plant site in Eastern Europe. As the Austrian and Polish media already reports, Egger plans to build a particleboard plant in the northeast region of Poland. The region seems to be very well developed for the furniture industry.
Continue reading "EGGER plans a particleboard plant in Poland"
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German wood pellets production dropped sharply in the first half of the year
The total amount of pellets produced in Germany from January to June 2016 reached 889,600 tonnes, which is 90,000 tonnes less (or 9,18%) than in the same period of 2015. Almost all the pellets produced met the quality classes ENplus A1/A2.
The main raw materials were wood residues (94%) and softwood (98%). The reason for the decline in production is mostly due to weather conditions, because of the mild 2015/2016 winter. Continue reading "German wood pellets production dropped sharply in the first half of the year"
US lumber demand to remain weak by 2020
The huge Millennial generation has not yet reached home-buying age and credit remains tight, causing MetLife to predict that housing starts will reach 1.5 million by 2020, 16 percent below consensus.
The resulting weakened demand for lumber will continue to weigh on pricing and demand over the near term. However, emerging supply shortages will bolster U.S. timberland investments, according to Millennials, Housing, and the Timber Recovery, Continue reading "US lumber demand to remain weak by 2020"
EU imports of Russian hardwood logs down by -20%
EU imports of Russian hardwood logs declined by -20% in the period from January to July 2016, as compared to the same period last year.
Thus, the first five Russian hardwood logs importing countries in 2016 were Finland, Sweden, Poland, Latvia and Lithuania. Total import volume in terms of value decreased to EUR 95 million, as compared to the EUR 118 million from the corresponding period of 2015.
Traditionally, Finland is the main importing market in Europe for Russia. Even though hardwood logs imports from Russia decreased by -9% in 2016, Finland’s imports reached EUR 89 million in value, as compared to EUR 97 million in 2015.
In contrast with Finland, Sweden has reduced hardwood logs imports from Russia by -83% in January-July 2016, having imported Russian hardwood logs valued at EUR 2 million, compared to EUR 13 million in 2015.
Poland's hardwood logs imports from Russia were worth EUR 2 million in 2016, decreasing by -54% from the EUR 4 million in January-July 2015.
TOP 5 Importing Countries. Hardwood: Logs imported from Russia by (in EUR)
| Importing Country | 2015 | 2016 | Change in % | |||
|
118,775,520 | 95,506,161 | -20 % | |||
|
97,710,890 | 89,200,451 | -9 % | |||
|
13,631,770 | 2,347,640 | -83 % | |||
|
4,539,510 | 2,087,800 | -54 % | |||
|
834,560 | 671,420 | -20 % | |||
|
382,600 | 662,250 | 73 % | |||
|
1,676,190 | 536,600 | -68 % | |||
| TOTAL | 118,775,520 | 95,506,161 | -20 % |
Global demand for coal increased; biomass co-firing, an urgent neccesity
Despite the growing climate change concerns, global demand for coal has almost doubled since the Kyoto Protocol in 1997.
The future role of coal in the global energy mix must include co-firing with biomass and a renewed focus on Carbon Capture and Storage (CCS), a new report released by Pöyry Point of View shows.
The global coal fleet makes up around one third of total global electricity generation capacity and around 40% of total electricity generation. As energy demand increases with rising living standards in developing countries and a growing world population, coal's cheap and abundant nature means it is still an attractive source of electricity generation, in spite of global commitments to decarbonize.
Thus, without radical change, it is likely that the majority of coal-fired generation capacity will be with us for the foreseeable future, with the projection indicating around 1,300GW still in operation by 2040.
Significantly, the Pöyry projection does not factor the several hundred GW of new coal which is under construction around the world and the many more that are still in planning.
Matt Brown, Vice President at Pöyry Management Consulting, said, "As world leaders gathered at COP21, there was an implied commitment to reach net-zero emissions by 2050. Without significant change, that commitment may be difficult to meet with the retirement portfolio we are projecting for coal."
He added that Increasing the coal fleet's efficiency is very important but in addition there is the need to co-fire coal capacity with biomass and push harder on CCS. But the appraisal and development of CO2 storage sites and the economic model makes costly CCS plants competitive with their carbon-emitting counterparts.
The global coal fleet is spread around the world, with 45% of capacity in China, 16% in the US, 9% in India and 8% in Europe - the remainder is distributed across many countries. Matt added, "If we want to keep the lights on and save the planet then governments and companies alike need to urgently address the coal conundrum".
Russia’s sawn timber and plywood production volumes on the way up
During January-September 2016, the Russian sawn timber production increased by 4.5%, as compared to the respective period of 2015. The Russian sawnwood production volume thus reached 17.1 million m3.
Also, the production of plywood, particleboards and fiberboards. increased during the mentioned period.
Based on the latest statistics provided by the Continue reading "Russia’s sawn timber and plywood production volumes on the way up"
EU wood flooring exports rising again
After five years of continuous growth between 2009 and 2014, EU wood flooring exports declined slightly in 2015, by 1.7% to 21.1 million sq.m. However, growth resumed in the first six months of 2016 and exports rose by 9% to 11.2 million sq.m.
The downward trend in exports to Switzerland and Norway in 2015 was reversed in the first six months of 2016.
After making significant gains in 2015, EU wood flooring exports continued to increase rapidly to the USA (+23%) and China (+154%) in the first six months of 2016.
However, some of the gains made by EU wood flooring products in the Turkish and Canadian markets in 2015 were lost during the first half of 2016. Exports also declined to Russia during the same period. Continue reading "EU wood flooring exports rising again"
Germany, top softwood timber exporter to India
Total imports of softwood timberin India from leading exporters in Europe and North America amounted to 252,000 m³ during January-July. Continue reading "Germany, top softwood timber exporter to India"
Finland: Forest sector sees record levels
Increasing timber consumption by the Finnish forest industry will rely on domestic timber even more than before. Commercial roundwood removals will reach new record levels. Roundwood trade has picked up notably, especially due to high demand for spruce. Growth was evident already in the beginning of this year and the trade will keep growing next year. Roundwood prices are expected to remain steady.
Forest industry investments elevate use of roundwood
Finland's forest industry investments in production capacity and especially the production of spruce timber increase forest industry’s use of wood in 2016. The total use of wood will increase also next year by a couple of percent reaching 68 million cubic metres as new manufacturing capacity will start operating. Altogether the use of wood does not reach the level of the peak years preceding the recent recession but the use of domestic wood and the volumes of roundwood removals exceed records already during this forecast period. Roundwood trade and removals in Finland will reach the full annual level of forest industry’s increased need for raw materials only in 2018. Continue reading "Finland: Forest sector sees record levels"
Canada&US: Softwood lumber war on the verge of a long fight
A very important trade war is about to start now that the one-year standstill period for launching trade action under the 2006 Canadian-U.S. softwood lumber agreement has expired.
Moreover, this bilateral conflict is not likely to end any time soon. The conflict between the US and Canada over the export and harvesting of softwood lumber dates back to the late 1800s. The best that the two countries were able to do was to buy trade peace over lumber for stints of eight or 10 years, Continue reading "Canada&US: Softwood lumber war on the verge of a long fight"
American Biomass acquired Okanagan Wood Pellets from Viridis Energy
American Biomass Corporation Inc., a leader in wood pellet distribution, has completed its purchase of Okanagan Wood Pellets from Viridis Energy, Inc. With this acquisition, Okanagan brand pellets will be available this fall to retailers exclusively from American Biomass. Continue reading "American Biomass acquired Okanagan Wood Pellets from Viridis Energy"
Top 10 wood pellet producers in Russia and current market developments
Wood pellet production and exports started to grow in Russia. While Russia’s wood pellet production is relatively young, it accounts for a 6 percent share of world wood pellet exports. Russia ranks 8th in the world for total wood pellet production, with 3 percent of total world wood pellet production.
According to FAOSTAT, production of wood pellets in Russia is forecast to increase significantly by 4 MMT by 2020, and 8 MMT by 2025. However, the Russian Ministry of Energy forecasts that production will increase at a lower pace, between 10 and 15 percent annually. The growing interest from the European Union for biofuels, particularly wood pellets, will continue to be a major incentive for Russia to increase production of wood pellets, Continue reading "Top 10 wood pellet producers in Russia and current market developments"
US imports of temperate and tropical sawnwood up by 10%
US imports of temperate and tropical sawn hardwood grew 10% in August to 95,532 m2.
Tropical sawnwood imports accounted for 21,143 m2. or 22% of total hardwood imports in August. Tropical imports declined 5% from July, but the value of tropical sawnwood imported grew 3% in August to US$24.9 million.
Year-to-date tropical imports were down 15% compared to August 2015. The month on month decline was mainly in imports of balsa and acajou d’Afrique. Balsa imports fell 24% to 3,897 m2 in August, while acajou d’Afrique decreased by one third from July to 1,204 m2. Continue reading "US imports of temperate and tropical sawnwood up by 10%"
The European flooring market cuts out tropical suppliers
Tropical suppliers to Europe’s wood flooring sector are being squeezed out as domestic production in the region is rising again.
Oak is becoming increasingly dominant, and competition from laminated flooring and other non-wood materials is mounting.
The European Federation of the Parquet Industry (FEP) reports that European wood flooring production (not including laminate flooring) Continue reading "The European flooring market cuts out tropical suppliers"
West Fraser to invest $33 million in the expansion of South Carolina sawmill
West Fraser is expanding its Newberry County sawmill operations. The project is expected to bring $33 million in new capital investment. Continue reading "West Fraser to invest $33 million in the expansion of South Carolina sawmill"
US timber harvests increased by 10% due to increased production
Timber harvests in the US have increased by 10% from 2011 to 2015 because of higher production of wood pellets, softwood lumber and hardwood lumber.
According to official statistics, the US timber harvests were practically the same in 2015 as in 2011, coming in at 355 million m3. This appears to be quite low considering the log demand by the US forest industry. Continue reading "US timber harvests increased by 10% due to increased production"
US to supply at least half of the EU wood pellet import demand by 2020
Despite their significant domestic production, the Scandinavian countries, mainly Denmark and Sweden, partly depend on imports from the Baltic Region and Russia. The port restrictions in Scandinavia are favoring the Baltic Sea supply, which generally ship with smaller vessels than used in the Atlantic trade.
In Denmark, one plant is located at a deep seaport and is supplied from North America. Improved flexibility in the infrastructure is expected to further increase the sourcing from North America. The market for pellets in Germany, Austria and lesser extent France and Italy is more isolated and depends mostly on the production in this region itself.
Based on a report recently filed with the USDA Foreign Agriculture Service’s Global Agricultural Information Network, since 2008, Continue reading "US to supply at least half of the EU wood pellet import demand by 2020"
Sawn timber exports from Finland to China doubled in the second quarter
The export of the Finnish sawn timber started to grow and the sales to China almost doubled in the second quarter of 2016.
According to the Finnish Sawmill Industry Association, Continue reading "Sawn timber exports from Finland to China doubled in the second quarter"
IKEA opens two pop up shops in Madrid and Barcelona
As to celebrate the 20 years IKEA has been operating in Spain, the Swedish furniture retailer has opened two pop up shops in the center of Madrid and Barcelona.
The Madrid store will be located in the area of El Rastro, in Calle San Cayetano 5, and the Barcelona store will be on the street Comerç 17, in the area of El Born. Both stores will feature an assortment of exclusive products, a tribute to the merger between Sweden and Continue reading "IKEA opens two pop up shops in Madrid and Barcelona"
Swedish Profura acquires sawmilling equipment producers AriVislanda and Renholmen from Lifco
Profura, the Swedish private equity firm, has recently bought sawmilling equipment producers AriVislanda and Renholmen from Lifco. Continue reading "Swedish Profura acquires sawmilling equipment producers AriVislanda and Renholmen from Lifco"
