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April 16, 2019

France: Oak prices rise sharply in 2018

France: Oak prices rise sharply in 2018

The selling price of standing timber in France's private forests has been growing steadily since 2012. The overall evolution of the index in 2018 (+ 8%) can be found in all markets. The rising volumes offered in Douglas fir, spruce, maritime pine and oak (with a further significant increase in prices for this species), confirms the strong sawmill activity, and the growing French construction sector.

Oak prices continue to rise: + 11.4% in 2018

Faced with a demand that remains important, the overall rising supply of oak drives prices up. Oak reported an average price of 190 € / m3 against 171 € / m3 in 2017, especially for "big" trees (> 1.7 m3). Several factors could lead to price stabilization and reduce the supply pressure on loggers and sawyers: the uncertain Brexit context which could hinder exports, the decision of German parqueters to go to other species to continue to manufacture competitive products, finally the slowdown of the Chinese economy.

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