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June 13, 2019

France: Prices for oak logs start to fall after years of sharp rise

France: Prices for oak logs start to fall after years of sharp rise

There are significant changes in the French oak market. This can be noticed by examining the results (see table below) of the last spring auctions in France. Indeed, for the first time since 2012, the prices for oak logs are down. The news is not really a surprise, as the sharp rise in oak prices which has extended for over 6 years, had to cease one day or the other. 

Over recent years the rise has been impressive, some professionals even mentioned the risk of overheating if the prices would have continued to increase in 2019. In fact, in the interval of half a decade, the tariffs of oak have more than doubled.

Logs of 1.5 m3 diameter in the French region of Saone Valley sold standing around at 65 euros / m3 in 2012, were traded at 150 euros / m3 in the autumn of 2018. Over the last period 2015-2018, the prices of these same logs jumped by 50%, more than 15% increase each year!

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