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October 11, 2016

Global pulpwood prices up in 2Q/2016 after several quarters of sharp decline

Global pulpwood prices up in 2Q/2016 after several quarters of sharp decline

Global pulpwood prices were up in the 2Q/16 after having declined for seven consecutive quarters. Wood fiber costs currently account for almost 60% of the cash costs when manufacturing wood pulp. Prices for both wood chips and pulplogs have trended downward for a long time, but this came to an abrupt halt in the 2Q/16 when the softwood price index rose 2.3% and the hardwood price index increased 3.7% from the 1Q/16.

According to the latest Wood Resource Quarterly,

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