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Czech wood prices on a roller-coaster ride due to recent record jump
A simple economic reasoning suggests that the prices of wood correspond to its current availability or unavailability. During the bark beetle disaster of 2016-2020 its price fell to a record low in the Czech Republic. The Czech Ministry of Agriculture released over eight billion crowns (EUR 326 million) to save forest companies, but many owners fell into losses. Smaller entrepreneurs in particular often did not have the funds for the legally required forestry work, especially the planting of bark beetle clearings. "You invest in a young forest, it needs care, forestry interventions," Miroslav Svoboda, a professor of forest cultivation at the Faculty of Forestry and Wood Technology of the Czech University of Agriculture, described to iROZHLAS.cz last November. "If you spend on the final harvest of wood, then you lack the money to take care of it. When the state forced bark... Continue reading
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January 25, 2022
Czech wood prices on a roller-coaster ride due to recent record jump
A simple economic reasoning suggests that the prices of wood correspond to its current availability or unavailability. During the bark beetle disaster of 2016-2020 its price fell to a record low in the Czech Republic. The Czech Ministry of Agriculture released over eight billion crowns (EUR 326 million) to save forest companies, but many owners fell into losses. Smaller entrepreneurs in particular often did not have the funds for the legally required forestry work, especially the planting of bark beetle clearings. "You invest in a young forest, it needs care, forestry interventions," Miroslav Svoboda, a professor of forest cultivation at the Faculty of Forestry and Wood Technology of the Czech University of Agriculture, described to iROZHLAS.cz last November. "If you spend on the final harvest of wood, then you lack the money to take care of it. When the state forced bark... Continue reading
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Czech wood prices on a roller-coaster ride due to recent record jump
A simple economic reasoning suggests that the prices of wood correspond to its current availability or unavailability. During the bark beetle disaster of 2016-2020 its price fell to a record low in the Czech Republic. The Czech Ministry of Agriculture released over eight billion crowns (EUR 326 million) to save forest companies, but many owners fell into losses. Smaller entrepreneurs in particular often did not have the funds for the legally required forestry work, especially the planting of bark beetle clearings. "You invest in a young forest, it needs care, forestry interventions," Miroslav Svoboda, a professor of forest cultivation at the Faculty of Forestry and Wood Technology of the Czech University of Agriculture, described to iROZHLAS.cz last November. "If you spend on the final harvest of wood, then you lack the money to take care of it. When the state forced bark... Continue reading