Sawmills
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Wood prices are collapsing drastically in Europe
Wood prices in Europe have fallen sharply. Wood sales have plummeted massively. Forest owners report that due to the difficult wood market situation, there are hardly any regular uses, and the outlook is not much better. The drop in sales of almost all wood products has overwhelmed the entire industry for several months, according to forest owner associations. The sawmill industry still faces significant sales difficulties with lumber. Production quantities have already been significantly reduced, and the reductions in cutting volumes have resulted in a noticeable sales backlog. The consequences for the wood sales of forest owners and wood prices have been catastrophic. As reasons for the crisis in the wood market, forest owners and sawmills cite the massive decline in the construction industry and an oversupply of lumber in Germany and Europe. At the same time, prices are under... Continue reading
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September 22, 2023
Wood prices are collapsing drastically in Europe
Wood prices in Europe have fallen sharply. Wood sales have plummeted massively. Forest owners report that due to the difficult wood market situation, there are hardly any regular uses, and the outlook is not much better. The drop in sales of almost all wood products has overwhelmed the entire industry for several months, according to forest owner associations. The sawmill industry still faces significant sales difficulties with lumber. Production quantities have already been significantly reduced, and the reductions in cutting volumes have resulted in a noticeable sales backlog. The consequences for the wood sales of forest owners and wood prices have been catastrophic. As reasons for the crisis in the wood market, forest owners and sawmills cite the massive decline in the construction industry and an oversupply of lumber in Germany and Europe. At the same time, prices are under... Continue reading
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June 15, 2023
Canada wildfires cause sawmill shutdowns, drive up lumber prices
Canada's worst-ever spring wildfire season has forced its forestry industry to shutter sawmills, driving up lumber prices and setting production back for months just as housing construction has slowed due to higher costs and a tight labor market. This year's unprecedented fires have already consumed at least 4 million hectares, or 1% of Canada's forest, according to the Forest Products Association of Canada (FPAC), an industry group. The fires are blazing through Alberta, British Columbia and Quebec, all provinces with active forestry industries. The fires have also forced thousands of people to evacuate their homes and blanketed cities with smoke as far away as Toronto, New York and Washington. Fires in British Columbia and Alberta have forced significant downtime at sawmills, and "ground zero" has now shifted to Quebec, FPAC CEO Derek Nighbor said. "It's significant.... Continue reading
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January 9, 2023
Africa: Sawmills and plywood producers diversifying markets to maintain production
The slowdown in demand in China is becoming a serious problem for operators in the region with saw and ply mills seeing rising stocks and few significant orders. Almost all companies are looking for new markets and for species not commonly demanded for the Chinese market. Some success is reported with increased sales of azobe and bilinga for the Netherlands and Belgium markets. Efforts are underway to encourage more sales of padouk and doussie to Europe. Demand in China is at a standstill for most species with only ovangkol and okan of interest. Shipments of other major species such as okoume and belli have almost come to a halt. It is reported that mills in Gabon and Congo, which concentrated on okoume, have cut production and started to lay-off workers. It is only sawnwood markets in the Middle East that are stable at present. Lay-offs have been reported by mills operating... Continue reading
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March 1, 2023
Russian loggers are experiencing additional difficulties with the sale of sawlogs
Russian sawmills in January tried their best to process their own logs, and to reduce purchases from the open market to a minimum. This tactic created additional difficulties for loggers in selling sawlogs. For the movement of the market price, purchase and sale transactions must be a necessary condition, and in January the flow of sawlogs was limited. Prices froze at the level of 3000 rubles/m³ (EUR 37.5/m3), excluding VAT at the departure station. Loggers and traders in Russia's Northwestern and Central Federal Districtsnoted that in the coming year, the development of demand for finished products will, more than ever, affect the volume of timber harvesting. Today, many Russian companies work on short planning terms: from a decade to a month and fix the purchase volumes of timber exactly according to sales requests. And the trend of hard quotas will continue. Some... Continue reading
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July 26, 2023
New Zealand’s timber market highly impacted by China’s lack of demand
In the wake of a significant export market crash just a month ago, the New Zealand timber industry found itself grappling with plummeting prices and a lack of demand from China, its major export partner.... Continue reading
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May 10, 2022
Arauco to suspend operations at seven production units
Arauco, one of the world's largest forestry companies, announced its decision to halt operations at seven production units. This was due to the impossibility for its workers to complete their shifts regularly in the Chilean region of Bío Bío due to the blockade of its facilities as a result of various demonstrations. In addition, it has not been possible to ensure the normal supply of raw materials and essential inputs for the operation. A total of 2,568 workers are unable to enter the various industrial complexes to perform their duties. This measure also means halting the production of more than 120,000m3 of sawn timber, moldings and plywood, essential products for the construction and furniture industries. The production units that have had to suspend their operations are the following: 1. Horcones sawmilling 2. Horcones Remanufacturing 3. Horcones 1 sawmill 4.... Continue reading
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January 9, 2023
Africa: Sawmills and plywood producers diversifying markets to maintain production
The slowdown in demand in China is becoming a serious problem for operators in the region with saw and ply mills seeing rising stocks and few significant orders. Almost all companies are looking for new markets and for species not commonly demanded for the Chinese market. Some success is reported with increased sales of azobe and bilinga for the Netherlands and Belgium markets. Efforts are underway to encourage more sales of padouk and doussie to Europe. Demand in China is at a standstill for most species with only ovangkol and okan of interest. Shipments of other major species such as okoume and belli have almost come to a halt. It is reported that mills in Gabon and Congo, which concentrated on okoume, have cut production and started to lay-off workers. It is only sawnwood markets in the Middle East that are stable at present. Lay-offs have been reported by mills operating... Continue reading
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July 26, 2023
New Zealand’s timber market highly impacted by China’s lack of demand
In the wake of a significant export market crash just a month ago, the New Zealand timber industry found itself grappling with plummeting prices and a lack of demand from China, its major export partner.... Continue reading
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September 22, 2023
Wood prices are collapsing drastically in Europe
Wood prices in Europe have fallen sharply. Wood sales have plummeted massively. Forest owners report that due to the difficult wood market situation, there are hardly any regular uses, and the outlook is not much better. The drop in sales of almost all wood products has overwhelmed the entire industry for several months, according to forest owner associations. The sawmill industry still faces significant sales difficulties with lumber. Production quantities have already been significantly reduced, and the reductions in cutting volumes have resulted in a noticeable sales backlog. The consequences for the wood sales of forest owners and wood prices have been catastrophic. As reasons for the crisis in the wood market, forest owners and sawmills cite the massive decline in the construction industry and an oversupply of lumber in Germany and Europe. At the same time, prices are under... Continue reading