Little activity in the timber market

Press releases |
The aggregate volume of purchases concluded in the early part of the year is just 3.7 million cubic metres, which is not enough to satisfy the industry’s wood needs. Demand for wood is strong.

The harvesting of felling sites purchased last year is running at normal volumes and these are, for now, providing sufficient quantities of wood to keep mills running. All timber grades are selling well, but sites that can be harvested in summer are in particular demand.

The January-April aggregate purchase volume came to 3.7 million cubic metres, down almost a quarter from the corresponding period of 2010; this represents only about half of the long-term average purchase amount.

Sawlog procurements came to 1.3 million cubic metres, which is almost a third less than in the corresponding period of the previous year. Pulpwood procurements came to 2.2 million cubic metres, down 18% from the corresponding period of 2010.

Stumpage prices continue to climb 

Average softwood sawlog stumpage prices were up 3-4% from March and the average price of birch sawlogs increased 2%. On average, pine sawlogs fetched €55 and spruce sawlogs €56 per cubic metre, while the average price of birch sawlogs was €42 per cubic metre.

Pulpwood stumpage prices were up 4-5%. The average stumpage price of pine and birch pulpwood was €16 per cubic metre, while spruce pulpwood fetched €19 per cubic metre.

Raw material procurement problems eroding the industry’s operating prerequisites 

If domestic timber supply does not increase sufficiently, wood will have to be imported to keep  mills running. The industry already needs to import birch pulpwood, for example, because it is not domestically available in sufficient quantities. January-March timber imports have grown slightly from the corresponding period of 2010.

Further information:
Anu Islander, Senior Adviser (Forestry), Finnish Forest Industries Federation, tel. +358 9 132 6678

Timer sales statistics