Global Timber Market Update

Seattle, US: The two Global Wood Fiber Price Indices were close to parity in the 3Q/16. 

The Hardwood Wood Fiber Price Index (HFPI) has rebounded by 5.6 percent from the 1Q/16 when it reached an 11-year low. The biggest price increases this year have been in Brazil, Indonesia, Australia and Chile where prices have gone up despite the strengthening of the local currencies. 

However, hardwood fibre prices have not gone up in all markets this year. Hardwood pulplog prices were lower throughout Europe, Eastern Canada and the US South, according to Wood Resources International.

Except for Russian pulpmills, which have by far the lowest hardwood fibre costs in the world, hardwood pulp-producing regions throughout North America, Europe and Latin America currently have wood costs ranging in a fairly narrow range between US$75/odmt to US$100/odmt. Five years ago, when the HFPI reached its all-time-high, this range was substantially wider at US$75/odmt to US$175/odmt.

Softwood chip and pulplog prices fell in the local currencies in much of Europe and North America which, together with a stronger US dollar against the Canadian dollar and the Euro, resulted in a decline of the Softwood Wood Fiber Price Index (SFPI) in the 3Q/16. 

The SFPI is currently close to the lowest level in over ten years. During the past 12 months, softwood fibre costs in US dollar terms have fallen the most in the US Northwest, British Columbia, France, Norway and Germany, while they have gone up the most in Brazil, New Zealand and Japan.

 

FDMAsia About Us

For almost 30 years, FDM Asia has been the publication of choice for woodworking professionals in Asia Pacific, providing the latest news and expert insights of a diverse range of topics including process technologies, furniture production, panels manufacturing, raw materials handling and sustainability issues.

We have one of the most comprehensive woodworking database and e-media programme to assist you in your e-marketing and give you an exclusive opportunity to connect to our 25,152 online subscribers.