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MARKET BEATS 13
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Therefore, the starting prices at semi-annual auctions were A key factor behind the apparent fall in average prices
mostly significantly lower than the market level. However, this is a drop in the average yield class of sold forestry, which
did not affect the results of the auctions. The final price, as decreased from 19.1 in 2023 to 16.2 in 2024.
usual, was determined exclusively by the balance of supply “Lower-yielding crops are inevitably worth less, so this

and demand," the enterprise said. alone accounts for the apparent drop in average values when
At the same time, the starting prices in the alder and birch looking year-on-year,” Mr Hart explained.
segment were half the current market level, but during the In total, 29 forests were sold across Britain in 2024 — up
auctions they increased by 107–133 percent, to almost UAH from 20 in 2023, though still below the five-year average of 44.
8,000 per cubic metre; round pine from the starting price of The market value reached just under £94 million, more
UAH 3,600 per cubic metre, the product was sold for UAH than double the 2023 figure (£45 million), but again short of
4,100 per cubic metre; coniferous firewood (pine) from UAH the five-year average of £151 million.
1,170 per cubic metre, it rose in price to UAH 1,540 per Sales prices in 2024 averaged 107 percent of guide prices,
cubic metre. slightly above the previous year, but still below long-term

In parallel with the semi-annual ones, timber auctions for trends. The vast majority of sales occurred in Scotland, in
the third quarter of 2025 have also started. line with usual market patterns.
Forests of Ukraine intends to introduce annual agreements Looking ahead, Mr Hart expressed cautious optimism:
for the first time in 2026, which will allow market participants “We continue to see strong interest in good properties with
to contract the required volumes of resources and clearly plan a number of sales concluded or under offer in 2025 Q1 and
the production process. new funds moving into the market.
"The high demand for timber remains, so the proposals of "Overall, we see continued steady demand for woodlands

SOE 'Forests of Ukraine' regarding changes to the legislative and do not anticipate significant changes in values," he added.
and regulatory framework that limits timber harvesting are However, demand appears to be softening for more
becoming even more relevant," the enterprise said. remote forestry sites dominated by pine and lower growth
rates, according to John Clegg & Co's report.
UK forestry market started to show a stable trend Combined with flat timber prices and rising harvesting and
According to farminguk.com, the commercial forestry market haulage costs, net returns have come under pressure, which
is showing signs of recovery in UK after a two-year dip, is increasingly reflected in sale prices.
with high-quality plantations commanding strong values and Despite this, long-term fundamentals remain robust: global
renewed interest from investors. demand for timber continues to grow, and falling interest rates

While average values for plantations softened further are expected to support investment.
in 2024—down around 10 percent to £18,900 per stocked Although upcoming changes to business property relief
hectare—a new report paints a more complex picture than (BPR) in April 2026 and evolving trade tariffs—especially in
the headline figures suggest. the US—are being closely watched, they have not yet had a
“We continue to see strong prices paid for well-located, discernible impact on UK forestry values.
quality plantations,” said Simon Hart, head of forestry in With several deals already progressing into the first quarter
Scotland at John Clegg & Co. of 2025, John Clegg & Co expects a steady year ahead for

“Values of over £20,000/ha remain common, with peaks the sector, driven by interest in well-managed, strategically
of £30,000/ha still being occasionally achieved.” located plantations.