• News

Global Lumber Prices Down Over 2014-15

The price of global lumber, measured in US Dollars, declined throughout 2014-15, largely driven by the appreciation of the US Dollar, coupled with observably weak demand in many major markets. The situation is little different in Europe, with some prices down as much as 21.7% compared with the prior year.

On the West Coast of the US, Washington Douglas Fir was 14.3% cheaper at the end of June 2015 than a year earlier, selling for USD97/m3 on a delivered basis. All species in the region were priced lower by the end of the financial year, as the chart below shows, despite the strength of the North American housing market.

FIG-12

To go straight to the dashboard and take a closer look at the data, click here.

The situation is little different in Europe, although the US Dollar prices of major species have fallen further, primarily it appears due to the effect of the relative exchange rates.

Roadside Baltic Pine Sawlog prices across northern Europe and Scandinavia, and their rate of decline in 2014-15 compared with the prior year, are included in the table below and shown in the chart that follows.

Country USD/m3 – June 2015 % Change on June 2014
Estonia 72.80 -21.7
Finland 62.40 -20.0
Lithuania
56.03
-33.0
Norway 58.55 -24.0
Sweden 61.90
-8.8

 

FIG-13

To go straight to the dashboard and take a closer look at the data, click here.

The situation is little different for Baltic Spruce and Birch Log prices. Full details can be obtained from the FWPA Statistics and Economics Data Dashboard.

It is little wonder with this price decline in their domestic markets, that European sawn softwood producers have turned their attention to markets like Australia as they seek to maximize returns.

 

Posted Date: August 28, 2015

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