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Brazil's exports of MDF and OSB could increase sharply

Brazilian Plywood and Veneer

In spite of weakness in most the international markets for Brazilian products the volumes of exports of wood products in 2002 looks as if it will be higher than in 2001. Significant increases in exports are expected in tropical plywood and value added products such as S4S boards and for mouldings (tropical and pine).

Exports of reconstituted panels are expected to increase very sharply, especially exports of MDF and OSB. For both products current production is well over the domestic demand and the only alternative is to export. The Main exporters of MDF are Tafisa (SONAE group) and Duratex. These companies are also taking advantage of the competitive position of Brazilian products in the international market due to relatively low operational costs in Brazil and the recent devaluation of the real.

Veneer FOB per Cu.m
White Virola Face
2.5mm US$170-195
Pine Veneer (C/D) US$135-150

Mahogany Veneer per Sq.m
0.7mm 2.20

Plywood FOB per Cu.m
White Virola (US Market)
5.2mm OV2 (MR) US$260
15mm BB/CC (MR) US$275
For Caribbean countries
White Virola 4mm
Pine EU market
9mm C/CC (WBP) US$170
15mm C/CC (WBP) US$162

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