Wood Products Prices in The UK & Europe Market

16-30th November 2007

Report from the UK

British timber merchant solves greenheart problem
TTJ reported that timber merchant Timber Resources International Ltd will use its own mobile milling equipment to recycle greenheart and ekki timbers into sea defenses for England’s south coast. The company has agreed to cut the timber into planks for use in sea defense projects, as part of a contract with the Environment Agency. The initiative comes in response to the calls from timber suppliers to prevent further imports of greenheart timber from Guyana.

House prices may stall in 2008
According to Nationwide, growth in UK housing prices may stall in 2008, dropping from its current level of 9.7% to 0%. House building is also slowing and the housing market is sluggish as a result of the credit squeeze. The number of mortgages approved for first time home buyers also fell to a record low in October, which the British Bankers Association attributes to rising interest rates.

EUROPE  MARKET and Scandinavia

 Slack in demand for Chinese plywood
EUWID reported that European demand for plywood has not picked up since the summer months and has been sluggish in the past few weeks. Poplar plywood seems to be the most affected, although demand for other types of Chinese plywood is also starting to wane. The weakened demand for plywood on the continent has thwarted manufacturer’s efforts to raise prices for Chinese plywood products.

Abbreviations

LM       Loyale Merchant, a grade of log parcel	Cu.m         Cubic Metre
QS        Qualite Superieure	Koku         0.278 Cu.m or 120BF
CI          Choix Industriel	FFR           French Franc
CE         Choix Economique	SQ              Sawmill Quality
CS         Choix Supplimentaire	SSQ            Select Sawmill Quality
FOB      Free-on-Board	FAS            Sawnwood Grade First and
KD        Kiln Dry	Second
AD        Air Dry	WBP           Water and Boil Proof
Boule    A Log Sawn Through and Through	MR              Moisture Resistant
the boards from one log are bundled	pc         per piece
together	ea                each
BB/CC  Grade B faced and Grade C backed	MBF           1000 Board Feet
Plywood	MDF           Medium Density Fibreboard
BF        Board Foot	F.CFA         CFA Franc
Sq.Ft     Square Foot	Price has moved up or down