Japan Wood Products Prices

16-30th April 2008

Japan Wood Products Prices

Dollar Exchange Rates of  29th Apr. 2008

Japan Yen 104.02

Reports From Japan

South Sea log imports plummet 26% in 2007
Japan Lumber Reports indicated that the total volume of
South Sea logs dropped 25.6% in 2007 from 2006 levels,
which was largely attributed to the impact of the revised
Building Standards Act. PNG and the Solomon Islands
showed stable levels of exports, mostly plantation logs. In
contrast, Sabah’s exports to Japan fell. The following
charts show trends for South Sea and African logs since
2002:

The Japan Lumber Journal reported that the imported
volume of South Sea logs is expected to fall by 20% in
2008. Prices for plywood were also increasing in late April
due to tight supply of South Sea hardwood plywood, said
Japan Lumber Reports. It also noted that prices for logs
were bullish due to log supply shortage.

Ministry of Environment launches campaign against
illegal wood
The Ministry of Environment in Japan has embarked on a
campaign against illegal wood to raise public awareness
about diminishing forest resources. Based on results
gained from a public questionnaire issued by the Ministry,
it was found that the public had low awareness about the
problems associated with illegally harvested wood. Due to
these findings, the Ministry vowed to promote its Green
Purchasing Law. The Ministry also linked the problem of
deforestation to climatic change and noted that sustainable
forest management was essential to promote global
environmental protection. The Ministry is encouraging
wood purchasers not to buy illegally harvested logs and
products and to buy only those products certified as legal
and sustainable. Although the government’s Green

Purchasing Law applies only to the government purchases
of wood products, it has been promoting the idea to the
public and various private sector organizations.

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  Plywood grades. Letter(s) on the left indicate face veneer(s), those on the right backing veneer(s). Veneer grade decreases in order B, BB, C, CC, etc.	MBF           1000 Board Feet
Plywood	MDF           Medium Density Fibreboard
BF         Board Foot	F.CFA         CFA Franc
Sq.Ft     Square Foot	PHND             Pin hole no defect grade
Hoppus ton     1.8 cubic metres	Price has moved up or down

Source: ITTO'  Tropical Timber Market Report