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Over the past fortnight, “some signs” of a recovery in the demand for timber products have emerged.
That is the news from Euroforest Ireland, the largest independent provider of timber harvesting and marketing services.
A spokesperson for Euroforest Ireland told That’s Farming, that for the first time in months, all roundwood made available to the processing sector in the UK through the state sector tenders and in Ireland, on the most recent auction, was sold.
In effect, there was demand for the roundwood on offer, which ensured reserve prices were achieved.
A spokesperson outlined that this “rising tide in demand is good news for forest owners in Ireland who have timber to sell and who have valid felling licences at hand”.
“Our advice to such owners is to take stock of the market, weigh up their options and talk to our local harvesting manager, who can better inform you on prices and returns.”
They highlighted that the Covid-19 pandemic’s lockdown coincided with increased demand for a range of timber products.
This was “most noticeable” in demand for timber to produce pallets which were needed to transport medicines around the world.
Interestingly, timber to produce cardboard packaging to facilitate home delivery of online shopping is another sector that has seen an increase in demand for timber during this time, they added.
The spokesperson continued:
“Post-Covid and the return to people living normal lives and going on holidays etc. saw a drop in the high demand for timber products experienced both during and immediately after the pandemic. “
“This, in turn, was exacerbated by the illegal invasion of Ukraine by Russia. This led directly to increased energy prices with consumers more concerned with paying energy bills than starting new building projects,” the spokesperson concluded.