Timber Exchange trade statistics July of 2023

2023 08 21

In July, the State Forest Enterprise (SFE) announced 188 auctions. In addition to the semi-annual auction, a total of 276.6 thousand solid m³ of wood products were offered. Compared to June, the volume of timber offered decreased by 29% and the share of timber sold decreased by 17%. The auctions were organised by 25 SFE units.
The SPOT Wood Index recorded an index value of 50.34 EUR/solid m³. The index value shows a drop of 35% compared to the same period last year. Compared to the previous month, the index fell by 3%.
Significant price changes in July were recorded in tar logs, with an 8% fall (from 54.56 EUR/solid m³ to 50.08 EUR/solid m³).

BALTPOOL Timber Price (SPOT) Index

Trade in TOP timber assortments in ETTS short-term auctions

Trade in TOP assortments in ETTS short-term auctions

Assortments		Quantity, solid m³	Change in quantity per month	Quantity percentage in the scope of TOP 5 assortments	Price, Eur/solid m³	Change in price per month	Change in price per year
Baltpool Timber Spot index	Index	141 578	-23%	54.8%	50.34	-3.3%	-35%

	PJ (spruce, pine, birch); B/C; St,Vd; L2, L3	3 260	-74%	2%	80.29	3%	-27%
	PJ (spruce, pine, birch); D; St,Vd; L2, L3	31 974	-4%	22.6%	53.05	-3%	-36%
	TR (deciduous, conifers)	42 354	80%	29.9%	50.08	-8%	-47%
	PP (spruce, pine, birch)	26 885	-38%	19%	50.90	-6%	-34%
	PM, ML (class II and III calorific value)	37 105	-43%	26%	46.13	-6%	-34%
Felling residues, covered felling residues		3 700	153%	3%	36.75	8%	19% (31 EUR/solid m³)

Trade in regional units of the State Forest Enterprise in short-term auctions

Timber assortments sold at ETTS short-term auctions

Abbreviations:

KA – felling residues; KAD – covered felling residues; KAK – felling residues at cleared space; KL – hard leafy short timber; ML – firewood; PM – panel timber; PJ – sawn logs; PP – pulpwood; TR – packing logs; St – large-sized timber, small-end diameter ≥32 cm; Vd – medium-sized timber, small-end diameter 20-31 cm; Sm – small-sized timber, small-end diameter ≤19 cm; L1 – assortment length class, ≤2.9 m; L2 – assortment length class, 3.0 – 3.9 m; L3 – assortment length class, 4.0 – 6.0 m; L4 – assortment length class, 6.1 – 8.9 m.

Global timber market

Germany witnesses a drop in wood prices due to increased supply from storm-damaged and beetle-infested wood. Forest owners are struggling to maintain normal wood utilisation, leading to mixed pricing for affected wood. Across Europe, a 32% decline in completed homes by 2025 is predicted, with Germany particularly impacted.

The USA’s softwood lumber imports fell by 6% in the first half of the year compared to 2022. Deliveries from EU countries, including Germany, saw growth during this period, despite the overall decline in imports.

Chinese firms have significantly increased purchases of sawn timber through the Belarusian Universal Commodity Exchange (BUCE), acquiring over 195,000 m³ from January to July. A substantial portion of this volume was sold through the new target transactions method introduced at BUCE.

Brazilian wood-based product exports faced a substantial decline of 39% in June 2023 compared to the same month in the previous year. Pine sawn wood and tropical sawnwood exports suffered drops in both volume and value. Pine plywood and tropical plywood exports also experienced significant decreases in value and volume during the same period, with reductions of almost 50% in some cases.

The UK’s Confederation of Timber Industries Chairman, Alex Goodfellow, highlights the importance of reducing emissions from the built environment, responsible for 25% of the UK’s carbon output. He emphasises the potential of using timber in construction to achieve carbon reduction goals. The Timber in Construction Working Group, established by the UK government, aims to boost timber utilisation. The report from the All-Party Parliamentary Group for Timber Industries presents strategies to expand timber use, addressing aspects like demand, supply, building safety, and labor/skills shortage.