Wednesday, January 23, 2008

Global Timber Prices Rising?

Wood Resources International is reporting that global wood prices are up everywhere but in the US South and West. The reporting is in U.S. dollars and they acknowledge in their promotional piece that some of this is due to the declining dollar but they don't say how much. I suspect that the dollar is in fact the primary driver and that real increases are pretty minimal. You can read the promotional piece here or subscribe to their service and get the full details. I used to subscribe when I was charged with monitoring global fiber supplies but the service is quite expensive and (in my opinion) hard to justify unless you have a very specific need in the global marketplace. If so, go to their website. I have also used some of their studies/reports in the past which I found very useful on various wood supply studies.

A few months ago I did a post on a very good paper by Tom Harris and others that included a comparison of delivered pine pulpwood in Brazil and the U S South. There is a chart that shows very dramatically the impact of the changing U S dollar. Look at the chart if you missed it. Its important.

While I'm on Harris and bunch, the Timber Mart-South also publishes a stumpage pricing service and very informative newsletter. You can subscribe to the service on their web site. General pricing data and older newsletters are available at no charge but you do have to pay for the current stuff. I have subscribed to this in the past too and found it very useful when I was actively involved in timber sales. It is reasonably priced.

Probably the most extensive and most heavily used pricing service today is Forest2Market. It is a relative newcomer that is providing very localized data on stumpage and delivered costs. They are extensively used by both landowners and the forest industry. Visit their website for a list of products and services.

There are also some free services out there provided by state forestry organizations and local universities. Google them if you are an infrequent user. If I have missed any of the key pricing services or if you would like to comment on any of them, please add a comment. --Brian

1 comment:

  1. Selling wood pellets (of 4,100 kcal/kg rating) at 40 yen/kg on the market, inclusive of distribution cost, seems to be viable. Like the case of the greenhouse of tropical botanical garden in Honai Park of Sanjo City, Niigata, the pellet-fuel will find a way to be used for small scale heating of local area. Some municipalities have already began planning how to utilize wood pellets made from sawdust or thinned wood.