Average prices in Asia rose slightly
Thailand
In April, Thai timber exports fell 6.0 percent year-on-year to 187,400 cubic meters. The value of exports surged 2.3 percent to $85.2 million, according to LespromAnalytics. Average lumber prices rose 8.9 percent to $454.9 per cubic meter.
China
In the first quarter of 2022, the average price of Chinese logs soared 27.9% from $154 per cubic meter in the first quarter of 2021 to $197 per cubic meter, the highest ever, due to factors such as tensions between Russia and Ukraine, poor global shipping, ups and downs of COVID-19 and blockades at major ports.
As the epidemic prevention situation gradually improves and the resumption of work and production progresses in an orderly way, the prices of radiata pine, hemlock, spruce, fir and Scotch pine in China have all decreased slightly recently, by about 20 yuan per cubic meter.
The direction of lumber prices is driven by downstream demand. Overall, the domestic market in July and August to fully recover, the wood market will appear upward trend.
European spruce prices rose across the board
France
Prices for French fir logs, especially spruce, have recently reached unprecedented highs. In the fall of 2021, the average price of spruce was 65 euros per cubic meter. Today, the price has jumped 40 percent to 92 euros per cubic meter in six months. The average price of fir trees followed the same trend, rising from 63 euros per cubic meter in September 2021 to 80 euros per cubic meter. It is expected that wood shortages resulting from the bark beetle crisis are likely to maintain very high prices for wood purchases in France.
Austria
Bark beetles or storm damage have ravaged Austria in recent years, leaving much of the local timber damaged. While the amount of damaged timber fell by almost a third to 6m cubic metres by last year, the knock-on effect and international timber shortage has led to a significant increase in timber harvesting in Austria's domestic forests, further pushing up prices. The average price of an Austrian spruce log is 100.48 euros per cubic metre, up 38% from the same period last year.
Germany
Recently, German log prices have continued an almost uninterrupted upward trend since March 2021. On average, German log prices rose 1.9 percent to 102.8 points compared with the previous month. B-grade lumber increased 2.7% to 102.6 points, with 3m length contributing 2.3% to 103.8 points. The 4/5m length increased by 2.3% to 105 points.
Spruce log price increased 48.1% year on year, showing a sustained growth trend. Class B grew by 42.1%, with 3m lengths accounting for 42.4% and 4/5m lengths for 40.8%. Class C grew by an average of 48%, 3m lengths by 45.9%, and 4/5m lengths by 50.5%.
Supply chain complexities will also begin to be addressed as trucking, rail and shipping become able to move lumber to areas of high demand. It is expected that the second half of the international wood market demand or will increase slightly, wood prices will also pick up.
