Lumber traders in an attempt to keep their freight cost under control have started using Capesize vessels. Capesize vessels are the largest class of bulk ships and typically carry cargo such as iron ore, coal, and grain. The name Capesize comes from the fact that they are so large that they cannot pass through the Panama Canal and thus have to sail around the Cape of Good hope to sail between the Atlantic and Pacific Ocean.
News in international markets
EU27 +UK Imports of Plywood Drop for Second Year in a Row
Impacts of the COVID-19 pandemic and the United Kingdom (UK) leaving the European Union (EU) has resulted in the EU27 +UK in -7% decrease of plywood and other woods in 2020, this on the heals of a -14% decline in 2019.
China’s Ban on Imported Logs from Australia Creating Hardship on Australian Timber Industry
Diplomatic ties between Australia and its largest trading partner deteriorated last year after Canberra called for an international inquiry into the source of the coronavirus, angering China. Any hopes of a quick reconciliation have been dashed as Canberra and Beijing have now ensnared bureaucrats, who would usually stay engaged during a temporary disagreement.
Poland Announces Plans to Resume Logging in the former Bialowieza Forest
Poland sighting the need to clear roads and protect trees from the spruce bark beetle has announced it plans to resume logging in the former Bialowieza Forest.
Belarusian Sawmill Kimabel to Add New Timber Sorting Line
The installation of a new timber sorting line, costing as much €3 million, is the latest step in the modernization of the woodworking enterprise OOO KimaBel in Polotsk District, Vitebsk Oblast. The sophisticated timber conversion line can process even round wood that has defects.
Brazilian Exports of Wood-Based Products Increased 22.8% Year-Over-Year in January 2021
According to the International Tropical Timber Organization (ITTO), the value of Brazilian exports of wood-based products (except pulp and paper) in January 2021 amounted to US$253.6 million, an increase of 22.8% when compared to January 2020, when they were valued at US$206.6 million.
New Support Program to Help with Modernization of German Timber Industry
The new support program for the modernization of the German timber industry, which is being administered by the German Ministry of Food and Agriculture (BMEL), went into effect on Thursday, March 4, 2021. According to the BMEL, one of new programs aims to promote investments in the value-preserving or value-enhancing use of damaged wood and in the promotion of the use of wood as a building material.
Australia’s February Home Prices Increase at a Pace Last Seen in August 2003
CoreLogic is reporting that Australian homes prices in February 2021, rose at a pace not seen since August of 2003. As government incentives and record low borrowing rates drew more buyers into the housing market and raised concerns about them overheating. The CoreLogic data showed national home prices rose 2.1% in February, from January when they added 0.9%.
China Extends Tariff Exemptions on Hardwood Logs and Lumber Products
In a note to its members, the National Hardwood Lumber Association reports that China has agreed to extend tariff exemptions on 65 imported products from the United States. Seven hardwood log and lumber products have made that list.
James Jones & Sons Ltd Announces Purchase of GT Timber Ltd
James Jones & Sons Ltd, the UK’s largest privately owned sawmill, timber engineering and pallet manufacturing company, has announced the purchase of GT Timber Ltd, the holding company of Taylormade Timber Products Ltd and Kerr Timber Products Ltd which operate sawmill facilities at Sherburn Hill, Durham and Annan.