Finland: Timber Purchases Rise 20% Above Five-Year Average Year-To-Date

On Wednesday, the Finnish Forest Industries Federation (FFIF) reported that its members purchased 32.3 million m³ of wood from private forests from January through October, a 16% increase compared to the same period last year. When compared to the five-year average for that period, purchases were 20% higher.

In addition, stumpage prices were significantly higher in October than one year ago, FFIF reported. Year-over-year, the stumpage prices of coniferous logs were 18–19% higher, and those of birch logs were 10% higher. The stumpage prices of pulpwood were 29–33% higher.

In October, the average price paid for pine logs was 79 EUR/m³, while the price varied by area and felling method between 47 and 83 EUR/m³. The average price of a spruce log was 82 EUR/m³, and the price varied between 48 and 84 EUR/m³. The average price of birch logs was 64 EUR/m³ in the price range of 41 and 71 EUR/m³. The average stumpage price of pulpwood was 31–33 EUR/m³, and the price varied between 22 and 36 EUR/m³.

There are several reasons why stumpage prices fluctuate, FFIF noted. The price level is affected by, among other things, the total number of trees harvested, the quality of the wood, the size of the trunks, the felling method, the distance to the forest and long-distance transport, the terrain, and the time and conditions of harvesting. Because of this, the price of wood may vary significantly even on adjacent forest sites.