The news that a number of factors are causing supply problems for Malaysian logging and processing companies is likely to increase demand for West and Central African timber products. India and China are forecasting high growth rates in their domestic demand for wood and timber products and currently African producers have the potential to increase supplies, says an analyst.
Producers seek relaxation of log export ban in Gabon
Producers in Gabon have been active in lobbying the government to allow for some log exports against set percentages of in-country processing volumes. This would bring some assurance of supply, particularly of okoume logs to plywood manufacturers in importing countries, who are dependent on this popular peeler species.
If there is to be any relaxation of the log export ban, exports are likely to be undertaken through the Gabon State Timber Export Inspection Agency (SNBG).
Uncertainty clouds some European economies and sawnwood markets
Sawnwood prices have remained unchanged, maintaining the gains made in the past two to three months. According to an analyst, producers have noted the existing risk of overstocking and eventual decline in prices at current production levels as the economic recovery in Europe is still slow. According to an analyst, the recent fiscal crisis in Ireland may well inhibit demand for iroko sawnwood which is preferred by Irish importers.
The economies of Spain and Portugal are also under pressure and there is no foreseen improvement in the construction and other timber using industries in the short to medium term. Although these countries are mainly importing round logs, the situation in these countries has a significant bearing on the overall European timber market and trade.
West Africa logs, FOB | € per m³ | ||
Asian market |
LM
|
B
|
BC/C
|
Acajou/ Khaya/N'Gollon |
205
|
205
|
153
|
Ayous/Obéché/Wawa |
200
|
200
|
145
|
Azobe & Ekki |
205
|
205
|
122
|
Belli |
210
|
210
|
-
|
Bibolo/Dibétou |
145
|
130
|
|
Bubinga |
670
|
570
|
430
|
Iroko |
260
|
245
|
190
|
Okoume (60% CI, 40% CE, 20% CS) |
230
|
-
|
-
|
Moabi |
280
|
275
|
190
|
Movingui |
180
|
150
|
140
|
Niove |
145
|
145
|
-
|
Okan |
320
|
320
|
-
|
Padouk |
375
|
340
|
235
|
Sapele |
245
|
245
|
170
|
Sipo/Utile |
270
|
250
|
200
|
Tali |
275
|
275
|
114
|
West Africa sawnwood, FOB |
€ per m³
|
|
Abura |
KD |
560 |
Ayous | FAS GMS |
300
|
Okoumé | FAS GMS |
360
|
FAS. fixed sizes |
340
|
|
Std/Btr GMS |
295
|
|
Sipo | FAS GMS |
470
|
FAS fixed sizes | 320 |
|
FAS scantlings |
490
|
|
Padouk | FAS GMS |
570 ⇑
|
FAS scantlings |
585 ⇑
|
|
Strips |
360
|
|
Sapele | FAS Spanish sizes |
390
|
FAS scantlings |
460
|
|
Iroko | FAS GMS |
550
|
Scantlings |
560
|
|
Strips |
360
|
|
Khaya | FAS GMS |
400
|
FAS fixed |
390
|
|
Maobi | FAS GMS |
495
|
Scantlings |
440
|
|
Movingui | FAS GMS |
350
|