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Malaysia: Loans for plantations
05/11/2009 - 08:59
The Malaysian plantation industries and commodities minister said that loan agreements with a value of over RM230 million had been agreed to fund the development of forest plantations.
Some RM1 billion has reportedly been set aside for this purpose in the form of soft loans. The government has set a target of 375,000 ha. of forest plantations to be planted.

SAFODA finance
The Sabah Forestry Development Authority (Safoda) in East Malaysia became the first Sabah-based company to obtain finance from the federal government for its forest plantation programme.

Transparency at work
The Malaysian Auditor-General’s Report for 2008 highlights the illegal activities and poor management which were the main factors in the reduction of the forest area in the state of Pahang in West Malaysia. This, says the report, has contributed to air and water pollution and the destruction of both flora and fauna habitats in the state. The report also noted that although over 100,000 ha. of forest had been earmarked as forest reserve, it took more than 10 years for the areas to be so gazetted by the state forestry department.

Middle East construction boom over
Prices of timber products in Malaysia sank to new lows recently as the impact of a slow down in construction projects, especially in the Middle-East, hit demand. Malaysian contractors operating construction projects in the Middle East are facing considerable difficulties. High prices for crude oil, which peaked in 2008, resulted in a building boom in the region but now there are few new construction projects in the pipeline and contractors are seeing business fade away.

Malaysia Log Prices
Malaysia Log Prices
Sarawak log, FOB US$ per m³
Meranti SQ up 226-250
Small
210-241
Super small
200-224
Keruing SQ up 216-228
Small
190-220
Super small
167-197
Kapur SQ up 206-231
Selangan Batu SQ up 179-216

Pen. Malaysia logs, domestic (SQ) US$ per m³
DR Meranti 231-250
Balau 297-326
Merbau 323-355
Rubberwood 50-84
Keruing 214-230
Peninsular Malaysian meranti logs are top grade and are used for scantlings for the EU. Their prices are higher than Sarawaks.


Malaysia Sawnwood Prices
Malaysia Sawnwood, FOB US$ per m³
White Meranti A & up
280-310
Seraya Scantlings (75x125 KD)
433-446
Sepetir Boards
249-271
Sesendok 25,50mm
345-363
Kembang Semangkok
293-316

Malaysian Sawnwood, domestic
US$ per m³
Balau (25&50mm,100mm+)
325-345
Merbau
452-504
Kempas 50mmx (75,100 & 125mm)
260-300
Rubberwood 25x75x660mm up
199-249
50-75mm Sq.
240-272
>75mm Sq.
262-291


Malaysia Plywood Prices
Malaysia ply MR BB/CC, FOB US$ per m³
2.7mm
405-467
3mm
385-415
9mm & up
331-403
Meranti ply BB/CC, domestic US$ per m³
3mm
380-421
12-18mm
314-343


Other Malaysia Panel Prices
Malaysia, Other Panels, FOB US$ per m³
Particleboard Export 12mm & up
226-249
Domestic 12mm & up
211-228
MDF            Export 15-19mm
279-310
Domestic 12-18mm
270-288


Malaysia Added Value Product Prices
Malaysia, Mouldings, FOB US$ per m³
Selagan Batu Decking
528-538
Red Meranti Mouldings 11x68/92mm x 7ft up
Grade A
543-556
Grade B
496-505


Malaysia Furniture and Parts Prices
Malaysia, Rubberwood, FOB US$ per piece
Semi-finished dining table solid laminated top 2.5'x4', extension leaf
60-76
As above, Oak Veneer
67-81
Windsor Chair
59-61
Colonial Chair
57-62
Queen Anne Chair (soft seat) without arm
57-65
with arm
57-66
Chair Seat 27x430x500mm
45-50
Rubberwood Tabletop US$ per m³
22x760x1220mm sanded & edge profiled
Top Grade
557-590
Standard
541-560


(ITTO's Tropical Timber Market Report)
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