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– CONTINUATION OF POST  Why has the price of wood risen so much?  6 reasons and 3 consequences – Part 1

 

4. Sawmills are not producing enough wood

In the aftermath of the pandemic, sawmills have had trouble increasing their production capacity fast enough to meet increased demand for two reasons: labour shortages and lack of timber due to the consequences of climate change.

 

5. More demand and less supply for Scandinavian timber

The United States buys timber from Scandinavia. In 2021 this import of Nordic timber by the USA will have to grow by 15% to meet demand. But China also buys this wood and is demanding more and more of it. The result is that Scandinavian sawmills are at their lowest stock levels in 20 years.

 

6. Delays and increased transportation costs.

The transport of timber, like that of other goods, has been adversely affected by the problems of container manufacturing in the wake of the pandemic and the hoarding of containers by Chinese ports. The price of renting a container for export now costs up to 4 times more than it did in 2019.

 

03 precio de la madera (Medium)

 

3 consequences of the increase in the price of wood

 

1. Wood strip, slat, panel and cladding prices are also going up

The direct consequence of this situation is the price increase of wood in all its formats, especially those intended for construction: wood slats, strips, wood cladding, beams, wood acoustic panels, wood ceilings, etc.

 

2. Rise in house prices

This is causing a significant rise in house prices in those markets that use wood the most. For example, it is estimated that in the US housing has become more expensive by an average of $24,000.

 

3. Increase in prices of other products due to lack of pallets.

Another consequence is the possible increase in prices of other products, such as food and pharmaceuticals, due to higher transport costs and delays in supplies caused by the lack of wood pallets.

 

04 precio de la madera (Medium)

 

SOURCES/REFERENCES:

¿Qué está pasando con la madera? Su precio sube un 400% desde el mínimo de 2020

La gran fiebre de la madera: sus precios se han disparado y no hay suficiente para todo el mundo

Subida de precios de la madera de importación

 

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