UK & Holland Timber & Wood Products Prices

Wood Products Prices in The UK & Holland

01-15th April 2005

News from the UK

Log Prices in the UK

FOB

plus commission per Cu.m

Sapele 80cm+LM-C Euro 240-260

Iroko 80cm+LM-C Euro 370-380

N'Gollon70cm+ LM-C Euro 220-225

Ayous 80cm+LM-C Euro 270-280

UK Sawnwood Prices

FOB plus Commission per Cu.m

Brazilian Mahogany FAS -

Teak 1st Quality 1"x8"x8' Stg2035-2350

Tulipwood FAS 25mm Stg345-355 Ý

Cedro FAS 25mm Stg420-450

DR Meranti Sel/Btr 25mm Stg390-410 Ý

Keruing Std/Btr 25mm Stg260-280 Ý

SapeleFAS 25mm Stg340-355

Iroko FAS 25mm Stg435-480

Khaya FAS 25mm Stg340-370

Utile FAS 25mm Stg405-415

Wawa No1. C&S 25mm Stg225-235

Plywood and MDF in the UK

CIF per Cu.m

Brazilian WBP BB/CC 6mm US$590+

" Mahogany 6mm

When last available US$1265

Indonesian WBP 6mm US$600-610

Eire, MDF BS1142 per 10 Sq.m CIF

12mm Stg42.50 Ý

Report from Holland

Over the past fortnight the Dutch market for Dark Red Meranti, particularly for the most important dimension 3 x 5", remained stagnant, a continuation of the situation that has prevailed for some time now. There is simply too little demand and the landed stock remains high and continues to drive some importers to go all out after a sale so as to off-load some stock even at ridiculously low price levels far below replacement levels.

The 'price war' lingers on fiercely: 3x5 can now be purchased cheaper in Holland than in Malaysia. From various sides analysts report sales prices of EUR 540 per cubic metre and even lower.

Merbau still enjoys a reasonable demand in Holland the steadily increasingly price and long delivery period (now September) is a burden to traders. Dutch buyers have become a bit more wary now at the current CNF Rotterdam price level as they are afraid that demand may collapse by the time the timber reaches Dutch shores.

In contrast the trade is seeing Iroko CNF prices ease slightly.

No eagerness to lower stocks in Malaysia

Despite the fact that Meranti is hardly asked for in the Dutch at the moment, we see that Malaysian local FOB prices quoted by exporters are hold remarkably well.

Although the exporters carry a modest stock position in 3x5" PHND KD DRM Bukit/Seraya they seem to feel quite comfortable with this and do not seem to be over eager to sell at a discount. This indicates that that the supply of Meranti in Malaysia is problematic.

Exporters are being selective in which orders they accept so that their modest unsold stock position can grow a little. They are certainly not willing sell at dumping prices as they anticipated that the Dutch market could pick up stem again later in the year.

Prices CNF Rotterdam per ton of 50 cu ft

Malaysian DRM Bukit

KD Sel.Bet PHND in 3x5" US$1090

Malaysian Nemesu KD

Sel & Btr PHND 3"x5" US$1100

Indonesian DRM Bukit

KD Sel.Bet PHND in 3x5" no offers

Malaysian DRM Seraya

KD Sel.Bet PHND in 3x5" US$1100

Indonesian DRM Seraya

KD Sel.Bet PHND in 3x5" not vailable

MTCC Certified KD Seraya

Sel&Btr PHND 3x5 US$1120-1130

Merbau KD

Sel.Bet Sapfree in 3x5" not available

If available

Merbau 7/4x12 US$1530

Abbreviations

LM Loyale Merchant, a grade of log parcel	Cu.m Cubic Metre
QS Qualite Superieure	Koku 0.278 Cu.m or 120BF
CI Choix Industriel	FFR French Franc
CE Choix Economique	SQ Sawmill Quality
CS Choix Supplimentaire	SSQ Select Sawmill Quality
FOB Free-on-Board	FAS Sawnwood Grade First and
KD Kiln Dry	Second
AD Air Dry	WBP Water and Boil Proof
Boule A Log Sawn Through and Through	MR Moisture Resistant
the boards from one log are bundled	pc per piece
together	ea each
BB/CC Grade B faced and Grade C backed	MBF 1000 Board Feet
Plywood	MDF Medium Density Fibreboard
BF Board Foot	F.CFA CFA Franc
Sq.Ft Square Foot	Price has moved up or down

Source:ITTO