world news - 23.10.2009
European timber sector not ready for recovery
Timber production capacity low, will take time to restart U.S. and EU rules on illegal timber seen hurting trade China seen powering global industry as economy heats up. The European forestry sector, hit
hard by the U.S.-led housing crash, could benefit from more
exposure to China which will be a leading importer in the years
ahead, a United Nations panel said on Tuesday. The U.N. Economic Commission for Europe (UNECE) forecast
demand could rebound in 2010 for products like raw wood, wood
pellets, sawn softwood and hardwood, paper and wood pulp but
warned it could take time to ramp up the industry's production. "It is far too early to speak about a recovery," the UNECE
Timber Committee said after its annual market talks in Geneva. "Even when market strength returns, the production capacity
will not be immediately available since many plants have shut
down, with disastrous effects on their labour force," it said. The committee raised concerns about new laws in the United
States and European Union meant to avert illegal timber sales,
which it said could unfairly limit trade and make it harder for
European producers to do business in those markets. It pointed to China, a huge wood and paper product market
for Europe, as a growth driver in the years ahead. In addition to being the world's largest furniture maker and
exporter, China is the largest importer of roundwood for its
wood and paper mills, with most logs coming from the European
region, especially Russia.
See also:
- — Germany: Lumber production looks set to only increase slightly in 2010
- — European building materials industry outlook remains negative
- — Deciduous forests on the increase in Sweden
- — Germany, 2009: Woodworking Machinery Industry Down 35-45%
- — Financial crisis hits forestry sector
