Switzerland: Log Demand in Dispute

  • August 30, 2011
  • • Source: IHB
  • • Views: 2436
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"We do not know where we are," characterizes a Swiss forest contractor the current timber market situation. At present, it is hard to estimate how big log demand off Swiss sawmills will be in the upcoming fall. On one hand lumber imports – especially KVH and glulam – from the euro zone could increase since a strong Swiss franc makes goods from abroad more and more affordable. On the other hand, Swiss construction industry is working to high capacity and makes for a high timber demand. Hardly anyone dares to predict whether the disadvantages in foreign trade or the good domestic demand will get the upper hand.

In softwood logs, prices at Swiss sawmills have found a new level, CHF 5 to 10 per cbm lower than the old prices. In August sawmills had revised their price lists at short intervals. Despite the exchange rate between franc and euro demand from Tyrolean sawmills is still existing. There is still little demand from Italy. Here, no improvement is expected in the coming months. Swiss sawyers use the reduced deliveries to Italy and have increased their markdowns for fir logs to € 20 to 30 per cbm.

In industry qualities Swiss forestry looks with concern at the few remaining processors. The dependence on exports is greater than in the sawmills. Meantime, supply of pulpwood is strongly apportioned. There is an oversupply in fuelwood qualities.

Wood Species Quality Diameter CHF/cbm free alongside forest road (€/cbm)
Oct 2009
CHF/cbm free alongside forest road (€/cbm)
May 2010
CHF/cbm free alongside forest road (€/cbm)
Nov 2010
CHF/cbm free alongside forest road (€/cbm)
Jan 2011
CHF/cbm free alongside forest road (€/cbm)
Aug 2011
Spruce
B (CTL + long timber) 2b/3a 110 (72.60) 110-120 (77.2-84.2) 120-125
(88.7-92.4)
125-130 (export Italy)
(92.4-96)
115-117 (interior long timber)
(89-90.7)
115-120 (interior CTL)
(89-93)
105-110 CTL
(91.8-96.2)
100-110 long timber
(87.4-96.2)
B/C (CTL + long timber) 3a/b 100-110 (72.60) 110-115 (77.2-80.7) 113-118 (export Austria)
(83.5-87)
105-110 (interior)
(81.5-85.3)
98-107 (CTL export Austria)
(76-83)
95-100 CTL export
(83-87.4)
C (CTL + long timber) 3a/b 85 (56.10) - 90 (59.40) 90-95 (63.2-66.7) 100-105
(74-77.6)
95-100 (interior)
(73.7-77.5)
85-87
(74.3-76)
D (CTL)   - - 65-70
(48-51.7)
60-70 (interior)
(46.5-54.3)
56-63 (export Austria)
(43.4-49)
50-55
(43.7-48)
Fir
B (CTL + long timber) 2b/3a 90 (59.40) -95 (62.70) 95-100 (66.7-70.2) 95-100
(70-74)
95 (interior long timber)
(73.7)
90-100 (interior CTL)
(69.8-77.5)
87-89
(74.3-76)
B/C (CTL + long timber) 3 a/b 80 (52.80) - 85 (56.10) 85-90 (59.6-63.2) 85-90
(63-66.5)
90-95 (interior long timber)
(69.8-73.7)
72-77 (CTL Exp. Austria)
(56-60)
-
C CTL 2b/3a   70-80 (49.1-56.1) 75-80
(55.4-59)
75-85 (interior)
(58-66)
67-68
(58.6-59.5)

 

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