Operators across the regional have signalled a significant weakening of demand in international markets. Some mills servicing the Chinese market have temporarily ceased operations due to falling Chinese timber imports, others, have pivoted production to species in demand in the EU notably azobe for the Dutch market and timbers such as padouk for Belgium, agba for Portugal and bahia for Italy.

The overall sentiment is that business remains poor, exacerbated by the European holiday season.

The correspondent writes “the market for West/Central African timbers is currently in a precarious state with many mills struggling to stay operational amid plummeting demand. The situation is exacerbated by adverse weather conditions in some regions and regulatory pressures in others. Operators in the region are hoping for additional economic stimulus measures in China. At present it is only the Philippines and Vietnam that are providing a measure of demand stability”.

Regional round-up

Cameroon

Mills are focusing on redwood species for Europe. However, it has been reported that arrivals of redwoods from North Congo and RCA at Douala and Kribi Ports have dropped. Millers have observed a rise in regulatory control which has made some mills keeping stocks to a minimum.

Equatorial Guinea

It has been claimed that some shippers in Equatorial Guinea are putting KD FAS okoume onto the international market at around Eur400/cu.m. FOB which a very competitive price. The correspondent notes “In Gabon and Congo it is impossible to compete with the Eur400/cu.m. FOB price due to the high operational costs faced by mills and the long-distance transport involved.

Gabon

Harvesting remains slow as demand is low for some species. Okoume continues to be in demand for local manufacturing but okoume exports to China have stopped. Electricity disruptions continue to disturb peeling and plywood operations, particularly in the GSEZ.

No transport issues have been reported but the Bifoun to Ndjole road, the main route for trucking in and out of Cameroon, is reportedly in poor condition and repairs will take several weeks.

Enquiry levels are stable for species such as andoung, iroko, and padouk in Europe. For the Chinese market current demand is focused on high-value timbers such as beli and ovangkol.

Congo

In terms of harvesting and trucking there are no changes from the mid-July report. Repairs continue on laterite roads which were damaged during the rain season. Trucking conditions are expected to improve now that it is dry. Transport to Pointe Noire is mostly on tarmac roads.

Operators report enquiry levels are satisfactory especially as importers for the Philippines market are more active.