Producers are reporting that there have only been minor price movements over the past two weeks. The fall in demand for dabema and okan is causing a softening of prices for these timbers but otherwise there are no price changes of note.
There have been occasional small variations in prices for the more frequently traded sawnwood species but up to mid month there has been no significant shift in price structures.
Traders concerned about impact of debt crisis on trade
Traders continue to be very concerned about the situation in the euro area countries and are closely watching the negotiations on the Greek bail-out and assessing the possible impact in their European markets. It is fortunate that W. African exporters now have more diversified markets than was the case a decade ago. Order book positions in the region for sawnwood are still sound and demand for logs is good with potential for further development if only additional volumes or new sources become available.
Although some West and Central African producers are still concerned about a possible slow down in the Asian economies, they are of the opinion that markets in the Mediterranean and Middle East will remain attractive and will help to keep overall demand for sawnwood high enough to absorb the bulk of current production volumes.
Violent pirate attacks in West Africa on the increase
The number of pirate attacks off the west coast of Africa has risen dramatically this year but so far vessels carrying timber have not been affected. The rise in attacks has prompting regional and foreign governments develop anti-piracy strategies. According to the Inter Press Service News Agency (IPS), there have been more than 30 attacks in the Gulf of Guinea this year, compared to just one last year. According to the International Maritime Bureau (IMB), the most recent attack off the West African coast occurred when armed men boarded a cargo vessel anchored in Guinea. The crew were assaulted and robbed.
Violent pirate attacks in West Africa's Gulf of Guinea have been on the increase in recent months. An umbrella group of London insurers recently listed Nigeria, and neighbouring Benin in the same risk category as Somalia.
| West Africa logs, FOB | € per m³ | ||
| Asian market |
LM
|
B
|
BC/C
|
| Acajou/ Khaya/N'Gollon |
205
|
205
|
165
|
| Ayous/Obéché/Wawa |
200
|
200
|
145
|
| Azobe & Ekki |
205
|
205
|
122
|
| Belli |
215
|
215
|
-
|
| Bibolo/Dibétou |
145
|
130
|
|
| Bubinga |
790
|
625
|
480
|
| Iroko |
285
|
280
|
215
|
| Okoume (60% CI, 40% CE, 20% CS) |
250
|
-
|
-
|
| Moabi |
280
|
280
|
190
|
| Movingui |
185
|
150
|
140
|
| Niove |
155
|
155
|
-
|
| Okan |
310
|
310
|
-
|
| Padouk |
380
|
345
|
235
|
| Sapele |
245
|
235
|
175
|
| Sipo/Utile |
275
|
250
|
190
|
| Tali |
285
|
285
|
-
|
| West Africa sawnwood, FOB |
€ per m³
|
|
| Ayous | FAS GMS |
300
|
| Bilinga |
FAS
GMS |
505 |
| Okoumé | FAS GMS |
450
|
| FAS. fixed sizes |
300
|
|
| Std/Btr GMS |
334
|
|
| Sipo | FAS GMS |
500
|
| FAS fixed sizes | - |
|
| FAS scantlings |
460
|
|
| Padouk | FAS GMS |
810
|
| FAS scantlings |
810
|
|
| Strips |
340
|
|
| Sapele | FAS Spanish sizes |
370
|
| FAS scantlings |
430
|
|
| Iroko | FAS GMS |
655
|
| Scantlings |
655
|
|
| Strips |
405
|
|
| Khaya | FAS GMS |
415
|
| FAS fixed |
430
|
|
| Maobi | FAS GMS |
530
|
| Scantlings |
535
|
|
| Movingui | FAS GMS |
420
|