{"id":87320,"date":"2024-02-28T08:04:26","date_gmt":"2024-02-28T08:04:26","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/estonia-decline-in-demand-forces-the-wood-industry-to-adapt-to-the-new-situation\/"},"modified":"2025-09-19T09:01:36","modified_gmt":"2025-09-19T09:01:36","slug":"estonia-decline-in-demand-forces-the-wood-industry-to-adapt-to-the-new-situation","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/estonia-decline-in-demand-forces-the-wood-industry-to-adapt-to-the-new-situation\/","title":{"rendered":"Estonia: Decline in demand forces the wood industry to adapt to the new situation"},"content":{"rendered":"

The Estonian timber industry continues to face challenges and some resiliency, and optimism has largely reversed for now.\u00a0The summary of last year's sales revenue of the wood industry shows that the total turnover of the sector fell by 10% compared to the previous year.<\/span> In the last quarter of the past year, the sales turnover of several large industries decreased by as much as 40% compared to the previous year.\u00a0In essence, the sector has been in a downward trend for eight quarters in a row, which is how long Estonia's economic recession has lasted.<\/p>\n

However, the decline in turnover does not reflect a one-to-one decline in production volume.\u00a0Production has certainly decreased, as prices have also fallen due to reduced demand.\u00a0The productivity of the employees employed in the industry has fallen, because the turnover per employee decreased by nearly 4% over the year, and the last quarter of the year showed a greater decrease.\u00a0At the same time, salaries in the sector were raised and the average monthly salary increased by 10.5% over the year.<\/p>\n

Steadily decreasing volumes and obviously reduced profits indicate, however, the reduced investment confidence of the companies in the sector and a decrease in competitiveness.\u00a0Presumably, equity productivity has fallen and investment products offered in banking may seem more attractive than investments in the (wood) industry.<\/p>\n

Unfortunately, the concern of the protracted crisis also reaches workplaces.\u00a0Three sawmills have been closed in the last two years.\u00a0Large and stable wood industries that have kept jobs so far have started to lay off by now.\u00a0Every quarter, the number of jobs in the wood industry decreases by about 200, and over the last year the total number of people employed in the sector has decreased by just over 6%.\u00a0These jobs were mostly outside the centers of attraction, which in turn creates a problem in rural areas that the state needs to start paying attention to.<\/p>\n

Since the demand of the Scandinavian markets has decreased, Estonian wood manufacturers have to do active sales work and look for new markets.\u00a0But the crisis is everywhere, including elsewhere in the European Union.\u00a0For example, if the German economy is not in a major decline, you can still see stagnation and finding new markets is therefore not easy.<\/p>\n

At the moment, it can be said that the wood industry is adapting to the situation.\u00a0(Geo)political uncertainty, as its effect can be seen in other sectors, inhibits investment confidence and foreign capital does not come.\u00a0A positive change is not yet visible in the markets, and it is probably not expected until the central banks begin to loosen monetary policy again.<\/p>","protected":false},"excerpt":{"rendered":"

The Estonian timber industry continues to face challenges and some resiliency, and optimism has largely reversed for now.\u00a0The summary of last year’s sales revenue of the wood industry shows that the total turnover of the sector fell by 10% compared … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":50527,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716],"tags":[],"class_list":["post-87320","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends"],"acf":[],"yoast_head":"\nEstonia: Decline in demand forces the wood industry to adapt to the new situation - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/estonia-decline-in-demand-forces-the-wood-industry-to-adapt-to-the-new-situation\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Estonia: Decline in demand forces the wood industry to adapt to the new situation - 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