In the third quarter of 2024, Estonia's timber market saw a mixed performance across different wood categories. Prices for softwood logs, as well as hardwood species like birch, alder, and grey alder, saw an increase. Notably, prices for pine, spruce, and birch pulpwood also rose during this period. However, prices for birch veneer logs, birch sawlogs, and hardwood firewood experienced a decline. Compared to the previous year\u2019s September, the only notable price drop was in birch sawlogs and firewood. On the other hand, prices for pulpwood, birch logs, and softwood logs saw significant increases, with the strongest rise observed in pulpwood.<\/p>\n
Despite some positive trends, uncertainty remains a key concern for Estonian timber companies. There is a general expectation for improvement, but companies remain cautious, refraining from making new investments in business development. In contrast, Latvia appears to have more stability, with the local government and society showing greater support for the timber industry. This has led to more confidence in the long-term availability of timber, which is expected to positively impact forest owners\u2019 income in the near future.<\/p>\n
Environmental regulations are also a point of concern, with additional restrictions expected to ultimately impact forest owners\u2019 financial returns. The ongoing high inflation in many countries could further squeeze profits, with a significant portion of the increased costs likely being passed on to forest owners. Additionally, Estonia faces higher electricity prices compared to its Nordic neighbors, which continues to put pressure on the industry.<\/p>\n
On a positive note, the Swedish economy and timber sector are showing signs of recovery, and there is hope that this could lead to improved market conditions in Estonia as well. Falling loan interest rates are expected to boost economic activity, which could benefit the timber sector both in Estonia and across Europe.<\/p>\n
Looking ahead, a decline in pulpwood prices is anticipated in the coming months, with birch sawlog prices also expected to fall. Firewood prices are unlikely to see further declines, as energy timber prices have likely reached their lowest point. Softwood and hardwood log prices are expected to remain stable, though a significant drop in pulpwood prices could eventually impact the price of softwood logs. The market is already showing signs that the price of softwood sawlogs may decline in the near future. Falling loan interest rates are unlikely to significantly stimulate the construction market, and thus demand for sawn timber is expected to remain stable.<\/p>\n
Private Forest Roundwood Prices in Estonia (excluding VAT) as of September 2024<\/strong><\/p>\n <\/p>","protected":false},"excerpt":{"rendered":" In the third quarter of 2024, Estonia’s timber market saw a mixed performance across different wood categories. Prices for softwood logs, as well as hardwood species like birch, alder, and grey alder, saw an increase. Notably, prices for pine, spruce, … Continue reading \n\n
\n Product<\/strong><\/th>\n Price (\u20ac\/m\u00b3)<\/strong><\/th>\n Price Change Compared to Previous Quarter<\/strong><\/th>\n Price Change Compared to Last Year Third Quarter<\/strong><\/th>\n<\/tr>\n<\/thead>\n\n \n Pine Logs<\/td>\n 89.88<\/td>\n +5.3%<\/td>\n +6.1%<\/td>\n<\/tr>\n \n Pine Small Logs<\/td>\n 85.97<\/td>\n +8.0%<\/td>\n +17.5%<\/td>\n<\/tr>\n \n Spruce Logs<\/td>\n 89.91<\/td>\n +5.0%<\/td>\n +15.3%<\/td>\n<\/tr>\n \n Spruce Small Logs<\/td>\n 87.48<\/td>\n +5.3%<\/td>\n +17.7%<\/td>\n<\/tr>\n \n Birch Veneer<\/td>\n 151.60<\/td>\n -3.3%<\/td>\n -14.8%<\/td>\n<\/tr>\n \n Birch Logs<\/td>\n 105.98<\/td>\n -8.6%<\/td>\n -7.5%<\/td>\n<\/tr>\n \n Birch Small Logs<\/td>\n 78.75<\/td>\n 0.0%<\/td>\n -<\/td>\n<\/tr>\n \n Alder Logs<\/td>\n 74.40<\/td>\n +11.8%<\/td>\n +20.8%<\/td>\n<\/tr>\n \n Grey Alder Logs<\/td>\n 71.68<\/td>\n +7.8%<\/td>\n +4.4%<\/td>\n<\/tr>\n \n Alder Logs<\/td>\n 60.88<\/td>\n +5.4%<\/td>\n -<\/td>\n<\/tr>\n \n Pine Pulpwood<\/td>\n 75.00<\/td>\n +2.5%<\/td>\n +42.1%<\/td>\n<\/tr>\n \n Spruce Pulpwood<\/td>\n 74.85<\/td>\n +2.8%<\/td>\n +41.9%<\/td>\n<\/tr>\n \n Birch Pulpwood<\/td>\n 66.82<\/td>\n +6.2%<\/td>\n +20.7%<\/td>\n<\/tr>\n \n Alder Pulpwood<\/td>\n 53.76<\/td>\n -1.5%<\/td>\n +22.7%<\/td>\n<\/tr>\n \n Firewood<\/td>\n 38.22<\/td>\n -2.9%<\/td>\n -10.8%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n