As you would expect after Brexit exporters are uncertain about the effect that decision will have on the import of their products. We have seen Sterling fall against the Dollar and the Euro which has made imports rise in price but as yet the effect has not been passed to the British consumers. The markets are just reacting to uncertainty. No trade deals have yet been set up.

Central and West African countries who export Sipo and Sapele are nervious because they export using the Euro. As we stand in August 2016 neither UK or EU purchasers are requesting exporters give them lower prices to compensate for the markets fall. While there has been a slowing of EU imports of tropical wood from Central and West Africa we must factor in that the EU goes on holiday in August which is why the month is traditionally slow.
Once trade deals have been sorted and the UK officially leaves the EU then we will see if the price of tropical timber does indeed rise considerably. The UK is one of the largest importers of that product so Cental and West Africa will be keeping a weather eye on the situation.

Madeleine

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