Normally we talk about logs, floor boards, construction materials, wood pellets or forest management but today we are going to be looking at an equally important part of our industry, pallets and packaging and what is happening to this sector in France.
French producers of pallets and packaging have seen orders for their products decline. The trend seems to be that customers are placing orders on a day to day basis rather than building up their own stocks. At the beginning of 2016 considerable investment was put into the industry in the belief that demand would grow, in fact the opposite has happened.
The knock on effect has been that sawmills supplying packing boards and assortments have seen profits fall.
It would seem that this current situation will last a while longer. The demand for these products is still there it is the reluctance of consumers to keep stock which is causing the problem.