2015 was not a good year for suppliers of sawlogs. Central Europe, Russia, Western Canada and Brazil all suffered from the reduction of lumber and log prices. Europe saw the most dramatic fall in prices. So what do the experts put this down to? The most obvious is the strengthening US dollar combining with weakening European currencies. There was also a considerably reduced demand from Asia, namely China, Japan and south Korea, but they still accounted for half of the world’s imports!
Of the major sawlog regions, only one saw prices rise, and that was the US South where production actually increased over the past few years.
This decline for the majority of regions is in its second year and surly must be ringing alarm bells to deafening levels by now.