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Expert: Prices for wood are confirmed for aquarterforward

Эксперт: цены на древесину утверждаются на квартал вперед

What prices will be in the second quarter, is not known, but these will be highly influenced by the wood auctions, RMK, and also similar auctions in neighboring countries. Lumber from Russia is

no longer supplied will be. Wood. Illustrative photo. Wood. Illustrative photo. Photo:

Peeter Kümmel / Sakala

18 January 2025, 10:16

What prices will be in the second quarter, is not known, but these will be highly influenced by wood auctions, RMK, and also similar auctions in neighboring countries. Lumber from

Russia is no longer supplied.

According to Toomas Pärtel, the chairman of Puumarket – a company trading in retail wood building materials, in first quarter significant increase in prices for construction wood will not be, but, obviously, because of the deficit of raw materials, in the second quarter prices will always be increasing.

Teomas Pärtel said that the prices for wood are determined each quarter forward, so there will be no substantial increase in the early year.

“All last year the price for wood has stayed stable, the fluctuations were with only sixty percent. With this demand for building wood is quite high. As for volumes of sales, it was sold by ten percent more than the year ear earlier. Wood is a pretty profitable building material compared with other materials, cIn addition, its increased use is supported by green trends, Pärtel said.

“What prices will be in the second quarter, we don’t know yet, but they will be highly influenced by the wood auctions, RMK, and also similar auctions in neighboring countries, and it is already known that volumes will decrease. At the end of the year, RMK MK offered limited volumes of wood for auction, and most who wanted to buy it just wasn’t able, so the work of the sawmills will be restricted by the lack of commodities, which will obviously lead to higher prices,” Pärtel said.

“Log materials from Russia will no longer be supplied. Analogous problems now are and in Finland, where the large sawmills also are deficient in raw materials – primarily fir wood and have already reduced the volumes of production. Pine wood is always in less demand, and there is sufficient for now, ” Pärtel continued.

“At the same time, in Europe, the economy and, correspondingly, the demand for materials is beginning to recover – the decline in the Euribor rate has had a favorable impact on construction and development activities, and, with account for continued inflation, we can probably expect some increase in prices for wood in the second quarter of the year,” Pärtel added.

According to Puumarket, prices for building wood are now almost 50 percent below the level of 2022 year, Prices for general construction materials also stayed stable throughout the year.

“Price competition among sellers has increased, and this is beneficial for customers.As for the workforce, – -many builders have returned from Finland, and finding good workers has become significantly lesscostly,thaninthelastyears,Pärtel described thestateoftheconstructionmarket.

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