Brazil timber sector likely to focus more on export this year

2016 may be a tough year for Brazil’s timber sector as sluggish demand from the domestic market is expected to continue, prompting many manufacturers to turn to export, according to ABIMCI.

The Brazilian timber sector has seen mixed performance in 2015 due to rising production costs, volatility in the US dollar exchange rate, and poor market sentiment over China’s slowdown and weak domestic demand.

However the flooring sector raked in good sales—solid wood flooring exports increased 18% year-on-year. Tropical veneer and plywood on the other hand fell short of expectations.

 

Source: ITTO/ Edited by Panels & Furniture Asia