Decline in European sawlog prices

European sawlog prices continued their downwards trajectory over the last year with just a small number of notable and relevant exceptions. Measured at the roadside in U.S. Dollars, Baltic Pine sawlog prices fell as low as USD51/m3 in Norway in the quarter of March 2016, having collapsed 16.1% since March Quarter 2015. This was the largest recorded movement in a market that is faced decidedly downwards.

The chart below displays the recent history of Baltic Pine sawlog prices from major producer nations. Estonian prices are notably lagging by a quarter.

While the Norwegian price has plummeted, all other countries have headed lower over the year. 

The pricing situation, showing declines that on average appear to be between 4% and 15% over the course of the year, is similar for Baltic Region Spruce sawlogs, but less pronounced for the region’s Birch sawlogs.

Source: Forests & Wood Products Australia