Finland produced 5.8 million cubic metres of softwood sawn timber in the first half of 2016, a 5% increase. In the second quarter, the lumber sector saw a YoY increase of 8% in output to 3.1 million cubic metres of softwood sawn timber.
While investments have grown, Timo Jaatinen, director general of the Finnish Forest Industries Federation, acknowledged that this positive development can only continue in a competitive operating environment. Movements in the European Union in particular will impact Finland’s forestry sector.
“Proposals regarding the European Union’s implementation of the Paris climate agreement were complemented by the Commission’s publication of emission-reduction obligations for sectors not covered by emissions trading. The 39% emission-reduction target imposed on Finland is very challenging. The possibility of taking full advantage of sustainable annual harvesting opportunities must be ensured when drafting regulations concerning the climate and the environment. In addition, measures must be taken to minimise the risk of carbon leakage,” said Mr Jaatinen.
“Domestic efforts to improve competitiveness must be continued, as exports and industrial activity cannot recover in the absence of ambitious decisions. The Competitiveness Pact was only the first step.”