Stockwells Ltd is to close down its kilning operations because of ‘unsustainable losses’ brought about by a combination of exchange rate, demand and cost factors.
Twelve people are expected to be made redundant around Easter, once remaining work is finished.
The company has been concentrating on putting native timbers through the 14 kilns at its base in Stokenchurch, near High Wycombe. However, exchange rate movements over the past two years meant ‘customers were finding it more advantageous to import supplies,’ director Charlie Stockwell told TTJ.
Further damage had been done by a downturn in some key markets, such as the furniture trade, while the company’s transport, labour and oil-based energy costs had been ‘ever increasing’, he added.
Mr Stockwell pointed out that, in the immediate future, Stockwells would focus principally on trading in softwoods.
