The hike in softwood carcassing prices in the Baltics is having an impact in the UK.
Ian Robinson of Newcastle-based Gill and Robinson warns: ‘End users must be made to understand they are going to have to pay more for their wood.
‘The supply chain is short so price increases are going to come through with a bit of a thump. For the next couple of months things are going to be tight and people are wondering whether the increases will be sustained.’
Kevin Hayes, managing director of of Nelss (UK) Ltd, said: ‘The supply shortage is due to one basic factor that drove many smaller sawmillers away from the industry and that is that the price for unseasoned timber was pushed so low by customers and the availability of wood was so great that the price went down.’
He said companies like Nelss were struggling to fulfil commitments, adding: ‘We have been paying more for almost two months. The price of unseasoned timber has gone up £6-7 per cube and kiln-dried has gone up £4-5 per cube.
‘People are panicking and asking when it is going to flatten out – but at the moment my people in Latvia can’t say what the price will be next week let alone next month.’
Charles Hopping, chairman of Hoppings Softwood Products Ltd, said: ‘We have one or two bookmark customers and when they come on to buy carcassing I know it is in short supply – and they have been on to me this month. There is a shortage of wood but I think much of the reason is because it is August and the mills have just taken time out. Baltic prices have firmed a bit and I think British producers will soon be looking to push their prices up.’
