European panel manufacturers expressed concern about increasing production costs at the recent European Panel Federation (EPF) general assembly.
Particleboard producers reported that despite ending 2005 on a positive note, the year had been difficult, especially in the first and third quarters.
Production shrank by around 1.5%, while consumption dropped by 4% on the previous year.
However, production and consumption were higher than in 2003 and before.
MDF manufacturers also had to deal with decreasing production during the third quarter, but this rose again during the fourth quarter. Overall, production is expected to have amounted to more than 13 millon m3, some 3% more than in 2004. A shrinking domestic market has been boosted by an expanding export market – mainly to Eastern Europe, North America and Africa.
The European OSB industry continued to grow in the second half – although not as well as in previous years. Both home sales and exports improved with western Europe and North America the biggest export markets.
However, European wood-based panel manufacturers are worried that costs such as wood, energy, resins and transportation are rising significantly and they will continue to press the authorities to promote the eco-efficient use of wood.
EPF members were also urged to take action to communicate the excellent environmental credentials of wood-based products and wood’s positive role in tackling climate change.
