French tropical timber specialist Rougier is cutting back all non-essential investments and adjusting production capacities in line with demand.
The company, which reported a €3.1m net loss for 2008, is also increasing deployment of a wide range of certified products in order to enable the group to successfully target mature markets which are sensitive to environmental issues.
Rougier said measures would make it possible to ensure its offering remained flexible and competitive, while managing inventory levels effectively.
The group’s Africa and international trade business, suffered a 14.2% sales decline in 2008 to €124.9m. Profits in the division were €2.4m, down from €18.5m in 2007 due to a sharp contraction in volumes sold and pressure on sales prices and commercial margins.
But the profits turned into a group loss when costs and a tax charge were taken into account.
