Economic uncertainty due to the war in Ukraine and a decline in consumer confidence is impacting on timber prices in Ireland, according to a new market report from the Irish Farmers’ Association (IFA).
The IFA timber price survey from July to September shows that significant price increases for timber in 2021 and during quarter one of 2022 have declined in quarter three of this year.
Prices highlighted in the latest IFA report, which were sourced from forest owners, forestry companies and sawmills, suggest demand for Sitka spruce varied significantly between July to September.
The key indicators in the IFA report show that roadside pulpwood prices ranged from €28-40/t; stakewood prices ranged from €35-44/t; and palletwood prices ranged from €37-72/t, depending on the length of palletwood.
Overall prices for sawlog appear to have experienced the biggest decline with average prices from July to September falling by 20% to between €80-110/t compared to 2021 prices.
Jason Fleming, IFA farm forestry chair said farmers are frustrated by the downturn in prices, particularly those who did not benefit from “exceptional” timber prices in 2021 due to issues with forest licences.
“The variation in timber prices makes it even more important that farmers get several quotes before they make a decision,” he said.
“When farmers get a quote for palletwood, they should be aware that the price differs depending on the lengths of the product, as the price between different lengths varies considerably.”
