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Japan Wood Products Prices

01-15th May 2009

Japan Wood Products Prices

Dollar Exchange Rates of  15th May. 2009

Japan Yen 95.13

Reports From Japan

Projections show lower Japanese demand in second and third quarters
Japan Lumber Journal (JLJ) reported on projections for
Japan’s demand of timber imports for the second and third
quarters of 2009. The projections were announced during a
meeting held by the Forestry Agency, where participants
were provided with an overview of the figures for these
quarters, which showed decreasing demand in the
Japanese economy with overall declines in housing starts
and domestic timber demand. Both domestic and foreign
timber was expected to fall 10-20% compared to the same
period in the previous year. The chart below shows the
projections in supply and demand for Southsea logs and
lumber and plywood in Japan in the second and third
quarters of 2009:

Sanshin Lumber Co. to sell silver ash wood from PNG
Japan Lumber Journal (JLJ) reported on Sanshin Lumber
Co.’s new sales of silver ash wood products from PNG. To
obtain the wood, the company signed a contract with
Rimbunan Hijau Group, which has its head office in
Malaysia and manufactures and exports wood products
from PNG. Silver ash (Flindersia achottiana) is a scarce
variety of wood and is easy to process. It is commonly
sold as a high-value item in Europe, the US, and Australia
for use in furniture and flooring.

Surge in wood pellets production in Japan
Wood pellet production in Japan was 16 times higher than
in 2004, reported JLJ. As expectations that wood pellet
use would be on the increase in factories and in
households, nearly 40,000 tons of wood pellets were
produced in 2008. The number of factories producing
wood pellets also jumped to 51. Wood pellets have
become particularly utilized in boilers and stoves/headers
as an alternative to fossil fuels.


LM        Loyale Merchant, a grade of log parcel  Cu.m         Cubic Metre
QS         Qualite Superieure    Koku         0.278 Cu.m or 120BF
CI          Choix Industriel                                                       FFR            French Franc
CE         Choix Economique                                                        SQ              Sawmill Quality
CS         Choix Supplimentaire      SSQ            Select Sawmill Quality
FOB      Free-on-Board     FAS            Sawnwood Grade First and
KD        Kiln Dry                               Second 
AD        Air Dry        WBP           Water and Boil Proof
Boule    A Log Sawn Through and Through MR              Moisture Resistant
              the boards from one log are bundled                      pc         per piece      
              together                      ea                each      
BB/CC  Plywood grades. Letter(s) on the left indicate face veneer(s), those on the right backing veneer(s). Veneer grade decreases in order B, BB, C, CC, etc. MBF           1000 Board Feet          
              Plywood   MDF           Medium Density Fibreboard
BF         Board Foot F.CFA         CFA Franc        
Sq.Ft     Square Foot  PHND             Pin hole no defect grade
Hoppus ton     1.8 cubic metres              Price has moved up or down

Source: ITTO'  Tropical Timber Market Report

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