UNECE market report
While the general wood products market is losing ground , the commitment to certification in the marketplace for wood-based products remains strong in Europea as well as North America.
This is among the key conclusions presented in a joint statement on the wood products market 2008-2009 by the Timber Committee of the UN Economic Commission for Europe (UNECE) and the Forestry Commission of FAO, the Food and Agriculture Organisation of UN.
Retailers, DIY and renovation enterprises, and public procurement for construction projects are identified as the key drivers of the certified products demand. Green building initiatives which specify certified wood products are also supporting a positive development. Furthermore, developments in policies and regulations to combat illegal wood production and trade - notably the FLEGT scheme in Europe and recent law amendments in the US - are expected to change global forest products markets.
The statement also concludes that even in the face of economic recession, corporate social responsibility programmes may help companies maintain their market share.
General market trends
After six years of growth in the forest products market, the market started to fall in 2008. This negative trend is projected by the UN and FAO to continue and become more pronounced in 2008 and 2009.
This development is primarily due to the global financial crisis, related to the residential property bubble burst in the US, followed in 2008 by the bursting of similar house pricing bubbles in European countries. However, demands for wood for energy purposes are growing and help to develop the market for wood products. The report also mentions green building using wood materials as a prospective new area, as public procurement policies increasingly focus on environmental aspects of construction.
The statement and related documents provide more detailed information about the current and projected market situation in Europe and North America.
