India: Current prices of teak logs, sawnwood and plywood

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ITTO
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The January price index for wood and wood products rose slightly part of the rise may be explained by the increase in Sarawak log prices. Similarly the price index for plywood rose reflecting the price increases achieved by plywood manufacturers.

E-Auction of teak in Western India

The disagreement over the e-auction means of sale is still unresolved. A large volume of logs are ready for sale so it is in the interest of the Forest Department and buyers to find an amicable solution so sales can proceed.

Acceptance of poplar a lifeline to plywood industry

When Myanmar stopped exporting gurjan logs Indian plywood manufacturers began experimenting with other species and some positive results are emerging. Despite the preference of end-users for plywood with red face veneers, poplar logs are emerging as a source of veneer for plywood manufacture.

In India poplar plywood is rapidly gaining acceptance which has eased the problem of obtaining veneers faced by plywood manufacturers and is also benefitting end-users as poplar plywood is cheaper than panels previously made with gurjan.

However, plywood manufacturers have been forced to raise prices mainly due to rising wage bills which is pushing up production costs. It is fortunate that the market is accepting poplar faced plywood otherwise the price increases would have been higher.

Bamboo development in NE India

has one of the largest reserves of bamboo in the world and 70% of this natural resource is found in the North Eastern part of the country. The North East Centre for Technology and Research is promoting bamboo for various uses such as laminated beams, door and window frames, chairs, and sofa sets, coffee tables as also flooring. North Eastern states of India are priority areas for development. Reforestation activities are continuing and processing bamboo is being encouraged.

Increased imports of logs from Sarawak

Since Myanmar implemented the log export ban Indian traders have increased purchases from other sources. Currently, Sarawak is the main supplier of non-teak hardwoods to India. India‟s year on year log imports from Sarawak increased by just over 13 % between January and September last year.

Current C&F prices for plantation teak

Traders report a steady flow of plantation teak

  US$ per m3
Belize logs 350-400
Benin logs 367-680
Benin sawn 530-872
Brazil logs 402-797
Brazil squares 390-680
Cameroon logs 365-510
Colombia logs 520-650
Congo logs 380-710
Costa Rica logs 414-840
Côte d'Ivoire logs 303-720
Ecuador squares 315-540
El-Salvador logs 377-712
Ghana logs 286-650
Guatemala logs 404-550
Guyana logs 300-450
Uganda teak sawn 680-900
Kenya logs 350-600
Laos logs 300-605
Liberia logs 350-460
Malaysian teak logs 363-525
Nicaragua logs 350-596
Panama logs 319-750
PNG logs 400-575
Sudan logs 479-820
Tanzania, teak, sawn 307-885
Thailand logs 460-700
Togo logs 230-715
Trinidad and Tobago logs 420-680
Uganda logs 408-860
Uganda Teak sawn 680-900

Variations are based on quality, length and average girth of logs

In addition to the plantation teak arrivals, natural forest teak logs from Vietnam continue to arrive and prices are unchanged at US$1349 per cubic metre.

Prices for domestically milled sawnwood from imported logs

Current exmill prices for air dried sawnwood are shown below. As reported previously, prices have not changed over the past two weeks.

Sawnwood, (Ex-mill) (AD) Rs. per ft3
Merbau
1550-1650
Balau
1700-1900
Resak
1200-1400
Kapur
1250-1300
Kempas
1100-1200
Red Meranti
925-975
Radiata pine AD
550-650
Whitewood
600-650

Variations are based on quality, length and average girth of logs

Prices for imported teak sawnwood

The volumes of sawn teak imports from Myanmar are rising but analysts comment that the quality of the sawnwood being shipped should be improved to meet the demands of the market. The rise in arrivals of sawn teak from Myanmar is reflected in a slight easing of teak sawnwood prices

Sawnwood (Ex-mill) Rs. per ft3
Myanmar Teak (AD)  
Export Grade F.E.Q.
8000-16000
Plantation Teak A grade
6000-7000
Plantation Teak B grade
4000-4500
Plantation Teak FAS grade
3250-3500

Price variations depend mainly on length and cross section

Imported 12% KD sawn wood prices per cu.ft ex-warehouse

No price changes have been reported.

Sawnwood, (Ex-warehouse) (KD) Rs per ft3
Beech 1300-1350
Sycamore 1300-1400
Red oak 1500-1650
White Oak 1600-1800
American Walnut 2300-2400
Hemlock clear grade 1300-1400
Hemlock AB grade 1100-1200
Western Red Cedar 1600-1650
Douglas Fir 1200-1300

Price variations depend mainly on length and cross section.

Prices for WBP Marine grade plywood from domestic mills

Plywood, Rs per sq.ft
Ex-warehouse. (MR Quality)  
4 mm 41.00
6 mm 54.50
9 mm 69.10
12 mm 85.60
15 mm 113.20
18 mm 119.30

 

Domestic ex-warehouse prices for locally manufactured MR plywood

Locally Manufactured
Plywood “Commercial
Grade”
Rs per sq.ft
  Rubberwood Hardwood
4mm Rs.20.80 Rs.30.80
6mm Rs.31.60 Rs.39.60
8mm Rs.39.80 Rs.48.00
12mm Rs.47.30 Rs.58.10
15mm Rs.58.10 Rs.71.00
19mm RS.67.30 Rs.79.50
5mm Flexible ply Rs.42.00  
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