Amidst chaos and rising pressure, there is good news coming from Pine timber availability side. The Pine log prices have reported to be dropped to 25% in India. As per report the pine logs prices were hovering around 165 dollar per cubic meters in beginning of June month, but in July month, importers started quoting at 120 dollar per cubic meters. Importers say that they have received good quantity of pine logs from Ukraine and some other countries at economical price, hence they pass the prices to Indian saw millers. Seeing the trend other countries importers along with New Zealand have quoted lower prices, and gradually dropped to 25% in end of July month. As per Kandla based Saw millers, the prices will further come down in coming month and it will reach to 100 – 110 levels. In June month, Kandla port received 1.37 lakhs cubic meters Pine timber, which quantity grew in July month to 1.87 lakhs cubic meters.
The softening price of Pine is a relief for pinewood users in timber, plywood, real estate sector. In fact Pine is the most acknowledged and widely accepted timber specie after Teak, Meranti and Gurjan that has significant dependency of wood based industries in India. India consumes huge quantity of pine timber applied in construction and real estate sector, packaging industry apart from being significantly used in furniture and plywood sector.
As per Ply Reporter’s finding, India consumes around or above two lakhs cubic meters Pine timber every month. In total of logs or sawn timber imports, pine timber contributes to half of the market share. The dependency and acceptance make India, an important destination for world Pine traders and suppliers. New Zealand plays significant role in India’s Pine timber market, because they hold the largest pie of the total market share of imported pine in India.
The downfall in prices of pine logs is good news for Kandla based ply – boards and doors producers, because they will be able to offer finished products like block – boards and flush doors at affordable pricing compare to Northern India. The packaging and pallet industry too have expressed hope on the basis of softening pricing. The Ply Reporter believe, the price gap between Poplar blockboards and Pine borads will have hardly 3 – 5% cost difference in next six months, which could be a news of relief for many plyboard industries located near ports.