AAA welcomes Far East investment in US forestry by associate8

VIEWS: 4 PAGES: 2

More Info
									AAA welcomes Far East investment in US forestry

Alternative Asset Analysis (AAA), which advocates alternative
investments, such as real estate, commodities and sustainable forestry,
has stated that it welcomes reports of increased Far East demand for US
forestry products.

Boston, MA, April 18, 2011 -- Alternative Asset Analysis (AAA), which
advocates alternative investments, such as real estate, commodities and
sustainable forestry, has stated that it welcomes reports of increased
Far East demand for US forestry products.

The statement followed a report from one of the leading US forestry
management firms, F&W Forestry Services, claiming that some welcome
relief was coming in the form of demand from the Far East.

The market for US timber has been depressed for several years as a result
of the housing slump. F&W's president, Marshall Thomas, said that the
generally slow housing market in the US does not show signs of any major
improvements. He explained, "So far in 2011, there has been little change
in the major housing indicators from 2010.

"Housing starts remain flat, although some prognosticators are predicting
some growth this year but probably not enough to put upward pressure on
(timber) stumpage prices," he added.

Despite this news, he added that the domestic market for other wood
products, such as paper and pulp is more steady and that demand for
timber from the Far East could have a significantly positive impact on
the US forestry market going forward. He explained that this drive in
demand "could have a positive impact on timber prices, both in the short
and long term."

"This is news that forestry investors will be very happy to hear,"
explained AAA partner and fund management expert, Anthony Johnson.
"Increased demand is likely to come from Japan, as it sets about the
mammoth task of rebuilding whole regions after March's devastating earth
quake and tsunami."

F&W's Mr Thomas also explained that there is likely to be a rise in
demand for wood products, including paper, in the near term due to the
fact that several large pulp mills were damaged in the disaster.

Even without the increased business resulting from Japan's earthquake,
demand for US lumber in China was increasingly rapidly, as was the demand
for Canadian timber.

AAA advocates investment in forestry as a way to support ethical projects
and sustainable initiatives, particularly in developing markets such as
Brazil. Several organizations, including Greenwood Management, offer
individuals and fund managers the chance to make investments in
sustainable forest plantations in the South American country. "The
plantations are going from strength to strength after a clampdown on
deforestation of native forest by the Brazilian government," explained
Johnson.

Contact:
Anthony Johnson
Alternative Asset Analysis
71 Commercial St
Boston, MA 02109-1320
617-898-6317
info@alternativeassetanalysis.com
http://www.alternativeassetanalysis.com

								
To top