Estonia Timber Price Increase is Tip of the Iceberg, says FRA

							Estonia Timber Price Increase is Tip of the Iceberg, says FRA

Forestry Research Associates (FRA) has said that timber prices in Estonia
are soaring thanks to demand from a new power plant in the country.

Seattle, WA, July 04, 2011 -- Forestry Research Associates (FRA) has said
that timber prices in Estonia are soaring thanks to demand from a new
power plant in the country.

The research and advisory consultancy has welcomed the news that the
country’s timber market is benefiting from the new plant, while forestry
managers will also be gaining from the sudden rush in demand for wood
fuel.

Ulvar Kaubi, the Marketing Director for the State Forest Management
Centre said that the price of firewood in Estonia has risen by 20 per
cent in the last year alone.

FRA’s partner, Peter Collins, said, “This Estonian rise in prices is
indicative of the general increase in demand for timber products that is
expected to come out of Europe in the coming years. In fact, demand is
expected to outstrip supply very soon, causing timber prices to soar
throughout the continent.”

Mr Kaubi said that the demand for wood fuel in Estonia is expected to
double in the coming years, according to local newspaper Postimees. He
told the paper: “When the new Narva power plant is completed, the
competition for paperwood will increase, as the new plant will crave a
major part of Estonia’s paperwood.”

FRA also welcomed predictions from analysts at Frost & Sullivan who said
that the number of global construction projects are on the up and that
demand for engineered timber is also increasing as a result.

“All this is great news for those investing in forestry at the moment,”
added FRA’s Peter Collins. He continued, “Sustainable forestry projects
are springing up all over the world so it’s not just Europe that is
benefiting from the rise in timber prices. Many firms are offering
investment opportunities in Latin American plantations of non-native
timber. These timbers are then used in the construction, the wood fuel
and of course the steel industry both domestically and overseas.”

FRA encourages investment in sustainable forestry projects in emerging
economies like Brazil to ensure that they too can benefit from the money
being generated by the expanding demand for timber in all its forms.

Contact :
Peter Collins
Forestry Research Associates
620 Vineyard Lane, Bainbridge Island,
WA 98110 UNITED STATES
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com
Timber, Price, Forestry, Research, power plant, wood fuel