Internet-magazine  Lesopromyshlennik. Timber Industry Worker. BIOENERGY, WOOD, EXHIBITIONS, INNOVATIONS, TECHNOLOGIES

Statistics - The Forest Industry

In January-August 2011, the index of production in wood processing and manufacturing of wood products amounted to 106,2% (January-August 2010), in the manufacture of pulp, mechanical pulp, paper, paperboard and articles thereof - 104.8 percent.

The production index for the activity "logging" was 105.8% compared with January-August 2010.

Source of information - The Ministry of Industry and Trade of the Russian Federation (Minpromtorg of Russia)

Slowing of brisk growth in forest products markets

Europe’s GDP growth is forecast to slow down in the latter part of 2010 and in 2011, as the various government stimulus packages gradually come to an end. This will also reduce the demand growth for Finnish forest industry products, and indeed the rise in sawnwood and pulp export prices has already tailed off.

The forest industry’s production and exports are forecast to grow more slowly in 2011 than in 2010. Sawnwood production will rise to about 9.8 mill. m3 and paper and paperboard production to approximately 12.8 mill. tonnes. The upward trend in the forest industry’s profitability will lose momentum. The industry’s roundwood demand and commercial fellings will both be up a little in 2011, but roundwood supply will fall as a result of the discontinuation at the end of 2010 of the tax relief on income from roundwood sales. Stumpage prices of softwood sawlogs and pine and birch pulpwood are forecast to rise in 2011, though more moderately than in 2010. Russia’s policy of export duties on roundwood is nevertheless creating uncertainty in the market. If Russia’s export duty increases come into effect at the start of 2011, there will be a decrease in Finnish imports of Russian roundwood compared with 2010. The use of forest chips is expected to grow in 2011 to about 7 mill. m3 when new subsidies and energy taxes are introduced.

Although the world economy has already passed the worst of the recession, it is entering a period of slower growth, overshadowed by uncertainties over the future course of the United States economy and the debt-ridden economies of the euro area. Rapid and unforeseeable changes in exchange rates are also a source of uncertainty. There are real risks that the situation n will differ in one direction or another from the forecasts given.

Source of information - Dr. Riitta Hanninen , Metla

Publication: Finnish Forest Sector Economic Outlook 2010–2011

http://www.metla.fi/tiedotteet/2010/2010-11-29-economic-outlook.htm

The role of wood-based biomass in the EU 27 and Finland to grow

The European Union has resolved to reduce the effects of climate change and to establish a common energy policy. As part of this policy, the European heads of state or government agreed on certain binding targets for 2020: to reduce greenhouse gas emission levels to 20 per cent below 1990 levels, to reduce energy consump­tion by 20 per cent, and to increase the share of renewable energy in the EU’s final energy consumption by 20 per cent.

Increasing the proportion of renewable energy depends on finding ways to reduce total energy consumption and to increase the production and use of sustainably produced renewable energy in electricity, heating and cooling, and transport by 2020.

The EU 27 countries have set ambitious targets for increasing the share of renewable energy in their total energy use by 2020 – e.g., to 49 per cent in Sweden and to 38 per cent in Finland. Most of the EU 27 have already taken steps to increase their use of wood-based energy, hydropower, and wind energy in relation to their total energy consumption, over the past decade. In 2008, renewable energy resources in the EU 27 accounted for about 10 per cent of total energy consumption, of which wood-based fuels accounted for 50 per cent.

Nevertheless, the share of wood-based fuels in total energy consumption varies greatly across the Member States – in 2005, ranging from 35 per cent down to one per cent. The figure depends in part on the availability of wood resources in each country. Among decision-makers, this raises the question of how much wood-based biomass will be available in EU 27 forests in the future: enough to increase the share of wood-based fuels in total energy consumption?

The latest European study, EUwood, estimated the total mobilisable woody biomass potential (for wood materials and for energy) from forests in 2010 to be 620 million cubic metres of stemwood plus an additional 120 million cubic metres of branches, stumps, and small trees from early thinnings.

‘The estimated stemwood volume accounts for less than three per cent of the total growing stock in the EU 27. Because of environmental, technical, and social constraints, the estimated proportion for crown and stump biomass is still considerably lower than that for stemwood.’ says Dr Perttu Anttila, a senior researcher at Metla and a participant in the EUwood study. ‘By 2020, the mobilisable wood biomass potential from forests in the EU 27 will be 630–900 million cubic metres per year, depending on how favourable the attitude toward wood mobilisation is at that time,’ he says.

Further information: Finnish Forest Research Institute

http://www.metla.fi/uutiskirje/bulletin/2011-01/news-2.html

The supply of woody biomass from the forests in the EU can be significantly increased

The supply of woody biomass from the forests in the European Union can be increased significantly beyond the current level of resource use. However, this requires fast and intensive political decisions and a comprehensive strategy at the EU level.

The theoretical biomass potential from the European forests in 2010 is nearly 1.3 billion m3 including bark. Approximately half of the potential is made up of stemwood and the rest consists of logging residues, stumps and woody biomass from early thinnings in young forests. The potential is, however, reduced to about 750 million m3 due to various environmental, technical and social constraints. The constraints affect especially residues, stumps and biomass from early thinnings.

The results were part of a larger research project called EUwood. This project aimed to contrast the demand for wood for energy and for products with the potential supply of wood from forests and other sources (e.g. industrial residues and recycled wood) for the 27 EU member states.

Source of information - Finnish Forest Research Institute (Metla)

http://www.metla.fi/tiedotteet/2011/2011-01-13-EU-wood-en.htm