The general mood of hardwood traders attending the Interzum 2023 show in Cologne 9 to 12 May was that the overall market, having slowed dramatically in the second half of 2022 has remained very subdued this year. There were many references to economic uncertainty owing to the Ukraine war, extremely high energy costs, rising inflation leading in turn to higher interest rates, and consumers becoming increasingly cautious after two years of high spending immediately after lockdowns. The boom in home improvement that started in the pandemic and helped drive hardwood sales in Europe, and which was encouraged by government stimulus measures, is now well and truly over.
Continue reading “Subdued Mood Amongst Hardwood Traders At Interzum. ITTO European Market Report 15th May 2023”
After several years of disruption during and in the aftermath of the COVID pandemic, this year the Milan Salone del Mobile furniture fair returned to its traditional April slot for the first time since 2019. Although visitor numbers were still down on pre-pandemic figures of around 400,000 in 2018 and 2019, at 307,418 they were 15% more than in 2022.
Continue reading “Milan furniture fair takes sustainability focus to another level. ITTO European Market Report 30th April 2023”
The legal process to introduce the new “EU Deforestation Regulation” (EUDR) is nearing completion. On 6 December 2022, the European Council and the European Parliament agreed on the text of the regulation available at:
This text was subsequently endorsed by Member States’ ambassadors on 21 December 2022. The ENVI Committee approved it on 16 January 2023. The vote in plenary by the European Parliament is scheduled for 17 April 2023. If passed by Parliament without further amendment, as widely expected, it only needs to be formally approved in Council, likely in May or June this year. The law would then be enforced 18 months later for large operators and 24 months later for SMEs.
Continue reading “EU Closing In On New Deforestation Regulation. ITTO European Market Report 15th April 2023”
In 2021, logistical problems on the supply side in tropical countries during the COVID pandemic seemed to accelerate the long term trend away from tropical timber products in the EU27 market. The share of tropical products in the total value of EU27 imports of wood and wood furniture fell from 20% in 2020 to just 17% in 2021. However, last year the situation was transformed as tropical products recorded the largest increase in share for at least the last 15 years, rebounding to 21% of the total value of EU27 imports of wood and wood furniture (Chart 1).
Continue reading “Largest Increase In Tropical Share Of EU27 Wood Market For At Least 15 Years. ITTO European Market Report 30th March 2023”
In 2022, the EU27 imported 1.94 million tonnes of tropical wood and wood furniture products with a total value of USD4.37B, respectively 10% and 18% more than the previous year. Compared to the pre-pandemic level of imports in 2019, imports last year increased 36% in value terms but only 6% in quantity terms.
Continue reading “Rise in prices drives 36% increase in EU27 tropical wood import value in 2022. ITTO European Market Report 15th March 2023”
The UK imported USD731 million of tropical wood furniture products in 2022, 8% less than the previous year. In quantity terms, wood furniture imports were 153,000 tonnes last year, 9% less than in 2021. After the market turmoil in the previous two years during the COVID pandemic, UK tropical wood furniture imports in 2022 returned to a level slightly below the annual average between 2015 and 2019 (USD771 million). In a sign of deteriorating consumption, UK wood furniture import value in the last quarter of 2022 was 16% lower than the previous quarter and 15% down on the same period in 2021. In 2022, UK import value of wood furniture decreased 2% from Vietnam to USD365 million, 7% from Malaysia to USD130 million, 3% from India to USD80 million, 15% from Indonesia to USD69 million, 35% from Singapore to USD54 million. However imports increased 19% from Thailand to USD22 million (Chart 1).
Continue reading “UK imports of tropical wood furniture back to pre-Covid level. ITTO European Market Report 28th February 2023”
The latest data from the UK Office for National Statistics shows that UK GDP increased 4.0% in 2022 after 7.6% growth in 2021, as it recovered from the historic blow from the COVID-19 pandemic. However this “rise” over the last two years must be considered in the light of the UK being amongst countries worst affected by the COVID-19 pandemic which led to a 9.4% fall in GDP in 2020 at a time when there was already uncertainty due to the country’s departure from the EU. The UK economy in December 2022 was still smaller than it was in December 2019. Continue reading “UK 2022 Tropical Imports Flat Overall As Weak Second Half Offsets Strong Start To The Year. ITTO European Market Report 14th February 2023”
In the first ten months of 2022, the EU27 imported 1.68 million tonnes of tropical wood and wood furniture products with a total value of USD3.79B, respectively 15% and 24% more than the same period the previous year. However, imports have been slowing since summer 2022 and the economic outlook in the EU deteriorated sharply in the last quarter of the year. The war in Ukraine is contributing to huge increases in energy prices, while business and consumer confidence has been hit by expectations of higher interest rates to control inflation. Continue reading “EU27 Tropical Wood Imports Slow As Economic Outlook Deteriorates. ITTO Market Report 31st January 2023”
The import value of tropical wood and wood furniture into the UK in the first ten months of last year was USD1.24B, 13% more than the same period last year. Following the strongest start to the year in terms of UK import value since before the 2008 financial crises, imports fell sharply between July and October (Chart 1).
Continue reading “Continuing Slowdown In UK Tropical Wood Product Imports. ITTO Market Report 15th January 2023”
On 6 December, the European Council and the European Parliament agreed on the text of a regulation to minimise the risk of deforestation and forest degradation associated with products that are imported into or exported from the European Union. The agreement is provisional pending formal adoption in both institutions.
Continue reading “EU Council And Parliament Strike Provisional Deal On Deforestation-Free Products Regulation. ITTO European Market Report December 2022”