Malaysian exports of timber and wood products forecast to reach 7B Malaysian ringgit this year; H1 exports dipped 0.2% to 3.7B ringgit, but logs shipped to India were up 18% to 1.1 million m3, valued at 585M ringgit

LOS ANGELES , October 16, 2012 () –

Malaysia is expected to export about 7 billion Malaysian ringgit (US$2.29 billion) of timber and wood products this year, according to the forecast from Sarawak Timber Industry Development Corp. (STIDC), reported Bernama via The Star on Oct. 16.

The forecast follows a 0.2% year-over-year dip in first-half exports of Malaysian timber and wood products, to 3.7 billion ringgit from 3.712 billion ringgit last year.

However, orders are improving, according to the STIDC, noting that international demand for timber products will be driven significantly by such major markets as Yemen, Bahrain, Saudi Arabia and the United Arab Emirates, Bernama reported.

In Japan, reconstruction activity in earthquake-damaged areas is accelerating, according to the Japan Lumber Journal. The country’s plywood supply is expected to return to normal within a few months as a result of destocking, and demand should pick up by early 2013, stated the STIDC.

In the first six months, plywood remained the leading contributor to Malaysia’s lumber product exports, accounting for 54% or 2 billion ringgit of total export value, according to the STIDC.

In the same report, logs came in second, with a 24% share at a value of 890 million ringgit; and sawn timber was in third place, with an 11% share and a value of 398 million ringgit, reported Bernama.

In terms of volume, plywood, logs, sawn timber and veneer remained the primary export commodities, accounting for 94% of the total export volume of timber and timber products in first-half 2012.

Logs exported to India during this time increased year-over-year by 18% to 1.1 million cubic meters and was valued at 585 million ringgit. This compares to the 921,617m3 valued at 582 million ringgit shipped to India in first-half 2011, Bernama reported.

The primary source of this article is Bernama, Kuala Lumpur, Malaysia, via The Star, Petaling Jaya, Malaysia, on Oct. 16, 2012.

 

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