Transformation of the export market of Russian lumber
Over the past year and a half, the business has been actively reorienting sales to alternative markets in Asia. Rossiyskaya Gazeta published a review article on the transformation of the export market of Russian lumber with comments from the president of the Russian Forest Association, Olga Kalyuzhnaya.
The market transformation is taking place under conditions of unprecedented sanctions pressure, which has closed the supply of most types of products to traditional European markets for Russian companies. The export-oriented industry is reorienting sales to alternative markets in Asia and the domestic market.
The domestic market is considered by lumber manufacturers as one of the main directions for sales of products, as it is capable of consuming significant volumes, and the scope of application of lumber is very extensive. Exports of wood-based panels in the first half of 2023 decreased by 25%, exports of plywood decreased by 38% - to 780 thousand m³. The production of fuel pellets in Russia in January–July 2023 amounted to about 1 million tons - thus, there is a reduction in the range from 30 to 50% year on year. Exports of pellets in July 2023 decreased by 30%. At the same time, in the second quarter of 2023, there was a noticeable improvement in the situation with the logistics of timber cargo in the Asian direction.
Olga Kalyuzhnaya, President of the Russian Forest Association: “Coupled with the weakening of the ruble, this had a positive impact on Russian exporters. However, the volatility of the logistics market has a negative impact on the industry as a whole, because it deprives it of predictability and predictability.".
To maintain business, it is necessary not only to maintain transport subsidies, but also to attract large cargo carriers to operate on routes passing through the ports of the North-West and the Far East. Companies need support in concluding intergovernmental agreements, they also need new financial routes and infrastructure financial solutions for international settlements.