Wood Products

INDUSTRY OVERVIEW

Growing demand for wood has exerted greater pressure on the primary old-growth forests in the World. Imports play a crucial role in meeting the demand for timber and wood products in regions.

The total value of global wood product export from the UK has increased by 26% as compared to previous years, generating revenue of £1.9 Billion in the year 2017. The European Union (EU) accounts for approximately 5% of the world’s forests.

INDUSTRY HIGHLIGHTS- WOOD INDUSTRY

• According to Technavio’s report the global wooden furniture market is expected to grow at a CAGR of almost 5% during the period 2018-2022.
• The growth of the real estate industry contributes to an increase in the number of office spaces, commercial complexes, and residential buildings. This leads to a high global demand for wooden furniture and other wood products. The global increase in the number of single-person and two-person households has also contributed to the increased number of home constructions. There exists a specifically high demand for portable and compact furniture.
• The contribution of the UK wood industry to the UK economy is huge. It is valued at over £9 billion per annum and is the fifth most important industry sector in the UK. Consumption of timber and panels is currently running at around 17million m3 per annum.

Global Wooden Furniture Market 2018-2022

• According to the Forestry Commission, the production of wood products in the UK in
  2017 included:
  3.8 million cubic metres of sawnwood (+3%);
  3.2 million cubic metres of wood-based panels (+5%);
  3.9 million tonnes of paper and paperboard (+5%);
  0.3 million tonnes of wood pellets and briquettes (-15%).
• According to BWF Report the woodworking sector remains a fundamental part of the UK manufacturing sector. Today, the sector represents an estimated £3.8 billion spread across 5,070 firms.
• European Union exported £40 billion worth of timber in 2017.

Timber Exported by Members in Year 2017