Reasons to the Contemporary Crisis Of Timber-Processing Industry
Primary conversion of timber is currently facing a very difficult situation not only in the Czech Republic but globally. Reasons may be sought in excessive supplies of raw timber on global markets; in the Czech Republic due to wind disasters - hurricanes Kyrill (2007) and Emma (2008), in Canada due to bark beetle plague affecting large areas of the country. Demand for timber currently shows a decreasing trend also due to a mortgage crisis in the United States, which develops into a financial and economic crisis. Consequences of the situation are felt in Europe, too. Many lumber exporters are on the verge of bankruptcy due to the decreasing demand for sawn timber and falling prices. With respect to the cohesion of lumber market with the housing market and with the general economic situation, a continuing drop of sawn timber prices can be expected in the United States. This will finally reflect also into the situation in the Czech Republic where a further decrease of prices can be expected in spruce wood and lumber. The hitherto studies indicate that tree species resisting the negative development in the field of timber and lumber prices are e.g. larch, beech and oak. This paper explains some reasons to the contemporary crisis in primary timber conversion. We can also see a positive effect of decreasing prices for sawn timber to encourage its higher use in the Czech Republic. The number of wood homes built in 2005 was 180 and in 2007, it was already 1500 wood homes with the positive development not being attributable only to the decreasing price of timber and lumber but also to promotion of wood structures(original abstract)
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