Sweden: Rising roundwood prices in 2019

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Delivery prices on roundwood in Sweden have increased two years in a row. The increase of 2019 was however less than the year before. The first half of 2019 had increasing prices which later turned downward during the second half of the year, according to the Swedish Forest Agency (Skogsstyrelsen).

Swedish pulpwood price increased by 7.6 percent during 2019 compared with 2018, while the price of sawlog increased by 1.0 percent. This can be compared to the previous year when pulpwood and sawlog prices increased by 12.8 and 7.2 percent, the agency says. 

The difference can be explained by the quarterly statistics. Both pulpwood and sawlog prices increased in Sweden every quarter during 2018 but the trend later turned downward in the middle of 2019. The initial increase of the year was however larger than the later decrease, causing an overall increase for the full year.

Larger increase in the North of Sweden

Regionally, pulpwood prices increased in the Northern region by 13.4 percent during 2019, while it increased by 8.0 in the Central region and 7.0 percent in the Southern region.

The price development for sawlog was lower or almost unchanged. In the Southern region, prices rose by 2.1 percent during 2019 compared to 2018. In the Northern region the price increased by 0.8 percent and in the Central region by 0.2 percent.

Continued decrease during the fourth quarter

Pulpwood prices decreased by 3.3 percent during the fourth quarter in comparison with the third quarter. The decrease was largest in the Southern region of Sweden, 5.5 percent, while the Central and Northern region decreased by 4.1 and 1.7 percent.

The price of sawlog was relatively unchanged during the fourth quarter of 2019. It increased by 1.0 percent in the Central region and even smaller changes in the Northern region, increase by 0.3 percent, and the Southern region which decreased by 0.2 percent. As for the whole country, the sawlog price was almost unchanged, a decrease by 0.1 percent during the fourth quarter 2019, in comparison with the third quarter.

Delivery purchase is a method which means that the forest owner himself, with or without the help of employees or contractors, delivers the work on the roadside. Delivery prices account for some 8 percent of the total sold quantity.

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