Conference: Timber and Processed Wood Market - 2022

Date: September 15–16, 2022

Vital timber and wood industry problems under discussion at Moscow conference

The VII International conference «The market of timber raw materials and woodworking products», organized by MAXConference, took place on September 15-16, in Moscow.

The event traditionally gathers industry representatives from numerous regions of Russia and from other countries, where the products of the domestic timber industry are actively used. This year more than 170 participants took part in the conference: from Russia’s regions as well as Belarus and Kazakhstan. Representatives of wood companies and timber -related services from Egypt, South Korea, India and Iran made online presentations.

The current political and economic situation has made adjustments to the agenda of the event. Acute issues related to the search for new sales markets, export opportunities and conditions for the transportation of raw materials and timber to traditional buyers amid sanctions were in the focus of the audience. The CEO of Lesprom Network presented an overview of the state of the world markets of wood products in 2022 and the trends of the timber industry of Russia. Segezha Group's Analytics Director continued the analysis of the situation with the assessing of the range of opportunities for exporters of Russian softwood lumber at the present time. Lesprom Analytics also presented its view on the export prospects for Russian manufacturers.

Since the beginning of this year, the vector of Russian exports has shifted to the east and south: the specifics of working in the markets of Egypt, North Africa, India, Iran, and the Republic of Kazakhstan were presented in the reports of the heads of the Russia’s representative offices in India and in the Islamic Republic of Iran. Representatives of the Egyptian Elshal Timber and the Association of Furniture and Woodworking Industry Enterprises of Kazakhstan made an assessment of the opportunities of their markets.

The key session of the conference was devoted to the domestic timber market of Russia, the current situation in the industry, the long-term consequences of the decline in logging volumes in the domestic market, as well as the consumption of lumber — wooden house construction, DIY segment. The session was attended by representatives of WhatWood companies, Vologda Timber Producers Group, Wooden House Building Association, Petrovich STD. Detailed information on the volumes, dynamics and structure of timber transactions carried out on the commodity exchange was provided by the top manager of Spimex. Special attention was paid to the implementation of investment projects in the timber market in a crisis. This was revealed by a representative of Zetta Consulting.

During one of the sessions, emphasis was placed on the use of logging products, namely, wood fuel pellets, opportunities for exporters, features of access to the South Korean biofuel market, current product prices, quality requirements, logistics. The Union of Participants of the Pellet Market, the Trade Representation of the Russian Federation in South Korea, Rustrans DV, the Export Agency Weconn, SVEZA, the Association «GRUZAVTOTRANS» presented their vision on the problems.

The second day of the conference was devoted to the adaptation of the requirements of forest legislation, measures to support timber companies. Reports and discussions were made by the head of the Federal Forestry Agency, Roslesinforg representatives, the Industrial Development Fund, the Far East and Arctic Development Corporation, the Arkhangelsk Pulp and Paper Mill, SVEZA, Segezha Group companies, Strategy Partners.

The final session was dedicated to the issues of export logistics of timber products, solutions of operators. The dynamics of transportation of timber products, the possibilities of the infrastructure of seaports for the transshipment of forest goods, new logistics and technological solutions for the export of timber industry goods were highlighted in the presentations of Segezha Group, IPEM, Morstroytechnology, TransContainer, FESCO, Module, Eurosib SPb-transport systems.

We hope to continue a constructive dialogue with market participants next year.