News
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Recruitment Opportunities
February 20th 2008;-
We currently have positions available for two trainee managers, one each in England and Scotland.
Applicants should hold a degree or equivalent qualification in forestry. A current UK driving license is required. Most importantly you must be self motivated with the drive to succeed.
Benefits will include a competitive salary, company vehicle and pension.
Please apply with an introductory letter along with your CV to;
Euroforest Limited
East Scales Road
Rigg
Dumfriesshire
DG16 5JL
Market Report
General
The market throughout the UK has been very volatile during the whole of 2007. With rapidly rising demand and prices during the first eight months of the year, followed by a significant slow down in the autumn and early winter months. This pattern was true for all sectors of the home grown timber trade, including all sawn products, panel products and roundwood fencing.
We have harvested record volumes with high demand from all market sectors. This has seen a tail off towards the end of the year as the wider problems faced by the UK economy begin to effect crucial markets like housing and packaging.
Sawlogs
The current sawlog market has slowed severely since the highs of the summer, with most sawmills now fully stocked and looking to reduce prices. However sawmill's concerns of future supplies has stopped them cutting existing log prices too harshly and the strength of the seasonal uplift in the spring will hopefully bring renewed vigour to the trade.
The sawlog market is very much dependent on improvement in the housing market and on this front the interest rate reduction from the Bank of England in early December is encouraging news. We look to the spring with anticipation but also with a little concern. Do we face a significant adjustment in UK house prices?
Pallet Logs
Palletwood mills have also had a good year, with prices rising by around 10%, with bigger increases in areas subject to tight supply quantities. Once again demand has slackened since the summer holidays, but prices have yet to be effected.
Round Fencing
As with sawlogs the demand for small round wood fencing has been very good throughout 2007. However, unlike the sawlog market the demand has stayed buoyant throughout the year. With the homegrown fencing trade increasing its market share, the demand looks set to continue well into next year, with stakes posts and rails being in very strong demand. We are particularly keen to purchase significant volumes of fencing-quality material.
Small Roundwood
Panelboard production has seen mixed fortunes through the year. In the south demand was very strong until the end of the year when slowing product demand and full woodyards have lead to quotas and a small reduction in prices. However, in the north the market has been particularly active and this looks like continuing into the New Year, although we would sound a note of caution with news from Europe suggesting that this main not last.
Currently Export is enjoying strong demand, with regular weekly sailings of spruce pulpwood from Ayr and mixed spruce/pine cargoes from Montrose. Prospects look strong for 2008.
Biomass
With several large scale Bio mass projects now taking material throughout the UK, this market is beginning to take significant volumes.
We are now delivering significant quantities of forest chip to AW Jenkinson at Lockerbie for the E-On plant. This is a combination of brash and stem chips. Our stump removal trials gather momentum with successful burning tests already completed at the Lockerbie plant. Growers who wish to discuss the possibility of de-stumping should contact Mark Hartnett at our Gretna office.
Forecast
Looking forward to 2008 the picture is mixed, movement in the housing market is extremely important if we are to maintain the momentum of 2007. Again we look forward to the spring!
Ashley Williams, David Symons & Graeme Ralph
December 2007
