TTF Press Releases

TTF Market Statement on the timber supply situation

As you know, we have a very tight supply situation in the UK for timber. To help shed greater light on the state of the current market, for this weeks business news we have produced a special focus on this subject.

We understand the tensions you face with customers and other stakeholders in the market, and we hope by sharing this information we may help you in some of your conversations and business activity.

You can download the statement below as a snapshot of the market, in what is an evolving situation – and one not limited to timber, with other construction materials in a similar position.

As you will see in this report, we have taken a step back to give a slightly longer-term perspective and highlight the differences in volume and price between January 2018, when the market was considered ‘normal’, as compared to early 2021.

The statement notes more softwood was imported into the UK in 2020 (6,608) than in either 2019 (6,394) or 2018 (6,594), (the figures for these years are shown in 000s of cubic metres).

In our view the market position should be phrased as a DEMAND rather than as a supply situation. We hope this helps explain matters to the market. Please do share as widely as possible

Have a good weekend.

Download TTF’s Market Statement

News round up for your week

CPA weekly notes: The Markit/CIPS PMI for manufacturing rose to 60.9 in April, from 58.9 in March, marking the highest reading since July 1994 as output and new orders recorded stronger growth. The growth in output was driven by the easing of lockdown restrictions, improved demand and rising backlogs of work. New orders rose for the third consecutive month largely due to stronger domestic market conditions although companies also reported improved new work intakes from several trading partners, including mainland Europe, the US, China and South-East Asia. Despite this, ongoing supply chain delays and input shortages led to another near-record lengthening of vendor lead times, whilst output prices also rose at a record pace as manufacturers passed on substantial cost increases to their clients.

CPA UK Economic and Construction Update: The IHS Markit/CIPS UK Construction PMI in April was 61.6. April’s index represents growth compared with March as 50=no monthly change and it was broadly similar to March’s figure of 61.7, a 6.5 year peak. Construction activity has risen for 10 of the last 11 months according to the PMI. House building rose in April (61.2) and although this was slower growth than March’s level of 64.0, demand remained strong for houses both on new starts and existing sites. The CPA update is locked for TTF members only.

Coniferous plywood quota reaches critical level: The current balance has reached a critical level, standing at 4,952.417m3, or 2.96% remaining. For the latest updates please see our page.

TTF webinar: UK timber regulation Q&A session: On Friday 28 May, we are hosting a webinar on UKTR with the Competent Authority for UK Timber Regulations on their expectations and requirements for due diligence under UKTR and FLEGT; and share and discuss your questions and exchange your own experiences so far on exporting to the UK.

Barratt ups completion expectations: Housebuilder Barratt expects to increase wholly-owned completions to be over 16,000 this year, up from the 15,250 to 15,750 homes expected in February.

Tropical Timber Market Report: The latest ITTO Tropical Timber Market (TTM) Report has been published. The top story is several tropical timber trade and industry associations writing to the Paris Olympic Committee for prohibiting the use of tropical timber in the Olympics.

HBF Policy Conference | 27 May | 10.30-13.00: Housing Secretary Robert Jenrick will lead a strong lineup of speakers at this year’s HBF Policy Conference which will be held online on Thursday 27 May.

Timber and the Circular Economy Webinar for Specifiers: PEFC is hosting a CPD webinar on Thursday 27 May at 1pm for specifiers to learn more about how responsibly sourced timber fits within the Circular Economy agenda, through their fully-accredited Timber and the Circular Economy CPD course. The webinar will be presented by Charlie Law of Sustainable Construction Solutions, who has over 30 years of experience in the construction sector with extensive industry knowledge having worked for BAM, Kier and Lendlease.

For more information, visit ttf.co.uk

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