LOWER DEMAND AND FIERCE COMPETITION
ON EUROPEAN FOREST PRODUCT MARKETS
2 October 1996
Autumn 1996: lower demand, fierce competition and continuing low prices affect the
European forest product markets, stress the United Nations Economic Commission for
Europe Timber Committee (UN/ECE) and the FAO European Forestry Commission in
their official review and forecasts for 1996 and 1997. In North America, however,
market conditions are satisfactory due to the continuing strength of the housing
markets. The countries in transition of eastern Europe are now recovering from the
deep recession of the early 1990s, but differences between national situations are
becoming more marked. Production in Russia continues to fall, but more slowly than
before.
For 1997, a weak recovery is expected for Europe and a continuation of present
market conditions for North America and other parts of the region.
The official text adopted at the joint session of the UN/ECE Timber Committee and the
FAO European Forest Commission is attached and includes quantitative estimates and
forecasts at the regional level. The full version of the session's review, with country
forecasts, will be issued very shortly as No. 6 of the current volume of the Timber
Bulletin. The discussion was based on the secretariat's Annual Forest Products
Market Review (covering 1995 and early 1996), issued in August 1996 (Timber
Bulletin volume XLIX (1996), No. 3) and Forest Products Statistics 1991-1995, (No.
2 of same volume, also issued in August).