According to the quarterly Pöyry Index, in Quarter 2 this year the price of pallet timber from the UK/Ireland and the Baltics increased by the highest percentage since the Index began in 2001.
The June 2010 Purchasing Managers’ Index published by CIPS also highlighted sustained price rises in significant areas, including pallet timber, which rose in price for the seventh consecutive month; and the price of nails has also risen for three months in a row. Pallet prices increased for the fourth consecutive month.
TIMCON Executive Secretary Stuart Hex commented: “These latest independently verified results confirm that the price of timber pallets and packaging are being forced upwards by sustained increases in the cost of raw materials, including timber and steel. These rises, combined with strong demand from UK sawmillls, pulp and biomass, make this an extremely challenging time for our industry.
“TIMCON has been keeping the market up to date with the situation, while FEFPEB has been doing the same on a pan-European basis. We are working closely with our members to ensure we are able to maintain continuity of supply to our customers. Timber remains the most economical and environmentally friendly material for pallets and packaging, and continues to service more than 90 per cent of the market.”
For more on TIMCON, please visit: www.timcon.org