In 2013, consumption of OSB in Russia increased by 35%

Mar 26, 2014. /Lesprom Network/. In 2013, consumption of oriented strand boards (OSB) in Russia increased by 35% to 814 thousand cubic metres, according to study report ‘The forest based industries in Russia: results of 2013 year’, prepared by The Lesprom Network Research Department.

In mid-2013, Russia launched a full-scale production of OSB-boards in Karelia, also 26.7% increase in board imports contributed to the consumption growth. The volume of imports OSB boards in Russia is growing every year since 2006.

The report showed that in 2013 the share of Russian forest based industries in the GDP decreased by 0.03 percentage points to 1.16%. The growth rate of the woodworking industry fell to 1.4%, pulp and paper production decreased by 5.2%, the raw timber production has decreased by 3.4%.

In 2013 there was a sharp decline in investment in fixed assets of forestry enterprises - 40.7%, forestry has made the main contribution in this recession, which investment fell by more than 4 times. However, the decline in investment in the woodworking was slight - 1.6%. In this segment, forest based industries companies continue the modernization and construction of new facilities.

As noted in a report, last year in Russia intensified systemic problems of Russian forest based industries enterprises: the arbitral tribunal considered a claim for bankruptcy Kondopozhsky PPM (Republic of Karelia), Solombalskiy CBK (Arkhangelsk region) ceased production in April.

Two problems have squeezed Russian pulp and paper industry with two sides: the global fall in demand for paper and outdated production capacity that do not allow to produce competitive products. In 2013, the Baikal pulp and paper mill closed - currently laid off more than 850 people, another 350 will be laid off in June.

Foreign markets were favorable for Russian forest based industries, which is traditionally export-oriented. In North America demand growth for lumber in 2013 has been associated with a sharp increase in wooden housing market, which began in 2012. In the crisis period in 2009, more than 140 sawmills were closed, there was an acute shortage of wood, which stimulated demand for lumber and wood raw material around the world.

Study report ‘The forest based industries in Russia: results of 2013 year’ contains 166 pages, it issues annually by The Lesprom Network Research Department since 2005 The report provides market analysis of raw wood, lumber, boards, pellet, pulp, paper and paperboard in Russia, also trends in the major export markets of the Russian forest products.