Energywood purchases in Finland experienced a significant surge of nearly half during the first half of this year, surpassing the five-year average, according to data released by Natural Resources Institute Finland (Luke). The increase is primarily attributed to a substantial doubling in the trade of logging residues, while the volume of pruned stems saw a modest decline of 10%.
The upward trajectory in prices persisted throughout the first and second quarters, highlighting the robustness of the market. In standing sales, the average price for logging residues spiked by one and a half times compared to the entire previous year. Moreover, pruned stems commanded double the price observed during the same period last year. Although delivery prices also witnessed an uptick, the magnitude of the increase was comparatively moderate.
Logging residues accounted for nearly two-thirds of the energywood trade during Q2. The average price paid for logging residues in standing sales stood at Euro 8.1 per m3, marking a 36% real-term increase from the preceding quarter and a substantial 55% surge from the prior year. This substantial price surge underscores the economic value of this resource. Pruned stems constituted a quarter of the energywood trade, with an average standing sales price of Euro 17.4 per m3. This marked a 13% uptick from the start of the year and a remarkable 97% surge compared to the yearly average in the prior period, indicating a significant market shift.
The trade volume of energywood witnessed an impressive 57% year-on-year increase, totaling 1.6 million m3 during Q2. This surge in trade volume emphasizes the growing demand for energywood resources. Regional price variations remained consistent, in line with historical patterns, reflecting a stable market trend.