Nov 01, 2006. /Lesprom Network/. Tropical timber products buck falling trend in exports Exports of solid wood products from Brazil rose 11.6% to $355 million in September, compared with the same month last year, ITTO reported. Exports of pine sawnwood fell 24.6% to $19.8 million (down 28% to 97 700 cubic meters) while those of tropical sawnwood rebounded 18.3% to $54.3 million in spite of the export volume surging only 2.6% to 138 900 cubic meters. In contrast, exports of plywood declined in September. Exports of pine plywood dropped 26% to $34.2 million (down 23% to 134 000 cubic meters) while those of tropical plywood fell less sharply in value (4%) to $20.3 million (down 26% to 41 800 cubic meters) helped by comparatively higher prices. Furniture exports continued the downward trend, sinking 3.7% to $69 million. Plywood exports slip amid slowdown in the USA The decline in international demand for plywood (particularly in the USA) and the unfavourable exchange rate had knocked down Brazilian plywood exports. As a result, the sector was registering declining international sales for the second consecutive year. The Brazilian Association of the Mechanically Processed Wood Industry (ABIMCI) forecast that the sector would close with a 15-20% decrease in external revenues in 2006 from $785.7 million in 2005. The sector had started to feel the consequences of the deceleration of the US housing market, the main user of Brazilian plywood. In the first three quarters of 2006, exports of the reconstituted wood panel sector fell 13.6% to $505.1 million compared with 2005, according to the Secretary of Foreign Trade (SECEX). Tropical plywood prices soar as supplies tighten The reduction of the demand for plywood in the USA has also led to a fall in prices in international markets, particularly those for softwood plywood. In contrast, tropical plywood has benefited from price hikes and reduced volume of Chinese and Indonesian plywood in the international market, pressed by allegations of illegal log use. Prices of tropical plywood were around $400 per cubic meters recently, compared with $310 per cubic meters two months ago. The USA and Europe accounted for a combined 85% of the Brazilian plywood exports. The remaining 15% was shared among Middle East, the Caribbean and Asian markets.