German wood producer prices see slight declines in July

Data from the Federal Statistical Office indicates that producer prices for the majority of wood products saw slight decreases in July compared to the previous month.

Despite this downward trend in producer prices, the roundwood market remains characterized by a supply-demand imbalance. While demand is currently weak due to a sluggish construction sector, spruce roundwood remains scarce, helping to keep prices relatively stable.

Sawmills are facing a complex situation: while raw material stocks are low due to cautious purchasing policies and limited availability, inventories of sawn timber are accumulating. Some companies have reported sawn timber stock values reaching up to €100 million. To alleviate market pressure, many sawmills are planning extended summer breaks. The hardwood sector, particularly beech, is also facing significant structural challenges.