Forisk Update: May 2011
Wood Demand: Despite low January receipts, pine sawtimber demand increased overall by 2.7% South-wide relative to Q4 2010. Sawmill demand increased 1.3% while plywood plants increased receipts 9.2%. Year-over-year from Q1 2010, pine sawtimber volumes increased 9.8%, recording the highest volumes since Q4 2008. Pine pulpwood and direct chip consumption fell 2.3% for the quarter, though demand increased at OSB plants. South-wide effective sawmill utilization was 71%, while effective capacity utilization at pulp/paper mills fell to 81% from 83% in Q4 2010.
- To review the updated and revised Wood Demand Report, click here.
- For information on Forisk’s US-wide mill database and shapefiles, click here.
Bioenergy: US-wide, current wood consumption associated with bioenergy projects exceeds 40 million green tons per year. Of the 451 operating and announced wood-using projects (pellet, cellulosic ethanol and electricity/cogeneration), 189 are operational, 35 are under construction and 227 have been proposed. Electricity projects are projected to consume 64% of the wood demand from bioenergy projects by 2021.
- For information on Wood Bioenergy US, monthly tracking and screening of all wood bioenergy projects in the United States, click here.
- For information on a project-by-project and technology-by-technology analysis of the cellulosic ethanol/transport fuels from wood sector in the US, click here.
Timber REITs: Public timber REITs returned 22.05% as of April 26, 2011 as measured by the Forisk Timber REIT (FTR) Index, compared with 7.12% for the S&P 500. Including Weyerhaeuser, timber REITs comprise 5.82% of total public REIT capitalization.
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