Is Switzerland running out of wood?
THE RAW MATERIAL WOOD IS BECOMING SCARCER WORLDWIDE
BUT WHAT ARE THE REASONS FOR THIS?
“Precarious situation: Switzerland is running out of wood. The Swiss wood processing industry is alarmed. Shortages challenge Swiss carpenters”.
These and similar headlines could be heard and read again and again in the press in recent weeks and months. The timber stocks in Switzerland are still full, but the raw material wood is becoming scarcer worldwide. But what are the causes of this worldwide wood shortage?
CORONA, POLITICS, NATURE, AND INCREASED, GLOBAL DEMAND.
THE REASONS ARE MANY.
Due to the well-known Corona situation, production capacities for wood and wood-based materials were deliberately reduced last year and raw material stocks were run down. The supply was reduced accordingly, but the worldwide demand increased rapidly in the last months, which clearly explains the current supply bottlenecks. This circumstance is consequently boosting prices. In the last three months over 60 per cent, according to the Swiss Wood-Based Panel Association. Another reason for the price increase and the shortage is the high demand for European lumber in the USA. THIS IS NOT LEAST DUE TO THE IMMENSE LOSSES CAUSED BY THE MOUNTAIN PINE BEETLE IN CANADA’S FORESTRY INDUSTRY AS WELL AS TRADE DISPUTES BETWEEN CANADA AND THE USA. Thanks to generous Corona aid packages from the US government and low interest rates for construction loans, European producers can sell products to the USA at good prices, which is why wood and wood-based materials from European production are being shipped to the US in ever greater quantities.
WHICH TYPES OF WOOD OR WOOD PRODUCTS ARE MOST AFFECTED?
The demand for wood as a building material is high not only in the USA, but also in Europe, including Switzerland and in Asia. Therefore, shortages are becoming increasingly evident, especially for products used in the construction field. In particular OSB boards, which are used worldwide in the construction of houses, as well as 3-layer and MDF boards, chipboard, beams, etc. are currently being traded at high prices.
Picture note: OSB boards are used in house construction (timber frame houses), as they are often built in the USA and Canada.
VONRICKENBACH.SWISS
IS VONRICKENBACH.SWISS AFFECTED BY THIS SHORTAGE?
We are also affected by this situation. Although the supply is secured, we are confronted with price increases, especially for American woods. Some of these price increases are also caused by higher freight costs from the USA to Europe. We are also experiencing longer delivery times for individual products made of wood-based materials, but these only account for a mere 5% of our production. vonrickenbach.swiss processes mainly hardwoods, for which demand has not risen to the same extent in recent months as it has for softwoods.
WHERE IS THE TIMBER USED BY VONRICKENBACH.SWISS IMPORTED FROM?
The wood we use originates from Europe and North America. For example, American walnut, black willow and black cherry are imported from North America. Beech wood or Swiss stone pine originate 100% from Switzerland, ash tree some 80%. The other timbers are mainly purchased from various countries in Central Europe. About half of the volume is obtained in Switzerland, the other half in Germany and Austria.
vonrickenbach.swiss possesses the Swiss Timber Certificate (HSH) for beech, ash, elm, and pine. This indicates that 80% of these woods must be of Swiss origin.
WHAT DOES VONRICKENBACH.SWISS PARTICULARLY LOOK FOR WHEN SELECTING ITS SUPPLIERS?
When choosing our suppliers, we focus on reliability, availability of larger quantities, quality, individuality and, of course, price. They also must be companies that comply with all current labour laws and operate sustainably according to today’s ecological standards. We do not buy the “cheapest” products but try to achieve an optimal price/performance ratio. Reliability and quality are VALUES that are top priorities for our company in general and in the production of customer orders in principle. We have been cultivating BUSINESS RELATIONSHIPS with some suppliers of solid wood for more than twenty years, and these relationships are strongly based on mutual trust and respect.
SOLID WOOD DATA AND FACTS
THE SOLID WOOD VOLUMES WE PROCESSED IN 2020
vonrickenbach.swiss ag processes 900 – 1000m3 of various SOLID WOODS every year. Around half of this volume is reused as wood waste in our in-house DISTRICT HEATING NETWORK. The reasons for these large quantities of wood residues lies in the nature of wood: tree edges, splinters, cracks, knots, colourations and other wood imperfections, make it difficult or impossible to process the wood into high quality and flawless products, as expected by customers.
Total |
Ca. 910m3 |
|---|
Oak |
Ca. 360 m3 |
|---|
Beech |
Ca. 155 m3 |
|---|
American walnut |
Ca. 130 m3 |
|---|
Ash |
Ca. 66 m3 |
|---|
Cherry tree |
Ca. 32 m3 |
|---|
European walnut |
Ca. 30 m3 |
|---|
Pine |
Ca. 23 m3 |
|---|
Pine |
Ca. 22 m3 |
|---|
Maple |
Ca. 18 m3 |
|---|
Spruce / Fir |
Ca. 30 m3 |
|---|
Various woods |
Ca. 44m3 |
|---|
HIGH QUALITY STANDARDS
OUR PASSION FOR SOLID WOOD
As already mentioned, our company is affected by the current worldwide wood shortage, especially in terms of price levels. It also proves to us that forward planning, in various areas, is more important than ever. Despite the current difficult situation, top priority for me is and remains not to lose sight of the quality and origin of the raw material wood, so that we can advise and supply our customers with the usual quality standards and passion for solid wood.
Thomas von Rickenbach
Director / Owner vonrickenbach.swiss ag
VONRICKENBACH.SWISS AG IN THE PRESS:
