The Timber Packaging and Pallet Confederation (TIMCON) has highlighted the growing evidence of higher timber prices and early signs of some supply shortages affecting the pallet and packaging industry mainly as the result of the significant upturn in UK construction market activity.
Stuart Hex, General Secretary of TIMCON, states that “there is now clear evidence of significant and sustained UK construction market growth which has accelerated to the fastest pace in 3 years in July, led by a surge in residential building adding to signs of a pick-up in the economy. The Markit/CIPS index rose to 57 in July up from 51 in the previous month and was the third consecutive month that the reading has been above the 50 expansion marker.
“This latest information on the construction sector comes after the Markit/CIPS UK manufacturing PMI report for August which identified that purchasers are paying more for packaging and timber. Specifically, pallet timber and wooden pallets were identified as items up in price.
“The increasing prices of UK pallets and packaging has to be viewed in the context that especially for pallet manufacturers, the UK timber supply industry now has a dominant market share as supplies from other markets such as the Baltics have significantly declined and prices are currently higher as supplies are diverted to other markets and due to the effect of currency fluctuations.
“The UK and Irish sawmills are now extremely busy and there is a concentration on construction timber which generates higher added value. There is particular concern about the availability of non-standard sizes which are less attractive to the sawmills at times of high demand.”
TIMCON has issued this information as there is a long time-lag involved in the quarterly pricing indices for the pallet and packaging timber and given the rapid developments in the construction industry which are affecting the pallet and packaging sector. Prices of pallet and packaging have been depressed during the recession and with the current developments in timber prices (which represent by far the largest percentage of the total costs of manufacturing pallets) there is clear
6th August, 2013 independent third party evidence that the higher input costs are being reflected in higher pallet and packaging prices. There is also concern about lengthening lead times for timber and pallets and packaging.
TIMCON will keep its members and the market informed about these important developments.
Nov 27, 2023 Comments Off on Preparing Your Data for warehouse management systems WMS
Nov 27, 2023 Comments Off on Bjelin Accelerates Shuttle Cycle Between Factory & Warehouse with New Joloda Moving Floor System
Nov 27, 2023 Comments Off on LIQUI MOLY invests €8 million in warehouse expansion of its production in Ulm
Jun 26, 2021 Comments Off on Ideally-located & secure HGV storage & warehousing site for rent at Cranford, near Kettering
Jul 07, 2019 Comments Off on tesa packaging tape brings food storage in from the cold
May 13, 2018 Comments Off on Yale Europe Materials Handling expands tow tractor range
Nov 18, 2023 Comments Off on Crane Worldwide Logistics planned expansion with a new facility in CorkContinuing on it’s growth trajectory in Ireland, The new warehouse facility is located within Harbour Gate Business Park adjacent to the Waterford N25 and Dublin M8 road network just...
Sep 09, 2023 Comments Off on UKWA Warehouse Roadshow 2023 heads to Belfast: 27 September
Aug 19, 2023 Comments Off on Bis Henderson launches “Breathing Space” campaign
Aug 05, 2023 Comments Off on HPC (Home Project Centre) Group Acquires HandyHardware.ie
Jul 08, 2023 Comments Off on Yale appoints Ron Farr as new Director of Warehouse Sales – EMEA
Nov 05, 2022 Comments Off on Beaverswood has hazards and restricted area marking safely tapedQuick and effective highlighting of hazards and restricted areas in industrial premises and offices is provided by yellow/black self-adhesive marking tape, now available from workplace...
May 15, 2021 Comments Off on RHA launches tail lift safety guidance
Nov 22, 2020 Comments Off on Axial Properties Ltd fined €80,000 following serious incident in Clonee warehouse
Nov 14, 2020 Comments Off on New Modulean Lite shadow boards from Beaverswood
Jul 12, 2020 Comments Off on How to safely buy a used ATEX forklift