Market Information Service

Towards greater transparency in the tropical timber markets

The ITTO Tropical Timber Market (TTM) Report, an output of the ITTO Market Information Service (MIS), is published in English every two weeks with the aim of improving transparency in the international tropical timber market. The TTM provides market trends and trade news from around the world, as well as indicative prices for over 400 tropical timber and added-value products.


 

 

1-15 June 2010

Top story

Moratorium on conversion of natural forests and peatlands

Indonesia announced a 2-year moratorium on new permits to convert natural forests and peatlands. The moratorium will take effect from the beginning of 2011.
 
The moratorium is a measure to be taken in the context of the US$1 billion partnership agreement between Norway and Indonesia for forest conservation projects in Indonesia including under the framework of the Reduce Emissions from Deforestation and Forest Degradation (REDD) Plus. The agreement could be extended after an evaluation in 2013.
 
The moratorium will contribute to achieving the target set by the Indonesian government to reduce greenhouse gas emissions by 26% before 2020.
 
The Indonesian government will adopt a 9-point action plan to ensure the successful implementation of the partnership agreement and moratorium.
 
(see details on page 5)


Also in this issue

  • Utility tariff hike worries Ghana industry 
  • Malaysia eyes Jordan for increased timber exports
  • Sandalwood gets attention in India 
  • Teak as potential species for Brazilian plantations
  • Peru acts on CITES commitment
  • Tropical log supply to Japan remains tight
  • Impact of the weakening Euro on Chinese exports
  • Low plywood stocks maintained in Europe
  • Main wood species in US flooring manufacturing
  •  

Data snapshot

Housing sectors in the US and Japan

snapshot_20100601.gif

The US builder confidence index fell in June, the sharpest since the beginning of the financial crisis. The home buyer tax credit was in effect until the end of April underpinning the spring sales. However, currently builders are expecting a pull back in sales and some reduction in consumer activity has already occurred. Housing starts fell 10% to a seasonally-adjusted annual rate of 593,000 in May and building permits have also been falling.

In Japan, total housing starts during April were 66,568 units, up 0.6% over the same month a year earlier. This was the first increase in the total housing starts after 17 months of decline, says the Japan Lumber Report.

Housing starts in Japan seem to be recovering but are still far below the levels recorded in 2008. Recovery of rental units is said to be the factor for the increase. For the time being, the rental unit starts have been decreasing over a year, with a record low registered in the month of April 2010.

 

 

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