MERCOSUR: Densified Wood Market 2024

Densified Wood Market Size in MERCOSUR

The MERCOSUR densified wood market contracted slightly to $X in 2022, therefore, remained relatively stable against the previous year. Overall, consumption, however, saw a perceptible contraction. The pace of growth appeared the most rapid in 2019 with an increase of 3.8%. The level of consumption peaked at $X in 2013; however, from 2014 to 2022, consumption failed to regain momentum.

Densified Wood Production in MERCOSUR

In value terms, densified wood production declined modestly to $X in 2022 estimated in export price. Overall, production recorded a pronounced downturn. The pace of growth was the most pronounced in 2021 with an increase of 4.4%. Over the period under review, production reached the maximum level at $X in 2012; however, from 2013 to 2022, production remained at a lower figure.

Densified Wood Exports

Exports in MERCOSUR

In 2022, exports of densified wood in MERCOSUR dropped to X tons, declining by -13.9% compared with 2021. In general, exports, however, continue to indicate a prominent increase. The pace of growth appeared the most rapid in 2014 with an increase of 186%. The volume of export peaked at X tons in 2018; however, from 2019 to 2022, the exports remained at a lower figure.

In value terms, densified wood exports reduced to $X in 2022. Over the period under review, exports, however, recorded buoyant growth. The pace of growth appeared the most rapid in 2014 with an increase of 96% against the previous year. The level of export peaked at $X in 2018; however, from 2019 to 2022, the exports failed to regain momentum.

Exports by Country

The shipments of the one major exporters of densified wood, namely Brazil, represented more than two-thirds of total export.

Brazil was also the fastest-growing in terms of the densified wood exports, with a CAGR of +52.7% from 2012 to 2022. While the share of Brazil (+90 p.p.) increased significantly, the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) also remains the largest densified wood supplier in MERCOSUR.

From 2012 to 2022, the average annual rate of growth in terms of value in Brazil totaled +41.6%.

Export Prices by Country

The export price in MERCOSUR stood at $X per ton in 2022, increasing by 4.8% against the previous year. In general, the export price, however, recorded a abrupt descent. The growth pace was the most rapid in 2021 when the export price increased by 23% against the previous year. Over the period under review, the export prices hit record highs at $X per ton in 2013; however, from 2014 to 2022, the export prices stood at a somewhat lower figure.

As there is only one major export destination, the average price level is determined by prices for Brazil.

From 2012 to 2022, the rate of growth in terms of prices for Brazil amounted to -7.3% per year.

Densified Wood Imports

Imports in MERCOSUR

In 2022, densified wood imports in MERCOSUR reduced dramatically to X tons, dropping by -37.8% compared with the previous year. Overall, imports recorded a abrupt downturn. The most prominent rate of growth was recorded in 2018 with an increase of 29% against the previous year. Over the period under review, imports attained the maximum at X tons in 2013; however, from 2014 to 2022, imports remained at a lower figure.

In value terms, densified wood imports shrank remarkably to $X in 2022. Over the period under review, imports showed a noticeable decrease. The pace of growth appeared the most rapid in 2021 when imports increased by 49% against the previous year. The level of import peaked at $X in 2013; however, from 2014 to 2022, imports failed to regain momentum.

Imports by Country

Brazil represented the major importer of densified wood in MERCOSUR, with the volume of imports recording X tons, which was approx. 48% of total imports in 2022. Chile (X tons) ranks second in terms of the total imports with a 24% share, followed by Colombia (9.7%), Ecuador (7%) and Guyana (5.1%). The following importers - Argentina (X tons) and Venezuela (X tons) - each recorded a 6% share of total imports.

Brazil experienced a relatively flat trend pattern with regard to volume of imports of densified wood. At the same time, Guyana (+48.5%) and Ecuador (+26.9%) displayed positive paces of growth. Moreover, Guyana emerged as the fastest-growing importer imported in MERCOSUR, with a CAGR of +48.5% from 2012-2022. Colombia experienced a relatively flat trend pattern. By contrast, Argentina (-6.2%), Chile (-15.9%) and Venezuela (-22.8%) illustrated a downward trend over the same period. Brazil (+26 p.p.), Ecuador (+6.7 p.p.), Colombia (+5.8 p.p.) and Guyana (+5.1 p.p.) significantly strengthened its position in terms of the total imports, while Venezuela and Chile saw its share reduced by -11.6% and -32.4% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest densified wood importing markets in MERCOSUR were Brazil ($X), Chile ($X) and Colombia ($X), with a combined 88% share of total imports. Ecuador, Argentina, Venezuela and Guyana lagged somewhat behind, together accounting for a further 12%.

Guyana, with a CAGR of +36.5%, saw the highest growth rate of the value of imports, among the main importing countries over the period under review, while purchases for the other leaders experienced mixed trends in the imports figures.

Import Prices by Country

The import price in MERCOSUR stood at $X per ton in 2022, growing by 12% against the previous year. In general, the import price posted buoyant growth. The pace of growth appeared the most rapid in 2021 when the import price increased by 35%. The level of import peaked in 2022 and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Chile ($X per ton), while Guyana ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Chile (+14.1%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform