Wood-based panels are a part of the universal wood diligence, one of the UKs prime and most diverse business sectors. The increasing globalisation of key diligence sectors such as the wood diligence means that they are more certainly precious by a open series of influences counting:

* Over-role in some sections and under-supply in others;
* Consolidation of supplier networks;
* Raw stuff famines;
* Increases in longest expenses such as energy and labour.

The UK wood-based panels market grew by 26% in value provisos between 2000 and 2006, viewing moderate but consistent progress of between 2% and 4% per annum, distant from 2003/4 when progress grasped 11%.

The 11% progress in 2004 was encouraged, in part, by a universal extension in the cheap after a few existence of drop, but was also due to a number of other factors, counting a strengthening of stipulate for particleboard, which sharp in the last house of 2004 with some manufacturers treatment up to 10-week escort time. MDF and OSB also enjoyed firm stipulate as well as longest yield throughout the European market as well as inside the UK, and the trouncing of plywood is also reported to have skyrocketed during 2004, auxiliary increasing market value. Good progress thus occurred in 2004 while a delay in the furniture sector which was experiencing a globule in stipulate, consolidation and some trouncing of production to offshore locations.

need for wood-based panels in the UK varies according to panel letters, relying on differing levels of stipulate from diverse end-use sectors:

need for particleboard remained balanced for most of 2004, but chop in 2005 as a answer of the drop in consumer costs and bargain stipulate from furniture manufacturers. bazaar value sharp in 2003/04 at 660m, however has while declined to an priced 643m in 2006.

The MDF market stagnated during 2004 and 2005, with progress constrained by energy price extensions upsetting the crop competitiveness.

The market for fibreboard has developed substantially while 2000 however - some 40% - triumph 320m in 2006.

current 2003 and 2004 saw the opening of a relatively happy stop for OSB, with a famine of plywood selection to boost sales. This continual into 2005 and 2006 and had a stabilising produce on prices and margins, auxiliary increasing confidence in the market and proving beneficial for manufacturers. The OSB market was valued at around 85m in 2006, up from 50m in 2000.

The performance of the plywood market in the UK has followed a fairly variable lane, as a answer not only of the ups and downs of the construction sector, but also the decline in UK-based production. 100% of the plywood used inside the UK is now imported and this position is suspect to change. The market for plywood is presently thought to be in the section of 347m, up from 285m in 2000.

The market for decorative panels is obstinate to price with any accuracy as there is considerable overlap between this and the particleboard, plywood and fibreboard categories. Decorative panels comprise melamine-faced and veneered fibreboard, plywood and particleboard; high coerce decorative coated boards and painted outside boards. The market is valued at approximately 749m in 2006, representing an extension of some 38% from 2000.

complete wood panel production volumes, reflecting trends inside the openr wood and sawmilling sector, have remained relatively wholesome, while lessening stipulate from some key markets such as furniture manufacture. need from the construction sector, in nastiness of a reduce in yield and the letdown of known sector activities to grasp probable levels, has remained relatively recurrent, while a decline was famous near the end of 2005. 2006 has revealed a offend improvement in construction activity, however, the global decline has precious panel manufacturers who have also been struggling with increasing energy expenses and more posh raw stuffs in particular resin.

Substitution of one stuff for another is an ongoing trend upsetting the market divide of individual panel letterss. The use of OSB for example has been boosted by a famine of plywood, and OSB is also increasingly replacing particleboard in the squashy-furnishing framing sector.

In provisos of supply the wood-based panels sector carcass dominated by large international players, many having start offices in the UK or Europe. Around a third of all panels consumed locally (around 6.5m m3) are imported (without plywood which is 100% imported).

UK producers of wood panel crop outing over an priced 650m. There are eight wood panel manufacturing workss in the UK. The diligence employs over 2,500 people on a direct heart, and wires a auxiliary13,000 reduce and maintenance employees. presented production facilities are being utilised to ample role and, distant from Egger UKs current 100m investment to enlarge facilities at their Hexham works (to be concluded in 2007), there is little extension charming place or designed for the near potential.

Imports of wood panels counting plywood as well as a number of other fibreboard letterss are imported primarily from Europe, but also North and South America as well as and increasingly - China.

Tags: Wood, Furniture, Imports