News

03/08/2010 /  Raw material shortage in wood processing industry

In the second half of 2010, Lithuanian wood processors, including manufacturers of wooden pallet blanks, are short of roundwood raw material. A big part of domestic roundwood is bought and exported by the buyers from other EU countries who offer higher price in roundwood competitive tenders. Lithuanian wood processors’ interests in raw material regarding EU applied rules are not protected.

In the first quarter of 2010, Lithuanian roundwood export has increased by 65.63%, compared to the same period of 2009. The increased demand for wood from abroad raises raw material price for Lithuanian wood processors. Some of the wood processors buy roundwood from neighboring Belarus, Russia, or Ukraine; however, transportation costs also increase raw material price significantly.

Information is based on the newspaper “Verslo Žinios”.

27/07/2010 /  The performance of UAB Juodeliai shows the tendency of growth

The management of UAB Juodeliai, one of the largest wooden pallet blanks manufacturers in the Baltic States, is pleased with the tendentious betterment of the company’s performance. The company has renewed the production facilities to increase the production volume of wood processing and timber products, and to ensure high quality of pallet blanks (pallet components). This allowed increasing the number of clients and ensured the sales of all manufactured wood products, including wooden pallets (i.e. euro pallets, CP pallets, and disposable pallets).

Comparing the performance of the first half of 2009 and 2010, the number of manufactured wood products has increased from approximately 20,000 m3 to 30,000 m3, while the turnover has increased almost twice as much. Considering the market situation, it is being estimated that in 2010, the performance will be significantly better than in 2009. The best performance is expected over 16 years of UAB Juodeliai existence.

07/07/2010 /  The Increase in Raw Material Prices Influence the Increase in Wood Production Prices

After the clarification of round wood sales prices of the second half-year of 2010, wood processors have rushed to revise and adjust the prices of wood products. This led to the increase of prices of all wood products manufactured in Lithuania, including the production of wood pallet and pallet blank manufacturers’ sector. For example, the price of pallet elements’ raw material has increased about 25% compared with the prices of the first half of this year.

According to A. Zimnickas, the Director of UAB Juodeliai, such an increase in raw material prices has strongly influenced the realization of the company’s production to foreign and local markets. Not to suffer the loss due to raw material price increase, the manufacturers of wood pallet blanks had to raise the production prices accordingly. However, not all manufacturers of wood pallets have agreed to raise the prices that would offset high price increase of raw material, and some of them agreed to do so within the next 2-3 months by gradually increasing the price of pallet blanks each month. Many buyers gave reasons for the fact that the prices in wood pallet realization market have settled for quite some time, and that the next change in wood pallet prices is expected in autumn.

08/06/2010 /  The Growth of the Second Half-Year Wood Sales has been Recorded

On May 18th this year, the competitive tenders of the second half-year sales under long-term contracts and half-yearly wood sales took place in Lithuanian forest enterprises. Large and medium-large sawn logs – total quantity of 252,800 m3, small sawn logs – 153,000 m3, paper wood – of 139,600 m3, panel wood – 90,300 m3, firewood – 88,100 m3, and other cutting waste (some of it is used for biofuels) have been offered. According to the data of the published results, the offered amounts of wood have gone in the tenders to the companies that had offered the highest wood prices.

The growing demand for wood in the country increases the shortage of wood, and raises prices. Considering the announced results of the wood competitive tenders, the wood prices have increased significantly compared with the first half of this year, i.e. the price of small sawn logs has increased more than 25% (the latter are used in the manufacture of pallet blanks), paper wood prices – more than 38%, and panel wood prices – more than 30%.

Wood processing companies are worried that the increase in prices of the raw material may reduce the competitiveness of their wood production in foreign countries.

20/05/2010 /  Production Activity of UAB Juodeliai has been Certified by the Forest Stewardship Council

Production activity of UAB Juodeliai has been certified under two standards of the Forest Stewardship Council (FSC®). The FSC® certificates provided to the company confirm the origin of the products of this wood processing enterprise.

According to the latest information available in the international FSC® Certificate Databases, more than 100 FSC® certified companies currently operating in Lithuania (among them – 42 forest enterprises). On May 4 this year, a national FSC® representative in Lithuania UAB NEPCon LT has successfully certificated sequence of operations and manufactured products (such as pallet blanks and Euro-pallets) of wood processing company UAB Juodeliai in accordance with FSC® requirements (FSC® certificate code – SW-COC-004863).

The company has been certified according to two following standards: FSC-STD-40-004 and FSC-STD-40-005. This means that UAB Juodeliai is allowed to buy raw materials from suppliers that do not have a FSC® certificate. More information on the validity term of the certificate provided to UAB Juodeliai, and the types of certified products can be found on the web site: http://info.fsc.org/.