News

28/02/2011 /  Timber Processing Operations Slowed Down due to Unpredictable Climate Changes in February 2011

After a cold January of 2011, while planning sales of pallet blanks in February, we have considered the influence of cold weather conditions, therefore the capacity of wooden pallet elements production was planned to be 15 percent less. But February of this year surprised us all. Due to strong wind in February, production of pallet blanks was suspended for three days, as there were no conditions for cranes of log supply to operate. In addition, supply of raw materials to sawmill was interrupted as timber trucks were forbidden to enter the forests. Finally, intensified political disagreements between Russia and Poland regarding three-sided permissions have resulted in problems of production transportation.

Considering the disadvantageous circumstances, which occurred in February of this year, the production scope of pallet blanks has decreased by 25 percent, instead of planned 15 percent. As a result, we have moved a part of February orders to the first week of March 2011. While planning the production level of pallet blanks in March of this year, we carefully consider the influence of disadvantageous nature conditions and expect that March will not present us with new and unpleasant surprises.

16/02/2011 /  EPAL Pallet Manufacturers Maintain Output Level

UAB Juodeliai is one of the largest EPAL pallet blank manufacturers in the Baltic States. EPAL pallet blanks constitute about 70% of the production of UAB Juodeliai. In cooperation with the Western European partners, the company has maintained stable sales of EPAL pallet blanks in the late 2010 – early 2011.

In the middle of the first quarter of 2011 it is noticed that the demand for EPAL pallet blanks has remained stable in the market, while the prices have been adjusted under the influence of logistical issues. In the second quarter of 2011 it is planned to maintain a steady volume of pallet blank sales, and to continue to use 100% of the company’s production capacity.

03/02/2011 /  An Optimistic Start in 2011

Having perfectly finished the 2010, UAB Juodeliai has taken a good start also in 2011. Compared with the customers’ activity in placing orders and queries for production of pallet blanks over the first months of the past several years, the beginning of this year has pleasantly surprised and set to optimistic results. The Western European manufacturers of wooden pallets that even at the beginning of January 2011 have timidly anticipated their needs for pallet blanks to next months on the 3rd week of January of this year already ordered the entire quantity of wooden pallets blanks, which UAB Juodeliai projects to produce in February.

Despite the optimistic trends in the market of wooden pallets, a shortage of transportation services was noticed in January. Such phenomenon may be associated with an increased flow of goods for carriers, which is resulted by the recovery of European industry and the deterioration of natural conditions that have slowed the pace of transportation services. The long-running negotiations between Russia and Poland on permits to the Polish carriers for 2011 also have corrected the traffic routes in Europe. In order to be able to deliver the wood products manufactured by UAB Juodeliai to its clients in time and not to reduce the production capacity, we have to make changes to the logistics of the company. Timely invoking the new databases of carriers and having paid more attention to cooperation with the carriers of Poland, Germany, Austria and other European countries, UAB Juodeliai has managed to avoid the more significant problems caused by shortage of transportation services.

11/01/2011 /  Turnover of UAB Juodeliai Exceeded 30 Million Litas in 2010

Since the second half of 2010, the wood processing companies welcome the improved market situation. Such trends are influenced by the recovering Western European market.

UAB Juodeliai, one of the largest wood processing companies in Lithuania, also achieved good business results in 2010. Its annual income exceeded 30 million Litas, i. e. 61.8% more than in 2009. The company, which successfully exports most of its production, has signed new agreements on cooperation with 13 partners from different Western European countries over the 2010. Over the past year, UAB Juodeliai has sold abroad 85.35% of sawn wood – wooden pallet blanks – of different sizes and 27.6% of secondary products – sawdust and wood chips.

Successful results of 2010 and optimistic forecasts for Western European markets obligate to set even more stringent goals in 2011 and strive to implement them. Target turnover for 2011 is 36 million Litas.

10/12/2010 /  Suddenly Chilled Weather has Slowed the Work of Sawmills in Eastern Europe

At the beginning of December, the temperature dropped below -20 °C in some areas of Eastern Europe. Due to sharp and sudden temperature drop, outer layers of wood were turned into ice, and frozen logs became much more difficult to process. The production slowdown adjusted production plans of wood processing companies. The planned production volumes for December in most Eastern European sawmills had to be recalculated. Depending on the technological specifics of wood processing companies, production capacity dropped from 10% to 30%.

The sudden temperature change is noticed to have a strong impact on the production volume in cutting a small-diameter raw material. UAB Juodeliai mainly uses small sawn logs for its production, i.e. for wooden pallet blanks; thus, compared to November 2010, the production capacity has reduced by 25%.

Eastern European manufacturers of wooden pallet blanks meet a significant part of the Western European market demand. Therefore, the reduced production volumes, caused by low temperature, resulted in the shortage of pallet blanks in Western Europe.