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6 | UK News


Scotland’s forest agency calls for more home-grown timber use


level of its annual timber requirement left the UK too vulnerable and it wants to see Scotland’s commercial timber sector stepping up to provide more timber. FLS acknowledges the UK is “largely self-sufficient” in fencing products using home-grown timber but argues there is significant, unmet domestic demand for more structural timber and also pallet wood.


Above: The FLS wants to see more home- grown timber on the market


Forestry and Land Scotland (FLS) has called for more home-grown timber to be used in the future to protect against fluctuations in the global timber market. The agency, which is responsible for managing Scotland’s national forests and land, says the UK’s current 80% import


“Scottish-based timber manufacturers could potentially triple production to meet current and anticipated future demand and produce a greater share of the remaining 67% of the market, which is currently imported, predominantly from Scandinavia, Latvia and Germany,” said Mick Bottomley, FLS head of marketing and sales. “There is also significant potential to expand Scotland’s one-fifth of forested land area so that we can be more self- reliant in our requirements for timber.”


FLS highlighted increasing timber prices, saying they have risen 30% in 2021 due to house builders and related industries struggling to secure supplies because of a huge increase in building activity, post lockdown.


With a long lead time in commercial forestry for producing home-grown timber – 25-40 years before trees can be harvested for various wood products – Mr Bottomley suggested the opportunity needed seizing now by planting more commercial forests “so that we are more self-sufficient in the future”. FLS’ sustainable management of existing productive forests aims to bring 3 million tonnes of timber to market every year. This year, FLS is planting 25 million trees and is further contributing to meeting the Scottish government targets by acquiring land for new productive and native woodland creation.


Steico’s UK sales rise 51.6% in H1, 2021 Acorn Timber Supplies closes after 37 years


I-joist producer Steico has reported a 51.6% boost in its UK business for the first half of 2021.


The German-based company said the UK remains its most important I-joist market for Steico, with H1 revenues (also including wood fibre insulation and LVL sales) of €15.6m (H1 2019: €10.3m). The UK increase followed a significant slump in the previous year.


Steico’s total group sales across all countries covering wood fibre insulation, LVL and I-joists were up 29.6% for the period to €186.8m.


EBIT improved by 155.1% to €31.1m and net income for the period in the first six months lifted by 181.5% to €21.1m. “Due to the friendly market environment, growth is expected to continue in the second half of 2021 – although growth rates are likely to be somewhat lower due to the already very strong second half of the previous year,” Steico said in its results statement.


Steico management predicts 2021 revenues will lift by around 20% with an EBIT ratio between 14% and 17%. The wood fibre insulation division reported sales of €129.2m or around 69.2%


of total revenues (previous year €94.6m) for H1, 2021. This equals to an increase of 36.7%.


The I-joists division is increasingly gaining market share in the continental European markets. In the first half of 2021, revenues totalled €22.6m (previous year €14.6m).


This corresponds to 12.1% of revenues and an increase of 54.6%. LVL contributed around 10.1% to total revenues in H1. This corresponds to an increase of 4.9% to €18.9m. Capital expenditure to create new production capacity is largely on schedule and on budget. At the Czarna Woda site, a further plant for stable wood fibre insulation materials using the wet process is being built and planned for start-up in Q4.


At the Casteljaloux site, a plant for stable wood fibre insulation materials using the dry is planned to go live in Q4, while preparatory work is under way at the new Gromadka site for the construction of the new insulation materials plant. It is planned to go live at the start of 2023. Rumours of Steico interest in a new plant in Germany are also being reported.


□ James Jones’s new visitor building (TTJ July/August 2021) has won two awards in the Scottish Design Awards, including the overall Architecture Grand Prix for Architecture.


TTJ | September/October 2021 | www.ttjonline.com


Oxfordshire timber merchant Acorn Timber Supplies has closed its doors after successfully trading for 37 years. The company, founded by directors Roger Goodchild and David Keeling, cited the expiry of its lease in Kingston Bagpuize near Abingdon as the principal reason behind the closure on July 30. The age of the directors and increasing difficulty sourcing adequate timber supplies were also reasons.


Mr Goodchild told TTJ that Acorn had the same landlord for 35 years, but then two years ago a new landlord came on board with plans to redevelop the site into new industrial units, serving notice on the company.


Mr Goodchild said Acorn contested for the right to have suitable time to find an alternative site but ultimately couldn’t find somewhere after two years of searching. “Material supply was certainly one of the reasons for closing,” added Mr Goodchild. “Accessing supply of carcassing and sheet materials was a problem and we had great difficulty with fencing.”


Most of the company’s 14 employees have found alternative employment, the majority in the timber trade.


UK News


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