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Shift in Trend in Sawn Wood Reprocessing: What's Happening in the Industry?

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The sawn wood industry is facing a shift in reprocessing trends, a key stage in wood production. After peaking in 2021 with 2.97 million cubic meters, the volume allocated for reprocessing has declined over the past two years, reaching 2.59 million cubic meters in 2023, as reported by Infor.

This decline interrupts a period of sustained growth since 2015, when reprocessing had hit its lowest point at 1.87 million cubic meters.

Nationally, sawmills with annual productions exceeding 100,000 cubic meters contributed 68.9% of the volume allocated for reprocessing in 2023. Meanwhile, sawmills producing between 10,000 and 100,000 cubic meters accounted for 23.4%, and smaller-scale sawmills, with less than 10,000 cubic meters, contributed the remaining 7.7%.

Historical trends show an increase in the share of reprocessing in total sawn wood production, rising from 22% in 2015 to 38% in 2023. This growth is primarily driven by higher-production sawmills, which have allocated a significant portion of their sawn wood to reprocessing. In contrast, smaller sawmills, which led in wood allocation for reprocessing before 2015, have maintained a stable trend since then.

The shift in reprocessing dynamics raises questions about the causes of the decline and its potential effects on the industry. Market demand adaptation, production efficiency, and sustainability are factors that may be influencing this trend. Sawmills of all sizes may need to reassess their strategies to remain competitive and sustainable in the long term.