Is this the end?

[Backpain]

An ever increasing demand for hardwood will eventually turn it into a luxury product no doudt and to be honest I didn't that coming, but it's not sustainable at this level so I see it going the same way as coal.  I'm competing with small forestry businesses so sometimes when I buy the price has haulage on it twice.  At £2500 for 26tons I've no chance of competeing with other local supplies who still sell at £90 cubic meter.  I like to say its a way of life but it isn't, its boring, hard work in the cold and the heat.  The point about it imploding is close but I think people are going to have to burn more softwood which used to cost next to nothing.  I sell lots of mixed loads and people like them but at £60 + delivered the margins are slim.

[Woodworks]

20 minutes ago, Backpain said:

  At £2500 for 26tons I've no chance of competeing with other local supplies who still sell at £90 cubic meter.

Wow! presuming thats with VAT but even so £80 ex vat a tonne delivered is one heck of a lot. Mind you if you work on the fact your price has doubled  thats £20 price increase per cube for the raw material. Adding £20 per cube doesn't sound so bad but not easy I am sure.  Try putting the prices up as if you are going to pack it in otherwise you have nothing to lose. 

 

Dont think anyone would chose logs if they want to get rich quick or have an easy life. Not surprised driving a van would be more profitable per hour as I doubt I earn more that a tenner an hour if all the hours worked are taken into account. Good luck and hope you can find a way to make it pay.

[arboriculturist]

18 hours ago, Mike Hill said:

How long would hardwood logs keep if stacked in the round in the UK?

Because if across the board prices will have to increase due to increasing material costs,would it not be smart to buy as much as you can,sit on them for a few years and process them for a large profit in the future?

Very very few Firewood retailers have the capital or space to buy ahead of demand.

This situation has been on the cards for the last couple of years and has been discussed on the Forum on several occasions.

 

Sandwich Biomass has come online now in Kent and they are just one of many. They are burning circa. 200,000 tonnes / year including hardwood chip, this being exactly what the Firewood roundwood buyers want.

These plants wouldn't be viable without RHI funding, it's a shamefull situation and it spells the end of many Firewood businesses as we are all hearing.

 

TCD put me onto the following link, so if you wish to know what is driving roundwood timber prices up so dramatically and why some people can't even find any to buy- here you go :   

 

 http://www.biofuelwatch.org.uk/axedrax-campaign/

 

[Backpain]

29 minutes ago, arboriculturist said:

Very very few Firewood retailers have the capital or space to buy ahead of demand.

This situation has been on the cards for the last couple of years and has been discussed on the Forum on several occasions.

 

Sandwich Biomass has come online now in Kent and they are just one of many. They are burning circa. 200,000 tonnes / year including hardwood chip, this being exactly what the Firewood roundwood buyers want.

These plants wouldn't be viable without RHI funding, it's a shamefull situation and it spells the end of many Firewood businesses as we are all hearing.

 

TCD put me onto the following link, so if you wish to know what is driving roundwood timber prices up so dramatically and why some people can't even find any to buy- here you go :   

 

 http://www.biofuelwatch.org.uk/axedrax-campaign/

 

Jesus, thats scandless! So essentially any timber felled around Lincolnshire/Nottinghamshire is going to end up in their chute? Where does the shortfall come from, abroard I assume.

[arboriculturist]

20 minutes ago, Backpain said:

Jesus, thats scandless! So essentially any timber felled around Lincolnshire/Nottinghamshire is going to end up in their chute? Where does the shortfall come from, abroard I assume.

Once you have visited this Website  http://www.biofuelwatch.org.uk/axedrax-campaign/ and spend some time reading through all the data on there the UK picture becomes even darker - but yes there are huge imports.

 

[richardwale]

Grim reading indeed. 

[Baldbloke]

I don’t understand. If people want it then they will pay for it. If they can’t afford hard, they will go soft? I plan to flog logs when I retire in 3 years. Currently I’m selling ton bags of air dried ash to friends and co for £35 hoping they will keep with me when that runs out and my softwood is dry for same price  

 

Christ that’s cheap!!!!

 

Forestry commission softwood logs at roadside in lengths last year were £420 for 20-24 tonnes. Delivery via a wood wagon £270. £690 before you even log and split.

You are £770 for 22 tonnes

Can you deliver to Scotland??[emoji3]

Our local suppliers quoted me £2200 for 22 r tonnes of seasoned softwood logs recently. That’s why I cut and process my own now.

 

Drax is an absolute outrage using marine diesel to import logs from abroad [emoji1304]

[otter]

I'm finding it's more of actually getting hold of the timber to process than price,  just seems to be less around cord and arb .  

I used get loads. 

Every arb job customer wants to keep it now and buying in, well no chance. 

Edited August 18, 2018 by otter
Forgot to add something

[Backpain]

Why has this not been on Panorama??? If you google Drax it's all positive PR  and propagander in the Gardian and Telegraph.  It's like effing Avatar. You could argue that I haven't got solar panels on my house but these guys are wholesale clearing Biodiverse woodlands across the US and presumably the UK to fuel this "inbetween" phasing out of Coal using pellets to boost the renewable figures. In the meantime hoovering all the stocks of hardwood for micro producer like me.  It's effing mental, they don't give a shit the price of timber is because they're being subsidised to use it.  Yes it all going to grow back but whats the cost to the ecosystems involved. Criky, it makes you want to be an activist.

[devon TWiG]

I would imagine Ash die back will flood the market in the near future ....but only temporarily though , then wood will go up in price quite a lot .