16 May 2014, IISD news - The International Tropical Timber  Organization (ITTO) launched the 1-15 May issue of the Tropical Timber  Market (TTM) Report, which highlights the collapse of teak log prices in Myanmar  ahead of the raw log export ban. The drop in price can be attributed to a sharp  increase in prices before the ban came into effect combined with limited  domestic mill capacity, which is causing a backlog in the milling of teak.

Related to the Myanmar story, the report notes that mills in India are  increasingly switching to domestic supplies of teak as the international supply  of raw logs diminishes. Other headline stories from the region feature an  exploration of the potential of biomass and bioenergy to become a significant  industry in Indonesia and a report that particleboard production in China has  reached 25 million cubic meters per year.

Elsewhere, the report states that Ghana is currently well positioned to begin  trading timber that conforms to EU Forest Law Enforcement, Governance and Trade  (FLEGT) regulations. The progress is significant as Ghana was the first country  to enter into a Voluntary Partnership Agreement (VPA) with the EU.

With regard to new technologies and products, the newsletter highlights the  adoption of infrared technology, which allows for mahogany to be differentiated  from species with similar appearances, such as cedar. The technology was  developed in Brazil in order to address the illegal logging and sale of  mahogany, which is an endangered timber species.

Finally, reflecting on markets for finished timber products, the newsletter  reports that the decking market in the EU remains slow, however data show an  upward trend. Meanwhile in the US, the report takes note of a consumer  preference for darker wood, however, lighter woods such as white oak and maple  are gaining in popularity.

In addition to the headline stories, the report contains tropical timber  market reports from Brazil, China, Ghana, Guyana, India, Indonesia, Japan,  Malaysia, Myanmar and Peru. The report further recounts regional tropical timber  market statistics from Central and West Africa, Europe and North  America.

Source: http://forests-l.iisd.org/news/itto-ttm-notes-crash-in-teak-prices-in-myanmar/