Thu, Apr 19, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Now is a good time to invest in timber as long term outlook is strong

Thursday, March 28, 2013

Benedicte Gravrand, Opalesque Geneva:

Dr. Jacek Siry recently spoke to Sona Blessing on Opalesque Radio about how to optimise returns on timber investment given the imminent supply side shock posed by Canadian timberland. He serves as Associate Professor of Forest Economics at the University of Georgia’s Warnell School of Forestry and Natural Resources.

"Canada has had for many years a very prominent role in wood supply in the global market," Dr. Siry told Opalesque Radio. The country currently harvests around 100,000 million cubic meters a year, and the prices are not always cheap due to deliveries being done from far-away regions. Conifer fibre prices in the U.S are the cheapest at below $75 per dry metric tonne, whereas in Canada, it is around $100, he added. However, Canadian prices are still competitive compared to other regions.

But Canada is struggling with the mountain pine beetle. "They’re trying to salvage as much wood as possible," he said. He thinks the situation will resolve itself in the next few years but that output from Canada will decline, and "this will exert output pressure on timberland prices."

As the WSJ reported last October, the tiny mountain pine beetle, a tree-killing insect, has been the cause of huge problems for lumber producers in the U.S. and C......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - Sequoia takes Facebook stake as shares slide in data controversy, $1.4b hedge fund sees intact fundamentals for Facebook, Jim Cramer reveals some 'suggested hedge fund trades' amid the Trump tariffs[more]

    Sequoia takes Facebook stake as shares slide in data controversy From Bloomberg.com: The $4.2 billion Sequoia Fund bought a small position in Facebook Inc. as the stock slid late in the first quarter, investment manager Ruane, Cunniff & Goldfarb told clients. "The recent controversy enab

  2. Activist Investors - Blue Sky-owned Wild Breads faces uncertain future[more]

    From AFR.com: A Blue Sky private equity investment in artisan-style baker Wild Breads enjoyed multiple valuation upgrades despite losing millions and breaching its lending covenants, accounts lodged with the regulator last week show. Wild Breads lost $2.4 million in 2017, but Blue Sky ascribed a hig

  3. Opalesque Exclusive: Barnegat to close hedge fund to outside investors on weak opportunities[more]

    Komfie Manalo, Opalesque Asia: Bob Treue's Barnegat Fund Management said it is closing its $666m fixed income relative value hedge fund to outside investors. "The negative side to gains in Fixed Income Arbitrage is that unless we find new opportunit

  4. Investing - Hedge fund makes a big bet on malls, British hedge fund manager Odey short UK government bonds on QE bet[more]

    Hedge fund makes a big bet on malls From Barrons.com: The dominant narrative on American shopping malls is that they're dead. Crushed by Amazon.com, many brick-and-mortar retail stores are destined for bankruptcy. And where is the most retail, clustered all together? Malls. From a

  5. Performance - Hedge funds suffer first back-to-back loss in two years, Netflix performance burns hedge fund short sellers, Macro hedge fund up 14.5% in first quarter sees dollar falling, Renaissance Technologies rebounds across hedge funds in March[more]

    Hedge funds suffer first back-to-back loss in two years From Bloomberg.com: Hedge Fund returns sank for a second straight month in March, the first back-to-back loss since the first two months of 2016, as trade wars, tech-sector woes and a Fed rate hike dragged down the S&P 500 from its