P\u00f6yry\u2019s Warning For The <\/b>European Wood Based Panel Industry<\/b><\/b><\/p>\n
P\u00f6yry Management Consulting has recently issued a warning about the <\/b>10 million m3 of <\/b>additional panel capacity planned by the European wood panel industry, questioning whether it is being built in the right place, at the right time or even to produce the right products.\u00a0<\/b><\/p>\n
P\u00f6yry\u2019s new report, \u201cThe Future of the Wood Based Panels Industry in Europe<\/b>\u201d predicts that European demand for panels will grow by 3% per annum to 2020 under a \u201cCentral\u201d demand scenario. However, growth could be as low as 1% per annum under a \u201cStagnant\u201d scenario or as high as 5% per annum under a \u201cDynamic\u201d scenario. Furthermore, the shift in demand from Western Europe to Eastern Europe will continue with 55% of all wood based panels being consumed in Eastern Europe by 2020 compared to 49% at present. Between 2007 and 2012 the average return on invested capital achieved by the European panel industry was 5%, which is well below the risk-adjusted return required by financial markets. Industry profitability will improve if P\u00f6yry\u2019s Central or Dynamic demand scenario prevail, but with very big differences between the worst and best performers. P\u00f6yry\u2019s Operational Excellence practice has identified average savings opportunities of 20 EUR\/m3 across a wide range of European panel mills.<\/p>\n
Dr Cormac O\u2019Carroll, Global Head of P\u00f6yry\u2019s Wood Products Practice said: \u201cOur new market model, Zeno* has identified a mismatch between industry investment plans and market requirements which will lead to declining prices for some panels and markets but rising prices for others. Whilst the planned new investments all make economic sense individually, generating at least 9% IRR, their overall impact will be to reduce industry profitability<\/i>.\u201d \u00a0Dr. O\u2019Carroll also added, \u201cThe continued expansion of the bio energy sector is another potential threat to the European panel industry. As EU countries strive to reach their 2020 renewable energy targets, significant wood shortages for wood based panel production in some Western European markets may emerge<\/i>.\u201d<\/p>\n
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Here\u2019s a closer look at P\u00f6yry\u2019s scenarios:<\/p>\n
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*Zeno is the first linear optimisation market model specifically developed for the wood based panel industry and uses P\u00f6yry\u2019s comprehensive industry and market databases to test alternative scenarios for future industry and market development.<\/i><\/p>\n
\u00a0<\/i><\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
P\u00f6yry\u2019s Warning For The European Wood Based Panel Industry P\u00f6yry Management Consulting has recently issued a warning about the 10 million m3 of additional panel capacity planned by the European wood panel industry, questioning whether it is being built in the right place, at the right time or even to produce the right products.\u00a0 P\u00f6yry\u2019s […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[],"tags":[965],"class_list":["post-4574","post","type-post","status-publish","format-standard","hentry","tag-panel-industry-risk-is-increasing"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/posts\/4574","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/comments?post=4574"}],"version-history":[{"count":0,"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/posts\/4574\/revisions"}],"wp:attachment":[{"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/media?parent=4574"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/categories?post=4574"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/orsiad.com.tr\/en\/wp-json\/wp\/v2\/tags?post=4574"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}