Eucalyptus and pine log prices close to all-time highs in Brazil

Wood costs for pulp mills and sawmills in Brazil have gone up over the past few years, reaching their highest levels in over 20 years in 2011, according to the “Wood Resource Quarterly”. However, towards the end of the year, Eucalyptus and pine log prices fell, mainly because of the strengthening Us dollar. Eucalyptus log prices in Brazil reached a peak in the 3Q last year, but fell back almost eight percent in the 4Q/11 in US dollar terms. Current price levels are still among the highest since the “Wood Resource Quarterly” (www.woodprices.com) started tracking Brazilian wood prices in 1990.