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Indonesia: Pulp and paper market turns focus to Asia
13/05/2009 - 11:15
The decline in the demand of paper and pulp in Indonesia’s traditional markets has shifted attention to major consuming countries in Asia such as China, India and South Korea, according to Mr. Muhammad Mansur, chairman of the Indonesian Pulp and Paper Association (APKI). This new focus is a result of new forest concessions of 7 million ha and the issuance of new permits to allow the collection of timber waste to be used as raw material, reported The Jakarta Globe. APKI’s forecast stated that China’s demand for pulp will reach 25 million per year eventually, from 2007 to 2010, and India’s demand will reach 14 million tons for the period.

Indonesia faces critical shortage of rattan
Indonesia, the world’s largest exporter of rattan and rattan products, is facing a critical shortage of the material. Prices for rattan climbed from Rp. 4,000 per kg. in the 1990’s to Rp. 28,000 per kg. at present. This is due largely to producers’ preference to export unprocessed rattan in bulk than to sell to local craftsmen. Bulk export prices for rattan range from a low of Rp 9,344 to a high of Rp 16,150 per kg. In addition, local buyers have to pay a 10% levy on all local inter-island shipments. Kalimantan is the main source for most of Indonesia’s rattan.

Indonesia Log Prices
Indonesia Log Prices
Indonesia logs, domestic prices US$ per m³
Plywood logs Face Logs 186-229
Core logs 167-200
Sawlogs (Meranti)
174-235
Falcata logs
142-176
Rubberwood
34-60
Pine
157-196
Mahoni (plantation mahogany)
475-501

Indonesia Sawnwood Prices
Indonesia, construction material, domestic US$ per m³
Kampar (Ex-mill) AD 3x12-15x400cm 170-189
KD 193-227
AD 3x20x400cm 218-241
KD 222-247
Keruing (Ex-mill) AD 3x12-15x400cm 234-248
AD 2x20x400cm 220-238
AD 3x30x400cm 200-219

Indonesia Plywood Prices
Indonesia ply MR BB/CC, FOB
US$ per m³
2.7mm
404-461
3mm
360-401
6mm
317-381
MR Plywood (Jakarta), domestic
9mm
254-265
12mm
246-256
15mm
235-249

Other Indonesia Panel Prices
Indonesia, Other Panels, FOB
US$ per m³
Particleboard Export 9-18mm 217-228
Domestic 9mm 191-203
12-15mm 182-193
18mm 172-184
MDF Export 12-18mm 254-267
Domestic 12-18mm 234-245

Indonesia Added Value Product Prices
Indonesia, Mouldings, FOB
US$ per m³
Laminated Boards Falcata wood 305-317
Red Meranti Mouldings 11x68/92mm x 7ft up

Grade A 497-531
Grade B 452-473
(ITTO's Tropical Timber Market Report)
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