African producers report persistently weak international demand for West African timber as of late May. Despite concerns that lowering prices now could make future increases difficult-especially if market conditions remain subdued-exporters are actively reducing FOB prices to attract buyers.
According to suppliers, recent FOB prices for logs exported from Central and West Africa to Asian markets have declined compared to April levels. Key adjustments include:
- Red Ironwood: Prices down 3.8%
- Ebony (Grades LM & B): Sharp drop of 16.3%
- Okoumé (China-spec): 12.2% decrease
- African Padauk: LM grade down 7.1%, B grade down 8%
- Sapele: LM and B grades fell 13%, while BC/C grades dipped 4.5%
- African Mahogany: LM/B grades down 3.8%, BC/C grades down 4.5%
For West African sawn timber:
- Okoumé (FAS grade): €60/m³ reduction (~12.5% drop)
- Kiln-dried timber: Prices cut by 9% (€40/m³)
- African Padauk (FAS): Steep 10% decline (€100/m³)
However, select species bucked the trend:
- Ayous logs/sawn timber: Both rose 4.7% (logs +€10/m³, sawn +€20/m³)
- Iroko sawn timber: €50/m³ increase (6.25% growth)
Notably, stable demand persists in the Philippines and Middle East. Philippine buyers are actively sourcing Okoumé and Dabema, while Middle Eastern importers maintain consistent orders for Iroko and African Rosewood. Suppliers note these markets help offset reduced procurement from China and Europe, though demand remains insufficient to fully clear backlogged sawn timber inventories.
Market Outlook: With global uncertainties weighing on construction activity, African exporters face balancing acts-stimulating orders through pricing while navigating thin margins. Diversification into resilient regional markets may prove critical in the coming quarters.
