Australian Softwood Residual Log Price Index – September 2023
The latest edition of the index indicates margins have reversed and decreased in the September quarter of 2023. This is solely due to increases in logistics costs mainly caused by increasing fuel prices and wages, despite log prices remaining high. It is expected that log prices will start to come down from 2024 following timber prices after the latter rose ~40% during and after the COVID-19 pandemic. If logistics costs remain high, margins will continue to fall in the near future.