Wood in the rough market in Honduras

Earlier Report Observations

The market for wood in the rough in Honduras began the period at a volume of 6.0 million tons in 2018. The sector was characterized by a concentrated structure with seven companies supplying nearly half of the domestic and export markets, supported by existing forest plantations. Government plans to finance timber industry projects through the Honduran Institute of Science, Technology and Research also provided a framework for development.

A gradual decline in market volume unfolded from 2019, reaching 5.8 million tons by 2023. This trend occurred alongside reported production challenges, including forest fires and outbreaks of bark beetles that directly affected harvestable timber. Furthermore, an estimated 40% of the country's wood originated from illegal logging, which spurred initiatives to improve sector governance and traceability.

A significant regulatory development came in 2022 with the signing of the Voluntary Partnership Agreement between Honduras and the European Union on forest law enforcement, governance, and trade. This agreement aimed to combat illegal logging and enhance timber traceability, introducing stricter requirements that influenced market operations as the sector adapted to more regulated and sustainable practices.

Production wood in the rough in Honduras

In kind, 2017-2020, K t

Top producers of wood in the rough, 2017-2020

World map of production of wood in the rough, 2017-2020

Honduras experienced a third consecutive year of decline in wood in the rough production. In 2020, the country produced 5 839 K t, showing only a slight variation from the previous year. From 2017 to 2020, production fell by 3.7%, which translates to an annualized decrease of 1.3%.

Annual dynamics of production in Honduras in kind, 2017-2020, K t

Exports wood in the rough from Honduras

Exports in kind, t

Wood in the rough exports from Honduras declined for the third year in a row. In 2020, exports totaled 1 734 t, representing a 33.8% drop compared to 2019. Over the 2017-2020 period, exports decreased by 78.7%, with a compound annual growth rate (CAGR) of -40.3%.

Annual dynamics of product's exports from Honduras in kind, 2017-2020, t

From 2017 to 2020, India, Costa Rica, and Nicaragua were the primary markets for Honduras's wood in the rough exports in kind. India accounted for 44.5% of exports, Costa Rica for 24.5%, and Nicaragua for 18.3%. Together, these three countries made up 87.2% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Honduras in kind, 2017-2020

Exports in value, K $ US

In 2020, Honduras exported 670 K $ US worth of wood in the rough, a 36.4% decrease year-over-year. Between 2017 and 2020, exports in value terms fell by 64.9%, with a CAGR of -29.5%. The sharpest decline occurred in 2018 at 49.1%, while 2019 saw a modest increase of 8.4%.

Annual dynamics of product's exports from Honduras in value, 2017-2020, K $ US

During 2017-2020, Costa Rica, Nicaragua, and India were the leading destinations for Honduras's wood in the rough exports in value terms. Costa Rica held a 41.9% share, Nicaragua 28.0%, and India 20.0%. Combined, these markets represented 89.9% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Honduras in value, 2017-2020

Imports wood in the rough to Honduras

Imports in kind, t

The data shows irregular changes, reflecting a volatile market environment. Import volumes reached their lowest point in 2019 at 0.4 t and peaked in 2017, with a 1 212-fold difference between these years. In 2020, Honduras imported 13 t of wood in the rough, a sharp increase of 2 988.0% compared to 2019. The largest decline was recorded in 2019 at 99.8%.

Annual dynamics of product's imports to Honduras in kind, 2017-2020, t

From 2017 to 2020, Free Zones and the United States were the dominant sources for Honduras's wood in the rough imports in kind, together accounting for 82.3% of total import flows. The remaining share was distributed among other destinations.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Honduras in kind, 2017-2020

Imports in value, K $ US

Market behavior during these years was marked by volatility. Import values hit a low in 2019 at 2 K $ US and peaked in 2017, with a top-to-bottom ratio of 148 times. In 2020, Honduras imported 5 K $ US worth of wood in the rough, up 190.3% from the previous year. The largest decline occurred in 2019 at 98.8%.

Annual dynamics of product's imports to Honduras in value, 2017-2020, K $ US

Between 2017 and 2020, three key markets—Free Zones, the United States, and Guatemala—collectively represented 81.5% of the total value of wood in the rough imports to Honduras.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Honduras in value, 2017-2020