Wood in the rough market in MERCOSUR

Earlier Report Observations

In 2018, the market for wood in the rough in MERCOSUR stood at 203.2 million metric tons, supported by rising demand for timber in shipbuilding, furniture, and construction. The following year, market volume declined to 191.8 million metric tons, amid expectations of reduced supply due to strengthened forest protection measures. A recovery occurred in 2020, with volume reaching 199.8 million metric tons, largely driven by the housing boom during the COVID-19 pandemic, which boosted demand for construction wood.

Growth continued in 2021 as the market expanded to 209.7 million metric tons, fueled by a tripling of laminate production that requires rough wood as raw material. By 2022, volume rose further to 224.1 million metric tons, coinciding with regulatory changes in environmental policies that influenced market supply and demand dynamics.

In 2023, market volume reached 225.5 million metric tons, showing stabilization, while the industry adjusted to species substitution for pulp production. For 2024, the sector faced global logistics challenges such as port congestion, yet exports of rough wood more than doubled, and consumer preferences shifted towards certified sustainable sources.

Production wood in the rough in MERCOSUR

In kind, 2017-2020, M t

Top producers of wood in the rough, 2017-2020

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

In 2019, MERCOSUR's production of wood in the rough reached its lowest point at 201.4 million tonnes. The following year, in 2020, output increased to 210.5 million tonnes, marking a 4.5% rise compared to 2019. Over the period from 2017 to 2020, production grew by 2.2%, which translates to an average annual increase of 0.7%. The peak was recorded in 2018 at 212.9 million tonnes, while the largest decline occurred in 2019 with a drop of 5.4%.

Annual dynamics of production in MERCOSUR in kind, 2017-2020, M t

In value, 2017-2020, M $ US

MERCOSUR's wood in the rough production value declined for the second consecutive year. In 2020, the output was valued at 15 778 million US dollars, showing little change from 2019. Over the 2017-2020 period, production decreased by 9%, with a compound annual growth rate of -3.1%. The highest value was recorded in 2018 at 17 916 million US dollars. The largest decline occurred in 2019 with an 11.5% drop, while the largest increase was in 2018 at 3.3%.

Annual dynamics of production in MERCOSUR in value, 2017-2020, M $ US

Exports wood in the rough from MERCOSUR

Exports in kind, K t

In 2020, MERCOSUR exported 10 638 thousand tonnes of wood in the rough, representing a moderate increase of 10.0% compared to 2019. Over the 2017-2020 period, exports grew by 19.9%, with a compound annual growth rate of 6.2%. The largest decline was recorded in 2019 at 0.7%.

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

From 2017 to 2020, Free Zones remained the dominant partner for MERCOSUR's wood in the rough exports in kind, accounting for 75.1% of total flows, while other markets made up the remainder.

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

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

Exports in value, M $ US

In 2020, MERCOSUR's wood in the rough export value totaled 797.5 million US dollars, a 4.8% increase from the previous year. Over the 2017-2020 period, exports rose by 6.7%, with a compound annual growth rate of 2.2%. The peak value was recorded in 2018 at 818.9 million US dollars. The largest decline occurred in 2019 with a 7.1% drop, while the largest increase was in 2018 at 9.6%.

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

From 2017 to 2020, Free Zones continued to be the leading partner for MERCOSUR's wood in the rough exports in value terms, holding a 72.7% share of total flows, with other markets comprising the rest.

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

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

Imports wood in the rough to MERCOSUR

Imports in kind, K t

After a two-year decline, MERCOSUR's wood in the rough imports increased in 2020. The volume reached approximately 15 thousand tonnes, up by 9.2% from 2019. Over the 2017-2020 period, imports decreased by 11.2%, with a compound annual growth rate of -3.9%. The lowest volume was recorded in 2019 at 14 thousand tonnes, and the largest decline occurred that same year with a 17.3% drop.

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

From 2017 to 2020, Bolivia was the leading destination for MERCOSUR's wood in the rough imports in kind, accounting for 62.5% of total flows.

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

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

Imports in value, M $ US

Following a two-year decrease, MERCOSUR's wood in the rough import value rose in 2020. Imports totaled 2.6 million US dollars, marking a significant gain of 33.9% compared to the previous year. Over the 2017-2020 period, imports increased by 16%, with a compound annual growth rate of 5.1%. The lowest value was recorded in 2019 at 2.0 million US dollars, while the largest decline occurred in 2018 with a 10.3% drop.

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

From 2017 to 2020, the main markets for MERCOSUR's wood in the rough imports in value terms were Bolivia with 23.9%, the United States with 1.0%, and Myanmar with 1.0%, together accounting for 25.9% of total flows.

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

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