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Tracking The Wood Products Supply Chain Process.


The increasing demand for supply chain transparency and stringent government regulations on the wood industry has led to the implementation of tracking and tracing technologies. Many wood companies have implemented their own tracking systems to maintain transparency in their timber supply chain. Electronic tracking is taking over paper-based systems and technologies such as radio-frequency identification chips, barcodes and advanced traceability software, DNA and isotope sampling are being adopted by wood companies and government agencies. For instance, the Forest Stewardship Council, a leading non-profit organization, has developed Online Claims Platform for providing timely information about the FSC’s products and the companies that produce them for free of charge to FSC Certificate holders. This enables digital connection between FSC certified suppliers and customers.

WOOD PRODUCTS MANUFACTURING MARKET TO GROW TO $2.6 TRILLION BY 2020 ACCORDING TO THE BUSINESS RESEARCH COMPANY.

The Business Research Company expects the wood products manufacturing market to grow to $2.6 trillion in 2020. Asia was the largest region in the wood products manufacturing market in 2016, accounting for $956 billion or 49.8% market share. This can be mainly attributed to the economic growth in the region, leading to increased demand for wood and wood products from manufacturing, and consumer goods industries. Increased demand for wood houses in earthquake prone countries such as Japan also drove the market.

The chart below shows the year-on-year growth of the global wood products manufacturing market during 2016 - 2020.

According to The Business Research Company’s Manufacturing Consultant, Abdul Wasay, protection of endangered woods is rapidly becoming a matter of interest across the world. This is mainly to ensure the survival of endangered woods from illegal international trade. Endangered woods include classic woods such as teak, mahogany, oak, and cherry. The over-harvesting of these trees has led to their scarcity, resulting in tree protection laws and strict trade regulations by governments worldwide. For instance, at the Convention on the International Trade in Endangered Species held in Bangkok in March 2013, 178 countries agreed to strictly regulate the international trade of mahogany timber. The convention also provided protection against rampant logging of every species of mahogany and rosewood tree in Madagascar.

Among big and small players in the wood products manufacturing market Georgia-Pacific emerged as the largest company with revenues of $17.2 billion for the financial year 2015. The company through its parent company Koch Industries’ distribution channel focuses on expanding its business operations outside the US. Georgia-Pacific focuses on deliver innovative solutions such as hygienic dispensing products from the collected paper dust that comes from recovering corrugated waste for recycling. Its sustainability strategy includes minimizing the impact on environment; paper recovery and recycling; recycling its products; reusage of its products; and renewing of its products. Its growth strategy includes strategic expansion in new areas to strengthen its business operations. For instance, in September 2016, it completed lumber operation in its Gurdon, Arkansas with an investment of $40 million. The expansion also include the installation of a new continuous dry kiln, a state-of-the-art planer mill.

The wood products manufacturing industry comprises establishments engaged in manufacturing of products derived from wood. This industry includes companies manufacturing lumber, plywood, veneers, wood containers, wood flooring, wood trusses, manufactured homes and prefabricated wood buildings. Wood products product process include sawing, planning, shaping, laminating, and assembling of wood products into bolts or lumber.

The market can be further classified as follows

Finished Wood Products Market establishments manufacture veneer, plywood, engineered wood members and reconstituted wood products. Some products produced by this industry include hardwood and softwood veneer, fabricated and laminated wood arches, wood roof, floor trusses, wood sheets and boards.

Wood Processing Market comprise establishments engaged in sawing dimension lumber, boards, beams, timbers, poles, ties, shingles, shakes, siding, and wood chips from logs or bolts. This industry also includes establishments engaged in treating planed, sawed and shaped wood with creosote or other preservatives such as alkaline copper quat, copper azole, and sodium borates, to prevent decay and to protect against fire and insects.

Manufactured Wood Materials Market include establishments engaged in manufacturing other wood products such as wooden windows and doors, cabinets, kitchenware and wooden mobile homes

Wood Materials Global Market Briefing is a detailed report giving a unique insight into this market. The report is priced at $1000 for an individual user. To use across your office the price is $1500 and $2000 if you wish to use across a multinational company.

About The Business Research Company

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The Business Research Company is a market research and intelligence company, which excels in company, market and consumer research.

It has research professionals at its offices in the UK, India and the US as well a network of trained researchers globally. It has specialist consultants in a wide range of industries including manufacturing, healthcare, chemicals and technology.

The Business Research Company's management has more than 20 years of varied business research experience. They have delivered hundreds of research projects to the senior management of some of the world's largest organizations.


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