The Reason Why The Floor Price Is Affected (2)

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3. Natural disasters cause a wood shortage

Natural disasters in the last several years have caused significant shortages of forest resources. Heavy rains and flooding are most likely to trigger some local woods diseases to spread. Bacteria spread via water. Heavy storms may enlarge the spread of bacterial spores. Moreover, heavy storms may lead to damage to crops, and bacteria can quickly invade crops and cause ailments. Consequently, flood disasters may quickly cause the spread of several kinds of wood diseases brought on by fungi and bacteria and even outbreaks.

4. Artificial causes lead to decline in timber resources

In addition, the occurrence of decreasing and cutting is severe, leading to a severe drop in wood resources. At precisely the exact same time, in the past several decades, the ancestral graves have flourished, and fireworks and firecrackers have generated many forest fires, inducing significant resource losses.

Consequences: wood shortage, wood product prices rise

China is a nation with a massive wood consumption, and over 40 percent of its overall consumption is dependent on imports. To be able to develop the local market, the producing nations also have always raised higher export demands and increased the amount of wood. Within this circumstance, the national timber market will slowly become tight. This is going to be directly represented in the purchase price increase cost.

The gain in the purchase price of raw materials right resulted in a multiplication of price pressures. Along with raw materials, transport and labour costs have grown sharply. Additionally, the present price of wood is rising, leading to the purchase price of wood products needing to grow!

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