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Pine cutting to be resumed at Braviken sawmill

11.02.2020 − 

Holmen will resumed pine cutting at its Braviken sawmill from mid-February. According to information from Johan Padel, CEO of the “Holmen Timber” division, by far the largest proportion of the processed roundwood volume, however, will be accounted for by spruce at approximately 80 %. Accordingly, the proportion of pine will be around 20 %. As in the last few months, the bulk of the produced spruce sawnwood will be sold to customers in the USA. The share of the USA deliveries is to gradually decrease, however. Since September 2019, Holmen has only been cutting spruce at the Braviken facility in order to process the beetle-damaged wood in the region as quickly as possible.

In the fourth quarter of 2019, Holmen Timber increased is sales volume of sawnwood by 8 % against the same quarter of the year before to 214,000 m³. In the first and the third quarters, the volume of sales had risen to the same extent. The sold volume had fallen by 3 % in the second quarter. Accord-ing to the quarterly report published on 30 January, sales revenue fell 8 % short of the previous year’s figure at 385m SEK. With an operating loss of -7m SEK, the division had to record a negative result in the fourth quarter as well. The operating result had already turned out to be negative in the third quarter at -14m SEK. After an increase in the first quarter (+42 % to 54m SEK), the operating result fell in the second quarter (-62 % to 29m SEK).

During the course of last year, the sawnwood markets were under strain from the surplus supply of roundwood in central Europe. Sawnwood prices decayed further as the year progressed; the rate of decline slowed towards the end of the year, however.

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