Shipping rates in Europe and East Asia continue upward trend

Timber and forestry products have taken the lion’s share among the cargo handled by the Port of Riga during the current year, according to the port’s operational data.

In particular, over the last two months, more than a million tons of timber have been handled in the Latvian port, while the timber cargo segment this year forms the largest cargo group in the port, providing 24% of the total port’s turnover.

In addition, the forestry cargo segment, which includes pellets, wood chips, sawn timber and general timber cargo, such as logs, boards, wooden panels and other products, was another highlight in the Port of Riga this year.

Apart from timber storage and transshipment, several companies in the port also process timber from drying and impregnation to the production of semi-finished products for wooden house modules. Such operations increase the added value of timber cargo, as well as enhance the competitiveness of the Port of Riga in the forestry cargo segment.

The steadily growing forestry cargo segment includes wood pellets (+ 7% in 10 months) and wood chips (+ 8% in 10 months). Especially, the highest annual volume of forestry cargo handled this year was 570,000 tons in October.

Experts believe that the increase in the volume of wood pellets and wood chips in November could be related to the approach of the heating season and higher demand for raw materials.

The demand for logs in the market has also increased, according to an announcement, so the relevant turnover has also increased in the port of Riga. Experts explain the increase in exports of forest products with the approach of Brexit.

According to the port data, more than half of all timber loaded on ships was sent to the United Kingdom in October.

Forestry cargo is being handled at 14 terminals of the Riga Port, the largest timber port in Latvia, and according to the information provided by stevedoring companies, 85% of all timber cargo handled in the port of Riga are Latvian exports, and the top export markets have remained unchanged for several years – the UK, Scandinavia, Finland and the Netherlands.

In total, in 2020, forestry cargo was sent from Riga to ports of 18 different countries.

Source: Container News