The price of rosewood raw materials rose by 25%. Where is the market for mahogany furniture going?

Since the beginning of this year, the major exporting countries of redwood have stepped up the export ban on raw materials of redwood. Up to now, the rosewood from the rosewood, the hedgehog rosewood in the rosewood, and the entire Dalbergia have been listed as endangered. In this case, the price of redwood will usher in a new round of rising tide. What impact will the price increase of mahogany materials have on mahogany furniture companies? What is the future trend of mahogany furniture?

Mahogany furniture set off a new wave of rising

In 2016, the average increase of raw materials of Siamese rosewood has reached 40%; the raw material of Bali Dalbergia has increased by 50%; the price of Burmese rosewood has increased by 65%; and the most unrecognized raw material of African rosewood has nearly 100%. %. In view of this, at present, the major redwood merchants in China have issued a notice of price increase of 3% to 10%. If the original purchased mahogany furniture has not paid the full amount within the specified time of the enterprise, the re-order will be executed according to the adjusted price.

At the CITES conference, a variety of commonly used red wood species were also included in the “rejection of entry” threshold. In the absence of the CITES Import and Export License of the 17th CITES Conference of the Parties, China as a member of CITES, China Customs must implement the Convention to refuse entry.

The rise in the cost of entry and exit transportation has actually been in sight since early July this year. Since July 1st, due to the change of the pounds, the restrictions on the weight have become more stringent, and the transportation costs have been increased in disguise. At the same time, the global container transportation costs have been raised, and the transportation costs of major routes have also increased. The costs incurred by these two factors have increased by about 10%.

Since September 21, the new transportation policy has gradually passed the implementation of this week, and the burden on the merchants has gradually revealed: the 13-meter semi-trailer will reduce the gross weight, the total weight should not exceed 49 tons, and the total height should not exceed 4 meters. The total amount of freight is unchanged, but the actual load is reduced by about 25%, the freight unit price is raised by about 33%, and the corresponding increase in taxes, transportation costs may increase by 35%.

Whether it is endangered regulation, strict smuggling by countries, or increased transportation costs, it is difficult to prevent the price of raw materials from rising and then rising. At present, the influence of “sealing” of redwood in Southeast Asia has gradually been reflected in the price of mahogany furniture, and the impact of endangered regulation will continue to ferment for half a year or even longer. It can be said that the rise in the price of this rosewood is a sign that the 2016 rosewood furniture entered the “bull market”.

The only remaining mahogany "old people"

After the CITES conference, the only remaining 15 kinds of redwoods are: rosewood rosewood, Andaman rosewood, Indian rosewood, big fruit rosewood, sacred rosewood, bird foot rosewood; wenge wood of African yadou, white flower ya Wood, iron knives; ebony ebony, thick ebony, medicinal ebony, poncho ebony; striped ebony Sulawesi ebony and Philippine ebony.

The chicken wing wood has many purple and brown crab claws, which resemble chicken wings. The name "chicken wing wood" comes from this. Similar to ebony, the proportion of wenge and ebony furniture in the mahogany furniture market is currently small, and more furniture is rosewood and rosewood.

The strengthening of mahogany control may be an opportunity for wenge wood and ebony, and it may also make rosewoods leap to the top. The emergence of alternative species is indispensable, but as the most "orthodox" of the "old", the status of the old mahogany will still be the authority of many people.

The "remained" mahogany is not a huge stock. For example, the CITES ASEAN Expert Group plans to submit a proposal to include the large-flowered red sandalwood and the bird-footed rosewood in the endangered appendix II at the Assembly of States Parties. Due to the reasons of the government of the country of origin, no formal proposal has been submitted to the General Assembly for consideration.

From the previous market, it can be seen that the large fruit rosewood has gradually become the weather vane of mahogany furniture. As soon as it entered the market, it was well received with clear and moist wood grain, long and mellow pear flavor and the price of the people. The tough stability of the large fruit rosewood and the obvious tiger skin grain are also known as "the grass pear that is closest to sea yellow".

The bird foot rosewood is named after its wood texture, which is mainly like the bird's foot. It is mainly produced in Laos in the south-central peninsula of Southeast Asia. Since 2016, the local wood ban in Laos has caused the price of the bird's foot rosewood to fluctuate, but relatively speaking, the price fluctuation of the big fruit rosewood may be more representative of the furniture market.

Rosewood raw material prices rose 25%

The continued rise in the price of various types of mahogany raw materials has attracted the attention of the industry: African rosewood has risen from 4,600 yuan / ton in September to 5,500 yuan / ton, and the recent market arrival is very small; the red rosewood is climbing all the way, The price of conventional materials rose from 150,000 yuan/ton to nearly 200,000 yuan/ton in half a month, and the increase has exceeded 33%; the price of Burmese rosewood has also increased from 16,000 yuan/ton to 20,000 yuan/ton. More than 25%.

The reason for the soaring price of mahogany raw materials is the depletion of resources and the importance of international exports of redwood. The number of existing mahogany is far less than people think. It takes a long time for precious redwood species to survive and grow in nature. Combined with the amazing amount of redwood wood imported from China in recent years, these huge mahogany stocks are behind the natural resources of the gradual depletion of origin, so the endangered control has been strengthened. .

When these factors are reflected in the market, this year is the gradual rise in the price of redwood logs and the recent rapid increase. The rosewood furniture market has begun to rise in price, and Myanmar furniture has generally increased by 8% to 10% in the near future, and no deposit is paid.

Hedgehog rosewood and large fruit rosewood are undoubtedly the most eye-catching species in the recent market. Although the price index has stopped rising, the market turnover is very active. Among the various types of materials, the furniture factory actively stocks the high-quality materials, which is the main reason for the recent surge in the rosewood market. Since October, the expected rebound in the mahogany market has made many timber merchants look forward to the market outlook. Guangzhou Yuzhu, Shanghai Furen and other markets in the Hedgehog rosewood, large fruit rosewood, broad-leaved Dalbergia, Sian rosewood and other materials under the strength of the market, the market sales continue to increase the situation, giving the market a large support.

Fine development is still "a hundred flowers bloom"

Although the market is booming, the characteristics of concentrated hotspots, single varieties, multiple transactions, and small quantities are not negligible. However, with the completion of the manufacturers' replenishment actions, the sustainability of the market volume needs further observation.

Among the various representative species, the influence of the hedgehog rosewood on the broader market is very important. However, under the influence of factors such as cautious manufacturers and typhoon invasion, the daily sales volume and price increase of the hedgehog rosewood narrowed. Market participants said that from the market form, the mahogany market still has upward momentum, but due to the limited amount of capacity, it can be foreseen that the recent mahogany market will be dominated by shocks, showing a slow attack.

In fact, due to the production cycle, the recent rapid rise of mahogany logs has not really been transmitted to the price of finished furniture. At present, the slight increase in the price of finished products in the mahogany furniture market only reflects the increase in the previous period. The price increase of mahogany materials has a great impact on mahogany furniture enterprises. However, as far as the current situation is concerned, the primary task of mahogany enterprises is still to go to stock.

The market for mahogany raw materials has soared, and mahogany furniture is bound to follow. In the market dominated by price, the price of wood is ultimately determined by the relationship between supply and demand. The future direction of mahogany furniture may be more refined, and there may be more “alternative” varieties. It remains to be seen.

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