Mato Grosso do Sul state, located in Brazil's Midwest region, has emerged as the center of the country's forest products industry. Forest2Market do Brasil has just finished a detailed wood supply chain study that shows that demand for wood will be fierce in Mato Grosso do Sul in the coming years.
As they did from 2Q2012 to 2Q2013, year over year delivered prices for pine pulpwood, hardwood pulpwood, and wood fuel in the US South increased between 2Q2013 and 2Q2014. Prices for pine pulpwood and hardwood pulpwood, however, decreased from 1Q2014 to 2Q2014, while quarter over quarter prices for wood fuel increased.
Even though forest biomass as it is sourced for energy production today has a positive carbon benefit compared to fossil fuel alternatives, the perpetuation of this debate slows advancement of policy and prevents any progress toward the end goal of slowing, and eventually reversing, climate change.
When I read that the Partnership for Policy Integrity requested the Federal Trade Commission investigate the biomass industry for its claims that biomass produces clean energy, I was befuddled and annoyed. I thought environmental groups existed to solve environmental problems like climate change, not to further problems by attacking viable solutions like bioenergy.
Despite documented climate change and the need for energy security, vocal opposition to the use of wood biomass for energy is the norm. The benefits of reduced greenhouse gas emissions and dependence on foreign energy sources are drowned out by strong voices that express fears of deforestation.
The harvest and subsequent regeneration of trees is a serious business for the forest industry. Landowners manage forests to maximize tree growth, and subsequently, return on investment. Forest products companies use the trees they buy from those landowners to the fullest extent possible.
Industrial production and manufacturing and non-manufacturing industry performance as reported in Forest2Market's monthly Economic Outlook, a 24-month forecast of macroeconomic indicators.
Verso Paper plans to shutter its Bucksport, Maine paper mill by year end, plus other news pertaining to timberland sales, lumber production, wood pellets and wood biofuels over the past month.
