In March 2023, according to the Global Timber Index (GTI) Report, it showed: The international processing and trade of tropical timber was still relatively floundering and the process of market recovery was slightly slow. In March, the GTI of Indonesia, Mexico, Gabon and Republic of the Congo recorded 40.8%, 44.4%, 45.6% and 39.1% respectively, which showed that there was a continuous downward trend in the timber industry business of the four countries mentioned above, however, the decline range slowed down compared to last month. Among them, GTI-Indonesia and GTI-Gabon had been narrowing the decline range for two consecutive months, and there were certain signs of bottoming out and recovery in the timber market. GTI-Brazil and GTI-Malaysia recorded 42.4% and 22% respectively, both of which continued to decline below the 50% critical value, which showed that there was a simultaneous downturn in the supply and demand of timber markets in the two countries, which was filled with a cold trading atmosphere, with a lack of foundation for the positive trend of industry prosperity. China's GDP growth rate reached 9.7% in the first quarter, which continuously enhanced the development of timber processing. There was a continuous increase in the order quantity and production quantity of enterprises for two consecutive months. In March, the GTI-China recorded 53.9%, which made it the only country above the critical value. Every pilot country has been making continuous efforts to promote the development of the timber industry although there is still insufficient momentum for the resurgence of the international timber market. For example, Republic of the Congo is intended to set up two special economic zones that focus on wood processing. The Malaysian government makes great efforts to promote Malaysian brands into the international market, especially high value-added products. Indonesia takes the initiative in expanding the UK and US markets, and ten Indonesian enterprises and two British enterprises have entered into a Memorandum of Understanding for the purchase of wood products that are worth 112 million US dollars. Please see the GTI pilot country reports for the detailed data and analysis. In view of the issues the timber market is confronted with, GTI enterprises also put forward some positive suggestions. For example, GTI-Mexico enterprises propose that they should expand new customers through online trading platforms; GTI-Brazil enterprises propose that they should improve the productivity of sawmills; GTI-ROC enterprises advocate reducing local forest taxes, etc.

GTI Monthly Report-March 2023.pdf