Wood fiber costs, which can account for up to 70 percent of the production costs for a pulp mill, fell in many markets during the first Quarter of 2012, according to the Wood Resource Quarterly. The biggest declines were seen in Western Canada, Europe and Brazil.

Global sawlog prices fell in late 2011, especially in lumber export-oriented countries such as Western Canada, Finland, Sweden, Russia and New Zealand, reports the Wood Resource Quarterly.

Wood chip exports from Latin America are on track to reach a record high of almost eight million tons in 2011, reports the Wood Resource Quarterly. This would be an increase of seven percent from last year and of almost 60 percent higher than in 2006.

Weaker lumber markets are causing global sawlog prices to fall for the first time since early 2009, reports the Wood Resource Quarterly. Biggest price reductions occurred in Japan, Sweden, Poland and Russia.

The hardwood wood fiber price index (HFPI) reached a 24-year high in the 3Q/11 at the same time that hardwood pulp prices fell by 26% from June through October, reports the Wood Resource Quarterly.