Industry Analysis & Industry Trends
Over the five years through 2014-15, production within the Log Sawmilling industry has decreased, with particularly large falls in 2010-11 and 2011-12, as downstream demand declined, particularly from housing construction. Demand for sawn wood generally follows housing construction cycles. The housing construction sector represents Australia's largest final timber purchaser, together with demand from timber resawing and dressing companies. Over the five years through 2014-15, industry output is estimated to decrease by an annualised 1.3%, generally in line with declines in demand from housing construction. Industry revenue is expected to decrease by an annualised 3.4% over the same period.
IBISWorld expects that during 2014-15, the industry will record revenue of $1.2... purchase to read more
Industry Report - Industry Analysis Chapter
The Log Sawmilling industry has struggled over the past five years due to increased substitute competition and weak downstream demand. Industry revenue has declined over the period, with some large variations from year to year in response to demand changes for sawn wood. This moderate volatility reflects changes in the domestic demand trends. Domestic demand is influenced by residential and commercial construction cycles, demand from timber resawing and dressing companies, demand from wooden furniture manufacturers, and import penetration. Housing construction and dwelling commencement levels have the most effect on the industry, due to the high use of timber in frames, doors, windows and flooring... purchase to read more