Industry Analysis & Industry Trends
The Timber Wholesaling industry supplies everything from structural timbers to dressed wood panels, plywood products and veneers. The industry supplies a full range of timber products to builders and manufacturers through timber yards, large retail hardware chains, independent hardware stores and garden supply centres.
The industry is forecast to generate revenue of $6.15 billion in 2012-13, up 2.5% on 2011-12. However, industry revenue is expected to trend down by an annualised 1.3% over the five years through 2012-13. Demand for timber products has been negatively affected by subdued investment trends in the housing construction market, a slump in the commercial property market and softer demand for domestically produced furniture... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The industry is in a decline stage of its life cycle because the market for timber products is gradually being eroded by the substitution of non-wood alternatives (steel, glass and concrete). Technological advancements in timber production have helped stave off the substitution effect. However, the industry remains vulnerable to wholesale bypass. The structure of industry ownership is changing as timber manufacturers set up their own wholesaling operations to deal directly with clients.
The industry will steadily lose its share of the total economy through product substitution and wholesale bypass. The long-term pace of industry expansion falls behind that of Australia's GDP and demand is heavily dependent on growth in the downstream construction and manufacturing markets... purchase to read more