The German timber industry reported sales increases of 9.5% (EUR18.94 billion), said EUWID. President of the German Association of Wood Working and Plastics Industries (HDH), Dirk-Uwe Klass, announced the results during the association·Żs annual press conference in Cologne on 30 August. Despite the overall rise in sales, the timber industry had to overcome slow domestic order inflows. Klass said the jump in sales were mainly due to prices for exports and price increases in the furniture sector. Companies that were associated with the building sector fared better in the first quarter than the second
quarter, since there was reduced investment in residential building during the second quarter.
Sales rose for veneers, plywood, wood fiberboard and particleboard by 17.2% in the first half of the year.
Excluding furniture, the association expects a 9% rise in sales to EUR19.billion for the year 2007. This would mean that the second half of the year would experience a slow down in sales, due to the decline in building activity. Nevertheless, furniture sales are expected to grow 5% in 2007.