Participation of traders in e-trade in raw wood will lead to rise in timber prices – EBA

16:49, 05.02.2020 1 min read

The European Business Association (EBA) fears that participation of trader companies in electronic auctions for the sale of unprocessed wood will lead to a rise in timber prices.

According to the association's commentary on the government resolution, the EBA appreciates the willingness of government agencies to find the best mechanism for the sale of raw wood to processors and generally supports the pilot project for electronic auctions for the sale of raw wood, which began on February 1, 2020.

However, according to the association, the mechanisms offered by the ProZorro platform are not suitable for all products and industries. In particular, according to EBA experts, such a product is wood.

In addition, the association experts have several important remarks regarding the content of the project. The association believes that the right to participate in tenders should be given exclusively to real manufacturers. Participation of trader companies in trading will lead to a rise in the price of wood, since for them timber is the material for resale, while for woodworkers it is the basis of production.