Record 273 percent and 397 percent increase in the value and volume of lumber exports respectively

The value of U.S. hardwood lumber exports to India topped USD 664,224 in the first quarter of 2019, according to the American Hardwood Export Council (AHEC), the leading international trade association for the American hardwood industry. The statistics, which have been compiled from the latest data released by the United States Department of Agriculture (USDA), reveal an incredible 273 percent increase in the value of exports compared to the same time period last year. In addition, the volume of American hardwood lumber shipped to India in the first three months of this year reached 1,168 cubic meters, increasing by 397 percent from the 235 cubic meters recorded in the same time period last year.

The increases in the volume and value of U.S. hardwood lumber are indicative of the massive potential for the consumption of American hardwoods across many different sectors and both for domestic and export manufacturing in India. In contrast, exports of U.S. hardwood logs to India in the first quarter of 2019 have dropped by 49 percent in volume from 1,830 cubic meters to 930 cubic meters. A closer look at the numbers revealed that red oak and hickory exports in the first quarter jumped to 597 cubic meters and 249 cubic meters respectively from next to nothing in the same time period last year. In addition, white oak exports also grew to 189 cubic meters from the 152 cubic meters recorded in quarter one of last year.

“Globally, American hardwood lumber exports to all markets were down 21 percent by volume and 23 percent by value, whilst log exports were down 26 percent by volume and 31 percent by value. The increase in exports to India is representative of the change we have been witnessing in India with there, now more than ever, being a genuine interest in buying kiln-dried American hardwood lumber from a growing number of manufacturers. A handful of companies have already imported and worked successfully with U.S. hardwood lumber during the last twelve months or so and we strongly believe that more will follow,” said Roderick Wiles, AHEC Regional Director.

India has traditionally been a log-focused market. The increase in U.S. hardwood lumber exports is in line with a study by the World Bank, which projects that India’s organized furniture industry will cross USD 32 billion this year. While U.S. hardwood exports to India still remain low relative to the potential size of market, awareness is increasing, perceptions are changing, and demand is on the rise. AHEC believes that this is a key time for the industry to redouble its efforts in India and to try to capitalize on what could be a turning point in the market.

“Our commitment to cater to and expand further in India has seen AHEC participate at DelhiWood 2019, with seven U.S.-based hardwood and veneer exporters, who are all keen to do business in the country. Following a successful outing at DelhiWood, we organized a mini-convention and series of factory visits in partnership with the Jodhpur Handicrafts Exporters Association (JHEA). We firmly believe that the timing is right for American hardwoods in India and that genuine opportunities for business now exist. With this in mind, we fully intend to keep up the momentum in India and are planning another mini- convention in Jaipur in October, in addition to our participation at the MumbaiWood trade show,” concluded Wiles.