It is reported that an international timber trading market will be built in Beijing. Apparently this will be jointly financed by forestry consortia in China and from America, Malaysia, Australia, England, France, Italy and New Zealand.

It has been reported that the investment in the first stage fo the international market will be about US$200 million jointly funded by Chinese forestry authorities, enterprises and contributions from 8 countries. The market area will be some 100,000 square metres and will provide both wholesale and retail outlets.

The market will, apparently, be equipped with an international timber trading centre, an international forest and wood industry exchange centre, a wood industry exhibition centre and facilities for wood industry science and technology training. Construction and commissioning is expected to be completed in 2007.

Beijing's timber consumption

The consumption of imported timber in Beijing has been booming in 2003. According to the latest statistics from China's custom, during the period January to September, the total value of imported timber and wood products consumed in Beijing had reached US$19.42 million, up by 22.4% compared to the same period last year. According to local analysts there are several reasons for Beijing's imported timber boom.

House construction has developed very rapidly, especially for housing deemed locally as "Green and Healthy". This sector developed very quickly after the SARS. Considerable attention has also been given to affordable housing. Other factors include the renovation of residential and municipal buildings, (notably halls, stadiums, airports and stations). Development work for the 2008 Olympics is also driving demand for timber and construction associated with the Olympics will be a major factor in timber consumption in the years to come.

Timber consumption in Beijing has some discernable characteristics. Log consumption has been showing an upward trend. The use of tropical hardwoods especially from Africa has grown as has consumption of logs from North America, Europe and from Russia and Australia.

Imports of sawnwood, plywood and decorative panel have also increased driven by demand for interior joinery and furniture. In contrast MDF imports dropped because the quality of domestic panels has been improved and can meet the demands of the domestic market.