Maroc - TIMBERBIZ.COM.AU - A La Une - 11/May 00:56

Japanese online timber marketplace goes live

A Japanese group of forestry organizations has launched an online timber marketplace in February to match forest owners with buyers nationwide. Source: The Japan times About 30 businesses, mainly buyers, had registered on the platform by the end of April, with timber listings and transactions expected to increase soon. Standing timber is typically traded through negotiations. In such deals, individuals who own forests and small forestry cooperatives often have to sell at depressed prices presented by lumbering companies with large financing power and rich transaction experiences. The new platform was set up by the Tokyo-based group for promoting the use of domestic timber and protecting forests. It makes it easier for both sellers and buyers to find transaction partners from around Japan. The group aims to make the platform “an online flea market site for timber,” an official said. Organizers expect that transaction data accumulated on the site will facilitate the formation of market prices by conditions such as the tree species, volume and location, just as consumer online flea market platforms do. Forest owners could refer to market prices to consider their selling prices. If market prices become widely available, many owners would find it easier to negotiate with lumber businesses. The platform also incorporates into transaction prices reforestation costs, which are entrusted to financial institutions. Sellers can withdraw the money after replanting logged areas. This mechanism to secure reforestation funding is expected to appeal to major construction companies and home builders increasingly seeking timber sourced with consideration for forest conservation after logging.