Journal of Forest Economics > Vol 37 > Issue 2

Pine Log Price Changes in South America: A Comparison of Argentina, Brazil, and Uruguay Markets

Eduardo Hildt, Faculty of Forestry Sciences - UNaM - CONICET, Argentina, , Adriana Bussoni, Department of Social Sciences, School of Agronomy, University of the Republic, Uruguay, Virginia Morales Olmos, Department of Economic Sciences, CENUR Northeast, University of the Republic, Uruguay, Patricio M. Mac Donagh, Faculty of Forestry Sciences - UNaM, Argentina, Frederick W. Cubbage, Department of Forestry and Environmental Resources, North Carolina State University, USA
Suggested Citation
Eduardo Hildt, Adriana Bussoni, Virginia Morales Olmos, Patricio M. Mac Donagh and Frederick W. Cubbage (2022), "Pine Log Price Changes in South America: A Comparison of Argentina, Brazil, and Uruguay Markets", Journal of Forest Economics: Vol. 37: No. 2, pp 217-236.

Publication Date: 20 Feb 2022
© 2022 E. Hildt, A. Bussoni, V. M. Olmos, P. M. Mac~Donagh and F. W. Cubbage
Southern Conecointegrationsawmillspulp millssawlogspulpwood


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In this article:
1. Introduction 
2. Materials and Methods 
3. Results 
4. Discussion 
5. Conclusions 


We analysed the degree of price cointegration among pine log markets in northeast Argentina, ParanĂ¡ State of Brazil, and Uruguay by examining price series over the period 2008--2020. We evaluated the cointegration of price series of the same product through the study regions. In the same way, we analysed the cointegration of price series of different products within the same zone. We found market cointegration for medium sawlogs and export logs, between ParanĂ¡ and Uruguay and between Misiones and Uruguay. In addition, pairwise groups of sawlogs, pulpwood and woodchips were cointegrated in sawmill and pulp mill-markets. In regions without pulp mills, the prices of sawlogs and veneer logs of similar size and quality were cointegrated. These results reveal the existence of a dynamic of substitution. Usually, veneer logs are delivered to sawmills. However, in some situations, small sawlogs may be downgraded and sold to pulp mills.



Journal of Forest Economics, Volume 37, Issue 2 Special Issue - The Economics of Global Forest Investment: Articles Overiew
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