Border Timbers records slump in volumes

This was as a result of COVID 19 induced supply chain disruptions and low demand

0
303
  • Overall production volumes fell by 26.3 percent
  • Sales volumes by 15.8 percent
  • Leading to revenue decreasing by 38.4 percent

Harare – Forestry and sawmilling company, Border Timbers says supply chain disruptions and low product that came as a result of the COVID-19 pandemic caused their lumber and transmission poles production and sales volumes to fall in the nine months to March 31, 2021, despite demand for lumber being very high in both the local and export markets.

In the period, the production of transmission poles fell by 34.3 percent from 9 434m3 in the nine months to March 31, 2020, compared to 6 195 m3 in the period under review.

Meanwhile sales volume for the product fell by 22.1 percent to 7165m3 from 9 202 m3 in the prior comparable period.

The trend was the same for lumber which experienced a 24.6 percent decline in production levels from 43 828m3 in the comparable period to 33 041 in the period under review.

Complementarily, lumber sales tumbled by 14.5 percent from 42 306m3 to 36 155m3.

“Lumber production is lower compared to the prior year due to disruptions in production and logistical bottlenecks that were caused by the COVID-19 pandemic. Demand for lumber remains very high both in the local and the export market.

“Treated poles reflect a decline in production and sales volumes compare to the prior year, this was because of lower demand since the advent of COVID-19,” said the company’s judicial manager Peter Bailey.

Overall, production volumes fell by 26.3 percent while sales volumes lowered by 15.8 percent which trickled down to revenue decreasing by 38.4 percent to 1.004 million, coming down from 1.387 million.

Equity Axis News

LEAVE A REPLY

Please enter your comment!
Please enter your name here