Modelling Birch Pulpwood Imports to Finland

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Abstract:

Recent increases in pulpwood imports to Finland have raised an intense debate about their possible effects on the domestic wood markets. Since important institutional and structural changes in the market environment have taken place in the markets during the 1990s, it is important to take these into account in modelling imports. Our results consider three different time periods between 1986 and 1998, and indicate that market mechanisms in Finnish birch pulpwood imports have improved substantially in the latter part of the 1990s. Imports are found to be elastic with respect to changes in pulpwood import price, domestic pulpwood price and pulp export price. Furthermore, imports of birch pulpwood seem to have complemented the domestic market rather than to have been a substitute for it.

Keywords: FINLAND; IMPORTS; MARKETS; PULPWOOD; WOOD

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/028275801300088260

Affiliations: 1: Pellervo Economic Research Institute, Eerikinkatu 28A, 00140 Helsinki, Finland 2: Finnish Forest Research Institute, Unioninkatu 40 A, 00170 Helsinki, Finland

Publication date: March 1, 2001

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