Pine log Price Changes in South America : a comparison of Argentina, Brazil, and Uruguay markets

• Autores: Hildt, Eduardo; Bussoni, Adriana; Morales Olmos, Virginia; Mac Donagh, Patricio Miguel; Cubbage, Frederick W.
• Año de publicación: 2022
• Idioma: inglés
• Tipo de recurso: artículo
• Materia: Southern Cone; Cointegration; Sawmills; Pulp mills; Sawlogs; Pulpwood
• Institución: Universidad Nacional de Misiones

Fil: Hildt, Eduardo. Consejo Nacional de Investigaciones Científicas y Técnicas; Argentina.
Fil: Hildt, Eduardo. Universidad Nacional de Misiones. Facultad de Ciencias Forestales; Argentina.
Fil: Mac Donagh, Patricio Miguel. Universidad Nacional de Misiones. Facultad de Ciencias Forestales; Argentina.
Fil: Bussoni, Adriana. University of the Republic. Department of Social Sciences. School of Agronomy; Uruguay.
Fil: Morales Olmos, Virginia. University of the Republic. Department of Economic Sciences. CENUR Northeast; Uruguay.
Fil: Cubbage, Frederick W.. North Carolina State University. Department of Forestry and Environmental Resources; USA.
We analysed the degree of price cointegration among pine log markets in northeast Argentina, Paraná 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 Paraná 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.