Excellent cooperation with owner-members

The import duties announced by the United States are causing uncertainty in the global economy, and the market situation in the forest industry can be described as subdued. However, wood trade in Finland has continued to be brisk in the early part of the year. The price level has remained very high, meaning that the situation remains unhealthy in relation to the end product market.
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EVP, Metsä Forest

In the Baltics, demand for pulpwood was balanced in the early part of the year. The roadside price level of overbark pulpwood was below Finnish prices. In Sweden, demand for logs and pulpwood was strong, and overbark prices were close to the level in Finland.

Our wood purchases were successful in the early part of the year, supported by the renewed price guarantee model and the member campaigns carried out. In line with our ownership strategy, most of our wood purchases in Finland were made from the members of Metsäliitto Cooperative, with whom we have enjoyed very good cooperation. The popularity of the Metsä Group Plus management model, which emphasises forest biodiversity, continued to be strong. Sales of forest services increased by more than 25%. The forest owners’ customer experience continued to develop excellently and reached yet another record level. Thank you very much for your valuable feedback. We will continue to actively improve our performance.

In January–March, the weather conditions for harvesting were challenging in southern Finland because of the mild winter. Nevertheless, we successfully met the mills’ demands for wood, and delivery volumes increased clearly from the previous year.

We will continue active wood purchases. We are still most interested in thinning stands available for summer harvesting and wood from delivery sales, as well as crown wood and small trees in terms of energy wood.

We have agreed to sell our wood procurement business in Latvia to ACA Timber, a Latvian company. The transaction is expected to be completed by the end of June. Long-term deliveries of pulpwood and wood chips to Metsä Group have been agreed with the buyer.

In March, national criteria for old-growth forests were adopted, and Metsä Group also adheres to them. We only operate in commercial forests, which means we do not procure wood from old-growth forests, natural forests, or forests that are or should be protected. The same applies to our third-party purchases.

Metsä Group’s wood supply and forest services will employ 130 young people this summer. Some of them are 16–17-year-olds, who will be planting forests. In other words, we are continuing the operating model launched last summer aiming to familiarise young people with the industry. In addition, forestry students will be working in wood purchases, logistics and mill reception this summer.

Summer is a time of active forest management. Let’s work together to take good care of our forests and focus on good forest management to ensure that carbon sinks become stronger, and forests remain vibrant in the future. Have a great start to the summer!

Text written on 29 April 2025

EVP, Metsä Forest
Juha Jumppanen, EVP, Metsä Forest, is responsible for Metsä Group’s wood procurement and forestry services. He has worked his entire career at Metsä Group. He started in the forestry service business, and since then he has gained experience in harvesting, industrial customer relations, member services and wood trade. Continuous improvement and the development of customer experience and employee satisfaction are particularly close to his heart.