According to the report, pulpwood prices have fallen faster in Europe in US dollar terms than they have in comparison to non-European markets.

It found the biggest declines occurred in Sweden, France, Finland and Germany, where softwood and hardwood prices were down 11-18% from the previous quarter.

Wood costs for pulpmills in Sweden and Finland dropped by 30%, following reduced operating rates for plants across the countries.

Pulp companies in Sweden have recently introduced premiums of up to 10% for pulpwood deliveries in the company months.

However, despite the fall, WRQ said that the Nordic region still has one of the highest wood fibre costs in the

Over the past few years, the Finnish forest industry has been hit by several paper companies announcing plans to permanently or temporarily close pulpmills. 

The market has also been hit by a fall in demand and high raw material costs.