The mild weather this winter is becoming a major problem for the forest industry in Southern Sweden and Southern Finland. It is difficult to get the timber out of the forest when the ground is thawing and wet after all rains.

Mr Leif Brodén, group manager of the Södra company, says that the situation is far from ideal and it is doubtful how long it is possible to continue working with forest machines under such conditions. Södra’s present priority is areas where the carrying capacity of the ground is the best.

Mr Claes Rasmussen, financial analyst at the Swedbank, is also worried. Experiences from last year indicate that the warm weather will impact the timber flow. There are small prospects of any improvement in view of all atmospheric low pressures and rain in Southern Sweden and Southern Finland. Profit warnings from the wood processing companies concerned cannot be excluded.

In Northern Sweden, where the forests of the company SCA are located, the present situation is better. The company's CEO, Mr Jerker Karlsson, says that the company has a sufficient amount of timber in stock for managing the supply side.