Wood and wood based products are an important part of our day to day life. In India, three main types of wood based panels viz., plywood including blockboards and flushdoors, fibreboards and particleboards are manufactured. Wood products include: cases, boxes, hard wood flooring, joinery, wood casks, treated rough wood, pre-fabricated wooden buildings, wood carvings, door frames and other niche items. Most wood in India is used for the manufacture of doors, window frames, wall panels, moldings and furniture. Domestic manufacturing is highly fragmented and unorganized with much of the production, particularly for doors, windows and interiors still done by individual carpenters on site. The appreciation of the need for rational utilization of wood as a raw material has resulted in the increased consumption of these products everywhere.
The share of American woods in the Indian import market is relatively small, but has grown from 0.4 percent to almost 1 percent ($12.8 million). India’s supplies of domestic wood are very limited. Because of this shortage, the import market for raw and semi-processed wood is expected to increase with demand and construction activity over the next few years.
The upcoming Commonwealth Games in 2010 will also support growth of the housing and construction sectors in India. Imports constitute 20 percent of total annual consumption of wood in India, while plantations and forestry contribute 58 and 22 percent respectively.
Logs account for the largest portion (67 percent) of all wood and wood products imported into India due to relatively lower import tariffs and a local preference for unprocessed wood. Imports of logs have increased by 72 percent to $1.14 billion. India imports logs mostly from Malaysia, Myanmar, Ghana