In the four countries annual growth rates ranged between 5 and 9% in 2010, despite Mexico continuing to be tied by an umbilical cord to the weak US economy, and a once-in-a-lifetime earthquake in Chile.

In the second half of last year, producers reported their plants were fully sold as MDF panels led the charge with annual growth of some 28%.

One small newcomer to the Brazilian fibreboard market is already achieving remarkable success in the country’s northeast region, barely a year after pressing its first MDF panel.

Key to the success of this Chilean group’s strategic plan is how it develops its existing operations to serve the region’s huge and still-growing board market in Brazil.

Emboldened by Brazil’s seemingly insatiable love affair with MDF, the southern hemisphere’s biggest producer is investing over US$766m to add over 1.2 million m3/year more to its already sizeable board capacity.

The country’s latest Siempelkamp ContiRoll line, starting up this October, represents the first phase of what is a major integrated wood products complex. Apart from MDF, it will later include a 700,000m3/yr MDP (medium density particleboard) line, two low pressure melamine finishing units and a paper impregnation line, as well as a 310,000m3/year lumber saw mill.

Global recovery from the depths of the Great Recession has been led by the developing world, particularly China, with full support from other parts of Asia and from South America.
China’s ability to absorb huge quantities of raw materials as it builds a 21st century economy has stimulated demand for foodstuffs, metal ores, chemicals and fuel. Beneficiaries of this economic activity are to be found in disparate places around the globe, from Australian iron ore miners to West African timber producers. Latin America has also enjoyed dining at China’s table, whether the guests have been Chilean copper producers, Argentine soy growers or Brazilian pulp companies.