Raw Material Shortages and Price Surges
Definition
Procurement and receiving processes are hit by worldwide timber shortages, causing soaring prices absorbed by manufacturers, increased freight costs, and production below capacity despite order growth.
Key Findings
- Financial Impact: AUD millions in absorbed timber price rises; manufacturers operate below capacity leading to lost output[1][2]
- Frequency: Ongoing since 2020, worsened by COVID-19 and HomeBuilder program
- Root Cause: Global shortages, shipping delays, and domestic demand exceeding 17% increased timber production
Why This Matters
The Pitch: Household furniture manufacturers in Australia waste millions annually on elevated raw material costs and delays. Automation of procurement tracking eliminates stockouts and price volatility.
Affected Stakeholders
Procurement Manager, Production Manager, Supply Chain Coordinator
Deep Analysis (Premium)
Financial Impact
Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.
Current Workarounds
Financial data and detailed analysis available with full access. Unlock to see exact figures, evidence sources, and actionable insights.
Get Solutions for This Problem
Full report with actionable solutions
- Solutions for this specific pain
- Solutions for all 15 industry pains
- Where to find first clients
- Pricing & launch costs
Methodology & Sources
Data collected via OSINT from regulatory filings, industry audits, and verified case studies.
Related Business Risks
Procurement-Induced Production Delays
Illegal Logging Due Diligence Non-Compliance
Fehlkalkulation der Materialkosten im Stückverzeichnis
Nicht abgerechnete Varianten und Zusatzleistungen durch unvollständige Stücklisten
Verschwendung und Ausschuss durch fehlerhafte oder unvollständige Stücklistenangaben
Kosten für mangelhafte Produktqualität durch falsche Materialzuordnung in der Stückliste
Request Deep Analysis
🇦🇺 Be first to access this market's intelligence