January 2005

New Promotion Initiative to be launched in 2005

10 January 2005

A new initiative to fund the generic promotion of wood and wood products is to be phased-in during the 1st quarter of 2005 consisting of a premium being added to the invoice value of all wood and wood products.  It is intended that the scheme will be fully operational by the end of March 2005.  More specific details will follow early in the New Year.

The rate will be 0.2% of the pre-VAT invoice total and will apply to all wood and wood-based products supplied to the UK market from both overseas and domestic producers.  It will appear as a separate amount on suppliers’ invoices (direct suppliers or agents’ invoices as appropriate) and then will be absorbed into the cost of the goods in subsequent transactions.  The premium amount itself is outside the scope of VAT and thus will not be subject to VAT.

A new independent organisation, Pro-Wood Ltd has been created to collect and administer the new fund, which will be used to finance generic wood promotion across the UK covering all product sectors.  Funds raised will be spent on a variety of promotional, marketing, educational and lobbying initiatives and will also be used to complement the Nordic Timber Council funding of the wood.for good campaign.

TTF President, John Tong, said, “The crucial importance to the trade of the success of Pro-Wood cannot be underestimated.  It would be a disaster if the momentum behind the wood.for good campaign were to be lost and at time when the aesthetic, technical and environmental advantages of using more wood and wood products has become clear.

I call on those in Federation membership to give their backing to this critical development and for all non-Federation members to throw their weight behind its successful implementation.”

Jan Soderlind, Chairman of the Nordic Timber Council, which is the principal funder of wood.for good said, “If the Premium can be made viable it offers the prospect of bringing complementary funding to our campaign and can ensure its continued progress and success.“
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For Further information contact:

enquiries@pro-wood.co.uk
ttf@ttf.co.uk -  Tel:  020 7839 1891
info@ntc.se  -  Tel: +46 08-440 85 60