The Swedish timber industry association (Svenkst Trä) and UK Timber Trade Federation are poised to go to court to secure the release of £350,000 of timber retained by a UK forwarder.
Mikael Westin, managing director of Svenkst Trä, flew in for talks with the TTF after Chatham-based Convoys Ltd placed a lien on more than 2,300m³ of sawn softwood from southern Sweden. The timber had been delivered to Chatham by the shipping line Siöwalls Rederi, which went into liquidation in January (TTJ January 19). Convoys is holding the timber against Siöwalls’ debts.
Mr Westin said half the timber had been paid for by UK customers. The rest was still owned by 10 Swedish suppliers.
‘We feel it is very unjust that this timber is being held,’ he said. ‘It did not belong to Siöwalls, so we find it hard to understand how Convoys feel they have a right to it.’
Mr Westin and Svenkst Trä’s legal team met TTF director-general Paul Martin and product manager Nick Boulton.
The latter said that the TTF was on the verge of court action on behalf of the 12 UK importers and agents involved.
‘Convoys has said they’ll release the timber in exchange for a "financial deposit", but our members don’t feel they should pay,’ said Mr Boulton.
He added that the TTF was also concerned that the condition of the timber at Chatham was starting to deteriorate.
Svenkst Trä said it was prepared to take legal action, or back action taken by the TTF. ‘We’re not here to negotiate with Convoys,’ said Mr Westin.
Convoys’ solicitor Simon Edwards acknowledged the dispute was ‘contentious’ but said that a lien was part of English law and that the owners of the timber had ‘benefited from the debt run up by Siöwalls’.
‘And Convoys will release the wood in exchange for security,’ he said. ‘Sadly people in this case have been more willing to reach for their megaphones than their wallets.’