In economy, when a price rises, it is generally because there is a shortage of the commodity. This time there is no exception: 35% of the timber supply comes from Guarayos Province in Santa Cruz. Some of the species are scarce in the market and prices went up more than 200% as stated by the Bolivian Chamber of Forest’s general manager Jorge Avila. 

For example, in construction the ochoo specie went from Bs1.80 to Bs5.50 (sold by board foot); bibosi from Bs5 to Bs14 and tajibo from Bs5 to Bs12 (official exchange rate is Bs6.96 per one American dollar). 

The reason for this shortage relies in the new control system established by the Forest and Land Authority (ABT), which requires some legal requisites and verification before delivering the forest certificates, which are needed to transport the wood out of the forest. Guarayos has over 1.5 million hectares and production remains stagnant. Avila said they are in agreement with the system, well intended but more theoretical than practical. 

Production had started two months ago but the produce is still there as the verification process is very slow. 

http://www.paginasiete.bo/2011-07-25/Economia/Destacados/57eco-001-0724.aspx 

If the new verification system is well intended, fine, however ABT should consider revision or expediting that system. The urban major activity is construction and if prices are already 200% above, budgets will force prices of the constructions to be absorbed by the final buyer.