An Exponential smoothing model is preffered to the multiplicative time series model for forecasting purposes. The Exponential smoothing model is best for short term forecasting than regression and moving average. In present study single parameter Exponential Smoothing model was used for forecasting purpose. Therefore, prediction of prices of different classes of teak were made by Exponential smoothing model, so that the predicted values are more closer to the actual values. Kirby (1966) noted that in terms of month forecasting accuracy. Exponential smoothing model did best with smoothing averages and exponential smoothing giving similar results when the forecasting horizon was increased  by six months.