Import:Export Wood Purchasing News - August/September 2017
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Business Trends Canada- Continued from page 23<br />
Even with some contacts noting lower prices on Select and Better Red<br />
Oak, the majority of recently reported transactions resulted in prices<br />
being adjusted upward. Demand for White Oak was reported as steady,<br />
with increased interest from Europe for this species for the upper grades.<br />
Contacts felt it was harder to move upper grades than the Common<br />
grade stock. Walnut sales and prices remained steady in recent weeks,<br />
commented contacts. Demand for Hickory has been better in overseas<br />
markets than in North American markets. <strong>Export</strong>s to Mexico and China<br />
were reported as brisk. Domestic cabinet manufacturers are controlling<br />
their purchases of this species, while some fl ooring manufacturers have<br />
advised they’ve increased their purchases of Hickory. ■<br />
Business Trends U.S.A.<br />
Lake States Region<br />
Contacts among the Lake States region defi ne the hardwood market as<br />
tepid with signs of improvement. Some parts of the region are experiencing<br />
steadiness, while others are seeing the market as fair or quiet. All are<br />
in accordance that transportation has substantially improved with the help<br />
of fuel prices remaining low, but it still is a challenge to fi nd good, reliable<br />
drivers.<br />
“Right now the overall market in this area is steady. There is more<br />
demand in the market which leads to more production. I’m getting more<br />
inquiries from brokers and new customers,” commented a hardwood supplier<br />
in Michigan.<br />
This source handles 4/4 to 6/4 in Oak, Maple, Aspen and Ash with different<br />
grade variations. He noted that all grades of hardwood, including<br />
industrials, are selling the best and are up, with the exception of Ash,<br />
which has decreased.<br />
“Our customers are independent companies, wholesalers and brokers,”<br />
he mentioned. “Our customers haven’t spoken anything about the markets<br />
to us, but with the number of calls we’ve been getting from them, the<br />
market shows that demand is increasing.”<br />
This hardwood contact has noted that their inventory level for logs and<br />
lumber is adequate.<br />
“We’re good on both. We have a pretty good log deck, of course Oak<br />
is slowing us down a little bit, but we have a good enough supply,” he<br />
added.<br />
In Ohio, a lumber distributor senses that his area of the region is quiet.<br />
“Right now the lumber market is a little quiet, it doesn’t seem as upbeat<br />
as it was a couple months ago,” he expressed. “The market now shows<br />
more demand than before, which ramps up production.”<br />
This Ohio lumber manufacturer handles Yellow Poplar in No. 2 Common<br />
and Better with thicknesses ranging between 4/4, 6/4 and 8/4. He reports<br />
that White Oak in all thicknesses and grades is selling the best for him.<br />
“Our customers are mainly distribution facilities,” he commented. “Some<br />
of our distribution yards we sell to in Chicago, various cities in Virginia,<br />
and Buffalo have picked up a little bit. But for this time of the year, school<br />
is out and kids are home, so a lot of people are getting into building<br />
homes and remodeling, which is good for our customers and good for us.”<br />
Inventory levels of logs for this contact is low compared to last year;<br />
lumber inventory is staying about the same.<br />
The market from the perspective of a hardwood sales manager in Indiana<br />
is fair, and slightly better than it was six months ago.<br />
“The market has shown that it has gotten better with production and demand,”<br />
he said. “I believe that in the next few months it will stay about the<br />
same. There shouldn’t be any major changes, we’re just going to cruise<br />
by with steadiness.”<br />
This hardwood sales manager handles mainly No. 2 Common and Better<br />
in Red Oak, Yellow Poplar, Cherry and Hard Maple in 4/4 thickness.<br />
Customers for this contact are manufacturers, wholesalers and distribution<br />
yards.<br />
“The rain and mud had a signifi cant impact on us, but that has improved<br />
since the weather has gotten better. A factor that has everyone concerned<br />
until it sets in is the new Presidential administration, so I think things are<br />
going to level out a little bit, but our customers seem to be seeing overall<br />
improvements in the market,” he commented.<br />
Northeast Region<br />
Sources contacted across the Northeast all agree that the market is<br />
steady to good. Transportation – fi nding trucks and adequate drivers<br />
seems to be improving, as there are little complaints from the Northeast<br />
stating their concerns.<br />
Weather has been sporadic across the U.S., with massive amounts of<br />
rainfall being reported throughout<br />
Continued on page 25<br />
One Success Story After Another...<br />
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<strong>Import</strong>/<strong>Export</strong><br />
Bill Reese<br />
Penn-Sylvan International, Inc.<br />
Spartansburg, Pa<br />
Bill Reese<br />
CALL US TODAY<br />
901-372-8280<br />
OR email Kristina@millerwoodtradepub.com<br />
For Ad rates and marketing support services unavailable elsewhere.<br />
Penn-Sylvan International, Inc., located in Spartansburg, PA, carries Six 1/4 page Ads in The <strong>Import</strong>/<strong>Export</strong><br />
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Page 24 <strong>Import</strong>/<strong>Export</strong> <strong>Wood</strong> <strong>Purchasing</strong> <strong>News</strong> <strong>August</strong>/<strong>September</strong> <strong>2017</strong>