National Hardwood Magazine - July 2019

CANADIAN TRENDS News

CANADIAN TRENDS News from suppliers about prices, trends,sales and inventories ONTARIO Demand for green Ash is better than for kiln-dried stocks, commented contacts. Fewer Ash logs were available, and there were also fewer mills processing this species, so supplies of No. 2A Common and Better were limited. Total green output was being shipped by mills and wholesalers for Ash. The Chinese markets have declined over time, commented exporters of this species. Aspen supply over the winter and into early spring exceeded demand. The output has since fallen closer to demand with prices being relatively the same. There is steady demand for Basswood and inventories are sufficient to satisfy buyers’ needs. Contacts noted consistent pricing for kiln-dried No. 2A and Better. Green Basswood production slowed in late spring from its seasonal peak, but there are very few shortages of various grades for this species. Contacts commented that Birch production had declined for many regions as well as for the U.S. border states. Sawmills were sawing other species such as Oak and Ash. However, Birch supplies are adequate to satisfy demand. Kiln-dried inventories were ample due to higher volumes cut during winter and spring. Winter harvested Hard Maple logs were mostly processed in late spring, with production shifting to late spring rotations of species. It is in late spring, contacts commented, that timing is most important for Hard Maple cuttings and shipments. Green lumber supplies can exceed the market’s immediate needs, which result in price pressures. Inventories of kiln-dried Hard Maple had increased over April and May, and markets struggled to absorb the available stocks which resulted in price pressures, noted contacts. The fashion trend to painted finishes has had a negative impact on the Hardwood industry by allowing substitute products and lower cost domestic and interna- QUEBEC Red Oak exports to China have been slow, note contacts, however, they added, they are not as dependent on this market as some of their U.S. counterparts. Other domestic and international markets have been absorbing some of this species’ production. Contacts advise there are ample supplies of kiln-dried No. 2A Common and Better, with prices being pressured. Wholesalers and secondary manufacturers have noted that they have all the supplies they need, or that they can’t afford to pay current green prices based on kiln-dried sales prices. With the Emerald Ash Borer having killed off Ash trees across the country and in many U.S. states, there are less Ash trees, and therefore reduced log decks of this species for many in the Hardwood industry. Another factor that hindered production of this species was the inclement weather conditions throughout late winter and most of the spring season. For those sawmills who have been processing this species, they have been able to move their entire production as demand remains steady. Buyers commented they have been cautious about purchasing Hard Maple, a regionally important species. Interest for this species was for high and low grade Hard Maple rather than for No. 1 Common grade. Markets for Soft Maple are still good, although some sellers say supply gains have softened prices for green and kilndried stocks. Some commented that summer wasn’t the best time to harvest this species and other whitewoods. Industry contacts note that White Oak markets are mixed. Many mills are processing lower quality White Oak logs due to the strong competition for better quality logs from veneer companies. Additionally, the limited White Oak log availability is keeping production down. The unemployment rate fell to 4.9 percent in Quebec and to 4.6 percent in British Columbia—the lowest jobless rates in the country following a surprising national Please turn to page 60 Please turn to page 61 8 JULY 2019 n NATIONAL HARDWOOD MAGAZINE

High Quality Northern Hardwoods Specializing in Green and Kiln Dried Hard Maple and Birch - QUALITY AND SUSTAINABILITY SINCE 1882 - Over 40 million FBM annual J.D. Irving, Limited one of the largest producers in Eastern Canada and New England. As one of the top 5 private landowners in North America we ensure a long term quality wood supply. Contact for more info: Denis Dubé, Sales Manager 506.992.9025 dube.denis@jdirving.com Jonathan Connely, Sales Representative 506.992.9024 connely.jonathan@jdirving.com Jan Coburn, Sales Coordinator 506.992.9040 coburn.jan@jdirving.com Visit us online: www.JDIrvingLumber.com