Tuesday, April 15, 2008

[papercreters] severe drop in lumber use

I got this notice, and wanted to pass it on. the article does not
address plywood which tripled in price to US buyers since 2002. ( due
to shipment overseas to 'rebuild'. ) Have any of you using new wood
noticed big price changes?

I can get crappy new 2x4's all knotty, cupped or twisted for cheap.
but choose to salvage redwood from old buildings instead. I must
denail or trim down a 1/2" or even an 1', but the normally full
dimension old growth wood is fine grained and strong.

Can anyone guess why this is happening? ( other than slump in building
new homes US wide?)
Do many of you find ways to NOT use wood you must buy? and what do you
do?

Inquiring minds wanna know!
+++++++
PS- OT-in celebrating my 10th year in business with a big $10. book
sale, I just had my 10,000th Order # number at dirtcheapbuilder.com
Her name is Doris, and she got a prize! So I decided to give a free
booklet to each customer ALL year who has a 10 in their order number
somewhere, their address, PO Box phone number, zip code etc. Orders:
10,010, 10,100 10,110 etc. or Bloomfield CT 10023, etc.
Can you get lucky?

++++++++++++++++++++++++++++++++++++++

Demand for U.S. lumber expected to plummet

SPOKANE, Wash. (AP) - The drop in new home construction has timber
industry experts predicting a staggering drop in U.S. demand for
lumber.

Compared with record lumber consumption in 2005, this year's demand is
expected to drop by 19 billion board feet, industry leaders told
several hundred logging contractors at the Intermountain Logging
Conference here on Friday.

The sum is roughly equal to the annual output of sawmills in 12 Western
states.

"We've never seen a decline like this in the history of the industry,"
Butch Bernhardt, spokesman for the Western Wood Products Association in
Portland, told The Spokesman-Review newspaper in a phone interview.

The lumber business has always been cyclical, but Bernhardt said prices
are hitting lows not seen since the recessions of the early 1980s and
1990s. When adjusted for inflation, they're at historic lows, he said.

In March, the wholesale price for Douglas fir was $245 per 1,000 board
feet. Three years ago, the price was $422. Output at Western sawmills
has dropped 20 percent from last year.

The drop in wholesale prices - what sawmills get paid - has been much
sharper than the price reductions seen by customers buying two-by-fours
at home improvement stores, Bernhardt said.

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