Southeast Business Trends

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Lumber sources that were contacted throughout the Southeast region seemed to be a bit of a mixed bag as two sources noted that their marketplaces were tougher to sell in, causing their sales to be slow, while the third stated that how well his sales were doing, was strictly dependent on the specie.

A sawyer in Tennessee said that his market seemed to be slow. “I anticipated a busy first quarter, and it didn’t turn out that way.”

His company offers Ash, Basswood, Cherry, Hard and Soft Maple, Hickory, Poplar and Red and White Oak in grades No. 2 Common and Better in everything except for Red and White Oak, which they offer in No. 3A Common and Better. They are able to offer all species in 4/4-8/4 thicknesses.

He said that he markets to distribution centers, flooring plants, end-users, such as, moulding, trim, door and window casings and frame manufacturers. “My customers don’t have orders coming in so they aren’t able to put orders in with me for raw material,” he added.

“I can’t see my sales improving much over the next six months. I’m always very optimistic, but reality has set in and this seems to be how the market is going to play out for a while.”

In Arkansas a lumberman said that it has been tough to make his hardwood sales. “The U.S. is not using hardwood and the trend is leaning towards paint grade lumber. The hardwood flooring has backed off due to imports and hardwood cabinets, flooring and furniture aren’t popular right now,” he said.

His company offers Red and White Oak and Gum in 4/4 thickness and in all grades.

When asked what kinds of customers he sells to, he said “I sell to good old customers, ones that have been with me for a long time.” He mentioned that his customers based out of Dallas are busy, just not with hardwood sales, noting that if he hadn’t started producing softwoods he would be on limited production. “We used to be 100 percent hardwood, now we are maybe 15 percent, the softwood is what is keeping us going.”

A lumber spokesperson in Kentucky said that his sales depend on the specie at hand. “Ash and White Oak are very good, Red Oak is improving, Hard and Soft Maple in Face and Better are improving and so is Walnut. Red Oak is continuing to be steady. We are still concerned with Poplar because while it is moving we are selling it at cheaper prices and Hickory stinks to high heaven.”

He noted that he is doing better than he was six months ago due to the export markets coming back around. “Our export customers were making a lot of cheap offers in the latter part of ’23 and they are now starting to meet us at our price.”

His company offers Ash and Walnut in thicknesses 4/4 and 8/4, Basswood, Cherry, Hard and Soft Maple in 4/4 thickness, Hickory in 4/4, 5/4 and 6/4 thicknesses, Red and White Oak in 4/4, 6/4 and 8/4 thicknesses and Poplar in thicknesses of 4/4, 5/4, 6/4, 8/4, 10/4, 12/4 and 16/4. They are able to offer all species and all thicknesses in all grades.

He said that he sells to distribution yards and some cabinet, flooring, millwork and moulding and furniture manufacturers. “I think the flooring guys are still concerned about losing market share to inferior products and the cabinet people feel the same way,” he added.

By Miller Wood Trade Publications

The premier online information source for the forest products industry since 1927.

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