Inland West Business Trends

Jan/Feb Issue

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In the Inland West, the Softwood lumber markets are hitting on all cylinders, based on reports from lumbermen in three states.

A Wyoming lumberman said his market is “very busy. All the products we are producing now, we have a three-to-four-week order file. The stud market has been hopping for the last three or four weeks. The board market has really turned around. Almost all the items, No. 2, No. 3 and No. 4 we’re carrying a good order file. That’s been going on for about two weeks. The shop market has been solid for months and continues to strengthen. All our markets are good, busy and active, and we have solid order files on everything that we produce.” 

Compared to several months ago, he said, his markets are “about the same.”

He handles Ponderosa Pine boards, Lodgepole boards, Ponderosa Pine shop and ESLP studs. “I don’t have a standout product right now,” he stated. “Everything is moving well.”

His customers include distribution, retail and reman. “Distribution is just as busy as it has ever been,” he observed. “Everybody’s busy. I don’t have a negative spot in any of the markets we’re selling into right now.”

Despite all this good news, he stated, “Transportation is as bad as it’s ever been.”

To the north in Montana, a lumber provider rated his market as “very strong. We have a really good housing market. We’re very busy.”

Asked if his market now is better or worse than it was a few months earlier, he replied, “That’s hard to say. We’re in the winter. My market is worse than six months ago just because of less daylight hours. Compared to last year, it’s much better. That would be a better comparison really.”

He sells Select Struct, No. 1 and Better Hem Fir, and No. 2 and Better Hem Fir, Douglas Fir and SPF. His best seller, he noted, is No. 1 and Better and Select Struct Hem Fir.

His customers are retail lumberyards. “They’re all very busy, and they’re all having a great year,” he remarked. “So, our market is very good.”

Asked if transportation or any other factor is a problem for his company, he stated, “Absolutely. Transportation is a major issue. There’s simply not enough trucking available. Getting trucks under lumber loads is very tough. We’re having to pay more and more for trucking all the time.”

In neighboring Idaho, a producer of wood products continued the theme of the others interviewed, calling his market “very good. Dimension lumber is very, very strong. Specialty lumber is catching up. Pine boards are going well. It’s about as good as we get to see.”

Compared to several months ago, he said his markets are “better.”

“I personally handle Ponderosa Pine boards, 1×4 through 1×12, No. 2 Common, No. 3 Common and No. 4 Common, Cedar boards and decking,” he said. “Our company also handles Doug Fir and Hem Fir in 2×4 through 2×12.” Asked what his company’s best seller is, he replied, “By sheer volume, it’s 2×6 Hem Fir. Cedar boards are very strong. Ponderosa Pine boards have made a strong comeback.”

He sells to distribution yards, home centers and shop lumber providers. “Business has been good for our customers,” he noted. “Milder weather has helped them. Inventories were low for a time, but robust demand has made them have to come back to the table and buy. Normally they try to keep things pretty lean this time of year but it’s hard for them to stay out of buying.” 

Like the others interviewed, he stated, “Transportation is a constant headache. It’s as bad as we’ve ever seen it. Trucks are a constant battle. Rail is very tight. People are trying to utilize rail as much as they can because it’s slightly better than trucking.” 

By Terry Miller

Editor, Marketing Consultant, and Third generation publisher. With Miller Wood Trade Publications since 1983.

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