Inland West Business Trends

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In the Inland West, business in the Softwood markets has been busy and good.

An Idaho lumber provider stated that the market for his company is “very, very good.” 

Compared to six months earlier, he remarked, “I would say the market is better. I deal mainly in Pine and Cedar; there really has been no letup on Cedar. Pine’s probably even stronger. It wasn’t bad six months ago. Once we got past June, it’s been off to the races ever since. Pine has gotten even tighter and Cedar is still very, very tight.”

This firm sells Idaho White Pine and Western Red Cedar. “Everything is selling,” he observed. “The moment I get a stick on the ground, it has a hard chance of getting through the day. Demand is insatiable at this point.”

He sells mainly to retail lumber yards. Their business is good, he noted, “or they wouldn’t be buying. For some of them, the higher prices are creating challenges. Some of them are able to pass it along relatively easily to their customers.”

Transportation is a huge challenge, he stated. “It’s probably as bad as I’ve ever seen it, but it’s still flowing; it’s still functioning.”

A Montana lumberman stated, “We are busy. We have some bad weather coming in this week but, other than that, our market’s been very busy.” Compared to six months earlier, he believes it is “about the same.”

This lumber provider sells Inland Hem Fir No. 2 and Better and Select Struct No. 1 and Better plus some SPF.

He sells to retail lumber yards. “Our customers have all been very busy, and we’ve had a really strong market. Our customers are unseasonably busy for this time of year.”

Transportation, he observed, is “a little bit” of a problem. He has seen many trucks running behind schedule, as much as one or two weeks late. “It’s been that way for so long that we’ve gotten used to it and just purchase farther ahead of time,” he stated.

The market in Wyoming is “still as crazy-good as it has ever been,” according to a lumber spokesman there. How the market is faring “depends on if you’re buying or selling,” he observed. “If you’re buying, you don’t like it. You can’t get enough, and you can’t get it on time. We’re dealing with more issues in one of the best markets from a price standpoint we’ve ever seen – ever – and probably will ever see. We’re dealing with a lot of really negative things on a daily basis, trying to overcome hurdles that you wouldn’t think of, based on what’s on paper in regards to pricing and order files. As a customer service representative for a company that produces a significant amount of material, it’s been very trying. The demand-supply relationship is as stressed as it has been, even as it was six months ago. It’s no different today.”

This firm handles almost totally Ponderosa Pine boards. Sales are to wholesalers, distribution yards, end users and retail. These customers are facing low supply in lumber.

Also, transportation is a problem, he stated. “There aren’t enough trucks.”

By Terry Miller

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

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