Photos by Gary Miller
Titusville, PA–Penn-Sylvan International recently hosted a Penn-York Lumbermen’s Club meeting here at Cross Creek Resort.
Sawmill representatives in attendance overall reported good sales, with stable prices on some species, but challenges regarding transportation, both domestically and in the export market.
One attendee noted that while he still sees pushback on Red Oak, White Oak and Walnut “are still extremely hot. Poplar, too, is also still hot and the spread between green Poplar and kiln-dried Poplar is about the biggest I’ve ever seen in my career. It’s $600 to $800 a thousand spread, which is huge.”
Another lumber representative commented that, at the time of this Penn-York meeting, White Oak sales were still good. He added that while it remains at an all-time high, he believes it is starting to settle some. Red Oak is predicted to be strong all summer.
Log decks are improved throughout Ohio, Pennsylvania, New York, Virginia, West Virginia and Maryland according to another sawmill spokesman. “Production is probably as good as it is going to be based off the fact that nobody can put on a second shift,” he explained.
To that point, labor shortages continue to plague these sawmills. One lumberman commented, “The consistent comment I hear from the folks I deal with in Wisconsin, Iowa, Georgia, North and South Carolina, and up into New England, is that they can’t find enough people to work. But, I can’t blame them really. I’ve worked in the lumber business for 20-some odd years now and it’s a hard labor job. You can make more money in some of these positions if you work at McDonald’s, or in my area Amazon is hiring people at $22 per hour. By comparison, in my geographic area, for just an unskilled lumber stacker the pay is $11 to $13 an hour. For the industry to compete, I think it needs to be quite a bit higher than that.”
Regarding transportation, one Penn-York attendee simply called it “atrocious.”
One elaborated, “Trucking is still very difficult. We were paying $2.50 to $3 a load a mile over a year ago and now, today you will be lucky if you can get a truck for $5 a load a mile. So trucking costs have actually doubled in the last year.”
Regarding the export market, a shortage of containers has plagued the industry. A lumberman stated, “Containers are very difficult to get because 75 percent of the containers were leaving our country empty going back to China and they weren’t coming inland to load up with low grade lumber and to be sent back.”
China was reported strong for North American log exporters and Vietnam was noted as improving for log exporters as well.
A different sawmill represented summed up the overall industry this way: “The market is starting to fill up and I think we are going to see some market changes here. I think the prices are going to start to correct themselves and we are going to see a stabilized market.”
Golf winners were as follows: 1st low gross, Marty James; 2nd low gross, Mike D’Angelo; 1st low net, Sean Kacznyski; 2nd low net, Wayne Wilson; long drive, Harry Parateshes; closest to the pin #3, Nick Skudlarek; and closest to the pin #16, Mason Kauffman.
Bill Reese of Penn-Sylvan was honored at the meeting with a pictorial presentation. Additionally, a dinner and golf game were held.
The keynote speaker for the evening was Marc Reese who addressed overweight traffic permits.
Penn-Sylvan is headquartered in Spartansburg, PA. Known as a leading lumber manufacturer, Penn-Sylvan has produced all thicknesses of Hardwood lumber for decades.
Learn more about Penn-Sylvan at www.americanhardwoodexport.com.
The next Penn-York Lumbermen’s Club meeting is set for Aug. 23 and will be hosted by Emporium Hardwoods of Emporium, PA.
