Photos by Gary Miller
Reno, PA–The Penn-York Lumbermen’s Club met here recently at the Wanango Country Club. Ron Jones Hardwood Sales Inc. was the host for this meeting. Sawmill representatives in attendance reported a mixed market at the time of this meeting. Some were challenged in regard to finding enough logs due to rainy weather, while others reported their log decks were fine because they had brought in ample log inventory prior to the rain that occurred. Lumber species that were selling strong at the time of this meeting included Hard and Soft Maple, Poplar and Walnut. Cherry sales were reported as fair and price weakness on Red Oak was evident. A recurring concern at all industry meetings was obvious at this meeting as well, and that pertained to a shortage of laborers.
Guests and members enjoyed a golf game, a buffet dinner and attended a presentation by Todd Swanson, PNC Bank’s senior vice president and senior investment manager. Swanson echoed what other economists have shared this year and that was in regard to, as he explained, “A surge in residential construction has led to very strong demand for building materials, such as lumber. Homebuilding was much lower in the decade before the pandemic, leading to reduced manufacturing capacity for lumber and other materials. As a result, sawmills and other suppliers have been unable to keep up with demand, causing shortages.”
The PNC report from which Swanson spoke also noted: “These shortages will work themselves out over the rest of 2021. Higher prices are discouraging some demand and are also encouraging producers to expand capacity. The initial surge in demand for many goods will fade as consumers spend down their stimulus savings. Household spending growth will also shift to services, rather than goods, as consumers feel more comfortable going out. Transportation bottlenecks will abate as supply chains normalize. As a result, shortages will dissipate and some inflationary pressures will reverse themselves later this year.
“The outlook for the U.S. economy remains extremely positive.”
Swanson cited housing start projections as follows: 1.676 million units forecast for 2021, 1.660 million units in 2022, and 1.536 million units in 2023.
Penn-York also hosted a golf game at this meeting. The winners were: Jack Monnoyer, (#10) closest to the pin; Jeff Herman, (#18) longest drive; Matt Laskey (#4) closest to the 2nd shot; Jay Reese (#5) closest to the pin; low gross – Jack Monnoyer, 82 and Jay Reese, 84.
The host for this meeting, Ron Jones Hardwood Sales Inc., was established in 1983, is located in Union City, PA and markets premium Northern Appalachian Hardwood lumber. Learn more at www.ronjoneshardwood.com.
The final Penn-York meeting of 2021 will be held Sept. 13 in State College and will be hosted by Walker Lumber and Forcey Lumber in conjunction with Pennsylvania Forest Products Association.
Learn more about this organization at www.pennyork.org.
