Canadian Lumber Prices Up
According to a published report American homebuilders are finally buying more lumber,
pushing the price of lumber up 12 per cent in the last month.
Laurie Cater, publisher of Madison's Canadian Lumber Reporter said, "prices have been
moving up steadily. It's beginning to look like there's some catch-up going on after the
long, long winter in the U.S. Northeast". Lumber prices hit $250 (U.S.) a thousand
board feet last Friday, up $12 (U.S.) on the week and up $26 (U.S.) over early May. Prices
are up 25 per cent form the beginning of the year when B.C. sawmills were getting only
$200 a thousand board feet.
Cater said, "it's going to make the June 30 quarterly results much more positive than
anyone would have suspected a few weeks ago. Two hundred and fifty dollars, even with a
tariff, is not going to result in much red ink for the efficient producers. Maybe some
black ink. These prices are certainly going to improve the bottom line".
Big home manufacturers and retailers are the best customers, according to Madison's, with
many customers going straight to the sawmills for their orders.
Cater said sawmill curtailments have had a small impact on lumber prices, but buyers have
not paid too much attention. There is still an oversupply of lumber and it will take more
curtailments before wholesalers start running short of places to buy lumber.
"There is a little less lumber available, but not enough that people are finding it
difficult to get".
Source: ilumber.com |
