Forest2Market Monthly News
Forest2Market Publishes First Transaction-Based Wood Price Report for Sweden, Finland, the Baltic States and Northwest Russia

By John Greene
Forest2Market has published the first installment of its Baltic Rim Wood Price Index, a transaction-based wood raw material price benchmark for the forest products, forestry and bioenergy industries in Scandinavia (Sweden and Finland), the Baltic States (Estonia, Latvia and Lithuania) and Northwest Russia.The results for 1Q2017 show that, among other trends, there are significant differences in delivered wood costs (roadside wood costs plus transportation costs to mill) for both pulp producers and sawmills in Sweden.
Canadian Lumber Tariffs Impacting Southern Yellow Pine Prices

By Melissa Reynard
With the recently-announced tariffs on Canadian softwood lumber imports into the US, a lot of unanswered questions are floating around the market: How will the tariffs affect supply in the US? Will manufacturers ramp up production to meet seasonal demand? Will sustained high prices dampen US housing starts during peak building months? Will added costs discourage potential first-time home buyers?
Continue Reading...
Top 10 States Where Wildfires Cause the Most Damage

By John Greene
The heat and drought of the summer months is quickly approaching, which means that the US Forest Service (USFS) and fire-fighting crews all over the country are gearing up to do battle in some of the most dangerous conditions on earth. The USFS notes that each year, an average of more than 73,000 wildfires burn about 7 million acres of federal, tribal, state and private land and more than 2,600 structures, and the costs of fighting these fires is ever-increasing.

Continue Reading...
Spending Bill Promotes Carbon Neutrality of Biomass, Working Forests

By John Greene
On the heels of an announcement that the Trump administration will soon impose new tariffs on Canadian lumber shipped into the US, a new omnibus spending bill could drive government agencies to promote burning woody biomass for electricity generation. While the bill’s policy rider contains language that certainly opens the door for increased utilization of wood pellets, wood chips and other woody biomass, it also includes language directly recognizing the importance of working forests, forest management and other dynamics pertinent to the entire forest products industry.

Continue Reading...
US South Timber Prices Drop in 1Q2017

By Gabe Rogers
US South timber prices during the first quarter of 2017 continued to decrease from last year, with nearly all pulpwood and pine log products dropping -6 percent. Pine chip-n-saw was the lone product that experienced a slight increase in price.
 
Continue Reading...
US Housing Starts Inch Down in April; Market Remains Flat in 2017

By John Greene
Despite flourishing stock indices and positive GDP forecasts for 2Q2017, US home construction fell unexpectedly in April to its lowest level in five months, hinting at a potential slowdown in the housing market recovery. April's numbers were the lowest since November 2016, which came on the heels of a downwardly-revised rate in March. That said, April’s hiccup was only slight, and there is plenty of time to make up ground as warm building weather rapidly approaches.

Continue Reading...
US South Wood Fuel Prices: 1Q2017 Wrap-Up

By Javon Carter
Wood fuel prices have remained virtually unchanged over the last three quarters ending at an average of $19.75 per ton in 1Q2017. The market is on a flat to improving trend as prices for substitute energy sources (i.e. natural gas and electricity) have begun to move in opposite directions and as recent supplies of wood fuel have increased. Purchasers continue to take advantage of the situation by keeping delivered prices depressed.
 
Continue Reading...
Trump Challenges Antiquities Act; May Benefit Forest Communities

By John Greene
President Trump recently signed an executive order requiring a review of the oft-abused Antiquities Act, which is good news for millions of Americans in rural communities from Maine to Hawaii. The Subcommittee on Federal Lands has just heard testimony on the consequences of Executive branch overreach of the Antiquities Act, which detailed the impact such reckless abuse of an executive privilege can have on American families and working communities. President Trump has referred to the Act as a “massive federal land grab,” noting that “It’s time to end these abuses and return control to the people.”

Continue Reading...
US Forest Industry Performance: April 2017

By Joe Clark
Total industrial production (IP) increased 0.5 percent in March (+1.5 percent YoY), thanks to a largest-ever jump of 8.6 percent in the output of utilities as the demand for heating returned to seasonal norms. For 1Q2017 as a whole, total IP also rose at an annualized rate of 1.5 percent. While total IP stepped up in March, manufacturing output fell 0.4 percent (+0.3 percent expected), led by a large step-down in the production of motor vehicles and parts; factory output aside from motor vehicles and parts decreased by 0.2 percent.
 
Continue Reading...
Working Forest Collaboration Focuses on Sustainability in the Carolinas

By John Greene
A new collaboration between members of the forest products industry and beyond aims to engage North and South Carolina land owners in responsible forestry practices and certification regimes. American Forest Foundation (AFF), International Paper, The Procter & Gamble Company (P&G) and 3M Company recently announced the formation of the Carolinas Working Forest Conservation Collaborative, which is a joint initiative in the Coastal Carolinas Plain to educate and engage family woodland owners in sustainable forestry, forest certification, the enhancement of habitat for at-risk species and the conservation of bottomland hardwood forests.International Paper, P&G and 3M are together providing a total of $285,000 over a three-year period to AFF in support of their work to implement sustained and strategic landowner engagement efforts in North Carolina (Columbus, Bladen, Robeson, Cumberland, Pender, Johnston counties) and South Carolina (Horry, Florence, and surrounding counties).

Continue Reading...