May, 2010 Volume 10-155

By John Kuch, ManagerManufacturing

J

une is here, and there is no sign of summer.  This sure has been a cold, wet spring. 

Lumber markets are slightly better at least for our products.  We have been able to keep our cedar production moving into soft markets because of the accuracy of our sawing and the quality of our grading.  Customers will pay a slight premium to get our wood as their recovery is better than from our competitors.  We need to stay focused on producing a superior product.

The tariff on softwood lumber into the U.S. dropped to zero on June 1st.  This makes cedar $50.00 /MBM cheaper and helps cover some of the increases in exchange.  Analysts are predicting the tariff will only be off for 1-2 months.

European markets have been very poor due to the financial crisis and the devaluation of the Euro.   This is causing us to back up in some items especially 4x6 #4 clear.   We are working on moving the items somewhere else, but so far have not had any luck.

Merch items to the U.S. are selling well and we have an order file on this type of wood.

Hopefully, summer will arrive soon and we can all get out and enjoy some nice weather.

Until next month, work safe and play safe.

 

Remember - Safety is not a job; it is a way of life.

 

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