16 WESTERN PALLET
has been to keep manufacturing volumes lower so supply will stay in line with demand. Evidence that this discipline is working is demonstrated by the very regular price changes throughout the year, as home building season comes on then wanes.
As lumber sales and construction activity has gone into true summer slow-down, the continuing situation of lack of solid wood inventory throughout the supply chain served to keep lumber prices firm. In a good consistency from the past year, lumber prices are stable compared to one year ago.
Given that sawmills across North America were operating at lower manufacturing rates, this tenuous supply-demand balance so far teetered at a equilibrium. As August continued and much of Canada and US were occupied with fires in forested areas, attention was often on the loss of timber and access to fibre.
Logistically, operators were spending more time sourcing trucks and rail cars as well as tracking down lumber already in delivery, than they were on selling more wood. Many sawmills started looking toward September, after Labour Day, which is often a slight pop in sales and home renovation in advance of looming winter weather.
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Madison’s Lumber Reporter, est. 1952
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