Market Trends in the Pacific Northwest

From the January 2010 Forest2Mill newsletter.
By: Gordon Culbertson

The upward trend for Douglas fir and hem/fir log prices delivered to western Oregon mills subsided in November, after four months of increases. Most species and grades were flat or showed a decline. Western Washington prices increased 5-10 percent, but still trail Oregon prices overall.

Deliveries of logs are expected to be very slow over the next several months, as timber owners await higher prices before they resume normal harvest levels.

Western red cedar prices flagged again for November showing a mostly downward trend with the notable exception of larger diameter Westside logs.

Wood chip prices remained flat during November. The announced permanent closure of two large pulp and paper mills in opposite ends of the region combined with the December expiration of the black liquor credit will create local surpluses in chip supply.

For more information on the Delivered Price Benchmark Service covering the Pacific Northwest visit www.forest2market.com/pnw-benchmark or call Gordon Culbertson at (541) 302-8010.

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