Lumber Prices Drop Slightly

For the moment, it seems the North American construction framing dimension softwood lumber market has found a supply-demand balance, as the benchmark price dropped slightly but many others remain flat, says Madison’s ‘Lumber Reporter.’ In the week following Easter, sawmills and wholesalers seemed to find good price levels which attracted customers who may have been waiting to book purchases. Suppliers reported robust sales on continued plump inventories, while buyer enthusiasm pushed sawmill order files into early May. For the week ending April 22, lumber prices dropped slightly from the previous week. The price of benchmark softwood lumber item Western Spruce-Pine-Fir 2x4 #2&Btr KD (RL) was US$1,060 mfbm (million board feet), down $36 (a decrease of three per cent) from the previous week when it was $1,096. That week's price was down by $323 (a decrease of 23 per cent) from one month ago when it was $1,383. When compared to the same week last year when it was $1,330 mfbm for the week ending April 22, the price of Western Spruce-Pine-Fir 2x4 is down by $270 (a decrease of 20 per cent). Good spring weather brought increased construction activity in many markets across the U.S., while Canada had quite a bout of cold weather and snow. This will melt quickly though and building will soon move into high gear across Canada as well.