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BROWN MOULDING COMPANY
Todays Source For Moulding & Millwork
MOULDING
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PRE.FIT PACKAGED KITS
STAIRPARTS O PRESSURE TREATED ITEMS
WOOD & ALUMINUM COLUMNS O PORCH POST AND BROWN'S NEWEST LINE
BILTBEST WINDOWS & PATIO DOORS
Call For Complete lnformation: vationists' lawsuits."
Bob John, MLA executive vice presi<lent, adds 6at with a omnodity item such as lumber, any sign of scrcity or surplus is quickly translated by the ma*et plae into higher or lower prevailing pric€s.
"Remember rhat the markelplac€ always seeks equilibrium between supply and demand," he says. "[f scarcity of timber supply driw.s pricas up beymd a certain point, consumers will eitber hrn to nm-wood, non-renewable building materials that are environmentally expensive or postpone wmd prchases until the prices go down. So tbere is an invisible ceiling imposed by the markeplace on how high lumber prices c& go."
Mayonotes that the biggest lumber supply problem is the ontinuing uee hrvest reduction in Pacific Nqthwest national forests identified as critical habitat fa the th€atened spotted owl. Tbe volume of wood witbdra\m ftm harrrest last year because of the owl was enough to oonstruct 360,000 new homes, nearly one-third of all the houses built in 1992. More than 110 Pacific Northwest mills have closed permanently since 1990. Pnblic timber, whici eolmts fq9Mo of westem fsest land is projeae<l io sbow a hrvest decline ftom 7.9 billion board feet in l99l o 4.8 billio bf in 1993.
Mayo poins out that albongb they normally sup'ply about a fouth of all the lumber cmsumed in U.S. markets, southern forests, because of supply constraints caused by government regulation in the West, are currently meeting about a third of U.S. demand, with projectidrs as high as 36?o for rhis year. In addition, nealy 30% of lumber consrrmed in the U.S. is imported ftom Canada
"Both alent anougb omake up the shorfdl from the West," he suesses. "The South and Canada combined can't close tbe gap enougb to prevent a nationwide shctage, so fre maketplace forces prices higher. This nation bas to strike a proper balance between environmental and econqric needs in ou forests, between threatered enimals and threatened people."
Jobn says tbe assaiation is urging Congress and the Administration to amend the Endangered Spocies Act to allow economic and socieal impacts !o be considered when decisions are made. MLA atso supua tbe Pacific Northwest Tfonber Srrmmit which was scheduled for April 2 in Portland, Or., at press time.
Gary W.Donnelly, executive vice president of the National Lumber and Building Material Dealers Association, agrees with Mayo and John. "The big flaw in the Endangered Species Act," he says, "is that ii Ooes not consider tie economic or social (human) impact of decisions made in its name. Our members have said for years that it would take a crisis for people, both private citizens and elected officials, to listen to concerns over the inequities of the Act. Now that consumers are directly affected by higher prices for all wood products, they arc starting to pay attention. Unfortunately, some consumers see the lumber dealer as the bad guy because it is at the lumber yarO tlat they are introduced to higher prices. I tell our members to tell their customers to call their Congressman. They wrote the Act and they are the only ones who can change it to cor_ rect the problem."
Retailers across the country are having to explain higher prices to their customers. "The prices can go up and down as much as l5%o in a week," said Bruce Atkins, SparksTerrell Lumber Co. Inc., Lexington, Ky. "The price for plywood and 2x4s went through the roof" after Hurri_ cane Andrew in Southern Florida increased demand.
Story at a Glance
Record price tags on lumber products strangle economic recovEry builders face increased costs.
Lumber companies and contractors in his state estimate the higher prices will add $1,500 or more to the cost of a new house. A ll2 sheet of plywood costing approximately $13 in early February, up from $9 a year ago, was selling for $16.16 in Lexington in the middle of March. A SPF 2x4x8 was priced at $3.05, up from $2.S0 in February and $1.79 a year ago."The market is out of sight," commented Jack Tucker, general manager at Palumbo Lumber Co.
"One builder told me he's projecting that house framing (materials) will cost about $2,000 more," said Tom Beheler, Roper Brothers Lumber Co., Fredericksburg, Va.
Beautitully
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