Texas Wallboard Shortage Is Not Over

Tbough the wallboard shortage in Texas and other areas nay be easing up, the toughest times may not be ov€f.

Rainy weatler in tbe carly spring has loosened a ttgbt supply siuradon, but the relief may only be t€tnpaary. 'I anticiparc more of a shortage, if not a severe shortage, in four or flve months," predicts Sonny Davis, general manager, CSW Supply, Austin, Tx.

Gypsum wallboard demand is inexricably tied into residential and cmrmercial constructim. Low interest rates and a somewhat brigbt economic picure bave led to increases in new starts on single-family homes across the nation.

The current wallboard shortage parallels what the construclion industry experienced during the housing boom of tbe early 1980s. Wallboard plants were added quiclly 3o meet the demand - and then the housing market colapsed.

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"In the late '80s there were wallboard manufacurers ftling Chapt€r II (bankruptcy) all over the place," Davis said. "Ther€ was such a $ut of wallboard supplies." As a result, many plants were closed and are no longer around to supply Oe recent r€surgenoe in constnrction.

Others theorize the sborlagc is a self-fulfilling prophecy that becane artificially inflated. "Have you ever noticed tbat any time you bave something t"bat's short, people want it?" said Larry Toney, director of corporate sales, Foxworth-Galbraith Lumber Co., Dallas, Tx. "So when we started having price increases, there was some panic buying. Now I understand there are fairly large inventories out there, so I expect it to get easier and easier to get gypsum board."

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The sinration in Texas is magnified because its low was so low and its high is now so high. Manufacturers began allocating shipments of wallboard to the state. Prices bave risen as much as 35% in the last year. Additionally, Davis said, shipments that ordinarily tmk just a few days to arrive at his warehouse now take as long as two or three weeks.

"In this industry it's not rmc<xlrmon for a supplier to announoe a price increase in the form of a lecer sent out to both custromers and competitors. Typically, when one supplier raises his price, the other competitors will follow suiL" revealed Don Sricklan4 v.p.-purcbasing, Sripling-Blake Lumber Co. Inc., Austin.

Ray Medley, Texas representative for indusry leader USG, maintains "there are plenty of plants in Texas," but admitted there have been shortages in ce(ain markets. "As supply gets a little tighter, a lot of manufacturers like to ship closer to homg" he said. "Or they'll readjust their shipping patterns to ship wberc &ey can get a higbr price for the product."

Meaning more wallboard is

Updated Lumber Standard

An updated voluntary lumber product standard apProved by the American Lumber Standard Committee has been published by the U.S. Departrlent of Commerce.

PS 20-94 supersedes the previous 1970 standard with standard lumber size requirements for developing and coordinating lumber grades, procedures for assigning lumber design values, accreditation and certification to assure users of a uniform industry' wide lumber grademarking and inspection system, a standard definition for kiln drying and metric equivalent sizes added to the conventional measurement tables.

Copies are available from ALSC, P.O. Box 210, Germantown, Md. 2087 5-0210; phone (301) 97 2-17W.