CALENDAR

November

Jensen-Byrd Co.Nov. l1-12, market, River Park Convention Center, Spokane, Wa.

Lumber Merchants Association of Northern CaliforniaNov. ll-13, owners seminar, Ojai Valley Inn, Ojai, Ca.; Nov. l3-16, product knowledge seminars, San Luis Obispo, San Jose, Santa Rosa, Sacramento.

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California Pacific Southwest Hardware AssociationNov. ll-14, annual convention, Red Lion Inn, La Posada, Scottsdale, Az.

National Forest Products AssociationNov. ll-14. annual meeting. Seattle, Wa.

Woodwork Institute of California - Nov. 14, area meeting, Butcher Shop Steak House, San Diego, Ca.

National Exposition of Remodeling, Renovation & RestorationNov. 14-16, McCormick Place, Chicago, Il.

A'merican Lumber Standards CommitteeNov. 15, annual meeting, Seattle, Wa

Spokane Hoo-Hoo ClubNov. 15, meeting, Spokane, Wa.

Los Angeles Hardwood Lumberman's ClubNov. 16, golf tournament, California Country Club, Industry, Ca.

Western Wood Preservers InstituteNov. 18-21, wlnter meeting, Biltmore Hotel, Santa Barbara, Ca.

Woodwork Institute of California - Nov. 20, area meeting, Los Angeles, Ca.

December

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Insurrnce Management Servicrs - Dec. 6, insurance & risk management seminar, Denver, Co.

San Diego Hoo-Hoo ClubDec. 6, initiation meeting, San Diego, Ca.

Spokane Hoo-Hoo ClubDec. 6, meeting, Spokane, Wa.

Lumber Association of Southern CaliforniaDec. 11, Second Growth dinner meeting, Industry Hills Sheraton, City of Industry, Ca.

Woodwork Institute of California - Dec. 11, area meeting, Bowser Cabinet & Casework, San Diego, Ca.

Lumber Merchants Association of Northern CaliforniaDec. 14, insurance trust committee meeting, Sacramento, Ca.

Portland Wholesale Lumber AssociationDec. 14, Jantzen Beach Red Lion Inn, Portland, Or.

Los Angeles Hardwood Lumberman's Club - Dec, 22, Christmas party, Balboa Bay Club, Newport Beach, Ca.

January

National Housewares Manufacturers AssociationJan. 69, international housewares expo, McCormick Place, Chicago, Il.

Mountain States Lumber & Building Material Dealers AssociationJan. 7-9, residential framing lumber estimating seminar; Jan. 10-11, speed estimating, Executive Tower Inn, Denver, Co.

Mountain States Lumber & Building Material Dealers AssociationJan. l4-16, residential framing lumber estimating seminar, Albuquerque, N.M.

Lumber Industry Reacts To Fuel Costs

Although crude oil prices paused in their upward spiral and even dropped for a few days, the wood products industry is feeling the effect of higher fuel costs.

"Since August 2, the average price of diesel fuel for Southern Pacific has increased more than 45 cents a gallon," Tom Brueckheimer, assistant vice president, lumber products, said at his Lake Oswego, Or., office.

Since SP uses about I million gallons offuel each day, this increase is substantial. To offset it, SP increased rates for lumber and panel products from 2 to 4o/o on Sept. 15 and Oct. l. These increases were "tempered by competitors' actions and the current depressed market conditions in the building products and construction industries," Brueckheimer said, adding, "While it is still too early to determine what effect if any the rate increases will have on SP's lumber and panel shipments, SP is closely monitoring the situation to make sure that its ship- persrand receivers remain competitive in the marketplace."

SP was not alone in its price hikes. Rick Jackett, Forest Products Transportation Association, Memphis, Tn., notes Union Pacific, Atchison, Topeka and Santa Fe, ConRail, Burlington Northern, Norfolk Southern and Kansas City Southern increased rates as much as 4olo because of higher fuel prices.

Truckers also felt the higher fuel prices. "Even before the recent petroleum price hikes, fuel represented one of the largest truck operating expenses, next to drivers' salaries," explained Chris Cavette, Peterbilt Product marketing manager, Newark, Ca.

"The effects of rising oil costs are already being felt in the lumber industry," said Nicholas Kent, executive vice president of the North American Wholesale Lumber Association.

He expects wholesalers to shift to more economical modes of transportation such as rail and piggyback where possible. Retailers, he pointed out, can benefit from the large volume freight advantages offered by office wholesalers and by using lumber reloads and distribution yards to maintain inventory.

Lumber Demand 2OOO

Despite jolts to timber supply, demand for forest products is expected to be much more stable, with falling housing starts offset by rising repair, remodeling and industrial usage.

Resource Information Systems, Inc., also foresees that Chile and New Zealand timbers will compete with North American wood in several major markets in the late 1990s due to U.S. environmental restraints.

After the year 2000, the private U.S. timber supply is forecast to expand as secondary stands mature in the West. Meantime, Southern lumber producers should see their U.S. market share grow from25o/o to 300/0, then settle at280/o during 2001-2010, says RISI.

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