Diversification a key to better plywood sa/es

FIUE to the V painf ul I y slow pace of econmic recovery through the third quarter of this year, forecasters in every industry are taking a much more cautious view of the immediate future than they did at this time a year ago. Yet the out' look for plywood is far from dismal.

The plywood industry expects to complete 1975 with production of about 16.l billion sq. ft., a modest improvement on 1974's 15.9 billion feet.

For 1976, the prospect is more encouraging, provided firm steps are taken by the feds to head off a new mortgage money shortage: provided residential construction continues to gain strength, the plywood industry has a good fighting chance of substantially improved markets in 1976.

On the other hand, plywood production isn't likely to exceed about 17.5 billion sq. ft. if housing remains in the doldrums. The remedy in large

By Bronson Lewis Executive Vice President American Plywood Assn.

part lies with the Administration, which can make or break the home building industry through its major influence on interest rates and money supply.

Promotion to the over-the-counter market will receive prime attention. The castr market for do-it-yourself remodeling and other homeowner projects is the outstanding growth opportunity for plywood, in the view of APA planners.

Story at a Glance

Good year for plywood if residential gains continue

APA plans major dealer education program to help sell more plywood to the do-it-yourselfer

If the plywood industry could achieve the purchase of just one additional street by each household, there would be an increase of almost 2 billion sq. ft. in plywood sales beyond today's substantial 3 billion in this category.