More Homes and Continued Active Demand lor Lumber ls Outlook lor 1948

An active demand for lumber at current high levels is the outlook for 1948 as seen by the experts in the Commerce Department's commodity sections and printed in the December issue of "Domestic Trade Digest" published by the department's Office of Domestic Commerce. The officials warn, however, that their analysis of business trends are "subject to the influences of the international economic and political situation."

"The year 1948," the report says, "may be expected to witness a general continuation of the underlying conditions which characterized the last half of 1947. Active demand should continue at the current high levels, or increase in pace with indicated construction activity. Production can be expected to continue at about the 1947 levels with perhaps slight gains, but limited plant facilities, equipment, labor, and resources will militate against any material increase. The unexpectedly active demand for the better grades of lumber during the late summer and fall ol 1947, in spite of generally record high prices, combined with retail distributors' caution in advance buying, resulted in lowered retail stocks in the fall of 1947, as compared with earlier in the year. Stocks which were on hand, generallv were reported as badly out of balance. Mill stocks tended to accumulate late in 1947 as car shortages hampered deliveries, but in general remained far below prewar levels. Thus it seems evident that, in addition to probable active demands, fairly substantial quantities of lumber can be used, if available, to replenish and to balance the industry's stocks.

"Should lumber prices make further appreciable increases, it is probable that a considerable segment of the active demand would be deferred, but, on the other hand, should prices recede, much presently latent demand probably would become activated.

"Hardwood flooring, continuing to gain in production volume, should become relatively easier, but neither it nor millwork show promise of becoming in plentiful supply during 1948 in relation to prospective demand.

Softwood Plywood

"The outlook for the softwood plywood industry in 1948 is favorable. Production has increased about 200 million square feet annually during the past 2 years. If this rate is continued, production in 1948 may be near the 1.84 billion foot level reached in 1942, the peak production year in the industry's history. Additional equipment and plants, installed or proposed, will substantially increase the potential capacity over the rated capacity of 2.2 blllion square feet at the beginning of. 1947.

"Many of the problems which hampered the industry during the u'ar have been eliminated. Log supply, one of the more important retarding factors during recent years, has improved. Inventories at the end of the third quarter L947 amounted to 222 million board feet, log scale, larger than at any time during the war. The production of adhesives, another bottleneck, is increasing, and it is predicted that the adhesive situation will continue to improve.

"Demand for softwood plywood will remain high, and may exceed the supply by a substantial margin, in view of an estimated increase in construction."

Construction

Total new construction in 19'E is forecast at $15,200 million, compared rvith $12,665 million estimated f.ot 1947. Private residential building will jump from $4.8 billion to 6 billion. Industrial construction will drop from $1,695 million in 1947 to $1,350 million in 1948, but public utility construction will be up from $1,315 million to $1,625 million. Publicly financed construction will advance about 3OVo over the 1947 volume, mostly because of highway construction and gains in building of schools, hospitals and other institutions.

Appointed Promotion Managrer

J. W. Sherar has been appointed promotion manager of the Western Pine Association, Portland, Oregon, succeeding N. L. Cary, who resigned after 25 years' service with the organization. Mr. Sherar has been in the Association's trade promotion department for the past 10 years.

Sell This

PF"H*[,H,9,p, Sinlc Set! -for

Every time you sell one oI these modern sink

inzmediate proft and future proft!

sets you moke <r losting customer lor your business-<r good prospect lor c complete Peerless kitchenl Mcrts oI complete newspcier -cds free. Write lor literature crnd prices on these peerless sin-k iets.

FPEERLESS BUTLT-|N FTXTURE COMPANy

2508 Son Poblo Avenue BERKEIEY 2, CA1IFORNIA i;..,i:'.rlF ffie.te ca a 7aa/c&? pnndlrpt

6aildQaan&ctel

Toste Iumber Compaity

WHOIESAIE LTIMBER

Scles OIIice:

2219 Fq.k Pqrk Ave.

LOS ANGEI.ES 4I, CAIIF.

Telephone Clevelcrnd 6-2249

Inventories of

CAI,ITORNIA RDDWOOD

DOUGI,AS TIR

mcrintcrined crt our storcAe ycrd 7125 Ancrheim-Telegrrcrph Rd. Los Angeles

, tfl

'Western Pine Supply Company matches a quality producr with quality service. You can always expecr a wide selection of popular parterns, uniform quality, prompt delivery, and the smooth, clean.cut appearance for which our Ponderosa Pine Mouldings are famous. \Vrite for your copy of our new Moulding Catalog.

I2OI HARRISON STREET . SAN FRANCISCO TEIEPHONE UNderhill l-8686 wBEST Adverrising ond Sqles Helps!

BEST For Gtuqlity!

OLYMPIC Stains last longer . . are the only stains with a pure linseed oil base.

BEST Consistenf Sqles Policy!

This is your product sold onJy through established retail lumber dealers.

BEST Distriburins Fociliries!

Prompt shipments available from your nearbydistributor.

Year after year only OLYMPIC has provided effective sales helps that make extra profits for yoz.

Probable Consumption of Western Pine Douglat Fir Plywood-Commercial For First Quarter ol 1949 Standard CS45-47

Portland, Ore., December 31, I947-An analysis of fourth quarter 1947 manaf.acture of Idaho White Pine, Ponderosa Pine, Sugar Pine and ,associated woods and probable first quarter 1948 consumption was released today by S. V. Fullaway, Jr., secretary-manager, Western Pine Association. The statement in full is as follows:

"Lumber shipments from the W'estern Pine region during the last quarter of. 1947 will apparently greatly exceed the September 30th forecast and the estimated l72l million feet will mean an all time high for fourth quarter shipments. Regional shipments for the entire year of.1947 are now expected to reach 6 billion, 650 million feet, a new record for the Western. Pine industry, the previous peak being 6 billion, 541 million in 1942.

"The present estimate of. 1947 production in the Western Pine region is slightly more than 6/a billion feet which exceeds that of the former high in 1946 by about 6tl/o

"Total regional stocks at the close of 1947 are now estimated to be only 121 million above those on hand December 31, 1946. The heavy shipments during the last quarter of. 1947 resulted in a greater than normal stock reduction for that season. The increase in regional stocks since a yeir ago is entirely accounted. for by the larger inventories of the species other than the pines and reflects the growing demands for seasoned lumber and consequent greater stocks required for air seasoning.

"Based on all available information it now seems probable that during the first quarter of 1948, shipments (consumption) of lumber by the Western Pine industry will approximate 1400 million or about 5% above those for the same 1947 pefiod. Such a forecast is based on the rather general predictions that 1948, although subject to some change in ths economic trend, will on the whole exceed 1947 in business activity. This forecast also assumes that lumber production will not be retarded by the return of government controls."

Willicrm M. Kerrick Retires

William M. Kerrick has just retired as purchasing agent for The Mengel Company, Louisville, Ky., after 48 yiars with the firm. Mr. Kerrick, who started as an office boy, hasbeen purchasing agent for the past 37 years.

The seventh edition of the Commercial Standard for Douglas Fir Plywood, which has been in effect since September 15, 1947, has just been issued by the National Bureau of Standards. Several changes have been made which bring this standard up-to-date..

While plywood is one of the oldest manufactured forest products, having been used to a limited extent by the ancient Egyptians and Chinese, it owes its present popularity to scientific control of the manufacturing process and the establishment of stindard requirements and tests to insute uniformity of quality for the various grades.

In 1933 the producers, distributors, and users of Douglas fir plywood cooperated with the Bureau in establishing a commercial standard to provide definite grade specifications. It has since been necedsary to revise the standard six times in order to keep it abreast of improvements in this rapidly expanding industry.

The present edition covers detail grading requirements for seven grades of exterior type and five grades of interior type Douglas fir plywood, as well as tests and requirements for the two types of bondage.

For those unfamiliar with the product, a chart is included showing the types and grades that are generally suitable for a large list of uses, and suggestions are given on ordering plywood so as to prevent misunderstandings. The pamphlet also shows facsimiles of the markings employed by members of the Douglas Fir Plywood Association to denote and identify the several grades.

Copies of the pamphlet embodying the revised Commercial Standard (issued as CS45-47) *ay be obtained at 10 cents each from the Superintendent of Documents, Government Printing Office, Washington 25, D. C.

H.rrond Lumber Company, Inc.

Openr Chicago Office

The Hammond Lumber Company has discontinued the sale of its products through the California Redwood Distributors, Ltd., Chicago, which agency heretofore sold for them in the territory east of the Rocky Mountains.

Hammond Lumber Company, Inc. will maintain an office at 35 Wacker Drive, Chicago 1, Illinois, to handle its eastern sales. John G. Klopfenstein is in charge.