Ldsser Volumes to Stqrt Yeor, Soys Western Pine Forecost

Portland-The report for the fourth quarter, 1959, production and shipments of Western Pine region lumber prod- 'ucts and estimate of probable first quarter,l96f, shipments was issued December 31 by W. E. Griffee, acting manager of the Western Pine Association.

It says lumber demand fell off during the steel ptrike, partly because lumber dealers and industrial users tended to become more cautious and to reduce their lumber stocks. Resumption of steel production signaled an increase in lumber orders and shipments, at least temporarily, and pulled the fourth quarter volume up close to that of a yeai ago. The year's totals set new industry records for both production and shipments.

Preliminary estimates place fourth quarter production at 2294 million feet, up 4.2/o f.rom last year. The year's production of 9391 million feet, up ll.3% from 1958, compares with the previous record of 9030 million in 1956.

Fourth quarter shipments of 2142 million feet were down gyly 0.2/o from a year ago. The year's total shipments of 9325 million feet were L0.3/o above 1958. Thev- exceeded by more than half a billion feet the previous high of. 8776 million in 1955.

Estimated stocks at year end were about 2075 million feet, up moderately from 2009 million a year ago.

The rate of housing starts is holding up better than exp_ected,-despite the growing stringency of mortgage money. November starts even showed an increase to an annual rale sf 1r210,000 private starts, compared with a rate of 1,180,000 in October. However, there is no doubt that the number of starts in the first quarter of 1960 will be definitely lower than in the first quarter of 1959. Also, there will be a larger percentage of multiple dwellings, which is not favorable to lumber, says the report.

The booming rate of non-residential construction will be helpful. Use of lumber for laminated beams and heavy roof decking in churches, supermarkets and other structures is increasing steadily, though competing materials tend to displace lumber for some other parts of such buildings. Industrial consumption of lumber in the first quarter seems sure to be good, regardless of weather. In the first quarter of 1959, generally good weather and a high rate of housing starts combined to push shipments considerably higher than in any previous first quarter.

Based upon the above factors and all other available information upon prospective demand, it seems probable that, during the first quarter of 1960, shipments (consumption) of lumber from the Western Pine region will approximate 1975 million feet, or about 5/o below those in the hrst quarter of 1959. This report covers all'ten species produced in the Western Pine region.

Griffee Nomed Acting

PortlandW. E. (Bill)

Griffee (right) has been appointed acting secretary-manager of the Western Pine Association effective January 1.

Association Pres. James D. Bronson, Yakima, Wash., said Griffee will fill the post vacated by S. V. Fullaway, Jr., who retired after .more than 30 years at the administrative helm of the far-flung Western Pine trade group.

Bronson said the appointment was made by a special association committee which