What do politics and Mother Nature have in common? They both mess with lumber pricing. Over the past months I have been communicating the details of the Softwood Lumber dispute and the resulting tariffs on Canadian Mills (I know riveting…I’m a blast at parties) and now the wildfires in British Columbia are applying even more pricing pressure in a market that has lumber futures at a 12 year high.
Recently the Wall Street Journal had a quote from a lumber trader who said “People need lumber now.” If one didn’t know any better one might think the lumber market is like the scene in Animal House when Delta House crashes the Faber Homecoming Parade.
Hyperbole aside these events ARE impacting pricing BUT by the time the affected material (and the percentages differ by category) arrives at the job site there is some degree of lessened impact.
The take-away is simply this, the market is elastic so make sure your bids are up to date (our prices are only firm for 30 days) because any past pricing is like a picture in a photo album. You know it’s you but there are subtle differences as time goes by.