There seems to be no ceiling as lumber prices continue to skyrocket upward. High lumber prices are being fueled by pent-up demand, and the sawmills are struggling to keep pace. Frustratingly for timber owners, log prices have not tracked with these crazy lumber prices. Again, supply and demand play a key role. In many areas of the country, including the Inland Northwest, there are more logs available than sawmills can process, so there’s little incentive to raise log prices since that action would just increase log deliveries and further flood already overflowing log yards.
Over the last few months, log prices have moved upward at a modest pace in our area. It is expected this trend will continue, or the market will at least hold steady, as we move into the logging season.
Mike Wolcott, ACF, Certified Forester