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Low-grade hardwood lumber production, markets, and issues

Informally Refereed

Abstract

Due to recent downturn in the economy and changes in traditional hardwood markets. U.S. hardwood manufacturers are facing significant difficulties. In particular, markets for low-grade lumber have been diminishing, while increased levels of the material are being produced at hardwood sawmills in the United States. A nationwide survey of hardwood lumber manufacturers was conducted to define the term "low-grade", idenify current markets for low-grade hardwood lumber, identify methods currently used and those being considered to develop markets for this material, and determine important factors in the decision to enter a new market for low-grade lumber. The study found that the definition of low-grade is not consistent among U.S. hardwood sawmills and most sawmills sell the majority of their low-grade lumber to a single market. In addition, market profitability and market stability are important factors in considering a new market for low-grade lumber. This information is important in benchmarking industry characteristics regarding low-grade lumber and understanding the issues and needs of hardwood manufacturers.

Citation

Cumbo, Dan; Smith, Robert; Araman, Philip A. 2003. Low-grade hardwood lumber production, markets, and issues. Forest Products Journal 53(9): 17-24
https://www.fs.usda.gov/research/treesearch/20200