AFA NEWSROOM V17N20, May 19, 2022 |
ForestPAC Pinecone Open -Today It's Not Too Late To Register -Check In @ 11 |
It’s almost here! Make sure you are signed up for our second annual Pinecone Open at the Montgomery Country Club on May 19th! Register today! |
Softwood Lumber Prices Tumble 40%; Is Another Rally on the Horizon? |
The volatile North American softwood lumber market continues to keep us all guessing as we enter mid-2Q2022. After spending most of 1Q above the $1,000/MBF mark, week-over-week southern yellow pine (SYP) lumber prices dropped dramatically throughout the month of April and into early May.
Forest2Market’s composite SYP lumber price for the week ending May 6 was $674/MBF, which represents a 41% decrease compared to prices just seven weeks ago ($1,136/MBF). A closer look at some of the price trends thus far in 2022 illustrates the volatility in the market. |
Join Us For The May Session of AFA Connect -May 19, 2022 TODAY |
Make plans to join us on May 19, 2022, at 11:00 am CST for the May AFA Connect session Recruiting Truck Drivers: Challenges and Strategies with Stephanie Fuller, FWTI. In this extraordinarily tight labor market, an aging workforce and more restrictive training guidelines, finding an insurable truck driver has become more difficult than ever. The Forest Workforce Training Institute (ForestryWorks) is working on solutions to help forest industry companies recruit and retain truck drivers through promotion, recruitment and training. AFA Connect registration is two-part. Register with Alabama Forestry Association. You will receive a confirmation email from info@alaforestry.org with Zoom registration information. |
Northwest vs. Southeast: Timber Industry Grows Where It Thrives |
The timber industry may be synonymous with the Northwest in the popular imagination, but the economic reality is the industry’s center of gravity has quietly shifted to the South.
The region’s wood products manufacturing sector has been losing market share to the U.S. Southeast for years and it’s not expected to recover its momentum in the foreseeable future.
Its thunder has been stolen by the South’s abundant timber supplies and looser environmental regulations, which have fueled a boom in new production facilities. |
Join us for the Monroe County Learn and Burn next week! Increase your exposure and gain confidence in conducting a prescribed fire in your woodlands. |
Anna Morgan Duke, AFA's Own Grassroots Coordinator, Receives FRA Technical Writing Award |
AFA is proud to announce that Grassroots Coordinator, Anna Morgan Duke, received the 2022 Forest Resources Association National Technical Writing Award for her technical release titled “Lucy Meets a Logger Tours Schools Across Alabama” highlighting her work done through the AFA Lucy Tour. |
US South Sawlog Supply is Likely to Tighten But Surplus of Small Logs and Residues Will Create Opportunities |
The US South’s softwood industry has enormous potential for a variety of reasons. The region has a significant forest resource with room for expansion, low and stable wood costs, and a thriving lumber and pellet manufacturing sector. The local forest industry is set to grow in the coming years and play a more prominent role in regional and global forest product markets. This expansion will lead to a tighter log market, but growth will still exceed harvests (drain) in most states. Longer-term, the drain could overtake growth in some states unless the productive forest area expands, harvest yields improve, or access to small woodlots and underutilized forest increases. It should be noted that wood markets are often very local, and the demand-supply balance can vary significantly in micro-markets within individual states. |
We had a fantastic time at at the Guntersville Area Regional Reception. Beautiful location, great food & drinks plus getting to visit with AFA Members - it was a great night.
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Building Materials Prices Move Higher, Up 19% Year-over-Year |
According to the latest Producer Price Index (PPI) report released today by the Bureau of Labor Statistics, the prices of goods used in residential construction ex-energy (not seasonally adjusted) climbed 0.5% in April, following upwardly revised increases of 1.9% and 2.4% in March and February, respectively. This adds up to an 4.9% increase in building materials prices since the start of 2022. Year-over-year, building materials prices are up 19.2% and have risen 35.6% since the start of the pandemic. |
2022 Public Policy Series: Emerging Forest Technologies At Lake Guntersville |
What a busy week for AFA in Guntersville! We had a mini bass fishing tournament on Lake Guntersville with professional anglers and members. We hosted our Mountain District Regional Reception and then had our Public Policy Seminar: Emerging Forest Products & Technologies! Thanks to all our sponsors and members who make weeks like this possible! |
Alabama Governor Visits Pickens County Sawmill To Put Spotlight On Forestry And Recreation |
Governor Kay Ivey toured businesses in Alabama’s Black Belt Tuesday to promote the importance of the forestry and recreation industries to the state’s economy.“Carrollton, Alabama’s got a lot of timber and that’s a good thing,” the governor says.
Her first stop was Cooper Marine and Timberlands in Carrollton. “She understands what forest products are all about and so for her to care about this county and care about what we do is very special,” says Angus Cooper III, president of the Cooper Group of companies.
Cooper says the Carrollton sawmill provides 48 jobs to the area but says the economic impact of his business reaches even further. |
Kraft Heinz Is Making A Ketchup Bottle Made Of Wood Pulp |
According to food and beverage giant Kraft Heinz, even condiment packaging can be sustainable. The company announced this week that it's pairing up with sustainable packaging company Pulpex to develop a "paper-based, renewable and recyclable bottle."
The bottle, Kraft Heinz said, is aimed to be made from "100 percent sustainably sourced wood pulp." Heinz is the first sauce brand to test such packaging, the company said. |
Inflation And Logging Costs |
Logging is largely a high-volume, low-margin business. Production is critical to profit. Where costs are fixed, like payments on half-million dollar machines, squeezing extra production per hour, day, or week can offset those costs with increased revenue. However, more production means more consumption, and variable costs such as fuel and equipment repairs increase commensurately. Thus, the role of inflation on logging businesses depends on where those cost increases occur and how quickly. Fuel costs often get a large focus because prices can be volatile, and loggers cannot offset them with greater production. |
AFA Newsroom Weekly Special Feature: AFA Political Endorsements |
Mark your calendars - the Primary is May 24th! |
Interested in who AFA has endorsed so far? Visit our AFA ForestPac Endorsement Pages, linked below, as more endorsements will be added soon |
Are You Ready For The Beach? We Are! AFA Annual Meeting - September 11-13 |
Registration for the 2022 AFA Annual Meeting is now open. Click the link below to learn more about our speakers, agenda and hotel information. We are looking forward to seeing you in September! |
Join us for the Selma Area Regional Reception -June 9th |
Make plans to join us next month at AFA's Selma Area Regional Reception. Being held at the Selma Country Club, we are looking forward to heading back to the Black Belt District.
Interested in being a sponsor? Give us a call at 334-481-2135 or 334-481-2129 |
Know someone looking for a job in forestry? Have a position that you need filled? We've got you covered- check out the Forestry Works Job Board. |
Online CE Available For PLM & CFE |
Foresters and loggers, a reminder that AFA offers online continuing education. Now is a great time to go ahead and handle continuing education hours.
Click below for a list of classes. |
| Click sponsor links below |
Thank you to our sponsors |
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