Madison’s Lumber Reporter 1/27/2023

Sawmill Curtailments Bring Increasing Lumber Prices

Since October 2022, quite a few sawmill operators have taken downtime and curtailments. This is normal for the time of year, as usually lumber demand slows in winter and regular maintenance needs to take place, as well as employee vacation time. Over the past few months there has been perhaps a bit more than the usual reduction of lumber manufacturing volumes, as companies chose to be intentionally proactive against prices falling even further than they already were into the end of last year.

In the week ending January 27, 2023, the price of benchmark softwood lumber item Western Spruce-Pine-Fir 2x4 #2&Btr KD (RL) was US$394 mfbm, which is up by +$20 or +5%, from the previous week when it was US$374 mfbm, said weekly forest products industry price guide newsletter Madison’s Lumber Reporter. This is up by +$1, or 0%, from one month ago when it was $393.