Statistic Canada reported today that the total value of building permits in Canada declined 1.5% in June to $11.9 billion (CAD). The decrease is a result of the non-residential sector dropping 10.4% to $3.7 billion, after posting its second-highest monthly value in May.
Wood Markets News
Drax Group Announces Purchase of Princeton Pellet Corp. in Princeton, BC
On Wednesday, the Drax Group announced that it has signed an agreement with Princeton Pellet Corp. to acquire its pellet plant located in Princeton, British Columbia, Canada. Terms of the agreement were not disclosed. The plant has the capacity to produce 90,000 metric tons of wood pellets.
Mortgage Rates Continued to Decline in the Week Ending August 4, 2022
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending August 4, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 4.99% with an average 0.8 point, down from last week when it averaged 5.30%.
BSW Group Ltd. Announces Proposed Closure of Its Boat of Garten Sawmill Facility at End of September
Citing a downturn in demand across the global timber industry, the unprovoked war in Ukraine, and increasing energy costs, the BSW Group Ltd., with headquarters located in Earlston in the Scottish Borders, announced on Wednesday that it is proposing the closure of its Boat of Garten sawmill.
Weekly Jobless Claims Edge Higher in the Week Ending July 30, 2022
The US Department of Labor is reporting that an additional 260,000 Americans (seasonally adjusted) made their initial filing for unemployment benefits during the week ending on Saturday, July 30, 2022. This is an increase of 6,000 from the previous week’s revised-lower level of 254,000.
Canfor Announces Continuation of BC Taylor Pulp Mill Curtailment Due to Ongoing Transportation Issues
Canfor announced in its Q2 results that its BC Taylor Pulp Mill curtailment would continue until such time as “more normal” transportation levels return to its pulp and paper mills. The update in Canfor’s Q2 results confirms the company’s previous announcement made in May, which said the curtailment would remain in effect until the fall.
Manitoba Government Signing Memorandum of Understanding for Forestry Revenue Sharing With Mosakahiken Cree Nation and Opaskwayak Cree Nation
Manitoba Natural Resources and Northern Development Minister Greg Nesbitt announced on Tuesday that the Manitoba government is signing a memorandum of understanding (MOU) with the Mosakahiken Cree Nation and finalizing another MOU with Opaskwayak Cree Nation.
BID Group Completes Purchase of Smith Sawmill Service
The BID Group announced on Tuesday that it has successfully completed the purchase of Smith Sawmill Service, which was announced in June. Smith is one of the largest suppliers and service providers of saws, cutting tools, filing room equipment, and critical consumable products to the wood processing industry.
Jasper Lumber Co. Receives Supplemental Funding to Support Mill Expansion and Production Growth
Alabama Gov. Kay Ivey recently announced supplemental funding from the Appalachian Regional Commission has been made available to augment the $300,000 Community Development Block Grant, awarded in March 2022, to assist Jasper Lumber Company to boost its production and create 60 new jobs.
Potential Home Buyer Activity Increases in Q2 of 2022 After Three Consecutive Quarters of Declines
According to the latest Housing Trends Report (HTR), the number of potential home buyers who are actively engaged in the process of buying a home rose to 49% in Q2 of 2022. This follows three consecutive quarters of declines. The HTR believes the change is the result of less competition from buyers who have exited the market.