Doing more with less and concentrating on high value-added products is the focus of B.C.’s NDP government officials, as they face a shrinking supply of harvestable timber, and the need to protect more old growth forests. However, the secondary sector is more frightened than enthused by the plan: to protect up to an additional 2.6 million hectares of old growth, about half of which the government says is in the timber harvesting land base.
Wood Markets News
Canadian Real GDP for Natural Resource Sector Increased in Q3 2021 — Forestry Sector Sole Decline
Statistics Canada (StatsCan) reported on Friday (1-14-22) that the real gross domestic product (GDP) for the natural resource sector increased 2.9% in Q3 2021. The natural resources sector real GDP has now surpassed pre-pandemic levels, recovering from the -11.1% drop in Q2 of 2020.
B.C. First Nations’ Leaders Call for a Reset on Provincial Government’s Forestry Policies
The Ashcroft Indian Band has been pressing the B.C. government to overhaul the province’s forestry policies for over two years, saying that the current system fails to reflect the government’s commitment to reconcile with the Indigenous peoples or its legal obligations to them.
Monthly Construction Input Prices Rise in December
According to analysis provided by the Associated Builders and Contractors (ABC) regarding the U.S. Bureau of Labor Statistics’ (BLS) December Producer Price Index, construction input prices rose 0.6% in December when compared to November. Nonresidential construction input prices also increased 0.6% for the month.
U.S. Forest Service to Review Original Post-Fire Plans for Willamette National Forest
The U.S. Forest Service, in a written statement released on Wednesday (1-12-21), announced that it was abandoning its plan to log along the more than 400 miles of roads in burnt areas of the Willamette National Forest. The Forest Service plan was created following the Beachie Creek, Lionshead, and Holiday Farm fires of 2020.
IKEA Announces Purchase of 3,264 Acres in Florida
Ingka Group, the owner of most IKEA furniture stores worldwide, announced that it has purchased more land in the United States, as part of a long-term commitment to responsible forest management. “The new forests will support increased biodiversity, help ensure sustainable timber production from responsibly managed forests, and recover land damaged by Hurricane Michael in October 2018.”
Goods Used in Residential Construction Climb 1.5% in December
According to the Bureau of Labor Statistics’ (BLS) latest Producer Price Index (PPI), which was released on Thursday (1-13-22) with additional analysis provided by the National Association of Home Builders (NAHB), reveals that the price of goods used in residential construction, less energy, climbed 1.5% in December (not seasonally adjusted). The index was driven higher by a significant price increase for wood products.
Relocation, Renovations, and Refinancing All Expected to Grow in 2022
According to the newest LendingTree survey, approximately 40% of Americans are considering a move in 2022. Among those responding to the survey, nearly a third said that the pandemic has changed what they are looking for in a home, as well as the location. Consumers are seeking more space to accommodate the actualities of remote work, as the global pandemic continues into another year.
University of Michigan Preliminary Consumer Sentiment Index Decreases for January
The University of Michigan today (1-14-21) released its preliminary Consumer Sentiment Index (CSI) for January. The Index of Consumer Sentiment declined to a reading of 68.8 in January down from 70.6 in December — a month-over-month decrease of -2.5% and down -12.9% year-over-year (79.0 in January 2021). The Current Economic Conditions dropped to a reading of 73.2 in January, down from 74.2 in December — a month-over-month decrease of -1.3%, and down -15.6% year-over-year (86.7 in January 2021).
Canadian Investment in Building Construction Increased 1.2% in November
Statistics Canada (StatsCan) reported today (1-13-22) that investment in building construction increased 1.2% to $18.0 billion (CAD) in November. Every component, except industrial construction, experienced an increase. On a constant dollar basis (2012=100), investment in building construction grew 0.5% to $12.3 billion. Overall, residential construction investment rose 1.5% to $13.1 billion in November.