Missouri Timber Price Trends
April - June 2006
News from the Field
Thanks to all who spent time visiting with me this past quarter (93 sawmill
visits). I am still hearing that red oak lumber prices are not where they
should be. I am also hearing the cross-ties are doing well. I understand that
good walnut logs are bringing a good price.
It has been very interesting to me to travel all over the state to talk to
sawmillers and loggers. I grew up around small circular sawmills and feel that
I understand how they operate and what production levels they are capable of
producing. In my travels around the state I have had the opportunity to visit
all different sizes of mills. I have seen the small band sawmills that produce
about 2,000 board feet a day and also had to opportunity to visit several mills
that are producing well over 20,000 board feet per day. The least waste of wood
products is occurring overall in the larger mills. The larger mills seem to
have the act for selling products like wood chips, slabs and sawdust. Some of
the small mills can not afford to buy an extra truck trailer to blow sawdust
into just too basically sell the dust for cost.
This past quarter I traveled to Richmond, VA to the Smallwood Conference. I
heard talks on using small diameter wood to make energy (heat, ethanol, and
electricity) and products such as flooring. I had the opportunity to visit a
high production pine mill that produces 95 million board feet of dimensional
lumber each year out of small diameter trees that are only about 30 years old
(they grow trees a little faster in Virginia). I also visited a college campus
that burns sawdust to heat the entire campus buildings.
There are still areas in Missouri where sawmill owners are burning their slabs
and wasting sawdust. I am interested in finding ways to see this residue used.
I would like to see some niche markets open up that would utilize wood chips and
sawdust in these areas. If anyone has any ideas on how to better utilize some
of these products I would be glad to hear from you.
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