However, second thinnings in the 21-25 age class typically remove more than just pulpwood, including larger chip-n-saw logs and smaller-diameter sawtimber. It allows API clients to download millions of rows of historical data, to query our real-time economic calendar, subscribe to updates and receive quotes for currencies, commodities, stocks and bonds. The current version of the Ohio Timber Price Report has been produced by The Ohio State University since 2003 in cooperation with the Ohio Division of Forestry. Visit our Get Connected page, complete the form, and you will be connected with leading timber companies in your area. July 2020 Price Report January 2020 Price Report July 2019 Price … If mills don’t need wood, prices go down. The geography, measuring system and products may be completely different, but the market operates in a similar way. These pine timber stands most often go through even-aged management regimes where the majority of the trees present are the same age (+/- a couple of years). Trading Economics members can view, download and compare data from nearly 200 countries, including more than 20 million economic indicators, exchange rates, government bond yields, stock indexes and commodity prices. Like thinnings, clearcut values per acre for timber in the higher-value age classes all decreased in 2019, also a sign that supply outstripped demand. *Prices shown are based on per ton stumpage price. If you’re supposed to thin, thin. Your email address will not be published. Follow your management plan and harvest mature timber. I also analyzed US South prices for natural pine stands by harvest type (concise age class data is unavailable for these harvests). Timber Update helps landowners by connected them with local timber pros, education and by updating landowners on market conditions. endobj endobj *Average of all age classes excluding <15 (clearcut). Stumpage Prices in Texas May/June 2020 1. Naturally regenerated stands of pine timber often have a higher density of trees than do plantations. Direct access to our calendar releases and historical data. to provide some revised trends, context, and related information about the value of pine timber per acre. If you’re supposed to harvest, then harvest. Below, you can find relatively current 2020 timber prices and comments regarding different timber … <> The latest on timber prices in Missouri. 4 0 obj However, with the continual pressure of Chinese tariffs and decreased consumer demand at home, we’ve gotten a lot of reports that many mills across the U.S. are dramatically slowing production. Author: Jay Engle. Timber Prices. If mills need wood, prices go up. When timber companies compete, you win! As a result, the size of the trees removed during thinnings and clearcuts are quite different and therefore vary in value. COVID-19 along with wet weather has created a situation where wood mills are full of inventory and don’t need to buy additional inventory. Using Timber Update is free and easy! Missouri Timber Price Trends, Qtr. Prices are based on an average calculated from a sample of timber buyers across the U.S., and only intended to provide an estimate of trends and current prices. From biomass suppliers in the Baltics to pulp producers in Brazil and TIMOs in the United States, Forest2Market provides products and services for suppliers, producers and other stakeholders in the global forest products industry. [i] “Stumpage” is the term used for the purchase price of standing timber and the rights to harvest that timber. Timber prices are directly affected by the forces of supply and demand. In the South, stumpage is most often quoted in dollars per ton of wood, so we used that measurement to arrive at our values. A lot of landowners in the Southeast and West Coast even saw catastrophic events destory their mature investment. Clearcuts, on the other hand, typically carry a higher price per acre due to the average size of the trees and the volumes of material removed. For sellers, a trained forester is essential to provide insight into local market dynamics and help determine an accurate amount of merchantable wood that exists on an acre of timberland. July 14, 2020. In turn, some areas will have higher prices than others, because markets exist as a result of their products. Historically, Lumber reached an all time high of 1000 in September of 2020. [i] “Stumpage” is the term used for the purchase price of standing timber and the rights to harvest that timber… However, it is important to note a clearcut will remove all standing timber on a tract of land, which, even in the case of a managed forest in the 26+ age class, will include both pulpwood and chip-n-saw logs. Thinnings of CNS and small sawtimber in the 16-25 ages classes command a higher price per ton than pulpwood, but the price differential between the age classes is minimal. The volume and types of products available on a tract of timber will therefore determine the value per acre. In keeping with the format of the original post, the information below includes pine stumpage[i] values from timber sales across the US South for both natural and plantation stands that were harvested either in thinning (selective tree removal) or clearcut (complete harvest) operations. Thinning values per acre for CNS and small sawtimber in the 16-25 age classes were up in 2018 but dropped markedly in 2019—a sign that supply of these products outpaced demand in that year. Ultimately, your trees are worth what someone is willing to pay and also depend on market conditions. Saw Log NOTES: ALL SAW LOGS REQUIRE 6″ TRIM. 2, 2020. There are a couple of considerations to keep in mind when analyzing the natural pine data: In the chart above, the expected higher stumpage value for clearcut timber sales is evident. MDC publishes quarterly timber prices trends, based on a rolling average of reports received from state and private foresters over the previous 12 months. 2 0 obj Competition – Ultimately, timber markets are driven by competition. If a mill can only get the product it needs in Region A, you can bet they’re not going to build a mill or buy wood in Region B. Check out our new Timber Products page for an in-depth guide to the different types of timber products, definitions of common forestry terms, and videos of the milling process. Not surprisingly, first thinnings of young timber brought lower prices from 2017-2019 due to the smaller trees that were removed; only pulpwood and smaller logs that fall into the chip-n-saw category are harvested at this time. This kind of information can be very useful in determining emerging market trends, which can be used to guide operational and strategic planning for both sellers and purchasers of pine timber. The same factors that determine regional prices, also influence markets in different states. Timberland owners in the US South who manage their land for timber production predominately manage for the growth of large pine logs. So, what should landowners do in times like these? Couple this lagging effect from unharvested timber with a lower consumer demand and Chinese tariffs and you’ve got a recipe for static timber prices or in some cases, lowered prices. <> 1978-2020 Data | 2021-2022 Forecast | Price | Quote | Chart | Historical. This new update will provide more detail by looking at values over a full 3-year period (2017-2019). Unlike the plantation data, there is a clear trend of increasing stumpage prices over the three-year period for both clearcut and thinning timber sales on natural stands. However, there are a couple of notable trends as well: Individual age class data is unavailable for natural stands of timber, however, the harvest information of natural pine stands illustrates similar price-per-acre ranges as the plantation pine harvest data. <>/PageLabels 1113 0 R>> MDC … hbspt.cta._relativeUrls=true;hbspt.cta.load(299583, '4c344714-8bd4-4eef-9ee7-ef4fbd63d5a6', {}); Subscribe to Forest2Market's email updates, right in your email, North America - Charlotte Headquarters+1.704.540.1440. . Extreme... After blasting past the previous all-time high achieved in 2018, southern yellow pine (SYP) lumber prices are now at... Australia’s softwood log exports exploded to a new monthly record in June, with total exports reaching a massive... We provide detailed transactional data, cost benchmarks and in-depth analytics for participants in the wood raw materials supply chain. Lumber is wood that has been processed into beams and plank. Prices updated October 15, 2020. This is a closed group. Demand is heavily influenced by location, surrounding mill types, proximity to those mills, and the volume and type of timber products consumed in a given area. Timber Update exists to give landowners access to timber companies that compete for your business. © 2020 Timber Apps, LLC. As detailed in the data above, there can be significant yearly swings in timber prices based on product type, age class and harvest type. The futures contract traded on Chicago Mercantile Exchange specifies that the lumber must be manufactured in certain U.S. states and Canadian provinces. Stumpage price statistics include gatewood sales. 2. Our timber price database is continually updated and contains comprehensive sales data from more than $6 billion in actual timber transactions across the entire region. All rights reserved. Why? ... Our timber price database is continually updated and contains comprehensive sales data from more than $6 billion in actual timber transactions across the entire region. Older timber stands also typically allow for larger trees, which can affect the total stand volume or the price per tree. When there’s less competition, because of any number of factors, the price goes down. endobj If mills don’t need wood, prices go down. Since we’re talking dollars and cents, it’s always instructive to stay abreast of market movements during periods of significant turbulence. The biggest producers of lumber are concentrated in the Baltic Sea region and North America. If mills need wood, prices go up. With that said, let’s explore the question…. The distance to and from the mill is directly proportional to a timber companies overhead. Summarized timber price information specific to Arkansas is provided by Timber Mart-South. For specifics, check out the previous FAQ about price by region. Explore Forest2Market's Interactive Business Intelligence Platform. The report lists price data for sawlogs delivered to the mill ad for stumpage. The original blog post analyzed values based on a rolling 12-month time frame. Landowners who would’ve otherwise replanted and thinned a new crop of timber lost a decade of new growth, Available forest inventory artificially exploded due to landowner’s unwillingness to sell and. This is typically governed by the fact that thinnings in higher age class stands are less common and usually yield less volume per acre, which results in a lower price per acre. How Much Money is an Acre of Timber Worth? The impacts of holding on to mature inventory were two-fold: Ironically, when a large percentage of landowners don’t harvest their mature timber, as they chose to do between 2008 and now, the market is negatively impacted to an even greater degree due to the spike in unharvested or excess inventory.