Canadian Wood Fiber Prices Continue to Rise; U.S. Prices Ease

For Immediate Release

WATKINSVILLE, GEORGIA, UNITED STATES, March 30, 2023/EINPresswire.com/ -- North American wood fiber prices increased 9% year-over-year through Q1 2023 according to the Forisk Wood Fiber Review (FWFR). Tight labor markets, slowing paper demand, and cooling lumber output all contributed to fiber price volatility throughout 2022 and into early 2023. Canadian fiber prices led the increase, with roundwood prices up 17% and chip prices rising 26% year-over-year. “Fiber shortages remain challenging in Western Canada,” according to Vickie Swanton, Forisk’s Western Region Representative. “Sawmills are slowly ramping up lumber production following 2022 curtailments, but sawmill residual chip prices remain 50% higher year-over-year across British Columbia.” U.S. roundwood prices increased only 1% year-over-year compared to a 10% increase in chip prices.

Fiber prices stabilized in the U.S. Northeast and U.S. West in Q1 2023 following a tumultuous 2022. In the West, softwood fiber prices fell 4% for chips and 18% for pulplogs quarter-over-quarter. Prices for both remain up at least 14% year-over-year. U.S. South fiber prices fell year-over-year for all product types in the South Central and Southeast regions. Softwood chips in the Southeast were the only exception, rising 3% year-over-year through Q1 2023. “Mills in the South started the year with better-than-expected inventories,” noted Stephen Wright, Product Manager for the FWFR. “Despite wet weather in early 2023, lower demand from paper mills and falling diesel costs contributed to decreasing fiber prices.”

Wood fiber costs account for over half of total pulp manufacturing cost worldwide. The Forisk Wood Fiber Review includes prices and market commentary for all major North American regions, providing essential data for anyone that needs to track pulpwood, wood chips, and biomass prices in the world’s largest and most dynamic wood fiber markets. The FWFR provides updates of softwood and hardwood prices for all major markets in North America. Prices are reported for wood delivered to consuming plants as a range and average price. Each report also updates U.S. and Canada trade statistics for lumber, logs, wood pellets, wood chips and pulp.

For more information or to subscribe to the Forisk Wood Fiber Review, visit www.forisk.com or contact: Heather Clark, hclark@forisk.com, 770.725.8447.

Heather Clark
Forisk Consulting
+1 770-725-8447
hclark@forisk.com
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