We are all in the gutter but some of us are looking at the stars.
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KATRINA-DAMAGED TIMBER ENOUGH FOR 800,000 HOMES
WASHINGTON, D.C. (AgWeb.com) – Timber damaged or destroyed by Hurricane Katrina in Mississippi, Alabama and Louisiana had an estimated value of $5 billion or the equivalent of 19 billion board feet, according to the U.S. Department of Agriculture’s Forest Service.
The department says that if the downed trees were removed quickly, enough wood could be salvaged to produce 800,000 single-family homes and 25 million tons of paper and paperboard.
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Interesting .... Could the storms actually drive materials prices down due to this forced harvesting, rather than up due to massive rebuilding?
-- J.S.
Prices come down? You jest.
It would take a government mandated forced harvesting to get those trashed raw materials into the saw mills and processing flow. And you can bet the processing will be claimed to be more expensive and higher pricing established/maintained so the bottom line does not suffer.
Well, you can bet that it is more expensive to harvest a blown-down forest than to get at it normally, and I'm sure there will be more waste too
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The "materials prices should show some increase" in the words of the NAHB.
The effect of the closure of the Port of N.O. is expected to increase the cost of cement and other materials. I was not aware of the amount of cement imported from Mexico through the Port of N.O.
The NAHB is lobbying the administration to reduce tarrifs on Brazilian plywood, Canadian lumber and Mexican cement to alleviate some price pressure.
But, that's a lot of sticks laying on the ground over there.
We are all in the gutter but some of us are looking at the stars.
Have a look at: http://www.cemex.com/
-- J.S.
Our HistoryFounded in Mexico in 1906, we have grown from a small regional player into a top global cement company.
Speaking of Mexico
Tariffs on cement are 63%, according to the Southern Tier Cement Alliance
Just another reason prices are climbing.
Our domestic production can't keep up with demand. The US will be importing over 25% of the total US consumption over the next couple of years.
Interesting. Thanks.
When in the Permian Basin be sure to visit the "Hog Pit Pub and Grub" between Midland and Odessa off Hiway 80 near the Burnout Lounge. Steaks - Burgers - Catfish and always Ice Cold Beer. Soon to be a dining, dancing and drinking institution in West Texas.
I just read somewhere where several closed mills in the lower south were reopening and gearing up to process all the downed timber... GP and international paper were both mentioned
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Mr. Cat,
Where are you in Texas, near the eastern coast? Please let us know what's going on over there, regarding Rita.
-Jack
Right now I'm in Midland. There is a good thread going by Capn Mac in the Woodshed Tavern that is giving current Rita updates.
We are all in the gutter but some of us are looking at the stars.
10-4
Maybe the American government and lumber lobby could wake up and realize that they should give the billions in tariffs back to the Canadian Lumber industry that were collected unfairly. Then the price of the imported lumber would drop because there is going to be a big demand for lumber.
Have a good day
Cliffy
Keep holding your breath on the 'giving back'.
The situation may dictate that the tarrifs be reduced ...................
or eleminated.
When in the Permian Basin be sure to visit the "Hog Pit Pub and Grub" between Midland and Odessa off Hiway 80 near the Burnout Lounge. Steaks - Burgers - Catfish and always Ice Cold Beer. Soon to be a dining, dancing and drinking institution in West Texas.
Keep holding your breath on the 'giving back'.
LOL, thats what I was thinking