Mississippi Timber Price Report

March/April 1997
Timber Market Comments

 

Sawtimber

Competition for pine stumpage in March was strong with "winter" prices continuing until mid-April when log supply began to improve. By the end of the period, pine sawtimber stumpage prices began to get soft as lumber prices began to decline and log inventories improved with drier weather. Average standing pine sawtimber prices generally dropped some but prices levels were still good and most sales had 4-10 bidders. In every region of the state a few sale reports over $550/MBF,Doyle were reported, but these excessively high reports were not included in the average calculations. However, it does illustrate the continuing competition for good quality tracts.

Many pine mill reporters were relieved about improving log inventories, though were cautious. Most pine mills reported much improved log inventories compared with January/February. Many buyers commented that timber sales on the market had begun to "slack off" but didn't think it too unusual, because prices had begun to drop.

One consulting forester commented that the "winter market" was about over (by the end of April) and he was getting ready to put up a few tracts that were "summer only" timber.

Hardwood stumpage markets were steady to a bit improved. Several mills contacted reported being "ready to buy some timber." But log inventory conditions were variable. One mill contacted in north Mississippi had a good log inventory and was even putting some logs in water storage while others were low on logs. One reporter commented he was wanting to buy some hardwood tracts but they "are hard to buy."

The hardwood lumber market was active in March/April. One reporter commented that demand was chasing lumber supply and the market was good for the lumber available. Frame stock was reported "scarce" and "off species" like soft maple and hickory had moved up this spring.

Some hardwood standing prices for specific species reported were as follows:

Central Mississippi

Sweetgum

90/MBF

Hickory

80/MBF

White Oak

160-240/MBF

Delta and River

White Oak

175/MBF (Delta)
300/MBF (River)

Green Ash

285/MBF

Sweetgum

90-125/MBF

No Southern Pine Beetle problems were reported. A regional SPB report released by the USFS, noted that SPB activity in the region was low. The SPB outlook for Mississippi is good. For those with World Wide Web access, click here for SPB report.

 

Pulpwood

The pulp market in the region has been unique this year. Earlier in January/February and into March/April the hardwood pulpwood demand was "unreal" according to industry publications. But by the end of April the supply had begun to catch up and pulpwood dealers were facing quotas. Many expected the market to "get tight" very soon if they weren't on quota already.

Weak pulp markets were the culprit. US pulpwood consumption was down 5-8% since January. This drop in consumption and drier weather translated into softening pulpwood markets. Pulpwood stumpage prices in Mississippi moved lower statewide for pine but moved a bit higher for hardwood.

 

Other Comments

Anyone can get copies of the Mississippi Timber Price Report from the local Extension office. The report is now available through the Extension Service, County Computer Network to all County Extension Offices. For the latest timber prices, call your County Extension Office or to get on the mailing list, contact Extension Forestry, at P.O. Box 9681, Mississippi State, MS 39762.

View the Standing and Delivered prices for March/April 1997.

As always, your comments, pros and cons are welcome.

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