One of the things we feel is most important from a supplier is consistent, accurate communication with our customers. Our sales team functions as that conduit in three day-to-day conversations with customers, but they can only reach so many customers in a day and often don’t reach downstream to all affected when supplies become constrained. So we wanted to take an opportunity to detail the short-term challenges we are facing in buying logs and what steps our customers can take to mitigate any shortages.

Because the markets for softwood dimension are so poor, many of the larger producers of dimension lumber have reduced shifts, closed lesser-reductive plants and adjusted harvesting plans to match their needs. Alder is a come-along species in the Pacific Northwest forests, representing only 5-15% of the volume harvested depending on location. Because of the reduced harvests targeted by softwood lumber and plywood companies, we are seeing far fewer logs from what has been a reliable source of Alder timber.

In our state, Washington, there has also been a shift in both harvesting regulations and in the timber being offered for sale. Alder regenerates naturally, and is fairly abundant in much of the state forestland west of the Cascade mountains. The newly elected lands commissioner in Washington is demonstrating what we feared, by reducing the volumes offered for sale, and also shifting what is being offered to younger, smaller forests from those containing mature Alder timber. The State has also implemented new restrictions increasing the harvesting setback from streams not containing salmon by 50%. If you have ever lived or traveled in Western Washington, you are familiar with the rugged terrain and sheer number small streams that traverse the area. These new regulations will effectively set aside from harvesting a large volume of productive Alder timberland.

Alder is not going away. We at Cascade are committed to continue leading the market for what we feel is the best hardwood species. Our resource team is out aggressively buying all the logs they can. We have adequate log inventories at the Chehalis mill and are working to bring more into Port Angeles, where we are slightly behind target. What we need our customers to do is to begin planning their purchases further out, like has been done in past Alder markets. As has been mentioned in this column many times, if distributors would start pushing more Cabinet Plus, selling it alongside Superior, it would not only alleviate some of the expected supply pinch but would also save their customers money. While the last two years have been challenging to gauge demand and therefore advance purchases, redoubling your efforts to get orders in queue will help us make sure you have supply when needed. In the near term, on the ground, ready to ship 4/4 SUP 10’; 4/4 PRE and thick stock SUP will not be available as it has over the last couple of years.