Land Owners, Timber Producers and Sawmill Owners Caught in Squeeze; Consumers Benefit

[North Carolina] Land owners, timber producers and sawmills are suffering as prices for pine saw timber declined dramatically in 2006. At the same time, the data shows that consumers are enjoying the best lumber prices from their local hardware stores in more than 18 months, according to Forest2Market, Inc. Ample timber supply and a slumping housing economy aided in driving prices down. While pine saw timber prices and demand declined, strong demand from pulp and paper created higher prices for pine pulpwood. The trend in hardwood pulpwood delivered prices also increased.

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