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Ladysmith mill in Canada may reopen
05/04/2010
Following a two year closure, there is speculation that Western Forest Products (WFP) will reopen its Ladysmith sawmill in Canada.
The company is refusing to confirm the speculation at this time. However, the president of the Pulp, Paper and Woodworkers of Canada, Local 8, Mr Arnold Bercov, which represents the workers at the mill, has said that WFP is planning to bring back up to 70 workers to the mill.
Russ Taylor, an industry analyst at International Wood Markets, based in Vancouver, has stated that global markets are now generally favourable after a long downturn and he is actually surprised that more mills on the coast at not reopening.
Taylor went on to say that although demand in the USA is not growing significantly at present, inventories are depleted and the industry is finding it hard to replenish supplies due to the number of mills that have closed in recent years. He also pointed out that growing demand from China and the loss of output from Chile have increased demand for wood, meaning prices have risen.
According to Mr Taylor, the price of lumber has grown from $150 per thousand board feet in 2009 to approximately $260 in North America today.
The company is refusing to confirm the speculation at this time. However, the president of the Pulp, Paper and Woodworkers of Canada, Local 8, Mr Arnold Bercov, which represents the workers at the mill, has said that WFP is planning to bring back up to 70 workers to the mill.
Russ Taylor, an industry analyst at International Wood Markets, based in Vancouver, has stated that global markets are now generally favourable after a long downturn and he is actually surprised that more mills on the coast at not reopening.
Taylor went on to say that although demand in the USA is not growing significantly at present, inventories are depleted and the industry is finding it hard to replenish supplies due to the number of mills that have closed in recent years. He also pointed out that growing demand from China and the loss of output from Chile have increased demand for wood, meaning prices have risen.
According to Mr Taylor, the price of lumber has grown from $150 per thousand board feet in 2009 to approximately $260 in North America today.
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