Canadian Lumber And Softwood Products And The Effectiveness Of Lumber Distributors

Canada is a resource-rich country in which vast growths of softwood trees dominate the landscape

. Due to Canadas sustainability policy, softwood is a readily available renewable resource which will continue to be a preferred building material in North America.

The origins of Canadas forest products industry have been closely tied to the U.S. economy. As a result of strong transportation infrastructure in Canada and U.S and ease of doing cross-border business, the softwood trade between these two counties is economically imperative.

Specifications such as size and grade of manufactured Canadian lumber are aligned to meet U.S. standards such as building codes. Moreover, the lightweight and structurally stable wood characteristics of Canadian lumber and its versatile applications have created regional demand.

Lumber distributors have been key players in the industry and have been a strategic tool to distribute softwood to buyers and end-users in the U.S. Lumber distributors establishes partnerships with sawmills or purchase Canadian lumber on the open-market.

The dependency on the U.S. economy has been lessened as a result of the global downturn and domestic slump within the U.S. Therefore, the economic situation has incited Canadian lumber suppliers to conduct business on international markets.

Marketing Canadian timber in international markets requires suppliers to understand the lumber products presently being imported by the country and the application of the lumber.

Lumber distributors which have international market knowledge and strong marketing capabilities give sawmills an opportunity to export their products internationally. Local know-how and awareness of business norms motivate sawmills to affiliate with lumber distributors.

Emerging markets are beginning to accept Canadian lumber as an effective alternative to tropical wood and hardwood lumber. However South American and Australian/New Zealand softwood is still a major competitor to Canadian timber.

The importance of lumber distributors in the forest products industry will be an interesting topic of discussion as the world becomes more globalized. Factors such as technology, intercontinental travel, and infusion of culture will inevitably connect sawmills and buyers.

by: Interpro Forest Products

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