Header: Header: Header:

Canadian Lumber Producers Angry Over Rail Bottlenecks

Canada’s lumber producers ought to be enjoying the fruits of a U.S. housing recovery. Trouble is, they can’t take full advantage of it. The forestry companies say that a shortage of rail cars is causing them to lose sales and market share, just as American demand for their products returns after a long, severe slump.

The problems the companies say they face include irate customers threatening to impose penalties for late delivery; empty ships sitting uselessly in port for lack of lumber to move; and idled shipments that have to be stored under tents.

Western Canadian producers have added their voice to the chorus of industry complaints in Ontario and Quebec over major rail shipment delays.

The robust pickup in the U.S. housing market has resulted in new orders for lumber, strand board, plywood, pulp and other products, and Canadian producers require more rail cars to get those products south. But they claim the two major Canadian service providers – Canadian National Railway Co. and Canadian Pacific Railway Ltd. – are not doing enough to help them out of a jam.

“Slowly but surely, the lumber and panel and pulp markets are coming back and it’s getting more difficult to supply as quickly and as consistently as possible, especially with just-in-time delivery becoming commonplace,” says Doug Routledge, acting president of the B.C. Council of Forest Industries.

From The Globe and Mail: theglobeandmail.com.

Latest News

Teal Jones Group Proposes $110.5 Million Sawmill In Louisiana

Teal Jones Group owners Tom and Dick Jones announced that the company is evaluating Bossier Parish, La., for a planned $110.5 million southern yellow pine lumber plant to produce a range of dimensional and specialty lumber products with an…

Cascade Hardwoods Adds Microtec CT Log Scanning

Cascade Hardwoods recently invested in Microtec’s CT x-ray log scanning and Logeye 900 stereo carriage scanners for their Chehalis, Wash. facility. The CT X-ray scanner utilizes computed tomography x-ray reconstruction to detect internal…

USNR, WFG Sold To Equity Firm

One Equity Partners (OEP), a middle market private equity firm, announced that it has completed the previously announced acquisitions of USNR and Wood Fiber Group. OEP reports it subsequently merged the two businesses, with projected 2021 revenues greater than $500 million…

Find Us On Social

Newsletter

The monthly Timber Processing Industry Newsletter reaches over 4,000 mill owners and supervisors.

 

Subscribe/Renew

Timber Processing is delivered 10 times per year to subscribers who represent sawmill ownership, management and supervisory personnel and corporate executives. Subscriptions are FREE to qualified individuals.

Advertise

Complete the online form so we can direct you to the appropriate Sales Representative.