May 15, 2013
Wood Connections
Value-Added Wood Industry News

In This Issue
Lumber Stocks on a Tear
Canadian Wood Council Announces Opportunity for High-Rise Wood Demonstration Project
Invitation to the Montreal Wood Convention
Green Marketing & Business Practices Online Course
Tradeshow Tips/Advice
Specifier Program Update
Spotlight: MK Carving & Sculpting
Why Exhibit at the GBM? Let's think about that...
US Market Update
Japan Market Update
Marketplace
Upcoming Events

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Read below for highlights from the past month.  Also, feel free to send me news stories that you think our readers would be interested in. You can email them to me at rmann@bcwood.com
Industry News
Resource Investing News - May 7, 2013
   
Resource investors who have seen their junior mining stocks beaten down over the past few months shouldn't have tunnel vision and might consider looking at other aspects of the resource economy while they wait out a market upturn in metals commodities.
 

One sector that is looking positively bullish is the Canadian forestry industry and associated forest products companies, which are capitalizing on an uptrend in US housing starts commensurate with an improving economy in Canada's largest trading partner.

 

Canada is the second-largest exporter of primary forest products behind the United States, and the US is Canada's largest market for softwood lumber, used in home building. It is for that reason that the Canadian lumber industry closely tracks the trends in US housing starts, as well as the exchange rate between the Canadian and US dollar, since lumber is sold in US dollars.

 

The Canadian dollar has been at near parity with the US greenback for the past two years, and that has made it more difficult for Canadian producers to compete against US forest companies. But what has changed in recent weeks is the surge in US housing starts, which has rekindled investor interest in the sector. A report quoted by the Financial Post shows new home sales during the first two months of the year at their highest level in more than four years.  

 

It's a trend not seen since 2006, when the US housing bubble burst, followed by foreclosures, plummeting housing starts and demand destruction resulting in several years of low prices for Canadian softwood.

Other factors working in lumber's favor right now include brisk demand for Canadian lumber in China and a rebuilding effort in Japan following the 2011 tsunami. On the supply side, log supply is tightening due to mill closures that followed the 2006 housing market collapse, harvesting cutbacks in Quebec and the decimation of trees in British Columbia by the mountain pine beetle.

 

Add it all up, and you have demand from Asia and the United States outpacing supply, which has led to a doubling of lumber prices compared to a year ago. The price of Western Spruce Pine Fir (SPF) 2x4s has shot up from $220 per thousand board feet in April 2012 to $440 in April of this year, according to Madison's Lumber Reporter. OSB, or particle board, an important building material, has also enjoyed a significant price run, selling at US$357 per thousand board feet last week compared to $227 a year ago, reported Random Lengths.

 

As producers ramp up production to take advantage of higher prices, lumber futures have retreated, around 20 percent since early March, but 2013 is still predicted to be a good year for lumber companies as US housing starts continue to rise.


Click here to read the entire article
Industry News
Canadian Wood Council Announces Opportunity for High-Rise Wood Demonstration Projects
Canadian Wood Council - May 6, 2013

The Canadian Wood Council (CWC) has issued a request for an Expression of Interest (EOI) for Canadian developers, institutions, organizations and design teams willing to undertake an innovative approach to designing and building high-rise wood demonstration projects. With funding support from Natural Resources Canada, the goal of this initiative is to link new scientific advances and data with technical expertise to showcase the application, practicality and environmental benefits of innovative wood based structural building solutions.

"We are delighted to begin the demonstration project funding process, which will continue with an evaluation of proponent submissions and the identification of suitable high-rise projects," explains Etienne Lalonde, Vice President Market Development, CWC.

 

The objective of the EOI is to identify building project(s) in the concept, schematic or design development stages, within Canada, which safely and successfully demonstrate the use of wood as a viable structural element/system in buildings of 10-storeys and more.

 

Above and beyond the safety, environmental and economic benefits of wood, the demonstration project(s) will push designers, builders and manufacturers to further refine the specification and use of structural wood products - ultimately expanding upon the opportunity for new market development.

 

Lalonde goes on to say that, "The goal of the initiative is to support selected proponents to push the boundaries of wood construction and design and to reach new heights of possibility with innovative solutions that are backed by scientific research and technical expertise."

 

This is the first step of an exciting new CWC initiative to identify the paramount selection of project(s) within Canada for consideration by an expert evaluation team of scientists, researchers, building code officials, fire safety professionals, designers, engineers and construction industry experts.

 

The full EOI document, related background information (including an outline of research being conducted by FPInnovations for the "Development of a Technical Guide for the Design and Construction of Canadian Tall Wood Buildings") and contact details can be found on the project website at: www.cwcdemoproject.ca.

Industry News
Invitation to the Montreal Wood Convention 

The organizing committee of the Montr�al Wood Convention (MWC) is pleased to announce that the second edition will be held February 18-20, 2014 at Fairmont The Queen Elizabeth, Montr�al. Save the date!

After a successful restart of this traditional meeting which attracted some 500 participants in February 2013, it's fair to say that the Convention, once again, is the major wood industry trade event in Eastern Canada. The MWC is attended by softwood producers and buyers from across the country, the United States and Overseas. We invite you to view the visibility report from the February 2013 edition, available on the Convention website.

New features of the 2014 MWC include: two half days devoted to contact sessions in the exhibit hall, speed conferences during the exhibition and access to the wood builders conferences as well as the softwood lumber conferences. It's going to be important that Canadian producers have a booth during the event.

The exhibition is going to be bigger compared with the 2013 event and it will be the central point for networking. There will also be time for the informal meetings between buyers and sellers in hotel conference rooms and suites. We invite everyone to check out the 2014 preliminary program on the MWC website www.montrealwoodconvention.com.

Click here to read the entire article
Industry News

You Asked for It!

Green Marketing & Business Practices Online Course

Jason Chiu

Based on strong demand from industry and past students, the Wood Manufacturing Council (WMC) along with the Centre for Advanced Wood Processing (CAWP) has developed an eight week online Green Marketing & Business Practices course to complement the suite of eight existing online courses in the Management Skills Training Program.  

 

The course is scheduled to start on June 10th, 2013

 

The new Green Marketing and Business Practices Course will cover a wide range of material, in an effort to address the overall topic of green marketing. The course will introduce students to key points from a maximum range of topics outlined in the course layout and provide additional reading material for those interested in specific areas. Most of this material will be available online in HTML format, with the remainder available as downloadable PDF documents.

 

After completing this module, you should be able to:

  • Define green marketing and sustainability
  • Evaluate current operations in terms of green performance (separate the wheat from the chaff), e.g., identify what is being done and what is easy to do
  • Incorporate green marketing strategies into your company's marketing plan
  • Develop a business case for green marketing for your company or for a specific project based on green market segmentation
  • Identify sources of environmental regulations including export regulations
  • Describe current trends and expected changes in green marketing
  • Produce ethical green claims and avoid "greenwashing" attacks

 

To learn more about the program, obtain specific information and/or to register for one of the courses, please contact:

 

Jason Chiu

Centre for Advanced Wood Processing

Tel: 604-822-0082

Email:  jason.chiu@ubc.ca or  cawp@cawp.ubc.ca 

Tradeshow Tips/Advice
Top 5 Recommendations to Control Drayage Costs
Skyline Tradeshow Tips -May 13, 2013

How many times have your show services been estimated and all costs seem to be under control until you receive the post-show service invoice, and the drayage cost shocks you and throws you over your budget?!

The official definition of drayage (aka material handling) is the unloading of your exhibit properties, storing up to 30 days in advance of the show at a warehouse, delivering properties to the booth, the handling of empty containers to and from storage, and removing of material from the booth for reloading onto outbound carriers. (Freeman)

 

Top 5 Recommendations to Control Drayage Costs

  1. Consolidate Shipments Under 200 lbs. into One Shipment.  There is always a minimum drayage charge for every shipment delivered to the warehouse or show site.  By consolidating shipments, your charges will be based on the total shipment weight, instead of individual minimum charges.  Plus, by consolidating, your properties will stay together and have less of a chance of being misplaced!
  2. Know the Material Handling Rates.  Sometimes it is less expensive to ship your trade show exhibit to the warehouse, and other times it is more cost effective to ship direct to the show site.  Some shows now include the cost of drayage with booth space, but usually require you to ship direct to the show site.  Do your homework, review the show kit, and compare freight costs, the timing of the arrival of freight, and what makes sense for your booth space.
Click here to read the entire article
Specifier Program Update

Roy Manion

 

Normally, the first couple of months of the Specifier Program are spent updating our database and meeting with existing and prospective companies in regards to their participation in the program for the upcoming year. Typically, the lunch and learn sessions are somewhat put on the back-burner while we attend to these other activities. Not so this year! 

 

While the updates and company meetings are ongoing, we have seen a jump this year in the number of activities and events. By all appearances, it promises to be quite an active summer for the Specifier Program.

 

Since our last Wood Connections, we have held 4 lunch & learn sessions with another 5 scheduled. Also, we are in our final preparation stages for our participation in the Vancouver Regional Construction Association's upcoming conference, which will be held in Whistler on May 31 and June 1. At this conference, we will be exhibiting a number of products from companies participating in the Specifiers Program. As stated in our previous Wood Connections article, this will be the first time we have participated in this event which underscores our commitment to work more closely with the contractor community and increase their knowledge of BC produced wood products.

 

We have also put the final touches on a major event with Live Edge Design that will be held at the BC Showcase in early June, on "exploring the use of wood in West Coast Design". We are also in the planning stages of a seminar and factory tour with another participating manufacturer which we hope to hold in the second week of June.

 

The great thing about all these activities is that the initiative for the vast majority of them has come from the manufacturers who have wanted very specific sessions and are using the Specifier Program to promote their respective messages. By now, it goes without saying that in all cases the sessions are educational in nature, a key element of sessions hosted by BC Wood's Specifiers Program.

 

As always, if you have any questions about this article or wish for more information on the Specifiers Program, please contact me by phone at BC Wood's office, 604-882-7100, or e-mail me at rmanion@bcwood.com.

Spotlight: MK Carving & Sculpting
Rumin Mann

I had the pleasure of meeting with Mori Kono, a Japanese-Canadian artist. He started as a log home builder after he moved to BC in 1994. Over the years, his passion for carving grew and it quickly became his main focus. In 2005, he established MK Carving & Sculpting in Abbotsford, BC. He creates custom wood carvings and sculptures including hand carved doors, carved mantel pieces, 3D free standing pieces, wall mounts, hardwood detailed carvings, classical architectural carvings, memorial carvings, and custom signs. He creates these custom pieces using all types of wood including local coastal and exotic woods.

 

Mori has a unique process in creating his pieces. He spends time connecting and learning about the client so he can incorporate their personality and characteristics into the piece. He also spends time researching the project and discussing the meaning behind it with the client so the appropriate emotions are conveyed.

 

Mori's respect and passion for wood, positive energy, and unique style has landed him many awards including Canada Home Builders' Association's Best Creation of Unique Feature of Room Interior award for creating a wrap around staircase with a cougar post (image below). 

 

For more information, visit  www.mkono.net 

 

 

Why Exhibit at the GBM? Let's think about that...
Randi Walker

 

 

Why Exhibit at the GBM this year?

 

Let's think about that...  

 

2012 Global Buyers Mission Exhibitor Testimonials: http://youtu.be/C5j5u6ShUP8

 

This is the ONLY event in North America where the buyers come to you from literally all over the world. Think about the cost of visiting even one of these international countries, then think about how you would go about finding the right 5 potential buyers in that country that are likely to have an interest in your products, then think about the logistics and interpretation skills required, then think about that, times - let's say, 5 countries. Or if your interest lies in meeting influential architects and builders, think about how challenging it would be to get 30 of them sitting down and listening to you talk about your products and why they should be specifying it in their next project.

 

Then you can think about the last time you had a chance to get together and share a drink and stories with a couple hundred other folks in the industry, in a relaxed environment (who may also be interested in doing business with you, by the way), then you realize why the GBM is an excellent event to help you build your business - and perhaps have a little fun at the same time!   

 

Wood product association members pay only $2079 for a 10 X 10 booth with all the trimmings, and two participants enjoying all the meals and activities during the event. Plus discounted hotel rooms and for most, only a few hours drive away.

 

Think about it - but not for too long, since space is limited. Email gbm@bcwood.com for details.

 

US Market Update
Dave Farley

A few comments, suggestions, and ideas that may be of interest...

 

   

I decided to try something a little different for this weeks' article in the Wood Connections. In today's fast paced world of social media, we are constantly bombarded with information; staying on top of what is going on in our industry can be tough. So to help out, I'm sending a market report direct from the source.

 

I'm currently - as in right now - at the Hospitality Design Show (HD13) in stifling hot Las Vegas. I have been wandering around the show, meeting with exhibitors and attendees and sourcing out the latest in wood products design being showcased from manufacturers from across North America and Europe.

 

Here are some of the things that I heard and that caught my eye.

 

Wood continues to have a significant presence at the show. From flooring to wall paneling, furniture to sculptures, wood is everywhere. A company out of Portugal was showing some innovative wall panels made from a variety of species, the most interesting being a stacked oak panel manufactured from reclaimed wine barrels. They have used this product in residential and commercial applications across North America.

 

A flooring supplier from Anaheim is showing engineered flooring manufactured from reclaimed materials including rusted metal laminated to a plywood substrate. I thought this was an innovative use and representative of "mixed media'' where materials are combined to create unique products. I have seen wood and resin, wood and glass, wood and metal, and enamel painted wood used on a variety of products throughout the show; this certainly can be considered a trend at this years' HD show.

 

BC Wood member and manufacturer, Martha Sturdy is leading the way in mixed media, showcasing wood benches and sculptures that have been fire charred and stained black, creating a very unique and different look.

 

 

 

This is some of the market info that I have found so far and I still have over half the show to walk.  In reading this, if anything interests you or you want to me to dig up some further intel, please send me an email to dfarley@bcwood.com or text me on my cell at 604 728 8786.

 

Now back to walking the show.       

 

Click here to view images from the show  

Japan Market Update
Jim Ivanoff



Over the past year and a half, BC Wood has been working with its Canada Wood partners in Japan to build large-scale wood structures under the Canada-Tohoku Reconstruction Project. The first of these buildings was a small library completed in January. The second project was the high-profile rebuilding of the Yuriage Market which was the largest fisherman's/farmer's market in northern Japan before the 3/11 tsunami. The beautiful new facilities were just opened to the public on May 4th during the Golden Week holidays.

 

Since 3/11, the association that manages Yuriage had been able to keep the market alive by renting space in a shopping mall parking lot just outside the devastated area. However, both the tenants and the customers wanted to see a return to the Yuriage site so that they could have proper facilities while also bringing economic activity back to the desolation left by the tsunami. In fact, this Canadian funded project became the first reconstruction effort in the area and thus now stands as a beacon of hope for this once thriving community.

 

Opening day saw over 15,000 people overflowing the Yurage Market grounds starting at 6:00am. By the time of the official opening ceremony at 11:00, many of the vendors were sold-out. Walking past the many stalls, it was wonderful to see locals benefiting from our contribution. In fact, as Canadian delegates went past, you could hear a chorus of "arigato" from the vendors matched with heart-warming smiles. Many member companies worked hard supplying materials for this project and it made me very proud to see the results of all our efforts.

 

The market consists of three areas. The largest building is the "Maple Pavilion" which was constructed using Douglas fir glulam posts and beams while finished in high-quality WRC paneling, siding, and decking in addition to engineered white oak flooring and CLT panels used in a decorative application. The Maple Pavilion will be used as a food court and outdoor seating area, in addition to being a gallery documenting the history of Yuriage, as well as Canada's contribution to its reconstruction. The main shops are housed in two long 2 x 6 structures, also clad in WRC, each with seven individual stalls. In front of these is an open area for additional vendors to set-up in tents. The market association is now applying for loans to build permanent structures there as well, which are also planned to be constructed using Canadian building products.

 

During this fiscal year, one more large project will be undertaken with the remaining funds from this initiative. Prior to the tsunami, many of the commercial buildings in this area were drab concrete structures. The Canada-Tohoku Reconstruction Projects will serve as demonstration projects of how Canadian wood products and technology can be utilized in developing warm and inviting facilities that encourage people to return.  

 

 

 

Marketplace
In this section, you can post anything from a job postings (for employees looking for a job and employers), to machinery for sale/wanted, to a request for a particular type of wood or service.  
 


If you would like to include a posting in our Marketplace section, please email me at 
rmann@bcwood.com or call 604-882-7100 and ask for Rumin. 
Upcoming Events
June 5-6, 2013: Pacific Coast Builders Conference (PCBC), San Diego

June 11-13, 2013: Gas & Oil Expo, Calgary, AB

June 19-21, 2013: AIA National, Denver, USA

Sept 5-7, 2013: Global Buyers Mission, Whistler, BC

Sept 9-11, 2013: Multi-Family Housing Conference, Las Vegas, USA

Sept 19-22, 2013: IDS West, Vancouver, BC

Sept 27-29, 2013: Nikkei Reform Industry Fair, Tokyo, Japan

Sept 2013: China Exhibition on Housing Industry, Beijing, China

For a list of all trade and industry events, please visit our
For more articles and industry news updates, please visit:
http://www.bcwood.com/news-updates/

If you have any questions, comments, suggestions, or feedback, feel free to email me at rmann@bcwood.com.


Sincerely,

 


Rumin Mann
BC Wood
BC Wood is a not-for-profit trade association that supports BC businesses that manufacture wood products. We are a voice for the industry, bringing innovative ideas to the table and insight into how we can strengthen BC's wood culture. We are leading the industry by creating a culture where wood is the first choice for all types of construction and design products.
 
For more information on BC Wood, visit our website: www.bcwood.com.