Alaska Increasing Logs To China

A new trade agreement between China and the U.S. will ease the shipping of Alaskan logs to China.

The agreement allows Alaska logs to be fumigated at a newly built fumigation plant in Putian, China, rather than aboard freighters anchored in Japan. Fumigation isn't done in Alaska because most logging sites aren't accessible by road and the cold climate isn't conducive to the effective use of methyl bromide-the insecticide used in log fumigation.

Fumigating in China should reduce export costs and allow more lower quality logs to be sold there, said Doug Warner, a marketing specialist with the Alaska Department of Natural Resource-which helped broker the agreement. He said that Alaska does not have any pests of

More Ecoterrorists Nabbed

Five years after allegedly serving as lookout in the firebombing of Superior Lumber's office in Glendale, Or., Suzanne "Nicole" Savoie, 28, surrendered to the FBI in Oregon (see January, page 62).

concern, especially not the pinewood nematode the Chinese are worried about. Even so, he said, log fumigation is a matter of course for most countries.

China is a minor market for Alaska logs, especially compared with Japan or South Korea, but it's growing. In 2004, log sales to China totalled $2.9 million, up from $2.5 million in 2003. A booming housing market and a decrease in domestic timber supply due to deforestation measures are just two reasons for the growth.

"China is emerging as perhaps our most important trading partner," said Jack Phelps, a DNR forest producrs specialist. "The Japanese market came unglued a few years back, and China is becoming very important."

Savoie and Jonathan Mark

Christopher Paul, 39, who is accused of the 1997 firebombing of a horsemeat packing plant in Redmond, Wa., were arrested and arraigned Jan. 19. Both are members of the Earth Liberation Front, a radical group that has taken responsibility for a string of attacks in the West. If convicted, the two face up to 20 years in prison and a $250.000 fine.

According to the FBI, Savoie was the girlfriend of Daniel McGowan. who is being held wirhout bail in Eugene, Or., for his role in the fires set at Superior Lumber and Jefferson Poplar Tree Farm in Clatskanie, Or.

New arrests in the Sacramento. Ca.. area show that the threat of ecoterror is still present. On Jan. 13. three people were arrested for allegedly plotting to blow up rhe U.S. Forest Service's Institute of Forest Genetics in Placerville. Ca.. and the Nimbus Dam and nearby fish hatchery on the American River just outside Sacramento.

Eric McDavi d, 28. Zachary Jensen. 20, and Lauren Weiner. 20. were arrested while buying materials to make plastic explosives. and rvere indicted by a federal grand jury. All three have been linked to the Earth Liberation Front, but have no known ties to the individuals recently indicted in Oregon.

If convicted of conspiring to use fire or explosive to damage property. they face five to 20 years in prison.

Certified Distributor Formed

A nerv Northern California forest products distributor has been formed specializing in Forest Stervardship Council-certified lumber and panels.

John and Susie Parr launched Certified Forest Products, Orinda. Ca., to sell sustainably managed framing lumber, domestic and imported hardwoods and softwoods. panel producs, siding, decking, floorin-e. moulding, and custom interior and exterior milhvork.

They recently received chain-ofcustody FSC certification from Scientific Certification Systems. Emeryville, Ca.

Certified Forest Products currentll serves Northern California. but is rvorking rvith a third-pary lo-sistics provider to eventually suppll, green building markets throu-ehout North America.

"FSC certification demonstrates our strategy to enhance market share in the -ereen building market by adding distribution centers in specific geographical markets." said John Parr, president and c.e.o. "This helps us serve builders throu,ehout the ccluntry rvho need a source of FSC-certified lumber and panel products to achieve credits torvards the United

States Green Buildin_e Council's LEED green building certificarion pro_sram."

The companl also *ill offer a secured Web site for customers to process orders. look up pendin_e orders. rerifl product arailabilitl' and pricing. check delirerl' starus. and research accounts par able and in\oice information.

Parr currentl) serves on the steerins committee of Califbrnia's Build It Creen suppliers courrcil.

Southeast Alaska Mill Closes

Pacific Log & Lurnber has shuttered its sa*mill on Gravina Island near Ketchikan. Ak.-clne of the f-err millin-e operatitlns left in the Southeast Alaska fbrest.

Ourrer Steve Seler explained that he u'as tired of u'orkin-s * ith the U.S. Forest Sen ice. n'hich mana-ces the l7 million-acre Tongass National Forest. The mill closed in mid-December tbr its tl pical trr o rveeks clf holidar ckrrrntirne. but did not becin nornlrl u inter ntaintenance procedures afier a crucial timber sale rr as delaled.

The Buckdance-Madder sale involvcs l6 rnillion bd. ti. of timberenough to keep Pacific Log &

Lumber runnin_g for several months. Seler rorred that he rvould bar_ee his equipment south if the sale didn't _eo through br mid-Februan.

"The issue is." Selel' said. "can the federal government perform or not.l The industrv is out of capital. out of logs. and almost out of desire."

Tongass supervisor Forrest Cole insisted that the Forest Service has struck a compromise u'ith environmentalists that *ill allo* the sale to take place the middle of this month.

Ace To Retire Mldwest DC

Ace Hardn'are Corp.'s distribution center in Colorado Springs. Co.. rrill increase the territon rrith the closure in June of a.l-l-r'ear-old DC in Lincoln. Ne.

"It's an older buildins and ir's bect'rme obsolete." said director of communications Paula Erickson. The Lincoln DC has just -1-10.000 sq. ft. and is the chain's smallest. Average size of .\ee': lJ other centers nationn ide is S(D.fiD sq. fi.

In addition to Colorado Sprin-es. DCs in Princeton. Il.. and Liule Rock. Ar.. also s ill handle distribution to Ace's 100 stores in \c'braska and parts of Io$a. I{issouri and Kansas.

Lyman Comes To Washington

Lyman Lumber, Excelsior, Mn., has acquired 37 acres in Longview, Wa., to build a complex for its TriCounty Truss division.

This year, Lyman will build a new truss plant to open by year's end. A related framing company expects to begin operations on site in 2007, with a wall panel facility to begin production in 2008. Combined, the operations will employ as many as 480 people and generate $100 million in annual revenue.

Lyman expects to spend $15 million to $20 million on the new facilities with full production expected by 20 10, according to senior v.p. John Waldron.

Keith Brown Buys Madras

Keith Brown Building Materials, Salem, Or., has agreed to acquire Madras Builders Center, Madras, Or.

"The housing market in central Oregon remains strong as the region continues to be one of the fastest growing areas in the nation," said Phil Cox, v.p. of operations at Keith Brown. "We are very excited about being in the expanding community of Madras, and look forward to making this facility a base of operation for this important market in Oregon."

Madras is Keith Brown's first acquisition since 2000. Branch manager Gary Jones will continue to oversee the store, and several key employees rvill also remain.

In business since 1928, privatelyowned Keith Brown operates I I fullservice lumberyards, a discount building materials outlet, and a door shop division.

Panels Rack Up Record Year

North American structural wood panel production totaled 43.1 billion sq. ft. (3/8" basis) in 2005, up 434 million ft. from the record mark set in 2004, according to APA-The Engineered Wood Association.

It was the fourth consecutive record year for the industry.

Glulam timber and laminated veneer lumber production also set new production records. Glulam output rose l1%o, to 470 million bd. ft.. while LVL production totaled 90.6 million cu. ft., up 5Vc from 2004. Ijoist production declined by l.5Vc.

The record panel volume was due primarily to the U.S. housing market. Housing starts for the year totaled some 2.06 million units, the second highest ever. eclipsed only by the nearly 2.36 million units built in 1972. APA's most recent U.S. housing forecast is for 1.945 million starts in 2006. dorvn 5.87c.

Canadian housing starts fell slightly to 225.481 following a 17-year record of 233.431 in 2004.

OSB production for the year totaled 26.15 billion sq. ft.. up 779 million feet. or 3.l%c. from 2004. Plyrvood output declined 2% -345 million ft.-to 17.97 billion ft.

Panel production could have risen substantially more if not for increased imports. Based on l0 months of data, imports climbed an estimated 33Vc to 2.51 billion sq. ft. for the year. Plyrvood imports, 80Vc of rvhich came from Brazil. totaled 1.78 billion ft., up l5Vc. OSB imports more than doubled. from 341 million ft. in 2004 to 732 million last year. Germany supplied about 30Vc of OSB imports, a threefold increase from 2004. follorved by Brazil and France.

Panel exports. meanwhile, continued to decline. from 6Ol million sq. ft. in 2004 to 509 million last year. APA will release a new five-vear forecast this spring.