THE CALIFOR}.IIA LUMBERMERCHANT JackDionre,fubldlru

How Lumber Looks

Seattle, Wash., July 11, 19,1O.-The weekly average of West Coast lumblr production in June (4'weeks)"was 141,47,W board feet, or 71.8 per cent of the weekly average for l92Gl9n, the industry's years of highest capacity realization, according to the West Coast Lumbermen's Association in its monthly survey of the industry. Orders averaged 132,7O5,W board feet; shipments, 145,730,000. Weekly averages for May were: production, 137,416ffJ/0. bgard feet (69.8 per cent of the h.c.r. index) ; orders, 133; 372,OOO; shipments, 152,833,000.

First 26 weeks of. 194O, cumulative production, 3,482,067,W board feet; same period, 1939,-3,056,652,00O; 1938, 23n,637,W

Orders lor 26 weeks of 194O break down as follows: rail, l,S7l,&9W board feet; domestic cargo, L,2&,277,ffi; export, 2I4,W,000 ; local, 477,M9,W.

The industry's unfilled order file stood at 382,9@,ffi board feet at the end of June; gross stocks, at 94,ffi0,000.

The market for West Coast lumber in June remained under siege from the uncertainties that continue to surround general U. S. business. While the decline of June orders from May was slight, volume of business has been considerably less than was expected for this period of the year. The usual push of spring buying did not materialize for West Coast lumber. Reluctance to create inventory investment is general throughout lumber market centers. This condition rises from uncertainty generated by the war.

West Coast lumber enjoyed good rail-market demand steadily through June, while the Atlantic Coast and California water-borne markets rvere erratic. The winter lumber supply on the Atlantic Coast lasted longer than usual, because of prolonged snow and freezing and heavy spring rains holding back construction.

Building permits have held up well in view of an unpredictable business curve. The outlook for farm building is only fair. In the week ending June 22 the all-commodity index of the Bureau of Labor Statistics dropped to the lowest level since September, 1939. The Bureau attributes the drop to a sharp break in prices of farm products, par- ticularly grains, livestock, poultry, fruits and vegetables. Reports from farm market areas for West Coast lumber indicate, however, that farmers will go ahead with a reasonable amount of building in the fall.

Lumber production during the week ended lune D, 194O, was 2 per cent less than in the previous week; shipments were 4 per cent greater; new business, 6 per cent greater, according to reports to the National Lumber Manufacturers Association from regional associations covering the operations of representative hardwood and softwood mills. Shipments were .2 per cent above production; new orders, 3 per cent above production. Compared with the corresponding week of 1939, production was 5 -per cent greater; shipments one per cent less and new business one ler cent grelter. The iirdustry stood at 73 per cent-of the ieasonal weekly average of. i9D production and 73 per cent of average 1929 shipments. for the week ended orders as 29,039,000 production 25,844,m of the week totaled

Reported p-roduction lor the 26 weeks ot L94O to date was I per cdnt above corresponding weeks of 1939; slip' ments ivere 6 per cent above the shipments and new orders were 5 per cent above the orders of the 1939 period. For the 26 weeks of 194O to date, new business was 3 per cent above production, and shipments were 4 per cent above production. - During the week ended lune D, Lg4o., 468 mills produced 241,998,fu feet of softwoods and hardwoods combined; shipped 242,557ff,F feet; booked orders of 248,507,000 fe-et. Revfued figures for the preceding week were mills, 508; production 247,694W feet; shipments 233,459,000 feet; orders 233,519,000 feet.

Lumber orders reported for the week ended June D, 194O, by 384 softwood mills totalled 238,?3OW feet; .or 2 per cint above the production of the same.ryil-1.-. S-hipments as reported for the same week wete 231,938,000 feet, or one per cint below production. Production was 234)7A,000 feel. Reports from 98 hardwood mills give new business as 1O,277,W feet, or 31 per cent above production. Shipments as reported for the same week-were 10,619,00O feei or 36 per -cent above production. Production was 7,828,000 feet. -Production during week ended June D, l9&, of 370 identical softwood mills was 232,2I5,ffi feet, and a year ago it was 219,868,000 feet; shipments were respectively 2b,585,ffi feet, and 231,682,ffi feet; and orders received 235,8n,M feet, and 233,O79,ffi f.eet. In the case of hardwoods, 78 identical mills reported production this year and a year ago 6,364,000 feet and 6,323W feet; shipme_nts 8,065,000 feet, and 8,493,000 feet, and orders 8,174,000 feet and 9,484,000 feet.

The Western Pine Association for the week ended June D, lO7 mills reporting, gave orders as 82,016,00O feet, shipments 77,5D,W feet, and production 89,324,00O feet. Orders on hand at the end of the week totaled ?42,779,m feet.

The Southern Pine Association June D, 103 mills reporting, gave feet, shipments D,549,000 feet, and feet. Orders on hand at the end 55,189,00 feet.

Lumber cargo arrivals at Los Angeles-Long Beach Harbor for the week ended July 6 amounted to 72,968.,@O feet as compared with 12,559,00O feet the previous week.