Random Lengths North American structural panel composite falls US$4 in week ending Jan. 24 to US$360/msf; some OSB mills in southeastern US sell multiple blocks of 7/16 in. at 52-week low of US$180/msf

Wendy Lisney

LOS ANGELES , January 26, 2014 (Industry Intelligence Inc.) – The Random Lengths North American structural panel composite declined US$4 (1.10%) in the week ending Jan. 24 to US$360 per thousand sq. ft. (msf) – down $127 (26.08%) from the price reported at this time last year of $487/msf.

OSB sales in the U.S. and Canada were hindered by winter storms, problems with transportation and the weakening Canadian dollar, reported Random Lengths. As a result, prices finished flat-to-lower. Discounts were reported in the North Central zone and eastern Canada, while in the Southeast, a few mills were reported to be selling multiple blocks of 7/16 in. at or around a 52-week low of $180/msf.

The price of the benchmark grade, OSB North Central 7/16 in., dropped $3 (1.33%) to $222/msf, and was $181 (44.91%) lower than the price reported a year ago of $403/msf.

The OSB composite fell $3 (1.12%) to $266/msf from $269/msf in the week ending Jan. 17, and was $182 (40.63%) lower than the price reported at this time a year ago of $448/msf.

In Southern plywood markets, the winter storms affected demand and production. Buyers put off or limited purchases to fill-ins, reported Random Lengths, while several mills in Louisiana lost production on Jan. 24 because of the icy weather. Many producers leaned on order files that were often booked into the week of Feb. 3 and held to their quotes.

The reported price of Southern Plywood Westside CDX 15/32 in. 3-ply dropped $10 (2.70%) to $360/msf – down $62 (14.69%) from the price reported a year ago of $422/msf.

Southern Plywood Eastside CDX 15/32 in. 3-ply also dropped $10 (2.47%), to $395/msf from $405/msf in the week ending Jan. 17, and was $45 (10.23% below the price reported at this time last year ($440/msf).

The reported price of Southern Plywood Westside CDX 15/32 in. 4-ply fell $10 (2.70%) to $360/msf, and was down $88 (19.64%) from the year-ago price of $448/msf.

The Southern pine plywood composite dropped $6 (1.10%) to $539/msf, and was $35 (6.10%) lower than the composite at this time last year ($574/msf). Random Lengths noted that, in several markets, Southern plywood rated sheathing prices were on a par with Western plywood

Western plywood sales were flat-to-down as mills turned away deeper counters, citing veneer costs, reported Random Lengths. Some mills quoted order files booked into early or mid-February, but secondaries reported wide availability of panels for shipment in the week of Jan. 27.

The reported price of Western Plywood Coast CDX ½ in. 4 ply edged $2 (0.54%) lower to $365/msf – down $107 (22.67%) from the price reported a year ago of $472/msf. Random Lengths noted that sales were generally in the low- to mid-$360s.

The Western fir plywood composite was reported down $1 (0.18%) from the previous week at $562/msf, and was $84 (13.00%) below the price reported at this time last year of $646/msf.

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