With lumber prices lower now than in the past 20 years, this isn't a surprise. What bothers me, is why they don't shut down any longer. There has to be less produced, in order to balance the supply with the demand. Either that, or we have to find new markets for our product.

And with the world's economy in a downturn, that would be pulling a rabbit out of a hat.

Or they give their product away for free, give it to people who need to have homes, like those in some parts of Africa, or more recently, Gaza, where the place has been bombed to pieces. Then take the tax write-off, and show how good of a corporate citizen they are.

don't understand how the new owners in Fort St James can open their mill as they have announced

Sure, giving it away would be nice, only a lot of countries don't use lumber for home construction, they use concrete. See all of the pictures and video from Gaza, I don't think I've seen one wood-frame building.

But yes, I agree, I think we'll see more shutdowns this year. If they can't move their inventory, there's no use in making so much of it.

"don't understand how the new owners in Fort St James can open their mill as they have announced" the opening is many months away

beesknees - you need a profit to make a tax write off do anything!

I would suggest that the main reason that the larger companies do short rotating curtailments is so that they do not loose the work force. With Alberta slowing considerably this is less of an issue but the good ones will likely find work elsewhere, creating issues when the mill tries to restart.

Does anyone know who the new owners are in FSJames?

I think it's Conifex?

Slowly its hitting home.

This is a lot better than closing one of the plants and if more companies would do this we wouldn't lose so many operations.

I bet that if all stud/dimension/OSB mills would curtail by 25% that prices would go up before long. At least there would be a chance to profitably produce 75% of the time.

Workers and contractors would have to suck it up for a while, but better than forcing layoffs.

woodchipper - i absolutely love the term 'suck it up' and use it wherever possible... However, you have to think about Born in BC's comment when you make your suggestions.

Generally speaking, good workers will not suck it up, they will find work somewhere other than Northern BC, and we are left with the dregs when the cycle heads back upwards. Its tough to make a go on 75% wages when most people are already spending 110% of what they make.

Supply and Demand- the market is inelastic- till the equation changes- shutdowns will continue.

We should send a lumber czar to Gaza for their rebuilding operations. They say it will take $2 Billion dollars to rebuild the destroyed homes there and those doing the building will have the influence.