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O/T Stumpage rates

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Kent in NB

02-15-2005 06:01:15




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Anyone have similar Quotes for stumpage. $65.00 per cord softwood (mainly fir), and $25.00 per cord hardwood (maple and yellow birch). Local contractor has offered and I think this may be low. Price is in Cdn funds, Central New Brunswick. BSE is making us look at all options of keeping the cash flowing.




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scubap58

02-16-2005 04:56:14




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 Re: O/T Stumpage rates in reply to Kent in NB, 02-15-2005 06:01:15  
I live in western Pa. an have recently cut a couple of red oak an soft maple. I hauled them to the mill on a pickup in 10 1/2 foot lenghts. the price for the red oak was around $2800.00 per 1000 board ft, an the maple went for about 1300.00 per 1000 board ft. Price sheet from mill for hemlock an pine was somewhere around 600. per 1000 bdf. I always recomend to contact a forester to bid the lot out instead of the locall lumber dealer. Forester will always get you 40% or more for your lot.

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Hugh MacKay

02-16-2005 06:12:14




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 Re: O/T Stumpage rates in reply to scubap58, 02-16-2005 04:56:14  
That may be so in Carolinian Forest, but these guys are talking an Eastern Canadian softwood forest. The hardwoods mixed in make fair firewood at best. One hardwood log in a 100 will make veneer. Now it probably has 10 times the board feet per acre as your Carolinian Forest, but it's not worth 40% more than the guy are talking.

Might be if you guys south of the border would stop bitching about the importation of something you don't have.

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Rudi

02-15-2005 06:15:08




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 Re: O/T Stumpage rates in reply to Kent in NB, 02-15-2005 06:01:15  
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Kent:

Right now $65.00/cord of fir is pretty good. Ifn your woodlot was more spruce and pine, then you could expect probably btween $85.00 to $95.00/cord. Unfortunately, I am in the same situation, most of my softwood is about 50% fir and the rest a mix of spruce3 and pine, with the pine being less than 20%.

As for the hardwood - especially maple, I would expect much more than $25.00/cord. Unless he is selling to the mills for either chips (which is a total waste of this resource and he should re-evaluate), then the $25.00/cord would be ok for chips, but should be around $40.00/cord for veneer.

Also, you may want to consider contacting local firewood contractors and see what they are paying for tree length hardwood. The round rate has increased to almost $125.00/cord and $150.00 to $175.00/cord split. There seems to be a dearth of hardwood the last couple of years.

This also depends on which Marketing board you are with.

Here in the Dieppe area, the SENB is a little more tight than the Sussex area board and maybe around Fredricton and such.

Hope this helps a bit.

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Kent in NB

02-15-2005 17:32:30




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 Re: O/T Stumpage rates in reply to Rudi, 02-15-2005 06:15:08  
Hi Rudi, (and everyone else!) Thanks for replying. This woodlot stuff is bugging me. Have been told price is off, either way. Wood market is soft, and my fir is just going to blow down and rot! I have ignored this for 7 years and feel like ignoring for another seven, but something has to give. Contractor does an excellent job, is friend of the family, but he does live pretty good. I guess I am just afraid of giving away too much! Thanks for the info. We are up around Fredericton area.

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scotty

02-15-2005 11:45:05




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 Re: O/T Stumpage rates in reply to Rudi, 02-15-2005 06:15:08  
Hi Rudi, Glad to see you up and around again. Boy, I know what you mean on cord wood prices going up, I have been cutting down 2 or 3 trees a year for heating the house, I wouldnt want to go out and pay for cord wood today.

scotty



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Rudi

02-15-2005 12:48:34




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 Re: O/T Stumpage rates in reply to scotty, 02-15-2005 11:45:05  
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Scotty:

Hi there! Yup, Em is letting me do a few more things now. I get to play on the puter every day for a bit.

As for heating the house. Well that is how I do it. I burn about 4-5 cords of mixed hard and soft. Species will vary as will size. I have 20 acres of woodlot, and whatever needs to be cleaned up, cut down, thinned etc., becomes the winter heating materials. I burn pine/spruce/fir/alder/grey birch/white or wire birch/ yellow birch/paper birch as well as the different species of maple, poplar and ash that I have. Anything that I consider useful I try to salvage for use in my shop. I unfortunately do not have enough of the different hardwoods to be commercially viable - maybe in 20 years or so..... but then that will be for me kids.

I don't much like getting up on the soapbox, but sometimes it just happens. The lumber issue and the beef issue just burns me up... oh well

Hope all is well and you are keeping busy!

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ericlb

02-15-2005 06:12:08




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 Re: O/T Stumpage rates in reply to Kent in NB, 02-15-2005 06:01:15  
hi kent, thats a new term to me, what is stumpage? is it clearing tree stumps after a logging operation? i do tree thinning in the forest down in new mexico, but we are required by the state forestry dept. to cut the unmarked trees within 4 inches of grade level, straight accross, thanks ericlb



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Rudi

02-15-2005 06:31:29




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 Re: O/T Stumpage rates in reply to ericlb, 02-15-2005 06:12:08  
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Eric:

Here in Canada we use stumpage as a term to describe standing trees on a woodlot or Crown Land section. It is used to determine what a particular species is worth to a contractor to harvest the trees in a commercial operation.

It varies across Canada as to what stumpage is worth. Some provinces regulate the stumpage price as a minimum. New Brunswick (NB) lets the market place determine the price. We do have things called Marketing Boards which origainally were groups of people such as myself who banded together to sell their privately owned timber from their privately held woodlots. Mostly farmers and small land owners. This was done to try to guarantee that woodlot owners would be able to sell their wood before the big compainies harvested from Crown Lands. This would keep the market place fair.

That is what the so-called Softwood War between the US and Canada is about - something called a subsidy. Unfortunately, no province in Canada actually subsidizes forestry. It is mostly determined by the markets. Even in the provinces that set the stumpage rates, it is not a subsidy, but a minimum price that a contractor must pay to cut wood on Crown Land (Govenment or the people's land).

As for subsidies, the US has more subsidies for it's forestry sector than Canada ever thought of having. Also on top of that, right now there is what?, 3 to 4 BILLION DOLLARS -- US sitting in the US treasury collected from CANADIAN producers in what is called a Anti-Dumping Tarriff. This money is slated for the US Lumber Companies - most of the Global Conglomerates - who somehow feel that we Canadaians are somehow cheating the US taxpayer.

Funny though, now that they put in this Anti-Dumping Tarriff, the cost of building a home in the US has risen by an average of $3.00/foot for the last couple of years. I wonder who is making the profit there ??? US LUMBER COMPANIES!!!!

Sorry for the soap box, but this anti-dumping malarky affects even the small woodlot owner. Also, the NAFTA Resolution Tribunal which is comprised 50/50 of US/Canadian appointees, has determined at least a half a dozen times that this Anti-Dumping Tarriff is clearly illegal. They have also determined that there is no basis for the Tarriff as Canada does not provide subsidies to the forestry industry.

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Bill WI

02-15-2005 07:14:15




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 Re: O/T Stumpage rates in reply to Rudi, 02-15-2005 06:31:29  
Thanks guys for getting on the soapbox.This lets us neighbors open our eyes. Bet a couple of our POOR conglomerates are up there filling their pockets. Ever try and buy a maple or yellow birch board in the lumber company around here? The price per board foot for logs hasn't changed much in 35 yrs, but in boards it'll knock your socks off. Thanks again.



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ericlb

02-15-2005 07:00:12




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 Re: O/T Stumpage rates in reply to Rudi, 02-15-2005 06:31:29  
thanks rudi, i had no idea of that, i know down here that in certain areas there was some govmt. money available to help privat land ownere pay for thinning, what we have in this area is some old growth as well as more recent areas, which have had absolutly nothing done in the way of fire prevention for more than 50 years. after several large forest fires with many homes lost, they have decided that they need to thin some of the stuff out, i keep the salable wood, 90% of which is pine, and cut and split it, as 1 of the requirements to get paid on one of these jobs is the forest floor must be clear of all debris,no slash, or wood, curently a chord of pine split brings 125.00 not much for a lot of work, ericlb

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