Google affiliate Sidewalk Labs’ ambitious vision for tall timber structures on Toronto’s waterfront is no longer—due to the pandemic. In other COVID news: Ontario invests to keep tree planters safe; dealers report steady lumber sales; US housing affordability falls; and prospects dim for forest industry stocks. Meanwhile, decent Q1, 2020 reports from Interfor, Domtar, Taiga, and Boise Cascade.
In other news: wood fibre costs challenge Canada’s pellet sector; BC based Errington Cedar mill fires up again; more on the so-called murder hornets; and Florida and Mississippi wildfire updates. Also: the Wood Products Council adds two new Board members; and U of Tennessee forester David Mercker is Forest Landowners Association 2020 Forester of the Year.
Finally, its the weekend. Time to take your WFH office pic for the #TreeFrog ICU.
Kelly McCloskey, Tree Frog Editor
Canadian pellet producers continue to struggle with fiber availability and quality as a result of sawmill curtailments in BC. The Canadian Pellet Feedstock Price Index, published in the Forisk Wood Fiber Review, rose year-over-year under the relentless pressure of increased fiber costs in BC and the increased reliance on roundwood as sawmill residual fiber availability continued to decline. The overall price rise was moderated by additional production from eastern Canada, where cheaper fiber was available. …The reduction in sawmill residuals, a primary feedstock for many B.C. pellet mills, has put upward pressure on fiber prices. …Current PFPI-Can prices do not reflect the impact of COVID-19, which continues to accelerate throughout North America; further challenges to the fiber supply are expected.
VANCOUVER, BC — Interfor recorded net earnings in Q1’20 of $6.3 million compared to net losses of $41.7 million in Q4’19 and $15.3 million. Adjusted net earnings were $0.7 million in Q1’20 compared to Adjusted net losses of $17.4 million in Q4’19 and $12.7 million in Q1’19. Adjusted EBITDA was $36.6 million on sales of $479.6 million in Q1’20 versus $17.6 million on sales of $456.8 million in Q4’19. …Near-term lumber demand is expected to be negatively impacted by uncertainties related to COVID-19. However, industry-wide lumber production curtailments should help balance supply with demand. Interfor expects demand for lumber to normalize over the mid- to long-term, particularly in the North American repair and renovation, residential and industrial segments.
The Office of the U.S. Trade Representative recently issued its 2020 National Trade Estimate, an annual report detailing foreign trade barriers faced by U.S. exporters. …The report notes that some unresolved concerns remain… regarding the impact of the European Union’s revised Renewable Energy Directive’s (RED II) complex sustainability criteria for biomass on U.S. exports of sustainable wood pellets. …“If the wood cannot be recognized as meeting the sustainable standards for renewable energy, it could lose its competitive advantage to export. …In December 2019, the EU published a communication regarding the European Green Deal, which includes a plan to reassess the sustainability criteria for biofuels and forestry biomass. “Depending on how the sustainability criteria is structured in the renegotiations of RED II, the revised directive could impede hundreds of millions of dollars of biomass exports to the EU,” the USTR said. 
JACKSON, Mississippi– The Mississippi Forestry Commission said crews are monitoring two large fires yesterday, one in Hancock County and one in Harrison County. While the fires remain active, our crews do have them contained,” said MFC State Forester Russell Bozeman. Bozeman said crews worked overnight to contain both fires. The fire in Harrison County was contained at approximately 500 acres and the Hancock County fire was contained at approximately 1,000 acres. …Over the past several weeks, south Mississippi has experienced very little rainfall. This paired with high winds and low relative humidity is a recipe for potentially catastrophic wildfires. Much of the rest of the state is also experiencing weather conditions that are prime for wildfire outbreaks.
…The blaze near Milton, Florida, was one of several fires burning through the Panhandle that scorched thousands of acres of woods, razed dozens of structures, including homes, and forced some 1,600 people to evacuate from their neighborhoods. The 2,000-acre fire in Santa Rosa County, located just east of Pensacola, prompted the evacuation of 1,100 homes Wednesday. Officials said a few of those residents, in areas south of Interstate 10, have been allowed to return to their homes, although others have been told to stay away. There have been no reports of injuries or deaths. Officials said 13 homes were destroyed so far in the fire dubbed the Five Mile Swamp Fire. Because of the coronavirus pandemic, some evacuees were sent to nearby hotels to avoid potential problems with crowding. Firefighters continued battling the erratic fire deep into the night Thursday. With only 35% of the fire contained, it could be days before it can be brought under control, officials said.