Another blackwood price list from Hell

Here’s another example of a blackwood timber retail price list from Hell.

No I haven’t made this up! This is for real!!

This seller is working really hard to destroy the blackwood industry.

BPL3

Not only is this blackwood incredibly cheap (cheaper than Radiata pine), but the blackwood grower is actually being punished for growing large trees. I’ve added a linear trendline to the cubic metre price data to show how the cubic metre price drops as the timber size increases.

You can only cut large size timber from larger older trees. Larger older trees cost time and money to grow.

This seller is screaming to the marketplace:

don’t anyone bother growing blackwood timber, and you will certainly be punished if you grow large blackwood trees.

No wonder the forest industry in Tasmania is in such diabolical trouble. Some people in the industry have absolutely no idea about the economics of forestry and the marketplace.

The fact that the State Government and the dominant blackwood grower, Forestry Tasmania, regards growing blackwood as a taxpayer-funded community service certainly doesn’t help!

It’s a unique price list because it has a price premium for the smaller width boards (≤75mm) presumably to reflect the extra cost in sawing these smaller sizes, AND another price premium for the wider boards (≥200mm). But thicker boards become progressively cheaper. It makes no sense!

I would love to know the logic behind this pricing or see the sawing cost/recovery data.

Australia’s premier appearance grade timber sold at $2,000 per cubic metre is give-away prices. Yes it is green and not kiln dried blackwood timber but kiln drying is not that expensive.

The Tasmanian blackwood industry has no future while the forest industry continues this kind of behaviour.

Does anyone care?

The last comment on this price list is the incredible range of sizes available, up to a whopping 300x100mm. That is a mega-slab of blackwood timber! And so ridiculously cheap!!

See my previous blogs on blackwood pricing here:

https://blackwoodgrowers.com.au/2015/10/26/blackwood-pricing-and-the-forest-industry-2/

https://blackwoodgrowers.com.au/2015/10/19/blackwood-pricing-and-the-forest-industry-1/

 

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3 responses to “Another blackwood price list from Hell

  1. Rumour has it that a well known sawmill up north is selling green blackwood timber at $1,600 per cubic metre!! There seems to be a blackwood price war on to knock out the competition.

    If the rumour is true, then the blackwood industry doesn’t stand a chance in these conditions.

    Very sad!!

  2. Hi Gordon

    This information isn’t very useful without knowing the grade of timber. Is it clear all round, knotty, sapwood in some of the mix, what is the colour and density? Just because it’s blackwood doesn’t mean it is quality.

    • Hi Floyd,

      Totally agree with you.

      The industry grades for blackwood:
      http://www.tastimber.tas.gov.au/species/pdfs/Blackwood_Grades.pdf
      seem fairly clear. Select grade is clear, no knots or sapwood.

      In this particular example the description is “select grade green blackwood”. I’m assuming the seller is using the industry-wide grading system.

      It’s the only grade this retailer offers, so I’m assuming it is their best (clear, select) grade.
      If so then it is the road to ruin for the blackwood industry. Another nail in the coffin you might say! This coffin sure has a lot of nails!!

      Cheers

      Gordon

      PS. As for the rumour there was no further information available.

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