AFPA Q4 2011 Production Values

AFPA members produce $2.2 billion in 2011…
Values decrease 6.6% from 2010

Edmonton, March 7, 2012 – Values of lumber, panelboard, pulp and paper manufactured by Alberta Forest Products Association-member companies totaled approximately $2.2 billion for 2011. The value of production was down roughly $152 million or 6.6% from 2010.

On a quarterly basis, production values declined to $484 million in the 4^th quarter of 2011. Production values for the 3^rd quarter were $548 million, while the 4^th quarter of 2010 saw values of $579 million.

"While we had hoped for a year-to-year increase, there is reason to believe that 2012 will be a better year than 2011," said AFPA President and CEO Brady Whittaker. “Lumber prices in the last couple of months have been noticeably stronger. While the pulp and paper market has continued to soften, prices remain above historical averages. We are hopeful that a turnaround in the global economy will spur higher pulp and paper prices in the future.”

AFPA members are important social and economic contributors to over 50 communities around the province. The industry continues to innovate by increasing the efficiency of facilities, improving water and energy use, and managing Alberta’s forests for future generations.

More information can be found on our website at albertaforestproducts.ca.

The Alberta Forest Products Association is a private, non-profit industry organization, representing lumber, panelboard, pulp and paper, and secondary manufacturing wood products companies operating in Alberta. AFPA member companies are active participants in sustainability advancements that contribute economic, environmental and social benefits for Albertans.

Media contact:

Brock Mulligan

Director of Communications

p) 780.452.2841 ext. 229

e) bmulligan@albertaforestproducts.ca 

BACKGROUND INFORMATION

Sector Analysis

LUMBER – AFPA-member companies produced 2.8 billion board feet (mmfbm) of lumber in 2011 with a value of $702 million. Part of this production came from the secondary manufacturing sector. Total production volumes were down 47 mmfbm or 1.7% million from 2010, while values dropped $37 million (5.1%).

PANELBOARD – AFPA-member Panelboard operators produced 1.1 billion square feet of 7/16 inch equivalent product in 2011 valued at $268 million. Production was up 15.8 million square feet (1.4%), but weaker prices led to a $36 million (11.7%) drop in values.   

PULP & PAPER – The AFPA’s pulp and paper sector total production for 2011 was 1.5 million air dried metric tonnes (ADMT) valued at $1.2 billion. Production was down 21,300 ADMT (1.4%) from 2010 and values declined $80 million (6.3%). 

Production Figures and Values – (2010 and 2011)

Source: Random Lengths (S-P-F, Western, Kiln Dried 2x4, 2&btr, Random, Prices Net FOB Mill)

Source: Random Lengths, Madison’s Canadian Lumber Reporter

Source: Pulp & Paper Week - Resource Information Systems Incorporated

CUMULATIVE TOTALS - ALL AFPA SECTORS

Q4-2011          $483,900,000          Q4-2010          $579,400,000                                     

Full year 2011  $2,159,135,000           Full year 2010  $2,311,460,000                                  

Media contact:

Brock Mulligan

Director of Communications

p) 780.452.2841 ext. 229

e) bmulligan@albertaforestproducts.ca