(03/22/17) ALEXANDRIA, La. — The Louisiana forestry industry shouldn’t expect any significant market improvements in 2017 or 2018 unless the U.S. housing market improves, according to an LSU AgCenter economist.

Economist Shaun Tanger made the comments at the LSU AgCenter Cenla Forestry Forum on March 15 at the Dean Lee Research and Extension Center in Alexandria. A similar forum was held March 17 at Southeastern Louisiana University in Hammond.

Tanger said the number of housing starts drives much of the lumber market, and only slight improvements are projected for 2017. Demand for Southeast pine saw timber is expected to increase somewhat, but prices in Louisiana will be down, he said.

At the Hammond forum, Louisiana Forestry Association director Buck Vandersteen said today’s U.S. forestry industry has more trees but fewer markets than in the past. That is concerning, he said, because producers need incentives to continue growing trees and investing in environmental improvements.

One promising development is a new wood product called cross-laminated timber, which can be used to build multi-story buildings. Wooden buildings are generally limited to two to three stories.

Cross-laminated timber was recently used on an 18-story structure at the University of British Columbia, a 19-story all-wood building is under construction in Finland, and a 20-story building is being planned for Malaysia, said Richard Vlosky, director of the AgCenter Forest Products Development Center.

“Five years ago, this would have been unheard of,” Vlosky said, adding that the new product is helping increase the value of forest commodities.

Vlosky and Roy O. Martin III, president of the RoyOMartin lumber company, have applied for a federal grant to study the use of Southern pine to make cross-laminated timber. So far, only Douglas fir has been used in the system, Vlosky said.

International investment also may provide a boost to the U.S. forestry sector. Canadian corporations are buying American lumber mills, many of which have closed in recent years.

“We’ve got the raw material other people don’t have,” Tanger said.

Drax Biomass, the British corporation that uses wood to make energy pellets to fuel power plants, is interested in buying closed mills at Urania, Louisiana, and in Texas to expand their operations in the U.S., Vlosky said.

Forestry is facing a number of challenges, including rising equipment costs and the departure of aging workers from key areas of the industry, such as logging.

“We’re going to lose a lot of our labor force if we cannot recruit and bring interest to our industry,” said Kim Wall, of Wall Timber Company.

She urged the Hammond audience to help improve the professional image of logging by participating in industry associations and taking employee safety seriously.

Feral hogs continue to be a major problem for landowners. Scientists at the AgCenter and Louisiana Department of Agriculture and Forestry have been studying how best to control hog populations using both baits and traps.

In Louisiana, woods arson cases have decreased and timber thefts have increased, said state forester Wade Dubea. Two enforcement positions to investigate timber-related crimes will be filled soon in northwest and southwest Louisiana.

Landowners also are still awaiting a decision on whether a rule that broadens the definition of “waters of the U.S.,” which could put more types of water under federal scrutiny, will go into effect. The Sixth Circuit Court of Appeals issued a stay to halt the implementation of the rule, meaning Congress or the U.S. Environmental Protection Agency must now take action to repeal or nullify the rule, said Mike Strain, Louisiana agriculture and forestry commissioner.

Strain said it’s important for people to understand the rule. It would require landowners and farmers to obtain permits to do certain conservation practices and could force them to change how they use pesticides and fertilizers, he said.

Applications are still being accepted for the annual Louisiana Forestry Teacher’s Tour, a joint effort of the AgCenter, LDAF and other agencies, said AgCenter agent Whitney Wallace. The five-day workshop, which will be held in Hammond this summer, gives educators a chance to learn about forestry so they can incorporate that information into their lessons. It is limited to 35 participants.

Louisiana Department of Agriculture and Forestry Commissioner Mike Strain, right, speaks to attendees of the Florida Parishes Forestry Forum on March 17 at Southeastern Louisiana University in Hammond. Photo by Olivia McClure/LSU AgCenter