20
Robert, Elise, Kenny, Brittany, Sherri and Don MacMaster, Argo Fine Imports Inc., Metairie, La. Continued on page 16 Additional photos on page 14 Continued on page 16 Additional photos on pages 10, 12 & 14 Vol. 35 No. 6 The Import/Export Wood Purchasing News P.O. Box 34908 Memphis, TN 38184-0908 Address Service Requested PRSRT STD U.S. POSTAGE PAID MEMPHIS, TENN. PERMIT 270 Serving Forest Products Buyers Worldwide June/July 2009 Indian Wells, California–Although attendance was down approximately 35 percent at the 53rd annual World of Wood Convention hosted by the International Wood Products Association (IWPA), according to Brent McClendon, IWPA executive vice president, the mood was positive and realis- tic as members and guests listened to expert speakers throughout the multi- day event. Christian Mengel, 2008-09 IWPA president, welcomed attendees to the con- vention and noted, “we are facing one of the most difficult economic situations Reported by Sharon Shek, AHEC In Bangkok, The Show Must Go On Additional photo on page 17 Continued on page 17 The prototype of American Hardwood Design Camp was displayed in the AHEC booth at Bangkok, Architect ’09 to illustrate the creative use of U.S. hardwoods. Bangkok, Thailand–Riding the mounting awareness of the impact of vio- lent protests and state of emergency imposed in Bangkok, Architect ’09 was grandly opened by Her Royal Highness Princess Maha Chakri Sirindhorn recently. The exposition attracted over 360,000 visitors over the seven-day show period and there is no single cancellation from local and overseas exhibitors. The recent political riot has little impact on local’s life, and overseas exhibitors are still holding strong confidence to Thailand. Buyers from all over the Middle East and North African regions, as well as from India and Pakistan and beyond, expressed genuine interest in U.S. hardwood products displayed at the recent Dubai Wood Show. Optimistic Caution Is Focus At IWPA Interzum Guangzhou Sells Out Space Despite Economy Dubai Wood Show A Success Additional photo on page 19 Continued on page 17 By Tom Inman By Wayne Miller Guangzhou, China–The sixth Interzum Guangzhou was held recently at the China Import and Export Fair Pazhou Complex with more than 760 exhibitors, including 10 American companies and associations. The fair is considered to be Asia’s most comprehensive woodworking machin- ery and furniture production trade shows and is held in eight halls and more than 80,000 square meters. Exhibitors included furniture suppliers, manufactur- ers and marketing companies. The Appalachian Regional Commission (ARC) Pavilion from the U.S. was new Parker Boles, Lily Mao and Adam Moran, Hermitage Hardwood Lumber Sales Inc., Cookeville, Tenn. By Sawyer Fitzpatrick Dubai, United Arab Emirates–When most people think of Dubai, perhaps what comes to mind is sand, and lots of it. Since it’s a part of the United Arab Emirates (UAE), most people would think only of unending stretches of desert. They would be wrong, and on more than one count. First, Dubai is the most populous city of the UAE, and its cosmopolitan skyline can enthrall the most jaded traveler, especially when seen at night. Second, Dubai’s population con- sists of roughly 85% expatriates, thus making it undoubtedly the most diverse

Optimistic Caution Is Focus At IWPA Interzum … U.S. collects $54.8 million, U.S. trade representative Ron Kirk announced. “The United States is tak-ing this action to enforce our

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Robert, Elise, Kenny, Brittany, Sherri and Don MacMaster, Argo Fine Imports Inc., Metairie, La.

Continued on page 16Additional photos on page 14Continued on page 16Additional photos on pages 10, 12 & 14

Vol. 35 No. 6

The Import/Export Wood Purchasing NewsP.O. Box 34908Memphis, TN 38184-0908

Address Service Requested

PRSRT STDU.S. POSTAGE PAID

MEMPHIS, TENN.PERMIT 270

Serving Forest Products Buyers Worldwide June/July 2009

IInnddiiaann WWeellllss,, CCaalliiffoorrnniiaa––Although attendance was down approximately35 percent at the 53rd annual World of Wood Convention hosted by theInternational Wood Products Association (IWPA), according to BrentMcClendon, IWPA executive vice president, the mood was positive and realis-tic as members and guests listened to expert speakers throughout the multi-day event.Christian Mengel, 2008-09 IWPA president, welcomed attendees to the con-vention and noted, “we are facing one of the most difficult economic situations

RReeppoorrtteedd bbyy SShhaarroonn SShheekk,, AAHHEECC

In Bangkok, The Show Must Go On

Additional photo on page 17 Continued on page 17

The prototype of American Hardwood Design Camp was displayed in the AHEC booth at Bangkok,Architect ’09 to illustrate the creative use of U.S. hardwoods.

BBaannggkkookk,, TThhaaiillaanndd––Riding the mounting awareness of the impact of vio-lent protests and state of emergency imposed in Bangkok, Architect ’09 wasgrandly opened by Her Royal Highness Princess Maha Chakri Sirindhornrecently. The exposition attracted over 360,000 visitors over the seven-dayshow period and there is no single cancellation from local and overseasexhibitors. The recent political riot has little impact on local’s life, and overseasexhibitors are still holding strong confidence to Thailand.

Buyers from all over the Middle East and North African regions, as well as from India and Pakistanand beyond, expressed genuine interest in U.S. hardwood products displayed at the recent DubaiWood Show.

Optimistic Caution Is Focus At IWPA Interzum Guangzhou Sells Out Space Despite Economy

Dubai Wood Show A Success

Additional photo on page 19 Continued on page 17

BByy TToomm IInnmmaannBByy WWaayynnee MMiilllleerr GGuuaannggzzhhoouu,, CChhiinnaa––The sixth Interzum Guangzhou was held recently at theChina Import and Export Fair Pazhou Complex with more than 760 exhibitors,including 10 American companies and associations.The fair is considered to be Asia’s most comprehensive woodworking machin-ery and furniture production trade shows and is held in eight halls and morethan 80,000 square meters. Exhibitors included furniture suppliers, manufactur-ers and marketing companies.The Appalachian Regional Commission (ARC) Pavilion from the U.S. was new

Parker Boles, Lily Mao and Adam Moran, Hermitage Hardwood Lumber Sales Inc., Cookeville, Tenn.

BByy SSaawwyyeerr FFiittzzppaattrriicckk DDuubbaaii,, UUnniitteedd AArraabb EEmmiirraatteess––When most people think of Dubai, perhapswhat comes to mind is sand, and lots of it. Since it’s a part of the United ArabEmirates (UAE), most people would think only of unending stretches of desert.They would be wrong, and on more than one count. First, Dubai is the mostpopulous city of the UAE, and its cosmopolitan skyline can enthrall the mostjaded traveler, especially when seen at night. Second, Dubai’s population con-sists of roughly 85% expatriates, thus making it undoubtedly the most diverse

own and up therewith any global fairin terms of furniturequality, presentationand excitement –quite an achieve-ment in 2009.) Withover 470 exhibitorsfrom 33 countries insix halls, including 30 percent firsttimers, buyers from all over the worldand many from Europe were around;although it remains to be seen howmuch new business was actually writ-ten. The show bristled with newlaunches and furniture marketed forits environmental credentials – eitherfrom sustainable materials orprocesses, or its origin in recycledmaterials. Singapore has an industry that is

hard to define, as so many companiesmanufacture offshore in the region,but its driving force is the SingaporeFurniture Industries Council (SFIC)with huge government encourage-ment and a dedication to the develop-ment of design skills unsurpassed inthe region. The show featured the“FLIP Challenge” entered by studentsfrom design schools in Singapore andoverseas, in which an American RedOak chair was converted creativelywhile retaining the function of seating.Also displayed were the FurnitureDesign Awards and PLATFORM, alaunch pad for entrepreneurial design-ers – both of which featured Americanhardwoods. The Thai International Furniture Fair

(TIFF) in Bangkok was smaller thanothers, with about 200 exhibitors but,according to the organizers, had setout its stall to the same level of inter-national buyers as Singapore –

Against the backdrop of the globaleconomic crisis, AHEC found reasonrecently for cautious optimism in whatis becoming a very active market forU.S. hardwoods in Southeast Asia’sincreasingly globalized furnitureindustry. In March, AHEC exhibited atfour different furniture shows inSoutheast Asia, sent representativesto three others, hosted a Red Oak fur-niture design competition inSingapore, and sponsored a“Hardwood Design Camp” for youngprofessionals in Thailand. A briefreview of each of the shows revealssome very interesting trends:The 15th Malaysian International

Furniture Fair 2009 (MIFF 2009) wasthe first to be held, but not withoutproblems. A flash flood from the adja-cent river inundated many exhibitorswith several feet of water in two lowerhalls of Putra World Trade Center,temporarily wiping out over a quarterof the show space until someexhibitors were re-located. AHECexhibited at its usual prime locationand, this year held a continuous “onstand” grading seminar by NHLAInternational Grading Consultant BobSabistina with a bundle of Red Oakwhich drew much attention.Billed as “a one-stop platform for

industry players to showcase the bestof furniture not only from Malaysia butfrom all over the world” MIFF 2009boasted 500 exhibitors from 12 coun-tries showcasing their products andmore than 70 exhibitors participatingfor the first time. Buyers and visitors,down only 5 percent in number,seemed to have come from someunexpected corners of the world, suchas Mauritius and Bali, as well as manyfrom South Africa, the Middle Eastand Russia.AHEC’s second show of the month,

The International Furniture FairSingapore (IFFS was in a class of its

Page 2 Import/Export Wood Purchasing News

Who’s Who in Import/Exports

U.S. To Receive 10% Duty OnCanadian Imports

Eastern Canadian softwood lumberproducers may be enticed by offshoremarkets according to a recent issue ofRandom Lengths International. A new10 percent duty has been placed onlumber imports to the U.S. fromQuebec, Ontario, Manitoba andSaskatchewan and will remain untilthe U.S. collects $54.8 million, U.S.trade representative Ron Kirkannounced. “The United States is tak-ing this action to enforce our rightsunder the Softwood LumberAgreement (SLA),” Kirk said. “Weregret that Canada has chosen not tomeet its commitments and has madethis action necessary.”This action comes after an interna-tional tribunal ruling that Canadafailed to properly calculate the quotasfor the four eastern provinces duringthe first six months of 2007. The rul-ing stated that Canada was to “cureits breach” of the SLA and an appro-priate adjustment would be to collectthe 10 percent tax on top of the 5 per-cent the provinces already pay. Thetax was to remain in place until$US54.8 million ($C68.26 million) hadbeen paid.

TTHHEE

WWAASSHHIINNGGTTOONNSSCCEENNEE

JAMES C. FRITZ PHILIP HOUSEKNECHT DELBERT THOMPSON

Continued on page 19 Continued on page 19 Continued on page 19 Continued on page 19

Canada declined the 10 percent taxstating the result of such a tax wouldend in additional mill closures and joblosses. Canada refused the tax andoffered to pay the U.S. government$C46.7 million, which it said was“equal to the amount of revenue theU.S. claimed their industry lost due tothe breach.”“The U.S. decided to take the law intotheir own hands by taking thisextremely punitive action against theirlargest trading partner,” Jamie Lim ofOntario Forest Industries Association(OFIA) said. “This is a solid exampleof protectionism on the part of theU.S.”However, the Coalition of FairLumber Imports supported the imposi-tion of duties. “This critical step by theObama administration provides com-fort to the U.S. industry and workersthat trade agreements will beenforced, and thus allowed to functionas intended,” chairman SteveSwanson said.

LEED 2009

Leadership in Energy andEnvironmental Design 2009, a planthat affects new commercial construc-tion, is set to forge ahead amid con-cerns in the forest products industryabout its impact.

P h i l i pHouseknechtis export coordi-nator forW a g n e rH a r d w o o d sLLC in Cayuta,New York.Houseknech thas been in theforest productsindustry since1999. His firstjob was stack-ing lumber atWagner duringthe summer. Hehas been in hiscurrent positionfor two years.A manufacturer

D e l b e r tThompson isthe sales/produc-tion manager forWieland andSons LumberCo. in Winthrop,Iowa.Wieland andSons LumberCo. manufac-tures hardwoodlumber and floor-ing (unfinishedand prefinished),sorted or rippedto width anddimension prod-ucts. The compa-ny specializes inWalnut lumber

EDWIN MEDERO

For more information on AHEC and the export promotion programs, call (202)463-2720, fax (202)463-2787, or visit the website, www.ahec.org.

Edwin Mederois an export trad-er for Gulf CoastShelter’s exportdivision inDaphne, Ala. Inhis position,Medero buysand sells buildingmaterials.Gulf CoastShelter carriesflooring, furni-ture, doors, win-dows, mouldingand door jambsin SouthernYellow Pine, aswell as importedChinese andBrazilian ply-

BByy MMiicchhaaeell SSnnoowwEExxeeccuuttiivvee DDiirreeccttoorr

AAmmeerriiccaann HHaarrddwwoooodd EExxppoorrtt CCoouunncciillWWaasshhiinnggttoonn,, DD..CC..

Continued on page 8 Continued on page 20

Continued on page 20

Busy Month In Surprisingly RobustSoutheast Asia Furniture Market

James C.“J.C.” Fritz han-dles sales andpurchasing ofkiln-dried/greenlumber forFitzpatrick &Weller Inc. inEllicottville, N.Y.Fitzpatrick &

Weller manufac-tures hardwoodflooring, stairparts, dimensionand lumber (4/4through 8/4,rough or sur-faced, rip to size,custom drying).The companyspecializes in

®

The Fordaq Network reports that theMalaysian Timber CertificationScheme (MTCS) has become the firsttropical timber certification scheme inthe Asia Pacific region, and the sec-ond in the world after the GaboneseForest Certification Scheme, to beendorsed by the Programme for theEndorsement of Forest Certificationschemes (PEFC). “The endorsement of MTCS is a sig-

nificant achievement for the sustain-able forest management communityas a whole. While the certificationmovement has its origins in efforts toprotect tropical forests, over 90% ofthe world’s certification today takesplace in the temperate forests ofEurope and North America,”explained Ben Gunneberg, PEFCSecretary General. “Yet tropicalforests in the Southern hemisphere

offer the most benefits to tacklingsome of society’s biggest challenges,including climate change, combatingdeforestation and forest degradation,and maintaining the world’s preciousbiodiversity.”Dato’ Dr. Freezailah Che Yeom,

Chairman of the Malaysian TimberCertification Council (MTCC), whichoperates the MTCS, said, “MTCC isindeed pleased and proud to haveobtained the PEFC endorsement,which shows that the various aspectsof the MTCS, such as the institutionalarrangement and certification stan-dards used, have met the stringentrequirements of the PEFC. It gives fur-ther assurance that forests certifiedunder the MTCS are implementing thebest management practices and con-

Endorsement Of Malaysian Scheme GivesBuyers Confidence About Tropical Wood

FEATURES:Optimistic Caution Focus At IWPA . . . .1

INTERZUM Guangzhou Sells Out . . . .1

Bangkok Architect ‘09 . . . . . . . . . . . . . .1

Dubai Wood Show A Success . . . . . . .1

BENJA Collection Co. Ltd. . . . . . . . . . .4

NHG Timber . . . . . . . . . . . . . . . . . . . . .5

Kitchens Brothers Manufacturing Co. . .6

U.S. Wood And PEFC Standards . . . . .8

Credit Crunch Answers . . . . . . . . . . . . .9

Lumber Certification Debate . . . . . . . . . . .11

Making The Most Of The Lacey Act . . . .13

Wood Flooring In China Market . . . . . . . .15

DEPARTMENTS:Who's Who in Imports/Exports .............2

Washington Scene................................2

World Export Update ............................2

Endorsement of Malaysian Scheme.....2

Twitter, Tweets and Twits......................3

Stock Exchange .........................22 & 23

Business Trends Abroad.....................26

Business Trends U.S.A., Hardwoods.............27

Business Trends Can., Hardwoods.............30

Newswires ..........................................31

Obituary ..............................................34

Import/Export Calendar.......................34

Classified Opportunities......................35

Advertisers Index ................................35

U.S. & Canadian Softwood Forest Products

Export Suppliers.......................36, 37 & 38

Table of Contents

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Gary Miller - PresidentWayne Miller - Vice President/Executive Editor Paul Miller, Jr. - Vice President/EditorTerry Miller - Vice President/Associate EditorPaul Miller - Secretary/TreasurerSue Putnam - Editorial DirectorMichelle Keller - Associate EditorJohn M. Gray, Jr. - Production/Art DirectorWalter Lee - Production/Asst. Art DirectorRachael Stokes - Advertising ManagerLisa Carpenter - Circulation Manager

U.S. Correspondents: Chicago, Grand Rapids, Mich., HighPoint, N.C., Los Angeles, Portland, Ore., MemphisCanadian Correspondents: TorontoForeign Correspondents: Brazil, Philippines, Malaysia, Chile,Bangkok, Thailand, Singapore, New Zealand.The Import/Export Wood Purchasing News is the product ofa company and its affiliates that have been in the publishingbusiness for over 83 years.Other publications edited for specialized markets and distrib-uted worldwide include:Forest Products Export Directory • Hardwood PurchasingHandbook • National Hardwood Magazine • Dimension & WoodComponents Buyer’s Guide • Classified Exchange • ImportedWood Purchasing Guide • Green Book’s Hardwood MarketingDirectory • Green Book’s Softwood Marketing Directory • TheSoftwood Forest Products Buyer

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her presentation “Just gave aspeech to the International WoodProducts Association. It was great tospeak with a bunch of concernedsmall businesses.”Is posting Facebook updates and

sending Tweets a legitimate way forbusinesses to com-municate? If so,how does this affectyour business?How can you bene-fit and which tech-nologies are mostapplicable to ourindustry?

We all know that on-line networkingis fast and cheap. There’s no travelinvolved. You can get your messageor question out into cyberspace andmove on to the next project withoutbeing placed on “hold.” Customersget 24/7 access to you and your prod-ucts which is essential for internation-al traders. Add to this the fact that

Twitter? Tweets? Facebook? Aresome of these terms new to you?They were to me!A couple of years ago I was chas-

tised by staff for my resistance toBlackBerry devices. I thought havingeasy access to email would hinderface to face communications amongstaff and members. As someone whohas worked in sales, I know thepower of eye contact and a goodhandshake. I believe in personal vis-its. Now, I’m learning how to use the

power of new communication andnetworking tools to enhance, notreplace personal and professionaldialogue. I’ve become versed in Facebook

(courtesy of trying to keep up with my12-year old daughter). Twitteringbecame the rage at the recent IWPAconvention when our guest speaker,Representative Mary Bono Mack (CA)sent out a tweet immediately following

Continued on page 20

more and more people are respond-ing to technology (e.g. think about all

BByy BBrreenntt JJ.. MMccCClleennddoonn,, CCAAEEEExxeeccuuttiivvee VViiccee PPrreessiiddeenntt

IInntteerrnnaattiioonnaall WWoooodd PPrroodduuccttss AAssssoocciiaattiioonn

FSC certification ensures responsible use

of forest resources. SW-COC-000734

© 1996 Forest Stewardship Concil A.C.

June/July 2009 Page 3

Twitter, Tweets And Twits – Facebook And Friends

Page 4 Import/Export Wood Purchasing News

BENJA Crafts U.S. Hardwoods Into Stylish Furniture

ental styles. These are targeted main-ly at the middle to high end segmentof the market.General Manager Sopa Leevutinunsaid, “We started out as an interiordesign cum construction companyand operated under the name ofFurnia LCL Co. Ltd. We have beeninvolved in the development of hotelsfor many years. Then came a timewhen our design team thought weshould be producing our own furniturefor our projects.”When the company took part inThailand International Furniture Fairfor the first time and exhibited its prod-ucts under the banner of Furnia LCLCo. Ltd., the company owners wereconvinced that it was time to set up afurniture mill of their own, judging fromthe good response received.According to Leevutinun, the factoryuses mainly wood for the productionof furniture, including the species ofAsh and Oak which are imported fromthe U.S. Each month the mill churnsout 20 containers of furniture items,50 percent of which are exported toJapan, the Middle East, U.S., Indiaand Europe.“As far as American timber is con-cerned, most of them arrive at the millin sawn lumber form because ouremphasis is on the production of solidwood furniture which can fetch a high-er price than those made from pan-els,” she said.The factory has been using Americanwood for furniture ever since the millwas set up six years ago. “Our design-ers like the appearance and grain ofthe wood. For the local market, weknow that imported wood like Ash andOak make good high end furnitureproducts because we have been

At Benja, located in Bangkok, the focus of this firmis on the production of solid wood furniture, like thischair made of Ash from the U.S.

One of several dining sets made of Walnut at Benja’s manufacturing plant.

BByy LLuuccaass NNgguu

BB aa nn gg kk oo kk ,, TT hh aa ii ll aa nn dd ––The word“benja” means five in the Thai lan-guage and has been chosen as thecompany’s name to represent the fivemajor elements that are used to makefurniture items – wood, metal, fabric,glass and natural materials.Established six years ago, BenjaCollection Co. Ltd. is a company that

The company’s strength lies in furniture designand product quality.

The Benja Collection is showcased at the company’s showroom in Bangkok.

Continued on page 21

Bleu, Bangkok, as well as upscaleresidential projects that include thePortofino Condominium Pattaya andThe Grand Private Home.Located in Bangplee IndustrialEstate, which is an hour’s drive fromBangkok, Benja Collection churns outa wide range of indoor furniture itemsthat come with contemporary and ori-

is associated with the development ofprestigious projects in Thailand.These include renowned hotels likethe Mercure Patong Phuket, GrandHyatt Erawan Bangkok and TwinPeaks, while the company is alsoinvolved in the development of theDusit La-Trattoria Restaurant,Tomyumkung Restaurant, Le Cordon

June/July 2009 Page 5

Expertise In Foreign Markets Help NHG Overcome Today’s ChallengesBByy MMiicchheellllee KKeelllleerr

Lumber is graded, procured and certified before it receives the NHGTimber Ltd. logo.

Guy Goodwin standing next to a group of Afrormosia logs in West Africa.

Lumber is protected from the elements until it is ready for shipment.

Guy Goodwin atop bundled lumber prepared for shipmentWith 16 employees, the staff at NHG Timber Ltd. are dedicated to serv-ing the needs of both buyers and suppliers.

CONTACT: JOHN OR MARCUS HAWKINSON,TONY GEIGER

Continued on page 24

SSuurrrreeyy,, UUKK-- Established by Nick Goodwin, a 40-yearveteran of the industry, NHG Timber offers an extensiverange of diversified wood products and currently trades inover 67 countries. In 2008 alone the company sold30,000M3 of timber products sourced from West Africa in22 different species.Servicing buyers and suppliers alike, NHG Timber has

solid relationships in five wood producing continents. Sourced from Europe, North America, Africa, South

America and the Far East, hardwood and softwood lum-ber, plywood, decking, semi-finished products, flooringand logs are among the numerous products offered byNHG Timber.

At the core of the company’s global tim-ber trading is Africa. With 34 years ofexperience trading in this region, NickGoodwin has built solid relationships andexpertise in what has traditionally beenknown as a challenging continent. Bybuilding alliances throughout the years,NHG Timber has the experience and theknowledge to handle the many diversechallenges this market offers. After spending several years in West

Africa, Goodwin began NHG Timber Ltd.in 1981. “Originally the business startedbecause I’d been in Africa for sevenyears. Thirty four years later, we are stilltrading in Africa and it is the heart of ourbusiness,” Goodwin said. “Obviouslywe’ve diversified over the years butthat’s how we started and it’s still an inte-gral part of the business.” Routine visits to West Africa strengthen

relationships and keep the people ofNHG current with production capabilitiesas well as the changing market require-ments. Species available from thisregion include Sapele, AfricanMahogany, Afrormosia, Bubinga,Wenge, Sipo, Iroko, Kosispo, Ayous,Okoume, and Dabema. Whereas Africa is at the company’s

heart, NHG has close connections withNorth America. The company sourceshardwood lumber in species such asWhite Oak, White Ash, Red Oak, Cherry,Walnut and Hard and Soft Maple.Dealing only with quality mills the firmtrades with all five regions: southern,Appalachian, northern, central and thewestern regions.Clear grade softwood lumber sourced

from North America is marketed toEurope and the Middle East. Speciesinclude Western Red Cedar, Douglas Fir,Hemlock and Southern Yellow Pine.While Brazil is conventionally the main

manufacturer of hardwood products inSouth America, NHG Timber alsosources consistent quality species suchas Cumaru, Marupa, Massaranduba, Ipeand Jatoba from Chile, Bolivia and Peru.Both buying and selling in Asia, the firm

has developed a two-way partnershipspecifically in but not limited to China.Species such as Dark Red Meranti,Yellow Balau, Keruing, Nyatoh, Jelutong,and highly sought Teak are obtainablefrom this region through NHG Timber.In Europe, long-established suppliers of

Page 6 Import/Export Wood Purchasing News

Continued on page 24

Alan Kitchens serves as secretary of the company and is responsiblefor the acquisition of new equipment and daily activities at the firm’smill, located in Hazlehurst, Miss.

At Kitchens Bros., a High-Tech Optimizing Scanner isused for edging.

KITCHENS BROS. Promotes Themselves Worldwide As Producers Of Quality Products And Customer Service

A load of lumber stands ready to ship at Kitchens Bros.

Kevin Kitchens is the vice president of Kitchens Bros. and overseesdaily operations at the company’s Monroe, La., facility.

The main species used at Kitchens Bros. are Red and White Oak, as well asYellow Poplar, Sap Gum, Hickory, Pecan and Ash, among others. The firm alsomaintains an inventory of 12 million board feet.

UU tt ii cc aa ,, MM ii ss ss .. ——Kitchens BrothersManufacturing Co., headquarteredhere, is a family-owned company.Currently operating three sawmillsand a dimension and flooring mill, thecompany is one of the leadingexporters of American hardwoods.Kitchens Brothers promotes them-selves worldwide as producers ofquality products and customer serv-ice. Among others, the firm hasexported to the Pacific Rim, Europe,Southeast Asia, Mexico, theMediterranean and the Middle East. Founded by M.D. Kitchens and LenonKitchens in 1945, the early beginningsof Kitchens Bros. began with onesmall sawmill in Utica. When LenonKitchens passed away in 1967, M.D.Kitchens became sole owner of theflourishing company.By 1987, ownership was dividedequally to M.D. Kitchens’ three sons,Greg, Alan and Kevin. President, GregKitchens said, “It’s a family-ownedbusiness, and we just find that doingwhat we have always done—providingquality service and products for ourcustomers is what we want to do. Themarket times may change the productwe make, but not the way we makeour product. We have reduced ourproduction due to this chaotic market,we have even changed some produc-tion from lumber to timber and indus-trial products but we still must main-

John Clark is the company’s sales manager.

Greg Kitchens is president of Kitchens Bros. Manufacturing Co., locatedin Utica, Miss.

BByy PPaauull MMiilllleerr JJrr..

Lumber Sales - Paul DowPhone 001-330-893-3121Fax 001-330-893-3031

Quincy ChenTaipei Office

Email [email protected] 886-2-89145492

Lei ZhaoShanghai Office

Email [email protected] 86-13917158857

Log Sales - Eugene A.Walters, CFFax 001-304-464-4988

Phone [email protected]@yoderlumber.com

June/July 2009 Page 7

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for five years and verified by annualaudits.“PEFC is primarily a European certifi-cation scheme, so it doesn’t impactour products,” said Michael Snow,e x e c u t i v ed i r e c t o rof theA m e r i c a nH a r d w o o dE x p o r tC o u n c i l .Many AHECm e m b e r sare “chain-of- c u s t o d y ”c e r t i f i e d ,he said. However, sawmills, concen-tration and distribution yards don’town the land on which their productsare grown. “Certification is in the hands of 4 1/2million small landowners” who aregenerally a hard sell, Snow said.“Many of them harvest only once or

Page 8 Import/Export Wood Purchasing News

How U.S. Wood Measures Up To PEFC Standards

found that the risk of illegal woodentering the supply chain for U.S.hardwood products was less thanone-half of one percent, Snow said.Those findings have been submittedto Japan and the European Union,whose commission in October pro-posed a law requiring importers toshow due diligence in keeping illegal-ly harvested wood out of theEuropean marketplace.What about the PEFC versus FSCrivalry? “I think FSC has done a muchbetter job of marketing it and bringinggreen groups behind it,” Snow said.“But I see very little difference on theground, and I believe that PEFC’smore open approach to ‘mutual recog-nition’ with other regional or nationalcertification schemes is on the righttrack.”

*One hectare is equal to 2.471 acres

twice in a generation and they’re notinterested in paying someone to comein and tell them what they alreadyknow.” Lack of certification does make a dif-

f e r e n c ewhen U.S.e x p o r t e r swould liketheir hard-wood prod-ucts to beused in“green build-ing” and gov-e r n m e n t -m a n d a t e d

projects overseas, Snow said. “PEFCand SFI have mutual recognition, sothat gets you into green buildingacross Europe.”Yet lack of certification should notimply lack of sustainability. In fact, anAHEC-commissioned study bySeneca Creek Associates recently

WWaasshhiinnggttoonn,, DD..CC..––The Geneva-based Programme for theEndorsement of Forest Certificationschemes (PEFC) is the world’s largestcertification plan, having endorsed 25national systems that account formore than 200 million hectares* ofcertified forests.The independent, nonprofit organiza-tion was formed in 1999 by 11 mainlyEuropean national systems as a wayto mutually recognize each other’scertifications. It is seen as the maincompetitor to the Forest StewardshipCouncil; neither organization recog-nizes the other’s standards. PEFC,however, recognizes the SustainableForestry Initiative® and American TreeFarm System standards in the UnitedStates. Like the FSC and SFI, the PEFC pro-vides branded labels for its certifiedproducts; a minimum 70% certifiedcontent is required to use the PEFClabel. And, too, its certification is good

FSC accredited certification means that the forest is managed according to strict environmental, social, and economic standards.

© 1996 Forest Stewardship CouncilA.C. SW-FM/COC-124

SW-COC-372

Two Heads Are Better Than One.

Combined, Anderson-Tullyand LHP produce 140 million

board/feet of lumber a year fromspecies that include Ash, Basswood,Cottonwood, Cypress, Elm, Gum,

Hackberry, Pecan, Poplar, Red Oak,Sycamore, White Oak, and Willow.

As marketing agent for Louisiana Hardwood Products,

formerly the hardwood division of RoyOMartin,

Anderson-Tully Worldwide today represents far more

resources for a world of hardwood uses: 140 million

board/feet of lumber a year, supported by

almost 500,000 acres of FSC-certifi ed timber.

For fi ne Southern hardwoods and reliable service,

with no end in sight, call us.

601.629.3283 • 1725 North Washington Street • Vicksburg, MS 39180318.449.8877 • 703 Versailles Blvd., Suite E • Alexandria, LA 71303

[email protected]

Now offering the combined strength oftwo hardwood industry leaders.

BByy KKaatthhyy BBrrooookkss

““PPEEFFCC iiss tthhee wwoorrlldd’’ss llaarrggeessttcc ee rr tt ii ff ii cc aa tt ii oo nn pp ll aa nn ,, hh aa vv ii nn ggee nn dd oo rr ss ee dd 22 55 nn aa tt ii oo nn aa ll ss yy ss--tteemmss tthhaatt aaccccoouunntt ffoorr mmoorreetthhaann 220000 mmiilllliioonn hheeccttaarreess** oo ffcceerrttiiffiieedd ffoorreessttss..””

LEED 2009 successfully passed aNovember 2008 ballot sent to 18,000U.S. Green Building Council membersin spite of negative votes from mem-bers such as APA-The EngineeredWood Assoc.“A lot of our comments had to do withoutstanding issues of forest certifica-tion,” an APA spokespersonexplained. “Now you can earn creditfor using Forest Stewardship Council(FSC), and it’s credible, but so areseveral others. We feel strongly thatLEED should recognize those.”Comments were also made from non-members such as the Southern PineCouncil (SPC). “Our members haven’tendorsed or rejected it, but we put incomments asking for LEED to bemore friendly to wood,” an SPCspokesperson said.APA and SPC are part of the broaderNorth American Coalition on GreenBuilding, which advocates the recog-nition of life cycle analysis (LCA).

•Omnibus Lands Bill Signed

The House of Representativesrecently approved the public lands,water and natural resources omnibusbill by a vote of 285-140 and PresidentObama signed the bill into law. Thiswill: add more than two million acresof public lands as wilderness, estab-lished three new national park units, anew national monument, three newnational conservation areas, morethan 1,000 miles of national wild andscenic rivers and four new nationaltrails.

House Passes FLAME Act

The House of Representativesrecently passed the Federal LandAssistance, Management and

WASHINGTON SCENE -Continued from page 2

Continued on page 34

June/July 2009 Page 9

For more information contact sales staffDoug - Bill - Pam - Roy

(228) 832-1899 / fax: (228) 831-1149

1-800-647-9547www.newmanlumber.comGulfport, Mississippi USA NEWMAN

C 1996 FOREST STEWARDSHIP COUNCILSCS-COC-002027

O

Genuine Mahogany - Spanish Cedar - Sapele - CerejeiraFSC available upon request

BBuuffffaalloo,, NNeeww YYoorrkk––Business fail-ures, lack of adequate informationand tough financial times are causingcredit insurance companies globallyto cancel more policies than everbefore. There are solutions, accordingto Dr. Edward J. Arnold, director ofcredit insurance at M & T Insurance,located here.Arnold said credit insurance shouldbe part of any business managementplan and receivables often are theonly uninsured item on a company’sbalance sheet while they are critical toa company’s survival.Credit insurance is insurance againstnon-payment or receivables insur-ance. Arnold said the reasons to buyare:1) Protection against non-payment2) Companies can expand sales by

offering better payment terms to cus-tomers

3) Companies can to obtain short-term financing because uninsuredreceivables are often excluded as col-lateral4) Better information about currentand future customers.Credit insurance can cover domesticand foreign receivables including sin-gle and multiple buyers. Arnoldexplained that insurance is availablefrom the U.S. government through theEX-IM bank and a handful of privateinsurance companies.The EX-IM model requires that theproduct be U.S. made and it offersexcellent multi-buyer coverage, 100%political risk; 90-95% commercial risk,and often more risk acceptant thanprivate sector insurers.Arnold said private sector insuranceproviders can offer discretionary cred-it limits for smaller sales and canunderwrite other buyers. The privatesector also provides short term exportcredit insurance that is based on apercentage of sales. There are specif-ic terms by country risk and credit lim-its.“The cost of credit insurance is goingup and the average seems to beabout 10-15 percent,” he said. “That’simportant to know that this is happen-ing across the board whether youhave filed claims or not. If your claimshave exceeded your premiums, it maybe higher.”Arnold said that cancellations are onthe rise and causing problems forsales to new and existing customers. “It is important to understand why apolicy is cancelled,” he said. “It’s notalways that the company is in trouble,it could be bad information on yourcustomer, a lack of information on acompany, or something else you canhelp with, so you should find out andtalk with your broker or provider.”Arnold said that as little as 14 monthsago companies could find credit insur-ance for receivables with little trouble.

Credit Crunch Answers In Uncertain Times

The tightening of credit markets, busi-ness failures and fraud have dramati-cally changed availability.“Now I will have a customer come tome with 20 companies they do busi-ness with and seeking insurance andI will send that out to five insurers andmaybe two will reply,” Arnold said. “Imight get 14 or 15 of the 20 cus-tomers covered and the premium willbe higher.“It used to be that insurers would doanything for new business but theyare just not in the new business moderight now,” he said.There are solutions to today’s creditinsurance crunch. Hardwood compa-nies must provide more informationon their customers like their paymenthistory and credit report, consider dif-

ferent policy structures, uti-lize letters of credit andconsider the governmentinsuring through EX-IMbank.Insurance brokers canprovide key services to thelumber industry by workingas a resource to answerpolicy questions; shoppingyour business to the vari-ous credit insurance com-panies, fitting you with apolicy that suits your needsfor the best price; providingyou and the bank the com-fort, knowledge, andunderstanding of your poli-cy to maximize its value;and acting as your advo-cate in the case of a claim.

Dr. Edward Arnold

EEddiittoorr’’ss NNoottee:: AArrnnoolldd iiss tthhee ddiirreeccttoorr ooff CCrreeddiitt IInnssuurraannccee.. CCoonnttaacctthhiimm aatt MM&&TT IInnssuurraannccee AAggeennccyy,, IInncc..,, 228855 DDeellaawwaarree AAvveennuuee,, SSttee..44 00 00 00 ,, BB uu ff ff aa ll oo ,, NN .. YY .. ,, 11 44 22 00 22 .. TT ee ll :: 77 11 66 -- 66 55 11 -- 44 22 00 22 ;; ee mm aa ii lleeaarrnnoolldd@@mmaannddttbbaannkk..ccoomm..

Page 10 Import/Export Wood Purchasing News

IWPA Photos - Continued from page 1

Geoff Dodd, Africa!, Memphis, Tenn.; Tom Wilson, InternationalSpecialties, Inc., Collierville, Tenn.; and Don Thompson, ThompsonMahogany Co., Philadelphia, Pa.

Guy Goodwin, NHG Timber Ltd., Sanderstead, Surrey, England; LucAuguin, Rougier International S.A., Paris, France; Paul Gates, TradelinkWood Products Inc., Greensboro, N.C.; and Tom Herga, Inter-ContinentalHardwoods Inc., Currie, N.C.

Rod Blalock, Firestone Natural Rubber Co., Calhoun, Ga.; and AlanMcIlvain, McIlvain Lumber Co., Marcus Hook, Pa.

Ernest Montano, Del Valle Common & Co., La Mirada, Calif.; Jim Cullison,Drayage Express Corp., Rancho Dominguez, Calif.; and Jim Kaiser, SolBuilding Materials Corp., El Paso, Texas

George Swaner, Swaner Hardwood Co., Burbank, Calif.; Pat Bennett,American Pacific Plywood Inc., Solvang, Calif.; and Gary Swaner, SwanerHardwood Co.

Doug Rogers, Canusa Wood Products Ltd., Vancouver, B.C.; andGilberto Schille, Brazwood Ltd., Acre, Brazil

Brent McClendon, International Wood Products Assoc., Alexandria, Va.;and Don Thompson, Thompson Mahogany Co., Philadelphia, Pa.

Keister Evans, Tropical Forest Foundation, Alexandria, Va.; Jens Bursche, DLH Nordisk Inc., Greensboro, N.C.; BrianStordeur, Stordco International, Long Beach, N.Y.; Hugh Reitz, PRS Guitars Ltd., Stevensville, Md.; Matteo Dassi,Technowood Ltd., Tortola, British Virgin Islands; and Pat Bennett, American Pacific Plywood Inc., Solvang, Calif.

Jason Loveland, Rukert Terminals Corp., Balitmore, Md.; GeorgiyKrapivin, Woodbridge International Ltd., Moscow, Russia; and SergeiKotov, SGK Nordic SIA, Riga, Lativia

Hugh Reitz, PRS Guitars Ltd., Stevensville, Md.; and GrazianoPasqualetto, Romea Legnami S.P.A., Venice, Italy

Hugh Reitz, PRS Guitars Ltd., Stevensville, Md.; and Jesper Bach, BalliieLumber Co., Hamburg, N.Y.

Cindy Bergin, Newman Lumber Co., Gulfport, Miss.; Buzz Neilsen, Sealaska Wood Products Solutions, YugoCity, Calif.; Will Whitehouse, Coastal Cargo, Houston, Texas; and Yii Heng Ki, Shengyang PlywoodDistribution Co., Malaysia

Y.S. Jung, Hyundai America Shipping Agency Inc., Long Beach, Calif.;Kurniawan and Patricia Antono, International Wood Products Assoc.,Apex, N.C.

Michael Wan, Planet China LLC, St. Louis, Mo.; Stuart Clarke, ClarkeVeneers and Plywood, Jackson, Miss.; and John Hedin, ColumbiaForest Products, Greensboro, N.C.

Additional photos on page 12

June/July 2009 Page 11

MM ee mm pp hh ii ss ,, TT ee nn nn ee ss ss ee ee ––Greenmarketing has gained popularity sincethe 1990s, with environmental certifi-cation of timber and wood productsexploding in the last two years.But some of North America’s smallerhardwood and softwood growers,middlemen and dealers have beenslow to jump on the bandwagon, won-dering which of two major forest-man-agement certifications are preferableand whether the costs of voluntarycertification will pay off in increasedsales. “We feel it is a market decision thateach company has to make individu-ally,” said Mark Barford, executivedirector of the National HardwoodLumber Association.

The Forest Stewardship Council’s(FSC) certification system and theSustainable Forestry Initiative (SFI)are two of the most widely usedauditing programs in NorthAmerica. Both programs aim toassure consumers that certainlandowners have shown their com-mitment to maintaining healthy,sustainable forests while providingthe landowners an independentassessment of their managementpractices and advice on how tomake them more environmentallyfriendly.

The FSC and SFI also provide “chain-of-custody” certification, which tracestimber products through each phaseof the supply chain to ensure thatenvironmentally sound practices pro-duced the final result. Each organiza-tion offers branded labels that may beattached to the certified products.“The most important ‘pro’ of certifica-tion is the guarantee to your cus-tomers that your lands are being man-aged responsibly,” said CoreyBrinkema, President of FSC–US. “Butit’s also a way to maintain or increasemarketshare in an otherwise-downmarketplace.” Both organizations use independentthird-party auditors who conduct theevaluations according to FSC or SFIcriteria. Landowners interested inattaining certification contact an audi-tor directly, then sign contracts for thework to be performed. “The generalpublic is notified about certificationassessments before they take placeso that the certifiers, helping assurethe integrity of the process, can hear afull range of voices,” the FSC websitesays. Certification is good for five years, atwhich time the landowner may applyfor recertification if desired. Annualaudits are performed to insure thatcontract terms are being followed.Chain-of-custody certification costsbetween $3,000 and $5,000, Barfordestimated. Brinkema said the cost ofcertifying forest acreage varies,depending on the land’s size andcomplexity. “The cost is very difficult to lockdown,” said Jason Metnick, SFI’sDirector of Market Access andProduct Labeling. “It could be 25cents an acre or it could be three dol-lars an acre.”

“Certification is generally not withinreach of a single, small landowner,”Brinkema said. “You won’t net out rel-ative to the cost of certification.”

Lumber Certification Debate Gains MomentumHowever, group certificates are aneconomically viable way for thoselandowners to become certified,Brinkema said. He noted that 31,000family forest owners representing2.15 mil-lion acresr e c e n t l yb e c a m ec e r t i f i e dthrough atax-incen-tive pro-gram inWisconsin.“Cost peracre waspennies oreven less,so it’s an extraordinarily efficient pro-gram,” Brinkema said.“Group certificates aren’t usually ofthat scale,” he added, noting that 10or 20 landowners were more the normin the Pacific Northwest and Maine.Increasing the number of group certi-fications is a prime objective for the

FSC in 2009, Brinkema said. “Smallcompanies provide the majority ofwood fiber, so if we don’t make FSCcertification viable for the smalllandowner then it’s not going to havethe impactthat its h o u l dhave.” The SFIp r o g r a mw a sdesignedfor largerlandown-ers, but itsp a r t n e r -ship witht h eAmerican Tree Farm System also pro-vides for group certification of smallerlandowners, Metnick said.Significantly more forestland hasbeen certified in Canada than in theUnited States, he said, attributing thatto Canada’s pattern of larger landown-ers. The SFI has certified 96 million

acres in Canada and 54 million acresin the U.S., while the FSC has certi-fied 60 million acres in Canada and 29million in the U.S. Timber certification has made greatstrides since the early 1990s, when aWorld Wildlife Fund coalition foundedthe nonprofit FSC because of con-cerns about illegal, unsustainable log-ging practices in tropical forests. TheAmerican Forest & Paper Associationfollowed in 1994, beginning the SFIprogram that is now maintained by aseparate 501(c)(3) nonprofit organiza-tion, the Sustainable Forestry Board.“It was really the ‘Big Box’ stores thatdrove the market toward certifiedproducts in the mid to late 1990s,”Metnick said. “Then in 2001 and 2002,stores like Office Depot, Office Maxand Staples instituted similar procure-ment policies.“We’ve absolutely seen the marketdemand surge for certification in thelast two years, whether it’s a largegovernment like the United Kingdom

BByy KKaatthhyy BBrrooookkss

Continued on page 25

Page 12 Import/Export Wood Purchasing News

Tom Wilson, International Specialties Inc., Collierville, Tenn.; and ScottBeggs, American Pacific Inc., Holly Springs, Miss.

Wayne Miller, Import/Export Wood Purchasing News, Memphis, Tenn.;Elizabeth Baldwin, Metropolitan Hardwood Flooring USA, Kent, Wash.;and Scott Beggs, American Pacific Inc., Holly Springs, Miss.

Robert Gillebaard, Holland Southwest International, Houston, Texas;Cindy Bergin, Newman Lumber Co., Gulfport, Miss.; JoAnn GillebaardKeller, Holland Southwest International, Houston, Texas; and DwightHall, Southwest Plyboard of Texas, San Antonio, Texas

Brent McClendon, International Wood Products Assoc., Alexandria, Va.;Cassia and Sergio Korn, Exportbras, Beverly Hills, Calif.

Lee and Aimee Robinson, Overseas Hardwoods Co., Mobile, Ala. Thuy and Norm Murray, U•C Coatings Corp., Buffalo, N.Y. Aetius Rossa, Manifest Journals, Washington, D.C.; Daniel de la Puenteand Roberto Melgar, Peruvian Amazon Line, Lima, Peru

John Aufderhaar, Bedford Falls Communications, Watertown, Wis.;Annette Ferri, International Wood Products Assoc., Alexandria, Va.; andRay Markley, Shorepoint Insurance Services, Costa Mesa, Calif.

John Mallough, Barthco International Incorporated, Philadelphia, Pa.;and John Andl, TradeLeaf LLC, New York, N.Y.

IWPA Photos - Continued from page 10

John Chaffin, Import Security Consultants, San Marcos, Calif.; andDanny Foster and Roy Blackshear, Ihlo Sales & Import Co., Center, Texas

Donald Thompson, Thompson Mahogany Co., Philadelphia, Pa.; andMaureen and Warren Spitz, UCS Global, Mississauga, Ont.

Nicholas Andrew Lissem, Sarawak Timber Industry Development Corp.,Kuching, Malaysia; Christian Mengel, DLH Nordisk Inc., Greensboro,N.C.; and Mohidin Zailani Kram, Sarawak Timber Industry DevelopmentCorp., Kuching, Malaysia

Christian Mengel, DLH Nordisk Inc., Greensboro, N.C.; Tom Walthousen,National Hardwood Lumber Assoc., Memphis, Tenn.; and Brian Attridge,General Woods & Veneers Ltd., Mississauga, Ont.

Pat Bennett, American Pacific Plywood Inc., Solvang, Calif.; and PaulGosnell, Patriot Timber Products International Inc., Greensboro, N.C.

Alan McIlvain, Alan McIlvain Co., Marcus Hook, Pa.; and Matthew Olivo,Brown Brothers Harriman & Co., New York, N.Y.

Additional photos on page 14

June/July 2009 Page 13

Editor’s Note: Elizabeth Baldwin,is author of “Complying withthe Lacey Act: A Real-WorldGuide,” available atwww.LaceyActResources.com.The Guide provides practicalinstructions to help you organizeand manage your documentation;to assist you in preparing for thenecessary import declarations; inlearning how to document thelegality of your product; and ineducating yourself, your staff, sup-pliers and customers regarding thepotential impact of the Lacey Act.Also included with the printedguide is a CD ROM containingassorted templates, sample data-bases, possible Purchase Ordertext in multiple languages commonto many key supplying regions,and more.

The Lacey Act and its potentialimpact on the international wood tradehas been heavily discussed over thelast few months. For those few stillunfamiliar with it, the Lacey Act isAmerica’s oldest national wildlife pro-tection statute. Named afterCongressman John Lacey, it wassigned into law in 1900. Originally written to protect game

animals and birds, it has been amend-ed nearly a dozen times over theyears with the 2008 amendmentextending protection to plants andtrees. The new amendment isdesigned to eliminate Americanimport and trade in illegally harvestedwood. The Act is unusual in that the action

that defines the product as illegal (or“tainted”) does not have to haveoccurred within the U.S. Included inthe long list of ways to “taint” a prod-uct are actions such as harvesting itillegally, trading it without properduties or other fees being paid, orsmuggling/stealing it. The Act alsomandates an extensive new reportingrequirement for nearly all importedmaterials. The Lacey Act provides for some

very steep penalties if the governmentis able to prove that an individual or acorporation has knowingly traded inillegal material or has misreported animported product. Because the Actalso includes penalties to be appliedagainst innocent owners (people orcompanies who did not know thewood was “tainted” when they pur-chased it), many people are “runningscared” from all tropical or importedtimber.

Making The Most Of The Lacey Act

Elizabeth Baldwin Arnie Hogue

BByy EElliizzaabbeetthh BBaallddwwiinn

It is importantto note that theg o v e r n m e n tbears the bur-den of proof toshow both thatthe product wastainted and thatthe individual orcompany eitherknowingly pur-chased it or ifthey innocentlypurchased it,that they reallyshould haveknown betterwhen doing so.As a result of the Lacey Act, importingcompanies are expected to have increasedburdens of due diligence in documentingthe source of their material.Many American Hardwood companies are

anticipating an increase in their domesticmarketshare as both downstream produc-ers and retail customers shift from import-ed species to the “safer” domestic

h a r d w o o d s .Certainly thereshould be achange in thatarea, but U.S.c o m p a n i e sshould not neg-lect their oppor-tunity to utilizethe Lacey Actto increasetheir exportopportuni t iesas well.U.S. compa-

nies should beoffering theiroverseas cus-

tomers who intend to export a finishedproduct back to the United States doc-umentation to show that their produc-tion has an extremely low risk of beingconsidered “tainted.” Such documen-tation can include the FSC’s ownassessment of American hardwoodsas “low risk,” or copies of reports byAHEC or the AHMI and other local

industry organizations. Local univer-sities often have studies (Purdue hasan excellent one on Indiana timber)that can be quoted. Companies withgood documentation packages shouldbecome preferred suppliers to nerv-ous overseas buyers.

Continued on page 25

Page 14 Import/Export Wood Purchasing News

Robert Mitchell, Mitchell Forest Products, Simi Valley, Calif.; and LucAuguin, Rougier International S.A., Paris, France

Chris Parss and Carl Gade, Penrod Co., Virginia Beach, Va.; and AshokKela, MP Veneers Pvt. Inc., Bhopal, India

Bill Secrest, Graf Brothers Lumber Co., South Shore, Ky.

Claire Chen and Chen Chong Bin, Gilco Lumber Inc., Shanghai, China Kevin Ketchum, National Hardwood Lumber Assoc., Memphis, Tenn.;Dorothy Tong, AHEC, Hong Kong; and Tom Inman, AppalachianHardwood Manufacturers Inc., High Point, N.C.

Tito Gori, Azienda Legnami Affini, Arezzo, Italy; Steve Staryak, LawrenceLumber Co., Raleigh, N.C.; and Joe Gori, Azienda Legnami Affini

Todd Webb and Xiaowei Wang, Jim C. Hamer Co., Kenova, W.Va. Matt Harris, Edwards Wood Products Co., Marshville, N.C.; JonathonLee, Turman Hardwoods Co., Shanghai, China; and Tom Inman, AHMI,High Point, N.C.

Bill Graban and Michael Guo, Prime Lumber Co., Lexington, N.C.

Cathleen Xu and David Mayfield, Mayfield Lumber Co., McMinnville,Tenn.

Richard Zao, Baillie Lumber Co., Dongguan, China; Matt Bubar, BaillieLumber Co., Hamburg, N.Y.; and Echo Lou, Baillie Lumber Co., Tanjin,China

Tracy Chang and Michael Wong, American Lumber Co., Dongguan,China; Gary Song, Northwest Hardwoods, Guangzhou, China; and MabelJiang, American Lumber Co.

Robert Moss and John Zemanick, Gutchess Lumber Co., Cortland, N.Y.;and Helena Chan, Gutchess Lumber Co., Hong Kong

Jason Green, Sophia Chang, Ivy Sun, and Sam Sun, Industrial Timber &Lumber Corp., Beachwood, Ohio

William Chu, North Carolina Department of Commerce, Hong Kong;Patrick Althan, AHC Exports, Atlanta, Ga.; and Helen Ng, North CarolinaDepartment of Commerce

IWPA Photos - Continued from page 12 INTERZUM Photos - Continued from page 1

is still the largest at 43%. There is aclear growth trend, with a 14%increase in Chinese lumber exports in2008. While Japan remains thelargest single market for this lumber,its marketshare is declining as theU.S., Korea, Russia and Germanyincrease its imports of sawn timberfrom China.In 2008, China’s total furniture pro-

duction wasUS$88.2 bil-lion, a 15%increase over2007. 31.26%of productionswere forexports indi-cating theg r o w i n gdomestic con-s u m p t i o n .According tothe report of“2009 WorldF u r n i t u r eO u t l o o k ”made by

Page 15June/July 2009

Interest In U.S. Wood Flooring Surges In China MarketWWaasshhiinnggttoonn,, DD..CC..––The AmericanHardwood Export Council, locatedhere, recently released an overview ofthe market status in China. Excerptsof that report follow:China’s growth continued to bestrong in 2008, though it droppedsharply in the fourth quarter and is stillweak. However, unlike many othermarkets, China’s economy is expand-ing, not shrinking. Several factors,including high savings rates, the factthat government policy was responsi-ble for some of the slowdown and hassince been reversed, and spendingstimulators like the Shanghai WorldExpo, make the country well situatedto recover quickly.Overall China’s GDP grew 9% in2008, compared with 6.8% in thefourth quarter and 13% in 2007.However when the fourth quarter’sgrowth is seasonally adjusted, itappears stagnant. In 2008 overall, thetotal value of imports and exports rosefrom US$2173.8 billion in 2007 toUS$2561.6 billion, a 17.8% increase.First of the year (2009) exports werevalued at US$90.45 bllion and it ispredicted that China’s 2009 growthwill range from 6.8 to 8 percent. Ajump in China’s industrial output lastmonth, along with a record rise in newlending, lent credence to the idea thatthe bottom may not be far away andlifted the Chinese Yuan and stocks inShanghai.There were several factors beyondthe global economic crisis contributingto China’s slowdown, and the majorcontributor was policy enacted byChina’s government earlier in 2008 tohelp curb inflation caused by highgrowth rates of the last decade. Onesector they tried to rein in was hous-ing, which peaked in October 2007,but given the housing element of theeconomic crisis, the slowdown in thedomestic housing market has beenblamed for approximately half ofChina’s slower growth in 2008. Morerecently, the government has enacteda series of policies to encouragegrowth in the housing and infrastruc-ture sectors. While a slowdown ingrowth was clearly needed for Chinagiven its almost decade of very highgrowth, this slowdown was more dras-tic than the slowdown for which offi-cials were aiming.China’s forest resources are low.Despite establishing forest manage-ment schemes, the country’s demandfor raw materials will not be satisfiedby its level of national produced sup-ply. China is still in the implementationphase of a domestic initiative to sup-ply in-country its pulp, paper andwood-based panel industries.The China National Forest ProductIndustry Association reports thatapproximately 86.1 million acres offast growing high yield wood productswas created in 2007. In addition, sincemost of China’s plantations are of fastgrowing, small diameter species bestutilized in the pulpwood industry, it isclear that demand for imported hard-woods, particularly for the solid woodprocessing industries, will remainstrong for the foreseeable future.While increasing its domestic sourcesthe slightest amount, China still willnot be able to produce enough woodproducts for its own consumption.Chinese exports of all wood productshave slightly decreased by 5% to

roughly US$9.3 billion, still goodenough for 9.3% of the marketshare,second largest behind Germany at9.5% and ahead of the U.S. with 7%. Wood furniture and panel productsmake up more than 70% of total woodproduct exports, and to date Chineseexports of sawn hardwood lumberhave been relatively minor having 6%of the world’s marketshare while U.S.

Italian company CSIL, the demand offurniture will decrease in 15 countriesthat are mostly European countriesand U.S. Countries such as China,Egypt, Russia, India and Kuwait arepredicted to leave increased demandin production.The Chinese flooring and furnitureproducers have deep concern aboutthe U.S. Lacey Act’s impact on theflooring industry. But they do believethe Act would certainly convince moreproducers to use U.S. hardwoods.There has been an increased demandfor flooring seminars. Wood doorswere down 1.5% of roughly US$450million.And lastly, some of the large furnitureand flooring factories have relocatedto Vietnam and Indonesia, causingChina to lose many export orders.Over 2,000 furniture factories closedin 2008.

China

Page 16 Import/Export Wood Purchasing News

Continued on page 17

IWPA -Continued from page 1

INTERZUM -Continued from page 1

any of us have ever seen. To quoteWinston Churchill: ‘When you aregoing through hell, keep going!’ Thatis what we must do.”His sentiments were echoed byMcClendon, who said, “It feels likewe’re in the middle of a desert (inregard to the economy) now. IWPA,though, is an oasis in this desert.We’re going to end this year in theblack and we have plans to stay in theblack next year too as we provide youinformation you need to know aboutour industry.”After the convention, McClendonsaid, “We received tremendouslypositve feed back from this program.Our members wanted an immediatereturn-on-investment and I am thrilledhow our speakers came through forthem. From economics and marketprojections, to helpful insights from amember of Congress, our people leftwith solid planning insight that theycan immediately put to use. Our totalattendance was down a bit as expect-ed, but the enthusiam and businessconnections ceretainly weren’t.”Scott Beggs, incoming IWPA presi-

dent, also spoke to the attendees andstated that in today’s economy, “it’ssurvival of the most adaptable, not thefittest or strongest or fastest.”The convention was packed withspeakers, among them was LynnMichaelis, vice president and chiefeconomist with WeyerhaeuserHardwoods & Industrial Products. Hereported that “the primary driver ofconsumer confidence is about yourbelief that you may, or may not, havea job indefinitely. That overall confi-dence is falling. In 2007, consumersfelt good, but today, 401(k)s, pensionfunds and home equity is disappear-ing so factors like auto and retail saleshave dropped dramatically.Household furniture sales are down29 percent.”Despite the sombering news,Michaelis said, “I do not believe weare headed for a depression. Althoughfor the first time since 1947, the glob-al economy is declining. We needglobal participation on policies forthings to improve. Consumers are in asaving rate mode. Now we need gov-ernment to spend money to make upfor consumers not spending.”Housing will remain depressed, henoted. “Next year, we’ll see 500,000 to600,000 housing starts – maybe,” he

said. “Right now California homeprices are down 61 percent from theirpeak. The only good news is that inCalifornia, people are buying housesat new, lower priced, levels.”He continued that exports “are fallingabout as fast as imports and the U.S.dollar will be under downward pres-sure for the next few years. We haveone source that can stop that down-ward spiral: it’s the Federal govern-ment. In the meantime, the U.S. econ-omy will contract 3 to 4 percent thisyear, and we may get some growth in2010. I expect we will push to 10 per-cent unemployment however.”Despite all negative indicators,Michaelis said he remains, “optimistic.The good news is the drop in oilprices. The main thing we all need todo is watch our cash flow carefully. Icounsel you to expect another 12months of slow wood business.”He summed up by stating, “We are inextremely risky and uncertain times –a very unique event in our lifetime. Itcould take two to three years of nogrowth in the U.S. before we see sig-nificant improvement. This is unlikeanything since the Depression.”His sentiment was supported byspeaker John Young, of YoungHomes, who noted, “Our business is

off 90 percent of first-time homeown-ers and move-up homes. We have ahuge credit crunch in our country, solots of my friends who used to buildhomes have gone out of business.Last year, building permits were theworst in volume since World War II.That means flooring and cabinetsneeded for homes have dropped insales dramatically.”Young also accentuated the positive,stating that inventories of completedhomes for sale have dropped inrecent weeks, which is an improve-ment in the market. He outlined otherpositive signs as follows:• Slight rise in commodities prices;• Cost of ocean freight has improvedsince last year;• Slight increase in consumer spend-ing;• Construction levels rose in Januaryand February of this year.Young added that, “now we are build-ing smaller homes. That’s the trend.They average 2,000 to 2,200 squarefeet instead of 3,500, and a fewbuilders are getting orders for homesup to 1,600 square feet. We’re alsoseeing a growing demand for greenconstruction, concentrating on energyefficiency and water conservation.Green is not going away. We, asbuilders, are going green in Californiabecause you can make a house sotight this way. These houses are veryeconomical energy-wise.”Among the many presenters at theWorld of Wood were Ray Markley,Shorepoint Insurance Services; CraigFedchock, USDA; DanielWackerman, John A. Steer Co.; andJeffrey Grimson, attorney, TroutmanSanders.Approximately 250 business execu-tives from 25 countries attended theconvention, which also welcomedguests and attendees to enjoy variousreceptions, dinners and a convention-closing banquet, as well as an annualgolf classic.The World of Wood 2010, IWPA’s54th annua; Convention, will be heldMarch 24-26 at the Eden Roc in MiamiBeach, Fla.The IWPA’s offices are located inAlexandria, Va., which can be contact-ed by phoning 703-820-6696, or seetheir website at iwpawood.org/

for 2009 and included company repre-sentatives from all of West Virginiaand parts of eight other states:Kentucky, Mississippi, New York,North Carolina, Pennsylvania,Tennessee, and West Virginia.Participants were AppalachianHardwood Manufacturers, Inc., GrafBrothers Lumber and Flooring,Hermitage Hardwood Lumber,Industrial Timber & Lumber, Jim C.Hamer Co., Lawrence Lumber Co.,Mayfield Lumber Co., and PrimeLumber Co.Other U.S. companies displaying atthe fair were American Lumber, BaillieLumber, and Gilco Lumber. Most reported decent traffic at theirspaces from representatives of thefurniture industry throughout China. Afew orders were written and dozens ofnew leads were generated.Guangzhou is well-known in China aswell as in the furniture productionindustry with the Guangdong provinceas one of the most important marketsin the world.The show attracted more than 50,000trade visitors and buyers from the DIY(Do-it-yourself) and BIY (Build-it-your-self); furniture manufacturing; furni-ture wholesale and retail; interiordesign; institutions; wood and plastic

“...II AMM VERYY HAPPYY ANDD QUITEE SURPRISEDWITHH THEE FAXESS ANDD PHONEE CALLS...”

“We’ve never advertised before and started an Ad program with TheImport/Export Wood Purchasing News in the summer of 2004. I have to saythat I am very happy and quite surprised with the faxes and phone calls we’vereceived, not to mention the visitors that come to our facility. As a direct resultof our advertising in The Import/Export Wood Purchasing News, we are doingbusiness with companies we never heard of before. Advertising in your paperworks and we are going to continue to do what works for us!”

Gene Walters

Rolling Ridge Woods, LTD., located in Parkersburg, WV, exports

logs and lumber from the Central Appalachian Region. Species

carried by the firm include: Red and White Oak, Cherry, Walnut,

and Hard Maple. Their Telephone number is: 304-464-4980;

FAX: 304-464-4988.

EXPORTERS OF LOGS & LUMBERSPECIES:

WHITE OAK, RED OAK, CHERRY,WALNUT, HARD MAPLE

Rt. 1, Box 183, Parkersburg, WV 26101Tel.: 304-464-4980 • Fax: 304-464-4988E-mail Logs: [email protected] Lumber: [email protected]

CALL US TODAY 901-372-8280OR FAX US AT 901-373-6180

For Ad rates and marketing support services unavailable elsewhere.

IMPORT/EXPORT

purchasing newsWOOD

Gene Walters

Rolling Ridge Woods, LTD.

Parkersburg, WV

Ad Program:

6- 1/2 page Islands in 4color in Import/Export

Wood Purchasing News

BANGKOK -Continued from page 1

DUBAI -Continued from page 1

Continued on page 19

June/July 2009 Page 17

INTERZUM -Continued from page 16

Architect ’09 jointly organized by theAssociation of Siamese Architects,under Royal Patronage (ASA), andTTF International Co., Ltd., displayedarchitectural progress, educated visi-tors about different architecturalaspects and also provide businessopportunities for the building industry.The exposition had 750 exhibitorsfrom 31 countries participating to dis-play more than 10,000 new products. Smith Obayawat, president of the fairorganizing committee, says green isnot just an advertising campaign orimage program. The issue concernsall people who want to see sustain-able use of natural resources.The fair, under the theme Re-Vision,is the largest construction and archi-tecture fair in Southeast Asia, provid-ing opportunities for the public to learnabout new developments in the field.It included international conferencesat which eminent Thai and foreignarchitects shared their experiencesand opinions.Obayawat said the “Re-Vision” themewas meant to draw attention amongthe public as well as Thai architects toslow down and rethink their roles andcontribution to the society.American Hardwood Export Council(AHEC) returned to the fair for the fifthtime to introduce the sustainableAmerican hardwood resources to themanufacturers and specifiers with theencouraging export of U.S. hardwoodlumber to Thailand, which increased9% to U.S.$1.5 million for the firstmonth of 2009 compared to the sameperiod of 2008. The prototype ofAmerican Hardwood Design Campwas also displayed in AHEC stand toillustrate the creative use of U.S. hard-woods and attracted strong interestsfrom visitors.

city in the world—and also the mosttolerant environment anywhere.Third, their port (the Jebel Ali port) issaid to be the largest man-made portin the world, making it friendly to inter-national business.This city of 497 square miles andmore than 2.2 million people recentlywelcomed into its environs theAmerican Hardwood Export Council(AHEC) for their Wood Show. Therewere 16 companies from the UnitedStates exhibiting in the pavilion, alongwith the National Hardwood LumberAssociation (NHLA) and companiesfrom the states of Virginia andIndiana. AHEC conducted the woodshow in cooperation with theHardwood States Export Group(HSEG), a consortium of StateDepartments of Agriculture from theprimary hardwood-producing states. According to the participants in theAmerican Hardwood Pavilion, thisyear’s Dubai Wood Show was a greatsuccess. Participants said that quali-

ty was the key and claimed to seegenuine interest in their productsexpressed by potential buyers from allover the Middle East and North Africaregions, as well as from India andPakistan and beyond.This year’s wood show experiencedthe largest hardwood delegation fromthe United States that has ever exhib-ited in the Middle East. According tostaff at AHEC in Washington, D.C.,this underlines how important theregion has become to hardwood pro-ducers in recent years.A statement from the AHEC officereads, “More than ever before,American hardwoods are becomingincreasingly well-established in theMiddle East’s hardwood market andthe timing was right for the AmericanHardwood Export Council (AHEC),which organized and ran theAmerican Hardwood Pavilion, to showits commitment to the region’s marketand to strengthen ties between USexporters and the importers, manu-facturers and specifiers in the MiddleEast-North Africa (MENA) region.”The 2008 Statistics from the UnitedStates Foreign Agricultural Service

U.S. hardwoods were well-represented at theBangkok, Architect ’09 trade show. U.S. hardwoodsexported to Thailand increased nine percent in thefirst month of 2009 compared to 2008.

processing; and the wood and plastictrading sectors. The number of pre-registered visitors, a week before thetrade fair, was nearly double that of2008, a positive sign for the final visi-tor attendance.

“Despite the economic slowdown,Interzum Guangzhou has once againbroken records with an all-time high inparticipation. We appreciate the con-tinued support from our partners andcustomers, who acknowledge thatInterzum Guangzhou is a must attendevent for Asia’s furniture productionindustry,” said Michael Dreyer, VicePresident Asia Pacific, Koelnmesse.

support this: they indicate total directexports of American hardwood value-added products (lumber, veneer, floor-ing and mouldings) to the MENAregion grew by 19.6% in value, reach-ing $55.5 million. The principal value-added US hardwood product exportedto the region – hardwood lumber –saw an increase in volume of 3.7%and an increase in value of 3.8% to$35.5 million. At the same time, ship-ments of both hardwood veneer andlogs also grew significantly, increasingby 59.7% to $18.6 million and by58.6% to $25.5 million respectively.During the Wood Show, AHEC host-ed an evening seminar and receptionon April 21st at the Park Hyatt Hotel inDubai. Rupert Oliver, consultant toAHEC, gave a presentation givingMENA region importers and end usersof hardwoods insight into the environ-mental credentials of American hard-woods and what the U.S. hardwoodindustry is doing to address ecologi-cally-sound (“green”) procurementand sustainable building materialstandards around the world. This wasof particular relevance in the UAE,

Simplemente MaderaFSC certified first growth hardwoods

Cedro Macho Carapa guianensisLeche MariaSymphonia globuliferaGuayabónTerminalia amazoniaNancitónHyeronima alchorneoidesSanta MariaCalophyllum brasiliense

TamarindoDialium guianenseJatobaHymenaea courbarilNisperoManilkara achrasIpeTabebuia chrysantha

U.S. (513) 833-3338Nicaragua 011 (505) 270-1804www.simplementemadera.com

Page 18 Import/Export Wood Purchasing News

www.millerpublishing.com

P.O. Box 34908 ~ 1235 Sycamore View

Memphis, TN 38184-0908

(800) 844-1280 or (901) 372-8280

Fax: (901) 373-6180

E-mail: [email protected]

Miller Publishing proudly serves the woodworking industry with the

following publications and online directories:

National Hardwood Magazine................................www.nationalhardwoodmag.com

Import/Export Wood Purchasing News ..................www.woodpurchasingnews.com

Softwood Forest Products Buyer .........................................www.softwoodbuyer.com

Classified Exchange ..........................................................www.classifiedxchange.com

Imported Wood Purchasing Guide ...................www.importedwoodpurchasing.com

Forest Products Export Directory ............................www.forestproductsexport.com

Dimension & Wood Components Buyer’s Guide...........www.dimensionwoodcomponent.com

Hardwood Purchasing Handbook ...................www.hardwoodpurchasinghdbk.com

Greenbook’s Hardwood Marketing Directory ................www.millerpublishing.com

Greenbook’s Softwood Marketing Directory ..................www.millerpublishing.com

Forest Products Stock Exchange ...........................www.forestproductsstockexc.com

~Please visit us online for more information about our publications~

June/July 2009 Page 19

in St. Marys, Pa.Fritz and his wife of eight years,

Jessica, have two children. He enjoysspending time with his family, fishing,basketball and football.

of northern lumber products in thick-nesses from 4/4 to 16/4, the WagnerCompanies operate three sawmills inNew York State. All products areeither sold green to domestic marketsor kiln-dried for mixed truckload orcontainer shipments. The companycurrently has 1.6 million board feet drykiln capacity. Primary species han-dled are Red and White Oak, Hardand Soft Maple, Ash, and Cherry.Wagner offers export prep/tally, sur-facing and proprietary sorting in allgrades and thicknesses. The compa-ny’s sawmills utilize state-of-the-arttechnologies to produce lumber that isuniform in thickness and dried to highstandards. Wagner Hardwoods LLC is a memberof National Hardwood Lumber Assoc.(NHLA), American Hardwood ExportCouncil (AHEC), AppalachianHardwood Manufacturers, Inc.(AHMI), Penn-York Lumbermen’sClub and New England Lumberman’sAssoc.

DUBAI -Continued from page 17

Ash, Beech, Birch, Cherry, Hard andSoft Maple, Hickory, Poplar, Red andWhite Oak and Walnut.Fitzpatrick & Weller purchases

approximately 10 million board feet oflumber annually. The firm is a memberof the Forest Stewardship Council.Fritz has been involved in the forest

products industry for 10 years. Hebegan his career as an office assis-tant, and has also worked as an ordercoordinator, distribution sales andpurchasing.Fritz received a bachelor’s degree in

business administration from GannonUniversity in Erie, Pa. He graduatedfrom Elk County Catholic High School

WHO’S WHO - FritzContinued from page 2

WHO’S WHO - MederoContinued from page 2

WHO’S WHO - HouseknechtContinued from page 2

wood. The company purchases 3.5million board feet of lumber annually.Medero has been involved in theimport/export industry for 10 years.He began his career with Aljoma lum-ber in 1998 as an assistant exportmanager.Medero graduated from CaribbeanUniversity and Miguel MelendezMuñoz High School, both in PuertoRico. He and his wife of 10 years,Elba Vega, have six children.

WHO’S WHO - ThompsonContinued from page 2

(4/4 through 10/4), and purchasesapproximately 4 million board feet ofall species annually.Wieland and Sons offers straight lineripping, gang ripping and customflooring. The firm is a member of theNational Hardwood Lumber Assoc.Thompson has been in his presentposition for 24 years. He began hiscareer in the forest products industryin 1984 stacking lumber. Thompson’sother responsibilities have includedcontainer loading and truck dispatch.Thompson is a graduate of EastBuchanan High School in Winthrop,Iowa. He and his wife of 31 years,Kenda, have two children and onegrandchild. Thompson enjoysmotocross, hunting and fishing.

HARDHEADED

When it comes to providing the lumber market with a quality choice, we have to admit we are hard-headed. We won’t settle for inferior products, and we’re downright stubborn when it comes to delivering the best, most responsive service out there! Our equipment is first class, our facility hums with a no-nonsense team of experienced lumbermen, and we are building a

reputation that is second to none.

Now if this all sounds a little hard to swallow, give us a call and you’ll see we mean business.

Hardly Run-Of-The-Mill

PROCESSORS OF NORTH AMERICAN HARDWOODS

Hermitage Hardwood Lumber Sales, Inc.P.O. Box 698

Cookeville, Tennessee USA 38503931-526-6832 • Fax: 931-526-4769

www.hermitagehardwood.com

Lawson MauryExport Manager(one stubborn guy)

where Estidama, the Emirates GreenBuilding Council and Masdar City areall pushing for “green” building codesto be introduced. Bob Sabistina, AHEC’s GradingConsultant, sponsored a “grading cor-

ner” where he performed gradingseminars and answered questionsabout lumber grading. Sabistina alsointroduced the National HardwoodLumber Association (NHLA) rules forgrading American hardwood lumber.This complex but key system formsthe basis of every transactionbetween U.S. hardwood exportersand importers around the world and isfundamental to a successful and longterm business partnership.Participants received the new AHEC-produced Arabic language editions ofboth the Illustrated Guide to AmericanHardwood Lumber Grading andAmerican Hardwood Species. A net-

working reception, held for the U.S.exporters and traders from across theMiddle East, followed.Although the crowd may have beensmaller than in previous years, theinterest was great and optimism high.AHEC Chairman Orn GudmundssonJr. participated in the pre-show pressconference and shared informationwith the local and regional media onthe sustainability and environmentalcredentials of American hardwoods.From the view of the Persian Gulf, theoutlook of the future of American hard-woods looks brighter than ever, andmuch optimism has been sparked bythe Dubai Wood Show.

This year’s Dubai Wood Show experienced thelargest hardwood delegation from the UnitedStates that has ever exhibited in the Middle East.

Page 20 Import/Export Wood Purchasing News

Continued on page 21

U.S. hardwood and represent the fullrange of hardwood products. AHECmaintains offices in Japan, Europe,Southeast Asia, China, Korea andMexico, in addition to its Washington,D.C. headquarters, to serve the needsof the global community. For addition-al information or a copy of the com-plete AHEC report on this year’sSoutheast Asian furniture shows,please contact AHEC by phone at202-463-2720, by fax at 202-463-2787 or consult our web site atwww.ahec.org.

with a continuous video that drew vis-itor attention. Also well displayed,separately, were the shortlistedentries of the Hoa Mai furniture designcompetition – all in AmericanHardwoods. While there is no doubt that the glob-

al economy took its toll on attendanceat several of the regional shows,some of the trends identified by AHECin the region show a promising futurefor U.S. hardwoods. Among thesetrends are:• Oak remains by far the most impor-

tant temperate hardwood in furnitureproduction in southeast Asia• European Beech is rare in furniture

in Southeast Asia, although EuropeanOak is well represented• The trend to dark stained furniture

provides opportunities for Tulipwood,Soft Maple, Cottonwood, Willow,Gum, etc., which indicate the need forAHEC to further increase promotion ofsuch U.S. species in the region;• The demand for environmentally

acceptable (legal and sustainable)Hardwoods is increasing as Asianmanufacturers become more aware ofthe demands by many of their buyers,requiring AHEC to continue toupgrade its promotion and advertisingof the environmental credentials ofU.S. hardwoods.The American Hardwood Export

Council (AHEC) is the leading interna-tional trade association for the U.S.hardwood industry, representing thecommitted exporters among U.S.hardwood companies and all majorU.S. hardwood product trade associa-tions. AHEC’s member companiesservice the growing global demand for

MALAYSIAN SCHEME -Continued from page 2

AHEC -Continued from page 2

expecting at least 2,000. “ImagineGreen Living” was the theme of theshow, although the extensive use ofsynthetic weave in outdoor furnituredid not make much contribution to thatsentiment. There were many greenproducts, although none observed ascertified by FSC, but a great deal ofplantation Rubberwood, Acacia andlocal Thai species including Mango. AHEC and American Hardwoods

achieved high profile at the show, rec-ognized in the Guest of Honor’s(Minister of Commerce) openingspeech and with a very well producedDesign Camp exhibition - featuringfurniture all in U.S. Hardwoods - and awell attended media reception, gracedby the Minister. Prominent in thisevent was the Thai FurnitureIndustries Association with whichAHEC works closely. The Handicraft & Wood Industry

Association of Ho Chi Minh City(HAWA) held its Vietnam InternationalFurniture & Home Accessories Fair –VIFA 2009 in the brand new SaigonConvention & Exhibition Center, amuch-needed and improved facilitywhich now meets the needs of inter-national visitors. However severalmajor manufacturers were absent andit was not clear whether this was dueto space constraints or their lack ofenthusiasm to spend money this year.AHEC exhibited with a very well

located and smartly designed standfeaturing a bundle of Red Oak andsamples of all main species, together

tributing towards the challengingefforts to ensure sustainable forestmanagement, particularly for the trop-ical rainforests.” Dr. Freezailah added that the

endorsement enables the MTCS toachieve mutual recognition with 26other PEFC-endorsed certificationschemes. This means that the MTCS-certified timber product manufacturersand exporters will soon be able tocombine PEFC-certified material fromMalaysia with other PEFC-certifiedmaterial under the PEFC logo. The decision to endorse the 2002

Malaysian Criteria and Indicators forForest Management Certification wasannounced recently following the out-come of the General Assembly voteamong the PEFC members on therecommendation of the Board of

Directors, based on an assessment ofthe MTCS by an independent asses-sor appointed by the PEFC Council.The endorsement is valid for a five-

year period, with periodic review toensure the continued compliance ofthe MTCS. The full report of the con-formity assessment of the MTCS canbe obtained from the PEFC website atwww.pefc.org.

the “crackberries”, iPhone addicts,etc… that check their messages everyother second) and you have an enor-mous opportunity to drive your mes-sage to your customers on your termsand timing. Downside? It is time consuming.

Web pages, Facebook, blogs, andtwittering all need constant attentionto keep them “fresh.” The peoplereceiving these messages are alsodeluded with information and faceburnout so you want to be careful notto run them off. Despite the time commitment and

learning curve, more and more com-panies in our industry are joining theretailers, real estate brokers andhome builders that have jumpedonline with these tools to market theirproducts and services. So what do you need to know to

improve your business with this kindof technology?

IWPA - McClendonContinued from page 3

Our dedication to quality at our GILCO facility is obvious to any visitor. Our 20 acre site includes a new 1 million Bd. Ft. capacity predryer, 16 Irvington Moore dry kilns,air drying sheds and yard with 4 million board feet of open air drying capacity. We have two grading chains: one to grade inbound green lumber, and the other to grade,sort and surface dried lumber to customer specifications. At the end of this grading chain, we have two 1,000,000 board feet kiln dried storage warehouses, which enableus to provide our customers with “just-in-time” shipments to any location in the world by route of truck, railcar or container. This facility was constructed with three thingsin mind: Quality, Service and Consistency.

QUALITY • The latest technology in quality lumber production. • All lumbertrimmed after drying. • Highest quality Appalachian hardwoods. • GILCO qualityAssurance.SERVICE • Controlled “just-in-time” shipments by rail, truck or container. • Abilityto surface and trim to your specifications. • Dedicated employees committed toproviding you with the highest quality of goods and services. • Flexibility to meetyour needs.CONSISTENCY • Select harvest area from over 1,200,000 acres we own or manageinsures you better consistency in grain and color. • Length and width tallies on eachbundle. • Lumber produced by five GILCO sawmills with 85,000,000 board feetannual production.

GILCO’s dry kiln facility in Roderfield, WV

State of the Art

GILCO LUMBER, INC.P.O. BOX 18370

96 MACCORKLE AVENUE, SWSOUTH CHARLESTON, WV 25303

Tel. 304-746-3160 1-800-718-1488FAX 304-746-2999

Web site: www.gilcolumber.comSales Manager - Scott England

Sales - Hank Bishop and Tony Love

*We recently acquired a new Hardwood lumber concentration yard in Marion, N.C., whichwill produce an additional 15,000,000 board feet of kiln dried lumber annually.*