Montana's forest products industry: current conditions and 2011 forecast

The dreadful economic conditions experienced by the US' forest products industry in 2009 improved somewhat during 2010. Lumber consumption in the US remained at historically low levels, although softwood lumber exports increased by more than 50%. Total sales value of Montana's primary wood and paper products was approximately $325 million during 2010. Sales were down about $225 million or 40% from 2009, and were about $850 million lower than 2005, when sales were just under $1.2 billion. National forecasts once again call for a modest uptick in the US economy, housing starts, and consumption of wood and paper products in 2011, with larger improvements in 2012. Some optimism is also reflected in the outlook of Montana's remaining wood products industry executives, with 46% expecting 2011 to be better than 2010 and 35% expecting conditions to be about the same as 2010.