I MH-onilier ID, 11P21 



HARDWOOD RECORD 



15 



American Hardwoods in Foreign Markets 



By Roy H. Jones 



Assistant Chief, Lumber Division, U. S. Bureau Foreign and Domestic Commerce 



American lumber has never occupied tliat place in the markets 

 of the world which its position in industry would warrant it in 

 assuming and to which it is entitled. The oldest and one of the 

 greatest of American industries — both in value of its merchandise 

 and investment and in the number of its employees — yet less than 

 8 per cent of its product leaves our shores. This has been 

 largely due to the fact that until recently the United States has 

 been in the pioneer stage, its growth having been so rapid that but 

 a small percentage of its raw forest products could be spared from 

 home consumption. The saturation point, however, has been passed 

 and today American lumbermen are gradually developing and 

 building up their foreign markets along the same broad, intelligent 

 lines which characterize their domestic trade. 



It is barely two decades since the manufacturing and merchandis- 

 ing of hardwoods became an industry in itself, separate and distinct 

 from that of softwoods. As its manufacturing problems are dif- 

 ferent, so are its merchandising, and especially is this true in the 

 ■export field. American structural woods have long been known 

 abroad and their virtues appreciated. Our hardwoods, on the other 

 hand, were either wholly unknown, or had to compete with like 

 species from other countries — woods wliieh had been established 

 for hundreds of years, e. g., Austrian oak. 



For a number of years a few American hardwood firms have con- 

 sistently cultivated the foreign field and have built up a most 

 desirable clientele, but on the whole the efforts of the industry 

 were sporadic and chiefly confined to those years when the foreign 

 demand offered better returns than the domestic, and dropped when 

 home markets appreciated. Today there is developing a high regard 

 for the export trade, an understanding of its requirements, a belief 

 in its lasting value. Hardwood manufacturers and wholesalers 

 realize that, with proper cultivation, they have a vast and profitable 

 market abroad. They realize that it is a potential market, that 

 their success in developing it is dependent upon their own efforts, 

 and that the holding of it is consequent upon the service rendered. 



During the past nine years the exports of hardwoods — logs, tim- 

 bers and lumber — have followed closely the ratio of production, 

 amounting to approximately 17 per cent in volume and 35 per cent 

 in value of the total exports of logs, timbers and lumber, and 

 ranging from 12 per cent (quantity) in 1916 to 25 per cent in 1919. 

 Owing to the present customs classification it is impossible to give 

 a detailed statement covering hardwood exports, but taking the 

 figures for oak, gum and poplar in sawn lumber, which have been 

 segregated since 1912, we have a fairly true picture covering tlie 

 last nine years. 



The charts accompanying tliis review' show the foreign movement 

 of all hardwoods (the quantity of logs and timbers included for 

 the years 1912 to 1917 inclusive have been estimated upon the basis 

 of 1918, 1919 and 1920 shipments), oak lumber exports and those 

 of gum lumber. As with nearly all other exports, the effects of the 

 war is apparent, as well as the increased demand immediately fol- 

 lowing, the falling off of that demand in 1920, and the low ebb of 

 1921. Prices also followed other commodities. The declared export 

 value of oak and gum lumber maintained an average of $42 per 

 thousand feet from 1912 to and including 1917, going up to .$.34 in 

 1918, and reaching the high water mark of $115 in 1920, during 

 which year the total value of hardwood exports — logs, timbers and 

 lumber — not including shocks and cooperage — amounted to 

 $26,561,453. 



Referring to the charts showing the chief countries importing 



gum and oak lumber, it will be seen that the United Kingdom and 

 Canada together took 65 per cent and 75 per cent of these woods 

 respectively. Also, that during the past nine years Germany 

 imported over 9,000 M feet of gum lumber, 2 per cent of our 

 gum exports for that period, which does not t.ake into account the 

 TOOl 1 1 1 1 1 1 \ 1 1700 



*From "Commerce Reports/' U. S. Department of Commerce^ Xov. 21, 

 1921. 



1912 1913 10(4 1915 1916 1917 1916 ISrS I9Z0 '911 



*BASiD OH rmsT nmi mo/iths «9Zi 



Diagram 1 — Exports of hardwood from the United States, 1912-1921 



large reshipments from Belgium and Holland, yet since 1914 all 

 lumber shipments to that country have been practically nil. On the 

 basis of pre-war consumption Germany would have required for the 

 nine-year period over 27,000 M feet of gum, or 6% per cent of our 

 total exports of this wood. It is evident that so soon a.s her finances 

 are partially rehabilitated, her exchange stabilized and credit 

 arrangements perfected, Germany will again be one of the impor- 

 tant markets for American woods. 



Italy, whose cabinet makers appreciated and learned to use red 

 gum — known abroad as satin walnut — while it still was regarded 

 here, where native, as an inferior wood, took an increasing quan- 

 tity up to the first year of the lyar, importing in 1914 nearly 

 9,000 M l)oard feet of gum lumber. The only foreign gum market 

 to .show an improvement since the war is the Italian, which gave 

 an increase in 1920 of over 53 per cent above the 1919 figures, the 

 gum exports to all other countries except Cuba being from one- 

 fourth to one-half those of 1919. This increase, however, has not 

 been nuiiiitained during the past year. 



