After a lull at the end of last summer, wood prices are soaring. More than 218% for the 1000 feet of 2×4 on the markets.
“The prices were too low. I find that it was not sold enough expensive, but today, it is a little bit ridiculous. It’s a bit overpriced on the other side. I think the price should be somewhere in between, but there are people who are taking advantage of it right now, in my opinion,” says Michel Arseneault, sales manager, L. Villeneuve & cie.
This increase is marked by inflation, but also by this new tendency to renovate since the beginning of the pandemic.
“Quebecers want to renovate. They want new homes. So they want it in significantly larger quantities than before. In doing so, when the supply is smaller than the demand, it pushes prices up,” says Jean-François Samray, CEO of the Quebec Forest Industry Council.
Contractors and builders are very affected by this increase in wood.
The number of housing starts has fallen by 29% in Quebec since the beginning of the year due to the increase in the price of materials, including wood.
“The market is really stretched to the max. The elastic is stretched to the maximum. So, the slightest event that happens puts considerable stress on the supply of these materials,” explains Dany Bonneville, co-president of Industries Bonneville.