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HCN - Prodealer - LBM

Producers cite costs in green certification survey

(Jul. 28) Wood certification has reached its 15th birthday, but many forestry companies still harbor reservations about the costs and benefits associated with green certifications.

This was the finding of two recent surveys conducted by Random Lengths, an industry publication that tracks lumber and other LBM commodity prices, and the Southern Forest Products Association (SFPA), a forestry trade group.

The SFPA, which surveyed Southern Pine producers, found that 61% do not use a certification system. Another 60% reported that they receive regular requests for certified products, and 46% have no plans to seek certification anytime soon. However, 89% of respondents said they feel it is important to market Southern Pine as “green.”

The Random Lengths survey, which included wholesalers, distributors and retailers as well as producers in several areas of the country, delved into some of the impediments against certification. Expense was a big factor, with the average cost of obtaining and maintaining certification pegged at $19,898 annually. Five respondents reported a six-figure cost, according to Random Lengths.

Approximately 56% of the Random Length respondents did not engage in a certification program. The survey also found that certification relied heavily upon “regional market variances, whether the customer base is residential or commercial, and whether a seller seeks a share of government projects that require green certification.”

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