Both lumber and log prices have significantly improved from their extreme lows of 2009. The lumber price bottomed at $156/mbf in January 2009, in the depth of the Great Recession, and rose to hit a high of $326/mbf in April 2010 before falling steeply to $225/mbf in August of the same year. In the last two years, the regional lumber price has been generally rising and it was up to $303/mbf in October 2012.
DNR’s “composite log price” is calculated from prices for logs delivered to regional mills, weighted by the average geographic location, species, and grade composition of timber typically sold by DNR. In other words, it is the price a mill would pay for delivery of the typical log harvested from DNR-managed lands. These composite log prices are less volatile than lumber prices.
from the DNR Economic and Revenue DRAFT Forecast, Second Quarter, Fiscal year 2013. Draft materials are subject to change or correction before publication.