Its Softwood Market Outlook to 2009 report has revealed that offshore imports will exit the US market and excess timber across the south will reduce log and sawmill costs.

This should attract capacity growth by 2010 and see the south take some of western America’s softwood market.

However, the SFPA report has also shown that demand throughout 2007 will not be strong enough to see real prices increase until the second quarter of 2008 and will leave softwood lumber supply vulnerable.