After holding strong through most of 2008, demand for western red cedar has fallen back in line with the rest of the dismal lumber market.

"We were about a year behind the curve, but now cedar is extremely slow," said Terry Baker, sales manager for Tri-Pro Cedar Products, Orofino, Id. "Cedar was strong while framing lumber prices were low, for about a year, then in the fourth quarter, it hit the wall."

Jim Vandegrift, sales manager for Bennett Lumber Products, Princeton, Id., agreed: "The market is a challenge. Cedar held on longer, until the last 60 days."

Baker lamented, "Wholesalers and retailers don't know what to do. There's no incentive to buy early with prices falling. Retailers are going to use their wholesalers, and wholesalers are going to use us (mills)." 

He noted that numerous cedar mills have cut back on production, but that's not stimulating orders. "We're just going to have to wait it out," Baker noted. "It's strictly demand-driven."

According to Random Lengths, continued price cuts have most affected timbers and certain dimension items-a trend that can be used to the advantage of diversified manufacturers such as Tri-Pro. "We make a lot of different items," said Baker. "We can put five or six items on a truck. We can be nimble. Offer variety. Have it on the ground, ready to go."

Similarly, Vandegrift finds "the orders are highly specified. D&Better I can sell every day. Selects are no problem. 3&Better is extremely slow."

Most cedar mills hope the market will begin rebounding by the third quarter, although even more optimistic is Leslie Southwick, marketing and sales manager for C & D Lumber, Riddle, Or.

"The cedar market was quiet over the winter months; however, over the last few weeks inquiries have begun to pick up, especially for cedar timbers," Southwick said. "C&D continues to have a strong demand for our 5/4"x6" Port Orford cedar decking and decking accessories. We also continue to have a strong demand for 2"x6" incense cedar Appearance Plus decking. Hopefully, this will continue to be the case into the summer months. Even though the housing market is down, current homeowners seem to still be investing in the remodeling of their homes, including adding on a deck or replacing an older deck."