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| November 3, 2003 | Volume 2, Edition 18 |
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The BC Wood Board of Directors Needs Your Help!
BC Wood will be facing a funding shortfall for the 2005 fiscal year.
We must act now to avoid losing this vital service to our industry.
The challenge we face is that BC Wood’s funding partners will no longer
contribute to operational costs (please see the
article from
the September issue of BC Wood’s News On Line). In response, BC Wood’s
Board of Directors has been investigating several new business models to
address the shortfall in operational costs.
The BC Wood board has selected three potential business models, and here is where we need the help of our members. The models are described in the attached survey. We would like you to take a moment to read the survey, answer the questions and tell us which option you prefer. If you have other ideas or suggestions, please let us know in the section provided. Your feedback and response is critical to the continuation of successful program delivery at BC Wood. Your time and effort now will contribute to the ongoing benefits you receive as a BC Wood member. If you would like to discuss the survey or offer suggestions, please do not hesitate to contact myself or the staff at BC Wood. 
Chinawood 2003 – Insights into China
A group of eleven BC Wood member companies recently attended the
Chinawood 2003 conference in Shanghai (Oct 28-30) as part of the recent
BC Wood trade mission to China. The trade mission provided participants
with the opportunity to meet many potential buyers and included factory
visits to furniture, flooring, door and giftware plants, a veneer slicing
operation, and a freeboard and Hinoki overlay plant. In addition,
participants visited B & Q, a UK building products distribution center,
and two log and lumber ports in Shanghai. Meetings were also arranged
with lumber wholesalers interested in Canadian lumber products.
The Chinawood 2003 conference included speakers from around the world, as well as presentations from Chinese manufacturers in a variety of wood product industries (e.g., flooring, plywood, furniture). Matchmaking sessions also provided opportunities to meet with potential buyers. Some of the more relevant information gleaned from the presentations at the conference included:
Logs
Lumber
Demand Factors
If you are interested in growing your market in China (hardwoods and/or softwoods), the next BC Wood trade mission is planned for March of 2004, to explore niche opportunities in southern China. For further information, please contact me at mjahraus@bcwood.com.
Market Niches in Japan - Healthy Opportunities
No one active in the Japanese market needs to be told of how big the
sick-house issue is here. However, I was recently able to attend two
"sick-house seminars" and I would like to give some insights into what
was presented.
Both seminars covered the various causes of sick-house and the efforts being made to combat it. The move toward low energy homes being a leading cause of sick-house has already been well documented. An average sized Japanese house requires about 20cm2 of openings to remove formaldehyde emissions, but low energy homes are built to specifications requiring less than 1cm2. Another side effect of low energy homes was to make sick-house an all season issue. Formaldehyde emissions increase with heat, so summer was typically the peak for emissions. Now, low energy homes create emissions by keeping houses warm in the winter, thus causing emissions to remain at high levels throughout the year. As a result of homeowners keeping their windows and doors closed to maximize the benefits of their airtight homes, air quality outside was actually better than the air quality inside these low energy homes. For anyone who has seen the smog that hangs over Tokyo, this is truly shocking. Changes in lifestyles have also played a large role in this problem. People are spending more time at home in front of their computers, TVs, and video games. This of course means that they are spending more time breathing in these emissions. Also, more and more young people are leaving their family homes and moving into apartments. Unfortunately, the higher the floor, the higher the emissions, so these multi-story apartments are adding to the occurrences of sick-house. At the height of the sick-house problem, in the U.S. about 12% of new homes suffered from it. In Japan, even at its height in the mid-1990s, the percentage of new homes affected was only about half of this amount. However, the level of seriousness that home buyers place on this problem is demonstrated by the number of housing related commercials that now sport the low emission "Four-Star symbol". Consumers here have demanded action and companies and government agencies are being forced to act. This has of course created many challenges for companies in the construction industry. Both of the presenters at the sick-house seminar promoted some great new business opportunities created by the move to healthy housing. Naturally, consumers and builders are looking favourably at materials made from metal, stone, and solid wood. In some houses being built in Hokkaido that I visited on the weekend it was very clear that the "wood look" was back in style. Aside from these types of traditional approaches that just cut-down on emissions, a whole new industry is being born to find interesting new ways of taking the emissions out of the air. In the United States there are apparently several research facilities studying what types of plants can naturally remove formaldehyde from the air. In Japan, Mitsubishi has come out with a naturally made wall covering that not only seals in structural materials, but also "sucks up" formaldehyde emissions and moisture from interior air. Of course it is not only building materials causing emissions, but also furniture and heating systems. Mitsubishi’s innovative wall covering helps address such emissions. It is not a surprise that the Mitsubishi booth at the recent Eco-build trade show was by far the busiest. Other companies are following this trend, and a whole new generation of machines and materials that remove formaldehyde emissions from interior air are expected to hit the market soon. One of the presenters I listened to wrapped up his talk with an interesting observation. He said that a litre of gasoline costs about Y100 today, half of which is tax. If the after tax cost of gasoline (Y50) is compared to the cost of Japanese bottled water (Y150 for 500ml), you will notice that bottled water costs six times as much as gasoline. Thirty years ago it was unthinkable that mainstream consumers would pay for water, but now the Japanese market values it even more than gasoline. He went on to conclude that Japan was now becoming a society willing to pay for air. While bottled air may become a booming business in the future, what he was really referring to was that people are willing to pay to have their homes built with healthy materials and air quality improving features. Just switching from formaldehyde to another potentially "sick adhesive" is not the answer. The market will reward those players that truly bring healthy homes to Japanese consumers.
Building Shanghai 2003 Tradeshow & CMHC Housing Mission
BC Wood is organizing a one-week mission to Shanghai, China for members to join CMHC’s Housing and Market Intelligence Trade Mission, from November 17 to 22, 2003. This mission will visit development sites and developers, and meet distributors and buyers of Canadian wood and building products. In addition to the mission, members will participate for at least one day in the tradeshow, Building Shanghai 2003, the 5th Shanghai International Exhibition on Building Materials, Building Services and Interior Decoration. BC Wood will be using 36m2 of the Canada Wood Bureau's 114m2 space. BC Wood’s China Booth (20ft by 20 ft), featuring a wood kitchen, staircase, flooring, doors, windows, and bookshelves, will showcase the versatility of BC wood and the quality of finished wood products. In order to promote BC Wood members’ products and promotional materials, BC Wood will utilize two display pedestals and two wood brochure racks in each front corner of the China booth. These displays provide a great opportunity to those members who cannot commit the time or resources to attend the Shanghai show themselves.
The costs and benefits of the pedestals and brochure racks are as follows:
Mr. Robin Lu or Jeff Li For more information, please contact Simone Liang at 1-877-422-9663.
Member Spotlight: Chilliwack Mountain Log Homes
Well known for being the first builder to ship a log home to Isreal,
Chilliwack Mountain offers 100% hand-crafted, hand-peeled log homes made
from Western Red Cedar and Douglas Fir.
One thing that sets Chilliwack
Mountain apart from their competitors is the fact that they pride
themselves on their service. "We are a family owned and operated
business with over 30 years of combined
Being a finalist also comes with many benefits. "It is a great honour to be a finalist as we are recognized by the Provincial Government as a successful company," says Shelley. Other benefits of being nominated are the use of the BC Export Awards logo, and media coverage. As a finalist, Chilliwack Mountain Log Homes was featured in the October 20, 2003 issue of the Vancouver Sun, with a large picture of one of their log homes - the only one for their category. "It is really nice to be recognized for all of our hard work over the years."
Today Winners of the BC Export Awards will be announced on November 17, 2003 at the Westin Bayshore Resort & Marina. For more information, you can check out their website at www.bcexportawards.com and for more information on Chilliwack Mountain Log Homes, visit their website at www.loghomescanada.com.
Associate Member Spotlight: Custom House Global Foreign Exchange
Which of your services would be best suited for BC Wood Members?
How can BC Wood members and people in the secondary wood products industry benefit from your service?
What is your competitive advantage in the industry?
Who should members contact if they are interested in your service?
Email Debbie at Denns@customhouse.com to receive a FREE copy of our New Report "The World Market Update"
Why did you become an Associate Member of BC Wood?
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BC Wood Moving to New Office in Langley
As of December 1, 2003, you will no longer find BC Wood in their Abbotsford office.
Our new address will be:
Suite 200 – 9292 200th Street Be sure to stop by and say hello!
The BC Wood 2003 Member Directory is now available, in PDF format, in the Members Only section of the website.
Glee Update
GLEE, held September 21-23, 2003 in Birmingham, is the largest
international gardening and leisure exhibition in the UK. Incorporating
nine sectors, including landscaping, nursery, outdoor living, and
furniture, GLEE is the most comprehensive annual showcase of garden
products in the UK. Over 25,000 international buyers attend GLEE every
year to shop for the best the industry has to offer including new product
lines and innovative ideas.
At the show this year, BC Wood had an 11x4 meter booth with a large open area displaying BC Wood member products. Glee 2003 was a successful trade event in many respects and BC Wood received well over 200 leads and nearly 500 visitors by the booth during the 3 days. The UK market at present is very strong and attendance was up over previous years. Approximately 28,000 people attended this year’s event from a wide spectrum of the UK retail and wholesale supply chain. Of interest to BC Wood member companies were the representatives from the following: DIY stores, timber merchants, garden centres, landscape contractors, decking suppliers, architects, and the residential house building community. 
Products of interest to attendees were the entire range of gazebos, arbours, furniture, decking, fencing, bird feeders, siding and especially cedar. Positive comments ranged from wonderful appearance, the smell, the colour variation, the ease of use, and the natural durability.
We are pleased to welcome the following new BC Wood Members who have joined us since October 1, 2003: Morgan Log Homes Ltd., Hope - Factory Build & Pre-fabricated Housing West Wind Hardwood Inc., Sidney - Specialty Items
Invitation to learn more about the USA / Canada FAST Border Program A & A Contract Customs Brokers Ltd. and USCAN Brokerage Services Inc. would like to invite our partners in the transportation industry to attend a F.A.S.T. (Free and Secure Trade) Seminar. Along with our special guest from the U.S. Customs and Border Protection, we are providing this opportunity for you to learn more about the FAST program and also be available to answer any questions you may have. The FAST program is an initiative by Canada Customs and U.S. Customs and Border Protection which is designed to reduce border wait times by introducing dedicated lanes for greater speed and efficiency in the processing of cross border shipments. Thursday, Nov. 13, 2003 For more information, see the seminar invitation, and to register, download the registration form.
Leadership & Accountability Workshop Are your leaders getting the most from their people? CATALYST Training Services Inc. is holding a one-day workshop designed to encourage leaders at all levels to review their leadership style, and, to learn the skills of facilitating accountability among all their staff, leading to higher productivity and profitability.
November 25, 2003 For more information, download the invitation and registration form.
Wood Design Luncheon Conference Produced by the Canadian Wood Council and sponsored by Forestry Innovation Investment under the Wood WORKS! project, this concise conference will provide the latest information on designing and building with wood. Conference dates:
November 27, 2003 - Kelowna Featured Topics: Unusual Timber Applications - Local and International Examples Working and Living with Wood Today (It isn't the way it used to be) Fernau & Hartman Architects… Building with Wood For more information on this half-day conference, visit the Canadian Wood Council website at www.cwc.ca.
Shanghai Trade Mission & China Wood Export & Import Conference
Western Building Materials Association
Plan Expo
Maderalia
Building Shanghai 2003 Tradeshow & CHMC Housing Mission China
Japan Home Show
Osaka Home Builders Expo For more information on these tradeshows, visit the BC Wood website.
Consultants & Marketing Services
If you have any questions, comments, or would like to contribute to BC Wood News On-line, please contact BC Wood |
Chilliwack Mountain Log Homes, builders of handcrafted log homes, is happy
to announce that they have been selected as a finalist in the 2003 BC
Export Awards. "We are really thrilled to have been selected as a
finalist!" exclaims Shelley Mohammed, Director. The BC Export Awards
recognizes outstanding export success and celebrates the contribution
of BC’s business community and export industry to the economy of the
province. It is open to all BC registered companies that have been
exporting a value-added product or service for more than three years.
Chilliwack Mountain Log Homes applied for the New Exporter Award,
which recognizes a company that has made an initial entry into an export
market and has achieved notable success.
building experience. We do
everything we can to ensure that our customers are happy and we always
keep in mind that they are building their dream home," comments Shelley.
In addition, they provide pictures to customers during every stage of the
building process and after completion, ensure that delivery and setup are
fast and easy.
With support from BC Wood, the Department of Foreign Affairs and
International Trade, Mayor Clint Hames of Chilliwack, and CMHC, Chilliwack
Mountain entered the competition with hopes of making it to the finals.
"We have a great story. What started five years ago as just an idea, has
grown into a $2 million dollar family-run company that exports 97% of
their sales." Chilliwack Mountain will be competing with two other
finalists in the New Exporter category - Apex-Micro Electronics and Punjab
Milk Foods Inc. To date, a log home company has never been selected as a
winner in the BC Export Awards.
Chilliwack Mountain’s biggest market focus is the US, but they have
also shipped log homes to Europe and are now considering the Japan, China,
and Australian markets. They have been a BC Wood member for four
years and truly value their membership. "BC Wood has been a tremendous
help. With their help on trade missions, we were able to develop new
markets in Europe and get the information and support that we needed."
Custom House Global Foreign Exchange has been in business since May of
1992. Peter Gustavson, President and CEO, saw a need for a foreign exchange
business that offered retail and wholesale clients “better than bank
exchange rates”. This year, they will handle over 10 billion dollars in
transactions for over 45,000 corporate clients.
| November 3, 2003 | Volume 2, Edition 18 |
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| Copyright 2003. BC Wood, All Rights Reserved. | |
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