Lumber prices could be set for a fall

<p>After being a leading commodity in 2012, lumber could be set for a price fall in 2013.</p>

Next year could see a marked fall in lumber futures, it has been warned.

Forest Economic Advisors LLC has suggested prices might tumble by as much as 25 per cent in 2013 following on from a seven-year high, Bloomberg reports.

The prediction comes as it is expected that output in Canada, the world's biggest exporter of the material, continues to increase.

Paul Jannke, a principal at the consultancy company – which is based in Westford, Massachusetts – explained that after leading the commodity market in 2012, the price of lumber could reach $300 (£185) per 1,000 board feet in the next 12 months. 

Mr Jannke claimed the peak for the commodity is in sight, with the initial spike to be followed by a ramping up of production.

"If the mills increase shifts from a 40-hour week to a 50-hour week, that's a big jump and everybody is ratcheting up their work weeks," he added. 

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