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 Effingham sawmill pauses production amid lumber industry concerns
[Sep 3, 2024]


 

MELDRIM, Ga. (WTOC) - The global lumber company Interfor announced last week that it¡¯s pausing production indefinitely at two of its facilities in the southeast, including one in Effingham County.

Log deliveries are being immediately curtailed at Interfor¡¯s Meldrim and Summerville locations, according to an Aug. 19 press release. Other operations are expected to wrap up by the end of September.

Davey Morris, who works at a gas station near the Meldrim mill, says he¡¯s worried about what this indefinite pause in production means for people who rely on Interfor¡¯s lumber.

¡°It might start increasing prices of new homes as a process, as a result just through the lumber shortage, and then the prices get jacked up,¡± said Morris.
Lumber prices have been unsteady over the past few years, due to increased demand, rising tariffs, and insufficient domestic production, according to the National Association of Home Builders.

Meldrim and Summerville¡¯s operational reductions are the latest cutbacks Interfor has carried out in the past two years.

People and businesses are also feeling the effects as operations at the sawmills drop off.

Between both facilities, the company is laying off approximately 180 employees. 93 of them were working at the sawmill in Meldrim.

When I spoke with an Interfor representative, they said the company was working to provide jobs at other mills and that it¡¯s an ongoing process.

Morris says he can¡¯t imagine what mill workers must be going through.

¡°There¡¯s been many that we¡¯ve talked to that have been there for decades, and they lost their jobs,¡± said Morris. ¡°And now they¡¯ve got to find work elsewhere.¡±

Once sawmill operations officialy wrap up in September, Morris says business at the gas station is also going to suffer. He says they¡¯re used to workers coming in for breakfast and lunch and to fill up their tanks.

¡°There¡¯s probably going to be less traffic going on over here during the weekdays and during the weekends as well,¡± said Morris. ¡°So, it¡¯s just less busy because it¡¯s going to affect business overall for our area.¡±

The operational reduction comes from persistent weak lumber market conditions, according to a press release.

The release also says, ¡°The indefinite nature of these curtailments means the impact on lumber production is likely to extend beyond 2024, based on facts and circumstances known today. The Company will continue to monitor market conditions across all its operations and adjust its production plans accordingly.¡±

A company representative says while production is paused, Interfor will be evaluating its next course of action regarding the mills.

Source:  wtoc.com

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