Timber buyers

[TopJimmy]

From my research I have found that timer is often sold FOB mill and as standing timber. I know that when some timber has been sold in my area, the arrangement was somewhere inbetween. What would happen is a logger would harvest the timber and haul to the edge of the road. Then a truck would come and the driver would grade and measue the lumber. The driver would write two checks, one to the logger and the other to the property owner. Is this common? Was the driver an employee of a mill or a middleman that would buy and resell to the mill?

Thanks,

Jim

 

[mike385]

I have dealt that way myself. The way that my partner and I did it was, I never went on percentage of the timber. We always said that we would cut and skid for 300/triaxle load. (approx. 3000ft. give or take) My skidder was paid for and I never wanted to be rich and it kept alot of the crooks out of the area. And we were never short of work. Between the both of us we have about 25 years eperience in cutting and thinning. No formal education though. Every job we did had timber to harvest when we were done and we always cut our tops down to waist high.

 

[TopJimmy]

If I am understanding you right, you would cut for the land owner for a fixed price per load. Did you then haul to the mill or did the mill pick up?

Thanks,

Jim

 

[mike385]

mill picked up or timber buyer came and bid on the pile and then sent his or her own trucks. There are truckers out there with the money to buy timber on the landing like that though. Usually at a price the mill gives minus the trucking.

 

[TopJimmy]

So I guess i was reading FOB mill as the mill does not pick up, but it appears that the mill does pick up, but not for free!!

Thanks for your help.

Jim