Ipe Decking Pricing - Economic Trends for Wholesalers and Importers

By Steve Getsiv, 12/14/09

Prices for Ipe decking to importers and wholesalers are traditionally at their very lowest between early November and late December. Personally, I've been fairly active in the import and wholesale hardwood decking business since 1995, and I have never experienced a market like the present one. For the first time in my experience, there were no "end of the year" discounts on Ipe decking from the manufacturers in South America.

In fact, we have seen fewer offerings this Fall than I ever remember seeing in the past. I'm concerned that due to a perfect storm of events, we will see major shortages in the supply of hardwood decking in 2010; and it will start with Ipe decking. When you take into account the currency trends with the Brazilian Real and the U.S. Dollar, combine with environmental pressure in South America, and then add in low inventories at wholesalers and distributors in the U.S., all you need is steady demand during the first part of 2010 to send prices upward.

Ipe Hardwood Decking
Ipe is considered to be the finest hardwood decking available, and has long been the bellweather species of wood when it comes to setting the high water mark for pricing. Generally trading at 20% to 40% over all other wood decking species, Ipe is the most stable wood product and has the most appealing color to the majority of customers.

My recommendation to wholesale distributors is to get your orders in while you can. If you wait, you will likely pay a substantial premium; or you just won't be able to buy Ipe, and you'll have to consider some alternatives.

Nova has buying offices in Belem, Brazil and Curitiba, Brazil, and we have historically purchased between 100 and 300 containers of Ipe decking annually from our suppliers in South America. As the U.S. economy recovers during 2010, we are looking to promote some alternatives in the hardwood decking market because we sincerely believe that it will not be business as usual for Ipe decking.

Please contact Nova for more information about Ipe decking.

By Steve Getsiv, 12/14/09

"Update January 2019: Price trends continue in the same seasonal manner with the low point generally occurring around December of each year. Brazil is still the major supply source for Ipe decking. Environmental pressure on Ipe remains high and the species could eventually be listed as endangered under CITES Appendix II or III. Ipe prices are presently close to the highest levels we have ever seen and we expect continued strong prices throughout this next year."

By Steve Getsiv on 01/07/19

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