Fencepost - May/June 2017 - 59

April 2017

on line, are what's causing the market to firm up. We may not see
record highs on all items, but they will be approaching that level.
Make sure you are paying attention to your costs over the next
30-60 days to prevent any margin erosion.
Pressure Treated DE Pickets
Picket situation remains about what it has been. No real supply
issues on 6' happening as of now, but as demand continues to
increase, there could be some challenges coming-most people
are already outpacing 2016 sales. We've already seen some
shortages on 8' DE. Demand for this item has caused some
inventory positions to be stressed. Not a critical point yet, but 8'
DE has experienced some short-term shortages here lately.
Transportation
For the first time in 2017, we are now seeing flat bed
shortages-especially in certain lanes/territories. At this point,
it's not so much about price, but lead time. This problem will
only get worse as we continue into this push that's coming.
As usual, stay on top of your business and avoid any emergencies.
The market is doing its normal thing for this time of year, so
don't get caught not paying attention.

Gate Operators/
Access Control
Gate operator sales remain strong in the West and Southeast.
Price increases scheduled for May 1 are driving sales and
inventories up in April.
Cellular entry systems continue to rise as new vendors add
more products for multifamily applications, including streaming
video and WiFi enabled devices that offer freedom from
subscription plans.
Ground is thawing in the Northeast and more bids are coming
to fruition in the commercial market. Innovation from
manufacturers is driving up accessory sales as well as acceptance
of the sixth edition of UL325.
Proposals from last year are starting to come through which will
keep business busy. It should be a good year.

Wholesale Distribution
Business for the first quarter of 2017 has been good both in
volume and in profits. It is still very competitive in the market as
it seems that several suppliers are working off actual costs rather
than replacement cost.
Steel costs continue to rise; it is a matter of time before it
hits the supply level and the contractor level. Framework
suppliers have been very diligent in raising prices this year
and with the trade cases against the countries that supply
steel rod, the fabric suppliers will be experiencing fabric
increases as we move deeper into 2017. Please prepare your
contractors to be very careful in extending prices more
than 30-60 days without talking to their suppliers.
Trucking is beginning to be a problem as there is a
shortage of flatbed carriers in the market; expect longer
delivery lead times in the future. Rail car shipments
are also experiencing delays due to availability of cars,
so expect delays on many of your wood products.
Labor continues to be a problem in all areas of the
country. Hiring retired or ex-military people would
be advantageous, if possible. You may be able to get
assistance from the government in doing so.
In closing, rising material costs, lack of availability of both trucks
and rail cars, inability to find and maintain qualified labor will
be a major challenge in 2017.

Contractors' Report
MIDWEST
Contractors are getting an early start on Spring and Summer
projects due to good weather in the Great Lakes region. Most are
busy but not generating long backlogs yet.
Contractors anticipate 2017 to be a good year.
Leads are up year-to-date approximately 10 percent.
Orders are up about 8 percent.

www.americanfenceassociation.com | 59 | May/June 2017


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Table of Contents for the Digital Edition of Fencepost - May/June 2017

Editor’s Note
Executive Director’s Message
President’s Message
Board of Directors | Board of Governors
Fencelines
Mistaken Identity: A Story of Cedar
Safety First
Minding Your Business
Class Act: AFA Education Foundation Bestows Seven Scholarships
Safety
Health Plan Checkup: Ensuring Your Benefits Program Is the Picture of Health
CLFMI
The Road More Traveled: 811 Car and 811 Bike Recognized as Damage Prevention Icons
New Members
The 811 Across Texas Public Awareness Campaign
Calendar
FenceSense
Index to Advertisers
Fencepost - May/June 2017 - Intro
Fencepost - May/June 2017 - cover1
Fencepost - May/June 2017 - cover2
Fencepost - May/June 2017 - 3
Fencepost - May/June 2017 - 4
Fencepost - May/June 2017 - 5
Fencepost - May/June 2017 - 6
Fencepost - May/June 2017 - 7
Fencepost - May/June 2017 - 8
Fencepost - May/June 2017 - 9
Fencepost - May/June 2017 - 10
Fencepost - May/June 2017 - 11
Fencepost - May/June 2017 - 12
Fencepost - May/June 2017 - Editor’s Note
Fencepost - May/June 2017 - 14
Fencepost - May/June 2017 - Executive Director’s Message
Fencepost - May/June 2017 - 16
Fencepost - May/June 2017 - President’s Message
Fencepost - May/June 2017 - 18
Fencepost - May/June 2017 - Board of Directors | Board of Governors
Fencepost - May/June 2017 - Fencelines
Fencepost - May/June 2017 - 21
Fencepost - May/June 2017 - Mistaken Identity: A Story of Cedar
Fencepost - May/June 2017 - 23
Fencepost - May/June 2017 - 24
Fencepost - May/June 2017 - 25
Fencepost - May/June 2017 - 26
Fencepost - May/June 2017 - Safety First
Fencepost - May/June 2017 - 28
Fencepost - May/June 2017 - 29
Fencepost - May/June 2017 - 30
Fencepost - May/June 2017 - Minding Your Business
Fencepost - May/June 2017 - 32
Fencepost - May/June 2017 - 33
Fencepost - May/June 2017 - Class Act: AFA Education Foundation Bestows Seven Scholarships
Fencepost - May/June 2017 - 35
Fencepost - May/June 2017 - 36
Fencepost - May/June 2017 - Safety
Fencepost - May/June 2017 - Health Plan Checkup: Ensuring Your Benefits Program Is the Picture of Health
Fencepost - May/June 2017 - 39
Fencepost - May/June 2017 - 40
Fencepost - May/June 2017 - 41
Fencepost - May/June 2017 - 42
Fencepost - May/June 2017 - CLFMI
Fencepost - May/June 2017 - 44
Fencepost - May/June 2017 - The Road More Traveled: 811 Car and 811 Bike Recognized as Damage Prevention Icons
Fencepost - May/June 2017 - 46
Fencepost - May/June 2017 - New Members
Fencepost - May/June 2017 - 48
Fencepost - May/June 2017 - The 811 Across Texas Public Awareness Campaign
Fencepost - May/June 2017 - 50
Fencepost - May/June 2017 - Calendar
Fencepost - May/June 2017 - 52
Fencepost - May/June 2017 - FenceSense
Fencepost - May/June 2017 - 54
Fencepost - May/June 2017 - 55
Fencepost - May/June 2017 - 56
Fencepost - May/June 2017 - 57
Fencepost - May/June 2017 - 58
Fencepost - May/June 2017 - 59
Fencepost - May/June 2017 - 60
Fencepost - May/June 2017 - 61
Fencepost - May/June 2017 - Index to Advertisers
Fencepost - May/June 2017 - cover3
Fencepost - May/June 2017 - cover4
Fencepost - May/June 2017 - outsert1
Fencepost - May/June 2017 - outsert2
Fencepost - May/June 2017 - outsert3
Fencepost - May/June 2017 - outsert4
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