In the early 1900's the Lacey act was enacted to prevent the illegal transportation, exportation, importation and sale of any wildlife into, or out of this country. In the summer of 2008 there was an amendment made to this act. The act now covers certain types of plants and plant products, as well as illegally harvested lumber that are made into wood flooring. Those who are found taking part in these illegal acts are subject to a 500,000 penalty and up to 5 years in prison. In order for wood flooring suppliers to bring in exotic hardwoods into our country, they must abide by the regulations and have all materials declared to be free from illegal harvesting practices.
Approximately 18% of all exotic hardwood floors brought into this country have been illegally harvested and milled overseas. Suppliers who have been practicing good stewardship have been hurt by this 18%. It costs a lot of money to have products declared Eco-friendly. Those suppliers that are not abiding by the Lacey act, will either have to conform to these new rules or go out of business. Suppliers cannot compete and stay in business when they are not playing on a level playing field.
Now I know why exotic floors have become so inexpensive over the past couple of years. The Lacey Act is going to change all that. For those of us on the supply side who have legal products, this amendment could not have come fast enough. I expect over the next few months there will be a considerable amount of dumping of these products. Look for prices to remain low in the short run; in the long run however this industry will be dramatically different, because of this new amendment to the Lacey act.
Thanks,
The Floor Man
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