FORT Fencing
Agricultural & Equine Fencing
FORT February Newsletter - 2023
15 February 2023
Heading into February we can feel the days getting a little longer, although the bitter frosty mornings and evenings persist! There’s a sense that spring might just be on its way, and that tends to put a spring in everyone’s step.
Here at FORT the New Year has seen new customers, new product lines and progress in the showroom (coming soon, we promise!), as well as always striving to improve in all areas of the business. We’ve fitted new cameras to our delivery vehicles, upskilled some staff and continued to refine our website to provide a better service wherever possible.
General Availability & Price Update
Despite all the doom and gloom predicted and fed upon by the media, it seems as if here, in Builders Land, life continues to just press on! January was a surprisingly busy month at FORT, with many Customers reporting strong enquiry levels and good workloads. Inevitably, there have been some sectors that are not as strong. Landscaping was so busy during COVID times and that has caught up during the past year. There’s only so much decking and fencing that can be done!
FORT started this report in those dark days of 2020, when the availability of product were incredibly difficult. Since then inflation has been a major factor, but as our report this month shows, many of those issues have diminished. Container prices, the £ and general global demand have all impacted. Oil has settled down and energy prices seem to have peaked (and fallen back).
We’ve also been reminding our customers to be very careful about pricing forward, as inflation has impacted so strongly; that seems to be less of a caution. We still feel that it’s important, especially on those old quotations that your clients might blow the dust off, but going forwards perhaps you can start to feel more confident about your quotes?
Our estimating service has continued to be very popular! We urge you to consider trying this, if you haven’t already done so.
So, it’s probably time to call a halt to ‘Availability’ and possibly give this update a new title (all suggestions welcome!).
Here's our monthly round of key indicators:
£ Exchange
The £ has strengthened a little during January and whilst still down on a year ago, we’re well off the low point in October.
Containers
Rates plummeted from their all time highs and have now stabilised somewhere close to pre-pandemic levels. This is good news for prices on plywood, sandstone and other bulky goods that tend to come from the Far East.
Steel
Steel prices leapt up in early 2022, then fell dramatically, before starting to recover later in the year. As this shows, steel prices had increased again, but now seem to have settled back to rates seen prior to the Ukraine war.
Timber
Although this tracks the US market, it does give a strong indicator. Higher interest rates and signs of recession have slowed the US market, considerably. Europe and the UK specifically are also finding that demand is not as strong. However, general sentiment around the recession has improved and lumber rates are on the rise again. This index shows a 35% rise in the last month (from a very low point).
Inflation
This is still the scariest indicator of them all, but it looks as if we’re seeing a small decline for the first time since mid 2021. That should start to continue as historic prices go over the horizon.
As always, please do not assume stock availability - check with the sales office!
Our reputation relies on word of mouth and testimonials from our valued customers, and as such we'd love for you to share reviews of your experiences with us on either Facebook or Trustpilot if you have the time.
Best Regards, Matt, Tim & Keith - The Directors.