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Relative Costs   The process of converting timber logs into finished product is in many respects, similar to converting a steer into saleable beef. There are less quantities of the prime cuts (eye fillet) and therefore they must attract a price premium. Elsewhere, the pricing for all parts of the beast needs to reflect supply & demand so that at the end of the day, all cuts are sold and the vendor has conducted a viable business. The processing of timber from log to finished product is no different.   While the effect on pricing of some physical properties (like differing cover widths) will be obvious, the analogy above is largely responsible for the less obvious factors affecting the sale price of finished product.   The following Tables provide a very approximate scale of relativity to enable a comparison of likely costs for a particular profile against another one. It is an extremely broad approach applied to a somewhat complex array of numbers to indicate cost trends and how they shift between products.     The numbers relate to a BASE INDEX of 100 which has been applied to the 150 x 25 (nominal) product – the most popular of the range of profile sizes   Index Numbers apply to RAW timber and also present a guide as to additional costs for factory pre-coating.       More Variables Due To The Impact of Lengths on Cost   With all timber, the longer the length, the harder it is to obtain and the smaller the available quantities – the analogy above once again. For these reasons, when compared to mid-range random length prices, long lengths (4.2m and longer) can attract premiums of up to 15% and short lengths (1.8 m and shorter) can be discounted as much as 30%.   long lengths  –  up to 15% more expensive short lengths  –  up to 30% less expensive   These figures should be applied in addition to the numbers in the Tables above to provide further guidance on approximate cost relativities.   Approximate Dollar Costs   While the information presented here is intended to address price relativity between products, it can provide a very rough guide to actual dollar costs by using a figure of $70 per square metre (including GST) at the index level of 100 applicable to 127 x 18 (150 x 25 nominal) cladding.             ie. 86 x 15 factory pre-coated face fixed cladding would have an approximate material cost           of $83.30 per square metre.           (product index 76 + coating index 43 = 119 x $70 ÷ 100 = $83.30 per square metre)   If applicable, this figure should then be also subject to either a long length price premium (up to 15%) OR short length price discount (up to 30%) as noted above.   (The figure of $70 per square metre is applicable for use for this purpose as at April 2012. It will be updated from time to time as necessary)     Accurate & Realistic Cost Information   We stress again that the information provided here is primarily to provide comparative price guidance. The only way to arrive at accurate product costs is to provide us with all the specification details and allow us to price accordingly.