Lumber - Albertas forest products industry increased first-quarter sales by 11.7 per cent to $539 million on stronger demand for lumber.

"There is some reason for optimism in our industry," said Brady Whittaker, president and CEO of the Alberta Forest Products Industry, in a news release Thursday.

"Stronger demand and higher prices are helping the forestry sector and creating jobs in communities across Alberta."

Rising demand from U.S. home builders helped lumber producers sell more product at higher prices with total sales of $184 million. Shipments rose 15.6 per cent and prices jumped 70.5 per cent from the first quarter of 2009.