Forest Products Industry

Some dads might struggle with an Ikea flatpack, but this Vietnamese woodworker and content creator built his son an entire wooden Apple Car after the tech giant’s US$10 billion project flopped. Source: Supercar Blondie Completely carved from timber in the perfect dimensions for his young son, it features light-up Apple logos and consoles. In case you’re wondering – yes, it drives. With no actual car to work from since the US$10 billion Apple Car project was abandoned, ND – Woodworking Art, aka Truong Van Dao, took design inspiration from Midjourney’s AI images. He then builds and solders a metal chassis before attaching the electrified wheels and sorting the suspension. As the car and its mechanics begin to take shape, he paints the frame black before getting to work on the wooden body. Initially fitting together like a rudimentary jigsaw, the talented woodworker is then able to carve, sand, and refine everything down to the wheel trim, dash, and working steering wheel. Even the centre console and two seats are hewn from timber. Next come the light-up badges on the hood, wheels, and bumper before varnishing and adding light-up Apple-inspired screens to the cabin. His son and daughter seem like they’re having the time of their lives as Dad drives them down the road in their new wooden Apple Car. Fans are keen, too. One even argued that this version might be better than the real thing. Well, it never actually got made, so it’s definitely better than the real thing in that sense. One even said that the artist should ‘put [his] own brand’ on the car instead, writing: “Much better than Apple.” This isn’t the dedicated dad’s first time in the workshop, however. In fact, Truong has built an entire fleet of wooden cars. As well as a wooden Cybertruck that grabbed the attention of Tesla CEO, Elon Musk, he’s crafted a Ferrari GTO 250 and a Ford F-150 Raptor, Rolls-Royce 6×6, STRV TANK – the latter three of which were made within the same year-long period. He doesn’t restrict himself to cars, either. The Vietnamese dad previously built an incredible wooden train for the kids in his village.  

A healthy forest ecosystem is essential for a healthy planet. Forests regulate the climate, rainfall patterns and watersheds and are crucial for providing oxygen and clean water. With the increased focus on environmental sustainability, the use of wood for fuel, fibre and wood products is increasing. Source: Timberbiz Healthy, sustainably managed forests can provide an endless supply of fuel, fibre, and wood products. Wood is the only renewable building material available today and the environmental benefits of wood construction are gaining recognition. Compared with a traditional timber stud, a steel stud requires 21 times more energy to produce and releases 15 times more sulphur dioxide to the atmosphere. Producing concrete emits up to three times more carbon dioxide, carbon monoxide and hydrocarbon compared to lumber production. Broader focus on silviculture With the increased importance that the global Forest Industry has on the decarbonization of the atmosphere, and in order to help global forestry customers meet the growing demand for sustainably sourced, cost-effective wood products, John Deere Forestry has shifted its strategic focus from forest harvesting to include the entire Forestry Production System. Applying this holistic thinking to the forest industry, it was clear that the forest harvesting segment has experienced a significant improvement in productivity, efficiency, and safety through mechanization over the past four decades. Forest harvesting has undergone a significant transformation, but silviculture is an area of the overall Forestry Production System that hasn’t experienced much change. As the company explored this further with customers and forest owners worldwide, it was clear that increased urbanization was making it increasingly difficult to attract and retain forest workers for the labour-intensive jobs typically found in silviculture. In some regions, especially those that have experienced higher than normal forest losses due to the effects of climate change (forest fire, insect infestations, drought etc), silviculture activities are so constrained by the labour shortage that it is putting significant pressure on maintaining the exceptional history of sustainably managing the forest ecosystem. Brazilian forests as a starting point Like all significant change activities, you have to start somewhere. In discussions with forest customers worldwide, John Deere saw a good opportunity to work with Brazil’s forestry industry primarily because they have very organized silvicultural activities, their plantation forestry infrastructure is well defined, and their forests have very short rotation times – which provides quick feedback on the positive and any potential negative impacts of mechanized silviculture. Additionally, there was considerable “pull” from Brazil’s forest industry for mechanized silviculture solutions to help meet the growth of the eucalyptus plantation forest area over the coming decade. According to the latest survey by the Brazilian Tree Industry (Ibá, January 2022), the Brazilian forestry sector plants more than one million seedlings per day and has 9.5 million hectares of productive forests. In addition to the significant investment in sustainably managed productive forests, Brazil’s forest industry has also developed another six million hectares of native forest, exclusively for conservation and providing a natural habitat for native species. Mechanized planting as a solution to challenges? Leveraging customer-focused processes, developed by the John Deere Ag Advanced Marketing team, the company mapped the entire Silviculture Production System and looked at the areas where customers were experiencing the biggest challenges. They also looked at where the biggest opportunities existed for customers to improve productivity and efficiency. Comparing the challenges and the opportunities, they quickly identified that mechanized planting provided one of the biggest opportunities for Brazilian customers to meet the challenges they were facing. John Deere assembled a small, highly talented team by bringing together people with experience in forestry, agriculture and construction equipment development. Working closely with customers, this team managed to quickly create a concept Mechanized Seedling Planter that was initially sent for customer testing in early 2020. Unfortunately, the global pandemic stopped testing. Promising test results John Deere was able to resume field testing after global travel restrictions were lifted. They presented the concept Mechanized Seedling Planter to customers at the Florestal 2022 forestry show in Três Lagoas, Mato Grosso do Sul, Brazil, in May 2022. The Mechanized Seedling Planter is currently undergoing further customer testing. Initial feedback is very favourable, and it is on track to meet the customer request to be able to plant one hectare of forest per hour and significantly reduce manual labour by approximately 90%. In order to achieve these results, the company integrated several technologies leveraged directly from agriculture, such as automated path planning and steering, which simplifies the operation of the machine and improves the overall quality of the planting. Continuous development for healthier forests The Mechanized Seedling Planter is designed to be adaptable to different species and is intended to be used in different forestry markets around the world. The planter is built on the 1510G forwarder that is in serial production at the Joensuu factory in Finland. The 1510G’s performance and ergonomics provide an industry leading platform for the silviculture solutions Deere is developing. Mechanized planting is only the beginning; through the leverage of agriculture technologies, there are further opportunities to improve the productivity and efficiency, while reducing input costs for forest owners. Emerging technologies like the recently released John Deere See and Spray have significant potential to further reduce the cost of silviculture activities while improving the health of the forest. The future of the forest looks more promising every day.

A recent article published in Case Studies in Construction Materials proposed novel adhesive-free edge connections for cross-laminated timber (CLT) panels. The flexural performance of CLTs with these connections was examined under four-point bending tests through numerical modelling and verified experimentally. Source: AZO Build Timber has become a popular building material due to its superior environmental performance than concrete and steel. CLT is preferred over traditional materials based on energy, convenience, and environmental prospects. Moreover, CLT exhibits good mechanical and thermal performance in structural applications. However, the performance of timber structures relies on robust connections to address their inherent limitations. Various types of connections are employed to enhance the structural performance of CLT, with steel and adhesive connections being the most common due to their high stiffness, lightweight nature, ease of construction, and durability. Despite their advantages, steel connections are susceptible to corrosion over time, and adhesives can emit harmful compounds, such as formaldehyde, during use. Furthermore, manufacturing and installing steel connections require more material and energy compared to timber connections, while adhesives are costly and have significant global warming potential. To address these issues, this study proposes the use of adhesive-free edge connections for CLT panels. This approach aims to improve the sustainability, extensibility, environmental impact, and transportation convenience of timber structures. The CW connectors explored in this study offer promising alternatives to steel and synthetic adhesives in CLT-based construction. The performance of these connectors varied across different designs during the parametric analysis. For the B edge connection, the dovetail connector’s load-bearing capacity increased by up to 29% with greater longitudinal length. Expanding the distance between two connectors improved the capacity by 5%, and increasing the distance between the connector hole and the CLT panel’s mid-span axis boosted it by 9.5%. The T-shape edge connection demonstrated substantial improvements with specific modifications: reducing the web surface angle increased capacity by 38%, minimizing the lateral distance between connectors raised it by 23%, and increasing the width and thickness of the connector’s flange resulted in an impressive 222% increase. Notably, the T-shape connection with a narrow-angle web surface showed superior performance under compressive loads compared to tensile loads. For the GT edge connection, using CW as the second lamella layer increased load-bearing capacity by 65%, while reducing the rib angle at the groove-tongue connection surface improved it by 47%. The G edge connection’s load-bearing capacity increased by 6% with a shorter external connector length, and using either a dowel (10% increase) or a rectangular-shaped connector (66% increase) further enhanced performance. Importantly, failures were observed in the connectors rather than the CLT panels, underscoring the critical importance of connector strength. Overall, the researchers successfully developed novel adhesive-free timber edge connections for wooden floor systems, enhancing the expandability and energy performance of CLT panels and promoting sustainability in construction. The study highlighted the effectiveness of simulation techniques in assessing both the mechanical performance of existing structures and the potential of new designs. The various geometries and dimensions of timber connections examined in this research provide valuable insights for designing adhesive-free edge connections for CLT panels, which are frequently used as floor elements. The validated numerical models and parametric analysis offer a solid foundation for simulating connected mass timber panels using FEM. Looking ahead, the researchers aim to further explore the development of additional adhesive-free timber edge connections through numerical methods. Future investigations will focus on testing different connection sizes across various dimensions and types of CLT constructions, as well as analyzing the shear strength of the connectors. You can download the case study here.    

A brand-new office tower in the Perth CBD is just one example of property companies looking at timber as a means to build sustainably. As more tenants, in both the office and industrial market, increasingly have net-zero goals or emissions reporting requirements, many are looking at ways to lower their emissions impact. Source: Timberbiz Perth’s first timber hybrid office tower Westralia Square 2 (WS2), developed by GDI Property and currently leased at 90% capacity, was officially opened by WA Deputy Premier Rita Saffioti. GDI CEO and Managing Director Stephen Burns said the success of the timber hybrid build placed the issue of sustainability, particularly relating to embodied carbon and scope emissions, at the forefront of design thinking and provided a resounding solution. “GDI Property took the decision to develop WS2 as a timber hybrid building, a novel approach for buildings in the Perth CBD, as it delivers significant project benefits as well as a step-change in the embodied carbon results which is becoming more important for governments, industry and the broader community,” Mr Burns said. “As sustainability targets loom larger and emissions reporting requirements becomes a bigger feature for governments and businesses, there must be a growing focus on the emissions generated by their office spaces, not just operationally, but for embodied carbon. “The timber hybrid construction meant we could use the existing engineering in place for the carpark underneath us and build higher and bigger than a standard concrete build. It also meant less mess, quicker build times and an embodied carbon saving of about 70 per cent compared to a concrete equivalent building. “We believe the way we have delivered WS2 brings a step change approach to minimising embodied carbon in our built environment.” Both Arup and Built, who were both partners in the creation of WS2, have chosen the tower their new Perth headquarters. Arup’s WA leader, Lewis Macdonald, said establishing its WA headquarters at WS2 was a perfect fit for the global sustainable development consultancy. “Our engineering solution of a timber hybrid structure enabled GDI to increase net lettable space on this site, which sits over a pre-existing underground carpark, while simultaneously delivering carbon savings. It really pushes back on myths around green premiums, and the idea that sustainable solutions don’t make economic sense,” Mr Macdonald said. “For Arup’s offices, the timber structure unlocks additional sustainable outcomes. We were able to significantly cut down on waste in the creation of the void at the centre of the offices, removing the timber floor slabs in sections and reusing them in the design of the stairs and platforms, meaning less waste sent off site, and reducing the need for new materials in the process. And unlike concrete, the timber can continue to be reused and recirculated in the future. Each choice tells the story of how important we view shaping a better world through sustainable development.” Other reused materials include salvaged task chairs, comms racks, joinery carcasses and timber for furniture. In line with the Living Building Challenges, new materials avoided a ‘Red List’ of ingredients, representing the worst-in-class materials, chemicals, and elements known to pose serious risks to human health and the greater ecosystem. Jon Stone, Director, WA, Built said with an embodied carbon saving of about 70% compared with a concrete equivalent building WS2 “sets a new standard for sustainable commercial developments and exemplifies the opportunities adaptive reuse and hybrid timber construction present in reducing embodied carbon”.  

Timberlink has launched its Australian-made wood composite products brand, Everdeck, comprised of decking boards, edge boards and concealed fasteners. Source: Timberbiz Everdeck boards are manufactured in Tasmania from a combination of Australian recycled plastic and plantation pine timber residues such as wood shavings. Everdeck decking boards are currently available in a 137mm width and length of 5.4M, and in a range of six different colours. “Our Everdeck boards contain at least 50% plantation pine timber residues which are sourced from our Bell Bay facility,” Timberlink’s Chief Sales and Marketing Officer Simon Angove said. “These residues are combined with Australian recycled plastic to create a value-added product that is simple to install and easy to care for.” The Everdeck wood composite products manufacturing facility was announced in 2021 and was supported by a $5.8m co-investment from the Australian and Tasmanian Governments’ Recycling Modernisation Fund (Plastics) Round 1 Grants Program (RMF). It is a part of Timberlink’s Bell Bay, Tasmania, plantation pine timber manufacturing site, and is the first facility in Tasmania to manufacture wood composite products. Everdeck decking boards, edge boards and concealed fasteners are now available in Tasmania with availability in other Australian states to follow. To support the launch of these products, Timberlink has released a new website at www.everdeck.com.au which features an interactive deck planner tool which allows consumers to explore different layout options and colours for their deck, as well as calculate an estimate of materials. The deck planner is located at www.everdeck.com.au/deck-planner/

Two New Zealand pulp mills are facing closure due to wholesale energy costs. The announcements follow the decision of another pulp and paper manufacturer, WPI, to cease production at its Kariori mill for two weeks because the huge increase in energy prices has made it economically unsustainable to continue production. Source: Timberbiz NZ news site Scoop says workers in many other manufacturing companies are facing vulnerable employment due to high energy costs. The central North Island Ruapehu District Council says the Winstone Pulp Mill near Ohakune, the largest employer in the Ruapehu District, may close amidst soaring electricity costs. The mill’s potential closure due to the high cost of electricity has sent shockwaves through the community and could have severe local and national repercussions. And Scoop reports 75 workers at OJI Fibre Solution’s Penrose Pulp Mill in Auckland learnt this week that their mill is likely to close by mid-December for the same reason. They were provided information at a meeting of all staff called by the company on Wednesday morning. Scoop says union representatives are calling on the Government to urgently step in and save the mill by reducing wholesale energy costs in any way possible. “This has come like a bolt out of the blue for workers and was completely unexpected,” said Justin Wallace, organiser for FIRST Union which represents production workers on site, told Scoop. Joe Gallagher, E tū industry organiser, told Scoop that workers have been repeatedly told by the company over the years that the Penrose mill, which turns recycled paper and card into pulp, was the most efficient site OJI had in the country. “They are gutted that the company has now told them that, pending consultation, the site will close,” said Mr Gallagher. “We understand wholesale energy costs are way too high but this can’t be the end of the story for Penrose, and there has to be a way to save these jobs and the recycling capacity of the mill.” Ruapehu Mayor Weston Kirton said that the Winstone Pulp Mill was crucial to the central North Island economy and New Zealand’s overall economic health. “The high cost of electricity, which has surged by 600% over the past couple of years, is jeopardizing its operations. In September 2021, a Megawatt hour cost $100; it now stands at $700. Despite significant investments in new equipment and a 30% reduction in electricity use to boost productivity, Winstone is ‘up against the wall.'” The potential closure of the mill would be a devastating blow, not only to the local and regional economy but also to New Zealand’s already limited value-added manufacturing base. “In a country where most of our electricity is produced from renewable resources, mainly rain, this situation is unacceptable and highlights systemic and policy failures,” Mr Kirton said. Mr Kirton expressed his approval of Finance Minister Nicola Willis’s actions in seeking urgent advice from Treasury on possible interventions for spiking electricity costs. He also supports Regional Development Minister Shane Jones’s call for a substantive inquiry into electricity pricing to push down prices. “As Minister Jones pointed out, New Zealand has recently experienced the highest electricity costs in the western world, and we cannot allow our businesses to be destroyed by this,” he said. Mr Kirton wants the NZ Government to act with urgency to ensure the Winstone Mill remains operational. “The importance of the Winstone Pulp Mill to the central North Island economy is comparable to the Tiwai Aluminium smelter’s significance to Southland, which also faced closure due to long-term energy costs,” he said. “With the government focused on growth and employment, a major export-earning employer should not be allowed to fail due to internal policy settings.”  

Timber Queensland has announced the recipients of the 2024-25 Growth Scholarship Awards Program. Timber Queensland’s Strategic Relations Manager Clarissa Brandt said the judging committees had been impressed by the range of applications received from every part of the industry supply chain. Source: Timberbiz “Given we receive applications from people in academia to those working on the tools, our judges have to carefully choose recipients that demonstrate a strong sense of purpose, are focused on their career development and have designed a learning activity that will be beneficial individually and for Queensland’s forest and timber industry,” she said. The recipients of the 2024–2025 Awards are: $10,000 Kennedy’s Timber Award Trinh Huynh Learning Activity “Silvopasture study tour in the Southeast Climate Hub in the US” $5000 AKD Award Matt Kavanagh Learning Activity “Growing Mechanisation Planting Study Tour” $5000 HQPlantations Award Bianca Andreis Da Cunha Learning Activity “Forestry’s Future: Women’s Protagonism in leading Sustainable change – Yale School of Management Executive Education’s online Women’s Leadership Program” $2500 DTM Timber Award Kristiina Marquardt Learning Activity “Training to obtain a Remote Pilot Licence (RePL) – Multirotor 25kg” The recipient of the Kennedy’s Timber Award, Trinh Huynh, is a Postdoctoral Research Fellow at the Forest Research Institute, University of the Sunshine Coast. She has planned a learning activity that will create strong bonds between Queensland and the United States Department of Agriculture. Ms Huynh has a busy program of webinar presentations, field visits and knowledge acquisition that will assist both her career trajectory and make a significant contribution to the development of silvopastoral practices in Queensland. “Silvopastoral systems integrate trees, pasture and livestock, providing environmental and economic benefits,” she said. “The aim of my learning activity is to acquire practical knowledge and first-hand experience to enhance the development of silvopasture in Queensland, drawing on practices from the South East Climate Hub in the United States. During field visits to North Carolina, Florida and Texas, Ms Huynh will observe diverse silvopastoral models, ranging from intensive pasture systems to tree plantations. These visits will provide a deep understanding of silviculture techniques, integration practices and management strategies of silvopastoral systems. “By comparing the US government’s support for graziers in drought-prone areas with Queensland’s policies, I hope to understand which government initiatives are most effective in supporting silvopasture adoption and resilience,” she said. Judges were impressed with the hands-on nature of HQPlantations Award recipient Matt Kavanagh’s application.  Mr Kavanagh is a contractor who has been undertaking mechanical planting trials with support from Risutec and Randalls equipment. “Working in our industry is just so enjoyable, there is always something different with new challenges,” said Mr Kavanagh. “Mechanical planting has been another great experience, but I believe there is a lot more to learn to make it cost effective and provide efficiencies across different types of plantations we have in Queensland.” Mr Kavanagh’s learning activity will see him travel to Finland to visit Risutec to view the forwarder based planting machine currently being developed and trialed called the Forest Maker. “This machine is designed to scarify, plant, fertilise and map seedling locations in one action while having a higher seedlings per hour productivity over an excavator,” he said. “I’m excited that I will be able to see how the forest maker machine works and how it may be adapted to operate in Queensland’s southern pine plantations. “There are many challenges for mechanical planting such as harvest residue, already formed mounds that must be replanted or ploughed, stumps from previous crop and varying soil types that are very susceptible to seasonal conditions, which puts an emphasis to get the planting quality right.” Attracting more women to work in Queensland’s male dominated forest and timber industry is an associated benefit of the learning activity to be undertaken by AKD Award recipient Bianca Andreis Da Cunha who works as Planning and Development Lead Forester at HQPlantations and has a lifelong commitment to environmental stewardship and sustainable development. “My learning activity aims to leverage the insights and training from the Yale School of Management Executive Education’s online Women’s Leadership Program, providing me with the tools to address the underrepresentation of women in leadership roles and the substantial benefits of diversity and inclusivity in management,” said Ms Da Cunha. “By completing this leadership program, I will enhance my professional potential and help include and develop more woman to work in forestry. This transformation will not only improve business outcomes but also enrich the organizational culture and challenge the existing gender biases in the sector, setting new benchmarks for environmental and community engagement standards.” Having recently completed a Master’s Degree in Forest and Nature Management and now working at ecological engineering firm Verterra, Kristiina Marquardt aspires to become an expert in working with different stakeholders to find ways to restore, conserve and sustainably manage forest for multiple objectives. Ms Marquardt applied for the DTM Timber Award and will undertake a Remote Pilot Licence Multirotor 25kgs course to obtain an initial Remote Pilot Licence. “Through this training course, I will gain both theoretical and legal knowledge and practical competencies in operating multirotor remotely piloted aircraft applicable to forest management and I will gain the licence to operate the appropriate drones,” she said. Increasing her skill set will be of benefit to Ms Marquardt as her career progresses and she expands her interest in the science of forest restoration and reforestation, and how different ecological and socio-economic factors can affect the success of a project. Ms Brandt said there was a commonality in this year’s scholarship applications – passion for the industry. “Passion and persistence are integral in growing a satisfying career,” she said. “This year the winners include a person that has been persistent, it hasn’t been the first time they’ve applied, so we strongly encourage those who may have missed out in this round to revisit their application and participate in the application development workshops that we are planning to host in early 2025,” she said. “Similarly, the ongoing support and commitment of our Foundation partner Kennedy’s Timber, […]

A motion supporting the timber industry in New South Wales passed at the July State Labor Annual State Conference has been warmly welcomed by the industry. Source: Timberbiz The NSW Labor Party adopted the new forestry policy put up by the CFMEU Manufacturing division, which will see an increase the volumes of timber for residential housing, the size of the plantation estate expanded, and deliver support for the future of native forestry and sustainable forest management. It is understood the ALP NSW policy becomes binding on the Party’s parliamentary wing. It also reinforces the policy the Labor Party took to the last State election, which was to maintain a viable, sustainable timber industry. Australian Forest Contractors Association general manager Tim Lester said that on face value, “it looks awesome”. “As is always the way with most of these things there can be a lot of interpretation, and is there wiggle room,” Mr Lester said. But he said that given the move towards the Great Koala National Park, the decision by the party to accept the CFMEU’s motion was very important. “One of the things about the Great Koala National Park is the notion that the State Government had, in its election commitment, a sort of a twin priority. “One was to create the Great Koala National Park. “The second was to maintain a viable, sustainable timber industry. “The position of the environmental movement is there is no place for a timber industry,” Mr Lester said. “And the base proponents of the Great Koala National Park are also very explicit in saying they don’t believe that the timber industry and the national park can coexist.” But Mr Lester said recent science-based evidence indicated that there is no reason koalas and greater gliders, and other biodiversity attributes, can’t successfully coexist with a timber industry. “That doesn’t mean that the timber industry should get just free rein, or that there aren’t special places that need to be protected. “Of course there are special places that need to be protected, and the industry needs to be managed and regulated.” But Mr Lester said that on balance not all forest is “Daintree or Tarkine”. “A lot of it is scrub on rough country that needs to be managed. “Pretty much the only thing that it’s good for is trees.” Mr Lester said that if this rough country was managed for productive trees and forest, then industry, through the supply chain, actually ended up paying for a lot of the management of State forests and national parks. “We accept that the government has made an election commitment, that the government thinks that creating a Great Koala National Park is actually something that it should do. “And we accept that we are actually negotiating what that looks like in practice. “And that comes back to what does it actually mean to be a sustainable and viable timber industry.”

‘Survive to ‘25’ seems to be the new catch phrase around New Zealand, especially in the primary sector. It probably wouldn’t have made a great political campaign slogan, but it does sum up the general feeling around the traps. July hasn’t delivered any surprises in terms of export prices with another minor lift of around NZ$5/JAS across the board. This brings the A grade price at Southern North Island ports to around $117/Jas, a few more dollars for Napier and Marsden, and those unfortunate folks that supply Lyttleton are not quite in triple figures yet with NZ$99/JAS. There’s nothing new in the news from China. The property market is still as bigger a problem to the CCP as Darleen Tana is to the Greens. New house prices fell for the 13th consecutive month which has dragged the country’s economic growth down from a growth projection of 5.1% to 4.7%. This highlights the unwillingness of the Chinese populus to invest in property even though the government has released a hoard of stimulus packages including lower interest rates and reduced minimum deposits. It is expected that policies will continue to be relaxed but, with around 80% of the country’s household wealth held in in property, and enough empty, newly built floorspace to rehome the entire country and still not touch the sides, it’s unlikely that we’ll see any significant increase in construction in the short to medium term. It’s becoming more obvious that China’s fibre demand is shifting to furniture and packaging as traditional construction markets disappear. Southern China has previously consumed NZ supply at around 3.5Mm3 per annum, however, this has dropped to well under 1Mm3 as the region switches to more manufacturing and usage of the region’s short rotation Eucalypt species. The changing utilization of our product is resulting in tightening of log specifications and less demand for the lower grades of KI and KIS. NZ supply into China has dropped significantly in the past month however, this is only having a minimal effect on port inventories as uplift has tanked to around 55,000m3 per day from 65K in June due to flooding in South China compounding what is a usual off-season. Current inventory is sitting at around 3.2Mm3 which hasn’t dropped as quickly as expected giving sellers less leverage for price increases. Shipping rates continue to be stubbornly high and there’s not much sign of easing with the continued ruckus in the Suez Canal. Even though supply has dropped, it is still higher than what would usually be expected with current price and cost levels. Over the past 18 months, longer-term fixed price contracts between exporters and forest owners have been gaining momentum and support. This has enabled many of us to keep producing, albeit at reduced levels, with prices that are NZ$10-15/JAS ahead of current spot prices. The advantage of this is that exporters have a more predictable supply and forest owners have a known price and hence return, however, the disadvantage is that it supports a supply base which is artificial and doesn’t react to the traditional supply/demand model. This is likely one contributor to the stubborn spot price increases. India has had an influx of volume from Australia and South America which have both freight and fumigation advantages over NZ. There has been a notable increase in phone calls and emails from all sorts of Indian buyers but it’s unlikely to result in any significant increase in supply. To add insult to injury, Napier port has added an additional charge to all trucks of NZ$15 per load which is further squeezing forest returns. This charge is purely a money grab to increase shareholder return on investment and does not reflect any additional service delivery, even though it was initially couched as a cost of administering the new and contentious truck booking system. Industry has rightly pushed back on the charge, but protests have not been fruitful, and the port has barrelled ahead with the implementation. Increasing port costs nationwide is nothing new, whether it’s on-port charges or increased wharfage costs, some port companies are making the most of their regional monopolies at the expense of the primary industries that have no choice but to support them. Nothing to see here with carbon. The current NZU price is sitting at $54 which has very slowly inched its way up from sub NZ$50 in May. The market is still waiting for some clarity from the government around policy and consultation and at this rate will likely be waiting a while. NZ’s residential construction costs have decreased for the first time in 12 years with a 1.1% decrease in the quarter to June. This may help alleviate the slide in new dwelling consents which, according to CoreLogic, are down around 30%. Domestic sawmill demand is still buoyant in the face of lower construction levels, and it is important to note that pruned log mills are much less affected by the NZ construction sector than their sawlog sawing cousins. In summary, the market is still as unpredictable as a Biden speech however, until the inventory in China dips below 3Mm3 or the Houthi’s put their missiles away, we’re unlikely to see any significant increases in export prices. Survive to ’26 doesn’t have the same ring to it, so let’s hope the current catch phrase proves true. Marcus Musson is a Forest360 Director. He holds a Bachelor of Forest Science with Honours from Canterbury University, New Zealand, and specialises in steep slope cable harvesting, marketing and value recovery initiatives.

A new environmental organisation focussed on restoring degraded forests in partnership with Traditional Owners has been established, headed up by former VicForests CEO Monique Dawson. Source: Timberbiz Ms Dawson said the Healthy Forests Foundation, which is currently in “start-up mode” would be professionally led, science based, and action orientated. The foundation also has Deb Kerr, the former CEO of the Victoria Forests Product Association on board. The foundation’s board includes Pentarch chairman Malcolm McComb, Ian Sedger from Allied Natural Wood Enterprises, Richard Conheady, the corporate governance manager at Pentarch, and David Bartlett who was the premier of Tasmania from 2008 to 2011, The board however is only interim, and the organisation is considering further interim appointments. Ms Dawson said she had been frustrated by the lack of awareness about what was really needed to make Australia’s forests healthy and resilient. “The misinformation, mischief and malice in public debate is exhausting and dispiriting,” she said. “At the same time, Australia is wasting opportunities to get on with the work that is needed to address the real threats to forests and biodiversity – pests, fire and climate change. “We’ll be providing information about what our forests need and getting on with fixing them. “We would love for members of this community to sign up as volunteers with the Foundation. “We’ll do callouts to our volunteers to get involved with our projects including through citizen science activities. “We’ll also be interested in volunteers who will champion our new positive form of environmentalism.” According to its website the Foundation will establish and maintain a web-based, publicly accessible library of research and knowledge about forest health, management and repair. By providing a central repository of accessible information, it will facilitate collaboration between knowledge holders and those wanting to take active steps in restoring forest health. The Healthy Forests Foundation will work with Traditional Owners, scientists, and local communities to identify priority places that are unhealthy or vulnerable and then design and deliver projects to improve the health and resilience of these places. “We want forests to be healthy,” Ms Dawson said. “We believe that humanity has a duty to actually take active steps to look after forests. “We don’t we don’t believe that we can stand by and watch forests become more and more degraded, burned down, overridden with pests and invasive species. “We believe humans have a duty to do something about it.” The Foundation will also become a trusted partner for researchers, knowledge holders and with all levels of government. Through these partnerships the Foundation hopes to provide a test bed for researchers working on finding solutions to restore forest health. “We want to work with other organizations that are like-minded to form a partnership. Essentially, we want to be part of a network of organizations, because we think there are plenty out that are committed to active forest management and are committed to positive environmentalism, not negative environmentalism,” Ms Dawson said. The Foundation web site says it is committed to resurgent Indigenous conservation and recognises the deep connection between Indigenous peoples and their ancestral lands, as well as their traditional stewardship practices that have sustained ecosystems for generations. For more information go to https://healthyforestsfoundation.org/