Forest Products Industry

Nokian Tyres’ factory in Nokia, Finland has obtained the International Sustainability and Carbon Certification (ISCC) PLUS. With the certification, Nokian Tyres is able to introduce new sustainable, ISCC PLUS certified raw materials in its tyres. Source: Timberbiz Nokian Tyres will introduce the certified raw materials when new flagship products are launched. Using the certified materials is an important step for the company in reaching one of its key sustainability goals, which is to increase the share of recycled or renewable raw materials in its tyres to 50% by 2030. “Nokian Tyres is working to replace fossil-based tire materials with sustainable ones to reach the goal. We are already using recycled and renewable raw materials in our tyres and being able to use the ISCC PLUS certified materials in addition to them accelerates the work and complements our own raw material research and innovations,” said Teemu Soini, VP, Innovations & Development at Nokian Tyres. ISCC is a globally applicable sustainability certification system. The ISCC PLUS certification also ensures compliance with high ecological and social sustainability requirements, and traceability throughout the supply chain. The certification that Nokian Tyres received applies to the manufacturing of passenger car tires at the factory in Finland, and the company is planning on getting also other production sites certified. Recently Nokian Tyres reached another milestone regarding sustainable raw materials when the company demonstrated the usability of a groundbreaking new raw material in tyres by presenting the concept tire Nokian Tyres Green Step Ligna in June 2024. It is the first ever tyre made with UPM BioMotion RFF, a fully renewable wood-based lignin raw material. The material replaced all fossil carbon black in the concept tyre’s sidewalls.  

Sustainable forest management (SFM) is fundamental for the achievement of national, regional and international environmental objectives, particularly as governments transition to low-carbon economies and work toward improving the quality of life in communities, among other things. Source: Timberbiz Illegal logging, and the trade in illegally logged timber, is a domestic, regional, and global issue. It has negative economic, environmental, and social impacts, including but not limited to forest degradation, loss of traditional homelands for Indigenous and tribal communities, and the creation of unfair market conditions that disadvantage legal and sustainable sources of wood and wood products. A project, Advancing Responsible Purchasing of Wood Products, aims to increase public awareness of responsible consumption of wood products, sustainable forest management and combat illegal logging in North America. It involves identifying the current trinational context for SFM, illegal logging, forest law enforcement, third-party certifications, and consumer awareness. The project will develop non-duplicative public awareness campaigns based on findings to communicate the importance of responsible purchasing. Expected impacts include improved consumer understanding of SFM, civic participation tools, penalties for illegal wood products, and changed purchasing habits towards seeking sustainable products. The project duration is from January 2024 to January 2026 and its strategic pillars include Clean Air, Land, and Water, Circular Economy and Sustainable Materials Management, and Effective Enforcement of Environmental Laws. Trinational cooperation among Canada, Mexico, and the United States is emphasized to raise consumer awareness and combat illegal logging.

A recent case involving the State of Baden-Wurttemberg in Germany means that it may be facing a fine of up to Euro 500 million after the Stuttgart Court of Appeals held that the state was liable for violating EU competition laws through its centralized sale of timber. Source: Timberbiz The case centred on the State’s practice of bundling and jointly selling timber from forests in the area – private and state forests. The court decision was that this method, which was used from 1978 until 2015 restricted competition and pushed up timber prices. This harmed other businesses especially sawmills. The State of Baden-Wurttemberg had already been ordered to stop this practice by Germany’s Federal Cartell Office in 2015. Sawmills joined forces to seek damages for the cartel overcharges. Prof Rüdiger Lahme and Dr Andreas Ruster of the law firm Quinn Emanuel Urquhart & Sullivan, initiated the action on behalf of 36 sawmills representing more than 50% of the wood cutting in Baden-Württemberg. “This is an exceptional case, because the state has for decades publicly centralized the distribution of round timber from Baden-Württemberg’s forests through its state forestry administration. Sawmills that depend on the supply of round timber have been virtually unable to avoid buying from the state. There was no significant competition on the supplier side – the high transport costs, which reduce the procurement radius, further deteriorated the sawmills’ bargaining position,” Prof Lahme said. The case was called the “round timber cartel” and the lawsuit against the State claimed that sawmills were forced to pay inflated prices for timber. This violated EU antitrust laws according to the court and it rejected the defence put forward by the Sate that the claims were barred by the statute of limitations. Damages have not been determined and it is expected that this will take a long time as the claims date back to 1978. A central point in this case rests on what this decision may mean for the European Union and how competition laws may affect governmental agencies. It underlines the fact that antitrust legislation applies to all entities private and public.  

Sales of new homes in the three months to July 2024 were 11.1% higher than at the same time last year according to HIA Economist, Maurice Tapang. Source: Timberbiz The HIA New Home Sales report is a monthly survey of the largest volume home builders in the five largest states and is a leading indicator of future detached home construction. “New home sales fell back marginally by 4.1% in July, however sales this year remained stronger than at the same time in the previous year,” added Mr Tapang. “This is consistent with our expectations that detached home building will pick up pace in the second half of 2024. “Queensland saw a 15.6% increase in new home sales in July 2024 compared to the previous month. This leaves sales over the past three months 60.1% higher than at the same time the previous year. “Sales in South Australia were 55.8% higher in the three months to July 2024 than at the same time in the previous year, despite a monthly decline. “New home sales in Western Australia remain elevated, despite a fall in recent months, as this market is constrained only by the capacity of the industry, not demand. “Sales of new homes in New South Wales and Victoria are continuing to bounce along the bottom of their respective cycles. “The rise in interest rates hurts these markets, particularly in Sydney and Melbourne, more significantly due to the higher costs of land. “These sales figures suggest that the improved number of homes commencing construction across Australia will be driven by smaller markets outside of Sydney and Melbourne. New home sales in the three-month period to July 2024 increased in Queensland by 60.1% compared to the same time in the previous year, followed by South Australia (+55.8%), New South Wales (+17.5%), and Western Australia (+1.4%) which is coming off a higher base. Victoria recorded a 13.3% decline over the same period.  

  One Tree Per Child, an international initiative, is launching in New Zealand this month, lending its support to Trees for Survival Charitable Trust, to beef up the number of trees planted in Aotearoa. Source: Timberbiz Brought to New Zealand with the support of Yates, One Tree Per Child was founded by Olivia Newton-John and Jon Dee 11 years ago to encourage every child to plant at least one tree before they leave school. One Tree Per Child has planted half a million trees and shrubs in 10 countries and New Zealand will become the 11th country to sign up. “In the years to come, we’re aiming to get lots of kids planting trees and shrubs in New Zealand,” said One Tree Per Child co-founder Mr Dee. “As their trees grow, we hope to inspire the children to deepen their dedication to safeguarding and nurturing Aotearoa’s environment and wildlife.” Yates spokesperson, Fiona Arthur, says bringing One Tree Per Child to New Zealand and partnering with Trees for Survival will increase the numbers of trees planted. “We’re delighted to be able to help establish One Tree Per Child here and collaborate with Trees for Survival which perfectly aligns in terms of mission and values,” Ms Arthur said. Trees for Survival Business Development Manager, Sally Clegg, welcomes the support and additional funding that One Tree Per Child will bring. “We have a waiting list of 120 schools wanting to join our programme and we can’t reach everybody on current levels of funding, so we’re delighted to partner with One Tree Per Child to get more native trees and shrubs in the ground,” she said. While Trees for Survival originated from an Auckland base, the program now partners with schools and landowners around the country. The charitable trust runs an environmental education programme guiding schools to grow and plant native trees where they are needed most to protect streams, wetlands and erosion-prone land. The first tree project that the new alliance is planting is on the property of Patumahoe dairy farmer, Brian Gallagher. Mr Gallagher and his family have been on the land for three generations and they currently have 400 dairy cows providing fresh milk for Aucklanders every day. Mr Gallagher has partnered with Trees for Survival for 10 years to carry out planting projects around the farm that have made a significant difference to the waterways and biodiversity. Tree planting along waterways can significantly improve water quality. The plants act as a filter and stabilizer, decreasing erosion as well as sediment and nutrient run-off, leading to cleaner streams and rivers. What started out as curiosity around 12 years ago has turned Brian into an enthusiastic tree planter and a proponent of providing school children with environmental education on the land. “Tree planting has become a bit of a bug. I initially planted up some land around a new effluent storage pond, at the suggestion of Auckland City Council, and since then I haven’t stopped looking for new places to plant,” Mr Gallagher said. “Thanks to Trees for Survival we’ve planted around the boundary of the property and about one kilometre of waterways. This next project is planting natives on land that had pine trees on it.” The trees and shrubs will not only help improve water quality but will also encourage new birdlife, insects and invertebrates into the area and provide shade and shelter for Mr Gallagher’s cows. Seeds of manuka, kanuka, flax, cabbage tree and grasses have all been locally eco-sourced by specialist seed collectors, germinated at nurseries and potted on and grown into seedlings by partner school, Patumahoe Primary School. The 760 seedlings, grown by the students, were planted on Gallaghers property by the children and local community on 9 August 2024. Ms Arthur said the collaboration with One Tree per Child and Trees for Survival not only supports the planting of more trees but provides an additional opportunity for children to learn about growing and caring for plants. “Being involved in the whole growing cycle helps children understand what it takes to plant a tree. It’s not just about digging a hole in the ground but setting up each seedling for success and watching that seedling grow into a healthy mature plant or tree,” she said.

In celebration of National Forestry Day, 600 students gathered at Wulanda Recreation Centre in Mount Gambier yesterday for a concert featuring George the Farmer. The event was a unique blend of music, storytelling, and education, designed to highlight the importance of forestry and its role in carbon storage and sustainability. Source: Timberbiz, photo Harvey MacDonald The concert coincided with Book Week, and without forestry, we wouldn’t have the paper to read the books. Students enjoyed a live reading of the picture book “George the Farmer and the Great Forest Hunt,” which aligned perfectly with the Book Week and further reinforced the significance of forests in our everyday lives. The students were also captivated by George the Farmer’s performances, including his popular song “Wood is Good,” which emphasizes the benefits of using wood as a renewable resource. The event celebrated the theme of carbon storage in timber products, a critical aspect of forestry that contributes to combating climate change. The students learned how timber products act as carbon sinks, storing carbon dioxide that trees absorb from the atmosphere. This educational focus highlighted the crucial role of forestry in environmental stewardship and the fight against global warming. The day was made possible through the generous support Green Triangle Forest Industries Hub Members, with additional in-kind support from OneFortyOne, Gildera Nursery, Timberlink, Timberlands, and ABP. These organizations are dedicated to promoting sustainable forestry practices and educating the next generation about the importance of our forests. Their involvement ensured the event was both informative and entertaining, leaving a lasting impact on the students. A special moment during the event was the appearance of Neil Turner, a seasoned forester who shared his experiences and insights with the young audience. Mr Turner spoke passionately about what it takes to be a forester, emphasising the importance of forestry for the use in things like houses, furniture, clothing, paper, amongst many others. He also discussed the significance of carbon storage in timber products, reinforcing the day’s theme and inspiring students to think about forestry as a future career. Mr Turner then joined George the Farmer on stage for a rousing performance of “Wood is Good,” delighting the audience. This event, held at the Wulanda Recreation Centre, was a success thanks to industry involvement from OneFortyOne, Gildera Nursery, Timberlink, Timberlands, and ABP, alongside the organizational efforts of Josh Praolini, their support highlights the importance of fostering a deeper understanding of forestry industry, a key economic contributor to our region, and the Australian community. As National Forestry Day and Book Week coincided, the students left the Wulanda Recreation Centre not only with fond memories but also with a greater awareness of the vital role that forests and timber products play in our world. The George the Farmer concert was a fitting celebration of these themes, combining entertainment with education in a way that will resonate with the students for years to come.

Yesterday’s National Forestry Day was a time to celebrate the importance of Australia’s forest industries and the benefits they provide for our country and the rest of the world. Without forestry, timber, wood-fibre – the jobs and products they create – and the communities they support – Australia would be poorer and our lives harder. Source: Timberbiz The 2024 National Forestry Day theme was Celebrating Nature’s Carbon Store. As trees grow, they absorb carbon from the atmosphere. When those trees are sustainably harvested, the timber and fibre is made into essential everyday items, like: House-frames Paper bags, magazines and books Cardboard packaging Home furnishings like furniture, floorboards and decks Mulches and garden products Wooden cutlery that replaces harmful plastics Tissue and toilet paper products The list goes on and on. Australia’s forest industries are responsible for some amazing things. The full supply chain (from tree growing and management, to harvest, transport and manufacturing different products) provides 80,000 direct and another 100,000 indirect jobs nationally – many in regional areas The sector contributes $24 billion to the Australian economy annually and is Australia’s 6th largest manufacturing sector All of the trees that makeup Australia’s plantation estate store the same amount of carbon emitted by 56 million cars driving for a year Our industry plants around 70 million new plantation trees every year – enough to cover 136,000 football fields A tiny fraction – the equivalent of 6 in every 10,000 trees are sustainably harvested from Australia’s native forests for timber annually – and are then replaced by law. “(It’s) a day to celebrate why Australia’s forest industries are so important for our lives and I commend everyone across the sector for marking National Forestry Day in their own way,” Australian Forest Products Association (AFPA) Chief Executive Officer, Diana Hallam said. “Timber and fibre products are visible in almost every facet of our lives – if people look around for just a few minutes they are likely to spot several timber and fibre products, from hardwood flooring and kitchen benches to the desk at work or dining table and backyard deck at home, not to mention books and tissues. “Forestry is a great Australian industry that we can all be proud of, now and into the future. Particularly, because forest industries also are a critical climate change solution for Australia and vital to ensuring we reach our net zero goals. “Please take a moment to stop and think about how important we are.” Nathan Paine, Chief Executive Officer of the South Australian Forest Products Association said National Forestry Day shone a light on the industry being nature’s carbon store and how Australia’s forest industries also contributed to the fight against climate change, with trees absorbing carbon as they grow and locking it up in the products that are made. “Reducing emissions is a critical pathway to meeting Australia’s greenhouse gas reduction targets but so too is greater emissions capture, both natural and technology based. Australia’s forest products sector can make a major contribution via carbon sequestration through tree growing and via the creation of sustainable and renewable products,” he said. “Essentially our nation and our lives are built and reliant on forestry. “Our homes and offices are full of forest products. From the house-frame in the walls and roof, to the timber floors and benchtops, right through to paper in the printer and toilet paper in the bathroom, we cannot live without forestry. “With global demand for wood-fibre based products continuing to grow, there are greater opportunities for our industry to combat climate change and decarbonize our economy through more tree plantations – a sought-after policy initiative to address our timber needs, our economy and regional communities,” Mr Paine said. Tasmanian Forest Products Association Chief Executive, Nick Steel, said that with demand for timber and wood fibre expected to quadruple by 2050, the Tasmanian forest products sector would play a significant role leading the world in sustainable forest management. “Our careful environmental management practices are an example to other jurisdictions looking to maximise the potential of their forest sectors, through active replanting and prudent regulations,” he said. “Whether it’s the timber house-frame inside the walls of your home, the cardboard boxes your latest delivery arrived in, or the hardwood dining table in your living area, without our sustainable and renewable forest products sector, we wouldn’t have these locally made products.” Australian Forest Contractors Association General Manager Tim Lester said forestry was a “yes and” industry that promoted sustainable land management, thriving rural and regional communities and renewable resources for essential everyday items. “This year’s National Forestry Day theme is Celebrating Nature’s Carbon Store. This is a great reminder that trees are the best, most efficient and only commercially viable technology at scale to take carbon from the atmosphere and sequester it into stable and useful forms,” Mr Lester said. “Australia’s working forests for softwood and hardwood are well regulated and well managed. Our forest contracting businesses and workforce are highly skilled and experienced, providing a vital link in the supply chain. “We should all be rightly proud of this amazing industry that provides so many benefits and that touches the lives of every one of us every single day,” he said. National Forestry Day is an initiative of the Australian Forest Products Association (AFPA) and state-based advocacy associations to raise awareness of the forest industries contribution to our national and state economies, environment and communities.

NSW’s forest sector is this week celebrating timber – the ultimate renewable product. Tuesday marked National Forestry Day recognising Australia’s forest sector while celebrating the natural advantages of wood and the contribution timber makes to reducing the effects of climate change. Source: Timberbiz Timeless in its building appeal and universal in its application, timber produced from our sustainably managed forests is a strong pillar of the national economy driving employment. Forestry Corporation Chief Executive Officer Anshul Chaudhary said forests also store carbon from the atmosphere for life and create the essential and sustainable products Australians love, need and use every day. “In producing sustainable timber products, forests are nature’s carbon store meaning the forestry sector is hugely important as a climate change solution,” Mr Chaudhary said. “Quality of life in Australia is improved by timber products, from housing frames, furnishings, timber flooring and decking, to the electricity poles powering our homes and the climate-friendly packaging, paper and cardboard products that we cannot live without. “Timber products are also evident in public infrastructure from the stunning timber interior of the Sydney Opera House to the marine piers around Darling Harbour and the historic Pyrmont bridge – that’s the lasting contribution the NSW timber industry makes to our state,” he said. Forestry Corporation, as the manager of two million hectares of NSW state forests, has joined with the Australian Forest Products Association to also highlight the importance of timber to the national economy. “As a land manager we oversee the industry’s sustainable harvest of timber in NSW,” Mr Chaudhary said. “Our staff manage wood products from the planting phase right through to timber harvests operating under the world’s strictest forestry laws and guided by 100-year timber supply projections. “Forestry Corporation’s nurseries each year grow around 11 million hardwood and softwood seedlings, which are replanted in state forests,” Mr Chaudhary said. “It’s a cycle where every tree harvested is replanted. “In an average year state forests produce enough timber to build a quarter of all new home constructions across Australia. “Sustainable wood comes from biodiverse forests, which are environmentally managed with the future in mind,” he said. Forestry is Australia’s sixth largest manufacturing sector, providing 80,000 highly skilled and direct jobs across Australia’s workforce, along with another 100,000 indirect jobs, many of which are based in rural and regional areas. The sector contributes $24 billion to the national economy, and there are forecasts that timber and wood fibre demand will quadruple by 2050. To find out more about Forestry Corporation’s operations visit www.forestrycorporation.com.au

The Federal Government has announced funding worth $5.65 million for eight new plantation projects through round two of the Support Plantation Establishment program. Source: Timberbiz The projects will provide long-rotation softwood plantation forests, bolstering Australia’s future timber supply while contributing to meeting Australia’s carbon emission targets. The projects will establish softwood plantations ranging from 40 to 1671 hectares in size located across NSW, Victoria, Western Australia and Tasmania. “Ongoing investment in Australia’s forest industries is critical for the sector to realise its potential for the decades ahead. We are responsible for essential and high quality, sustainable products, provide highly skilled jobs across Australia, and are a big part of Australia’s climate change solution and path to net zero emissions,” Chief Executive Officer of the Australian Forest Products Association (AFPA), Diana Hallam said. “We welcome the Government and Minister Collins using National Forestry Day to recognise the broader sector through the plantation establishment and workforce training announcements.” These eight new projects are in addition to the 19 projects from round one worth over $10 million, bringing the total funding awarded to date through the program to more than $15.7 million. The Government also announced yesterday that ForestWorks Ltd will deliver the Forestry Workforce Training Program. The Government has invested $10 million to deliver the Forestry Workforce Training Program. ForestWorks Ltd will deliver a suite of activities over the next two years to improve access to required qualifications and credentials for the forest and wood products sectors. The program will include a number of pilot projects and trials including developing and applying stackable micro credentials, a new school-to-work traineeship transition program, creation of specialised mentorship for Indigenous Australians and women, and improved ways to deliver training to employees in remote and regional Australia. The government is providing this new support to help grow the plantation forest estate after more than a decade of reduction. Recently, there have been signs of renewal in Australia’s plantation forest estate. In 2022–23 new plantation establishment doubled when compared with the previous year, with 4,500 hectares of new plantations established. “Australia’s forestry industry is a key part of the Australian economy, providing jobs and development for people across the country,” the Minister for Agriculture, Fisheries and Forestry, Julie Collins said. “Nationally, the forestry industry employs around 52,000 people, with many of these workers living across rural and regional Australia. “National Forestry Day is an excellent time to highlight the importance of our forestry workforce for the economy, as well as remind us that timber is the ultimate renewable and has an important role to play.” Ms Collins said the funding package was part of the suite of initiatives, totalling over $300 million, that the government was delivering to support Australia’s forest industries. For more information on the Forestry Workforce Training Program, visit: https://www.agriculture.gov.au/agriculture-land/forestry

The Green Triangle’s hardwood plantation sector is proving it could have the solution to meeting Australia’s future structural timber needs. Source: Timberbiz Celebrating National Forestry Day yesterday, hardwood plantation companies Australian Bluegum Plantations, Midway Limited, and New Forests, supported by plantation managers PF Olsen and SFM, showcased the industry’s new engineered wood product – a Glue Laminated Timber prototype made exclusively from Eucalyptus Globulus (Bluegum) grown in the Green Triangle. The collective has revealed its plan to evaluate the viability of building an integrated timber manufacturing hub in the Glenelg Shire, close to its hardwood resource to commercialise the first-of-its-kind product, working in partnership with the Green Triangle Forest Industries Hub (GTFIH) and Victorian Forest Products Association (VFPA). The mass timber product is an output of the GTFIH’s Splinters to Structure project, delivered in conjunction with Forest and Wood Products Australia, which used both softwood and hardwood fibre, with no specific domestic application as the core product base. Generated after two-year manufacturing trials, the new hardwood product is equivalent to structural steel in building construction, with work currently testing the product durability and domestic and export market opportunities. With global demand for timber set to quadruple by 2050, Australian Bluegum Plantations CEO Russ Hughes said the new product would support the imbalance between supply and demand, supplementing the reduction of Victoria’s native hardwood market. “A portion of our existing resource would be utilised in this potential new product, which would support highly skilled jobs, increasing local and export income, ultimately strengthening the forestry sector value chain,” he said. “Importantly, this product will provide additional domestic timber supply, supporting the Victorian State Government in its plan to supply more housing stock. Our early research suggests the development of a hardwood timber manufacturing hub could generate up to 110 jobs in construction with 40 ongoing.” Midway Limited managing director Tony McKenna said the hardwood product would diversify the market base, providing a new domestic product with a low carbon profile. “While our core business will remain export, mass timber has grown from being an emerging technology to a structural building solution. Importantly, this is a sustainable building product which can be used in place of steel or concrete to create durability with less embodied carbon,” Mr McKenna said. PF Olsen managing director Nathan Windebank, representing New Forests, said the proposed feasibility study would support a comprehensive business case to understand how to best commercialise the product and attract investor attention. “This study would evaluate how to best construct an integrated manufacturing facility, considering both physical and logistical infrastructure needs. It will identify the best location near existing complementary industries, where space can be shared amongst industry partners, to support this new and sustainable hardwood timber product market,” Mr Windebank said.