Forest Products Industry

The results of the third transaction verification (TV) loop on FSC-certified bamboo supply chains reveal that several certificate holders in China pose a serious threat to the integrity of FSC’s certification system. Source: Timberbiz While some certificate holders have made false claims on their products, others have engaged in actions that pose a significant risk to FSC’s integrity and credibility. Based on the evidence gathered by Assurance Services International (ASI) during the TV loop, FSC has blocked the following certificate holders for making false claims: Hangzhou Ruihe Bamboo Wood Co., Ltd (FSC-C138791): This company applied FSC 100% claims on bamboo plywood, but the origins of the raw material could not be verified. They also did not report any transactions to their certification body. Hangzhou Zen Bamboo & Hardwood Products Co. Ltd. (FSC-C147487) and Hangzhou Zenbamboo Technology Co., Ltd. (FSC-C192793): They sold bamboo plywood and veneers with FSC 100% claims but reported zero transactions to their certification body for three consecutive years. After the certificate of Hangzhou Zen Bamboo was terminated, a new company called Hangzhou Zenbamboo Technology was established, which obtained FSC certification. FSC has confirmed that the new company is the successor of Hangzhou Zen Bamboo. Therefore both certificate holders have been blocked. Nanping City Jianyang Xinen Bamboo Industry Co., Ltd. (FSC-C155776): This company sold bamboo products claimed to be FSC certified without having eligible raw materials to support these claims. Furthermore, they did not disclose these sales during the surveillance audit. Xuancheng Bothbest Enterprise Co., Ltd. (FSC-C165363): This certificate holder repeatedly (from 2018 to 2022) obtained certification and then voluntarily terminated their certificate within 12 months each time. This enabled them to skip the first surveillance audit after getting certified. During the timeframe of this TV loop (July – December 2021), they sold bamboo products with FSC 100% claims but reported no transactions with FSC claims in the documents submitted to their certification body. FSC is investigating several other cases where potential integrity risks were identified by ASI. More certificate holders within the bamboo supply chain may be blocked as a result. Information about blocked organizations can be found in FSC’s public search. In addition to false claims, the following integrity risks and wrongdoing by certificate holders were identified in this TV loop: Some certificate holders did not report the sale of certified products to their certification bodies during the annual surveillance audit, which is a normative requirement by FSC. These sales were discovered when the certificate holders or their clients within the supply chain submitted their transaction data for the TV loop. The investigation revealed that there is a risk of a blocked organization who is continuing their wrongdoings but routing them through a valid certificate holder. This typically happens when personnel in decision-making and leadership positions at an active certificate holder previously managed a blocked organization. Some certificate holders were observed as being uncooperative, hindering the progress of the TV loop. Most certificate holders against whom evidence of integrity risks have been found belong to the manufacturing segment of the FSC bamboo plywood/flooring supply chain, primarily located in China. Consequently, products with false claims could eventually be passed on to downstream buyers, including retailers or distributors in import markets, primarily in Europe and North America. Transaction verification investigations and analysis of certified supply chains will help FSC to strengthen its normative framework. Observations from this investigation would be included in the ongoing revision process of FSC’s chain of custody standards. For more details, click here: Revision of Chain of Custody Standards and FSC-STD-20-011 Chain of Custody Evaluations | FSC Connect Certificate holders purchasing manufactured bamboo products are encouraged to conduct their own due diligence on FSC-certified suppliers and verify that the purchased products are correctly covered by the scope of the suppliers’ FSC certificates.

Manufacturer of base-machine-independent harvester heads Kesla has released its RH-III harvester head range. Source: Timberbiz KESLA 19RH-III twinAX is an efficient solution for energy wood harvesting. Thanks to the modular structure of the RH-III harvester head series, KESLA 19/21RH-III is easy to equip for various applications. The KESLA twinAX cutting system is a cutting knife unit intended to replace the saw module of KESLA 19/21RH-III heads. With a cutting capacity of up to 30cm (depending on the wood type), KESLA twinAX is perfect for heavier energy wood harvesting sites. A regular saw module can easily be replaced with the twinAX module and vice versa, reducing the risks related to head investments, even in rapidly changing work situations. Equipped with the revamped KESLA MTH-grip multi-stem processing grapple, KESLA proTILT tilt control and multi-stem feed rollers, the harvester head is an incredibly efficient tool for multi-stem processing. Kesla has made many upgrades to the KESLA RH-III harvester head range that improve the products’ operating characteristics and durability. The extensive updates to Kesla’s manufacturing technology have enabled, for example, the development of robotic welding and automation as well as the introduction of new structural solutions, which is reflected in the higher durability of the upgraded frame structures and the improved power-to-weight ratio of the heads. An important addition to Kesla’s accessory range is the SuperCUT 150 saw module, which is now available for the sturdier KESLA RH-III models from the 26H-III onwards. For a long time, Kesla has been heavily investing in the development of harvesters for excavators and cooperating with multiple excavator manufacturers. Kesla’s product selection includes productised installation kits and accessories that make installing a head to most excavator models’ hydraulics easy, providing an efficient and effective solution that is also approved by base machine manufacturers.  

Combilift has been having an award winning month with the company now on a trifecta after receiving an award as Ireland’s Best Managed Company by Deloitte. Combilift is a Platinum winner for the 6th time. Source: Timberbiz Combilift management prowess was rewarded at Deloitte’s awards ceremony in Dublin on the 19 September. The Deloitte Best Managed Company award acknowledges the achievements of management teams, and not just individuals. The accolade recognises overall business performance based on the criteria of strategy, capability and innovation, culture and commitment as well as governance and financial performance. Judges examine every company based on these four equally weighted pillars to select a winner. The Best Managed Companies Program originated in Canada in 1993, with Ireland’s program being the second longest running, introduced in 2008. In addition to Ireland and Canada, the program is currently run in a total of 48 countries across four continents. Combilift has grown from a small team of 10 to a total staff of more than 850 people, selling to 85 countries worldwide. When receiving the award, Martin McVicar said; “It’s a great honour for us as a company to be acknowledged once again by a global brand such as Deloitte’s Best Managed Companies. The credibility of this global award enhances our brand to scale internationally”.

Hobart’s Macquarie Point stadium has been hitting the news lately as a 265-page report was released – the Macquarie Point Stadium summary report which was submitted to the Tasmanian Planning Commission. The timber roof of the stadium is expected the cost around $160m. Source: Timberbiz It is likely that this will become the world’s largest timber roofed arena, and it will feature Tasmanian glulam, the report goes into detail on the materials and systems that will feature in its construction. Other Tasmanian timbers are expected to be used widely by lead architects Cox Architecture. German company Schlaich Bergermann Partners were the designers for the translucent roof. The roof level will accommodate the roof structure and an access gantry for services infrastructure, and it will support field lighting that would otherwise need to be provided with lighting towers. The roof area of the western section of the Multipurpose Stadium above the function rooms will also include solar photovoltaic panels. The defining feature is the roof shell which the report states is a feat of engineering, the 190-metre clear-span structure is believed to be the largest fixed roof over a natural grass oval anywhere in the world. The report states that the project will be an all-weather, roofed, uniquely multipurpose stadium that reflects the character and story of Tasmania with a 23,000 seated capacity and 1,500 structured standing area, offering a boutique and premium fan-experience, with a seating bowl designed to enable people to get close to the field of play, supported by a single continuous concourse that wraps around the stadium. The expansive shell roof over the field is intended to be a translucent skin that admits light, views and a sense of connection to the city, mountain and waterfront beyond. The timber in the structure is on the underside, and the volume created underneath will promote an awe-inspiring experience. The streamlined structure allows the maximum internal height above the centre of the pitch and an overall form that reduces in height and scale across all elevations, establishing a height at street interfaces that is comparable to and compatible with the scale of existing buildings. The development of the roof has undergone an extensive options evaluation process to assess various roof typologies against a range of design criteria. The transparent sections of the roof are comprised of ethylene tetrafluoroethylene (ETFE), which is a high-strength polymer material that has been used on several other roofed stadiums in Munich, Beijing, Dunedin and Las Vegas. According to the report the proposed Multipurpose Stadium construction works are intended to commence after approvals are received and the contract is awarded, enabling a commencement in late 2025. However, there’s been controversy over the fact that the stadium’s car park, a three-storey underground area, was not included in $775 million cost estimate and neither was the cost of relocating the heritage-listed Goods Shed nor was the building of an access road at the north part of the site. An amount of $715 million was the initial cost put forward in June this year. According to the Macquarie Point Development chief executive Anne Beach the car park was not included because it was not specific to the project. You can download the report here.

Known for its rich biodiversity and vast natural landscapes, Australia is a globally significant exporter of hardwood chips, which represent around 80% of its total woodchip exports. Source: Resource Wise However, the Australian forest products sector faces challenges in both its woodchip export markets and at home, where more working forests are needed to meet rising wood demand. One of the primary shifts in this market has been the decline in demand for hardwood chips from China, an important consumer of Australian wood products. For the past few years, China has been the top export market for Australian hardwood chips, accounting for more than 60% each year since 2018. But the tides started to change in 2023 as China’s hardwood chip volumes from Australia dipped to nearly half of what they were five years prior. This comes as China’s domestic paper industry transitions from relying on woodchips to importing wood pulp instead. However, it remains uncertain if this transition will be temporary, as it depends on the cost difference between wood chips and pulp. Several factors make importing wood pulp more attractive than chips. For China, cost is the primary consideration. Other secondary factors include the greater efficiency wood pulp offers in the production process. Being more refined than woodchips, wood pulp provides a more consistent and higher quality raw material that can be directly used in paper manufacturing, thereby reducing processing time and costs. China’s logistical considerations are mainly cantered on the delivered cost to their pulp manufacturers. If the cost remains more favourable than that of woodchips, it is likely they will continue to prefer pulp. Australia’s wood export industry is not exclusively reliant on China. Japan plays a major role, accounting for 35% of Australia’s hardwood chip exports in 2023. In fact, Japan has been consistently importing about one-third of Australia’s export volume since at least 2015. Looking closer to home, Australia’s forestry market is facing increasing environmental restrictions, even as the demand for wood fibre grows. The focus of conservation efforts is primarily on natural forests, with specific attention to at-risk and older forests. Commercial plantation forestry is being recognized as a much-needed solution. Industry organizations such as the Australian Forest Products Association (AFPA) argue that farm forestry could be vital to sustainably meeting Australia’s rising demand for timber and wood fiber, which is predicted to quadruple by 2050. The recent lifting of restrictions that limited plantation forestry’s participation in the Australian Carbon Credit Unit (ACCU) Scheme has been lauded as a significant step forward. As the Australian forestry market continues to evolve, industry players need to keep a close eye on these shifts to navigate through the uncertainties of the market. Having access to up-to-date insights and strategic market analysis can provide a crucial competitive advantage. For comprehensive insights into the shifting currents of the global forestry market, including those unique to Australia, download our Market Insight report on Australia’s hardwood chip exports in 1H 2024. This report provides an in-depth look at the evolving trends, challenges, and opportunities that are shaping the global forestry market today. Download the report here.  

Women in Forestry and FICA have been working on a payroll project to research the best payroll option for forestry contractors in New Zealand. Source: Timberbiz PaySauce has come out on top and is offering a special joining deal for FICA and WIF members. After trialling four different payroll systems, PaySauce stands out as the best option aligned to the needs of forestry contractors. “Forestry contractors generally have different needs to standard/typical business, especially around the complexities of different allowances we pay,” WIF General Manager Sarah Davis said. “Having had experience running other systems for a number of years, I understand the benefits to the simplicity they offer but there are also drawbacks with some not being cloud based and in real time, especially for pay day filing. Plus, some competitors are not known for their customer service, and it can be difficult to get through to a real person on the phone.” Key features and benefits of PaySauce include: Functionality suitable for complex allowances forestry contractors pay Cloud base/real time updates Local/real people in the customer service team App based system meaning you can process payroll from anywhere Competitive pricing with a special three month joining offer for FICA and WIF members No set up fees (some other competitors charge NZ$50pp) Pain-free set up – all they need is a payroll report. Dale Rutgers from Loggabull in Taupo completed a PaySauce pilot/trial as part of the research process WIF undertook. “I want to thank Dale from Loggabull for taking the time to demo this payroll. She was very diligent with her questions and feedback,” Ms Davis said. After trying out PaySauce Ms Rutgers has committed to switching Loggabull over to PaySauce. “It will be good to start using a web-based system that has a lot of different capabilities. It’s great that it is a NZ company, and you can speak to a real person in NZ if you need any support,” she said. Ms Davis acknowledges that switching payroll systems is not always simple and easy. “I understand the drama of having to change over a payroll system, so we have strived to find the best system that will make it as painless as possible,” she said. “The team at PaySauce have assured me that the switch is seamless and all they require is your payroll reports. Then they can load everything for you. “With the added benefits of PaySauce running through an app, you can process payroll anywhere in the world off your phone.” As a WIF or FICA Member, sign up for a PaySauce ‘Standard’ plan before 31 December 2024, and it’ll be free until the end of 2024. You’ll also get 10% off your monthly subscription until 31 December 2025. T&Cs apply.  

Swift parrots are back in Tasmania in search of forest areas with the richest food sources to forage and breed. Source: Timberbiz Sustainable Timber Tasmania’s Swift Parrot Monitoring Program, now in its fourth year, is focused on effectively managing and supporting habitat for breeding swift parrots in Tasmania’s public production forest. Sustainable Timber Tasmania spent the past month surveying 1,238 trees across 129 sites to evaluate eucalypt bud levels. This is important because swift parrots are migratory, returning to Tasmania in the warmer months, and move into areas with the richest food sources to breed. Bud surveying is crucial to understanding where key foraging trees will flower this spring and summer. Findings from the survey show that Eucalyptus ovata and Eucalyptus brookeriana in the Eastern Tiers, East Coast, Bruny Island and southern coastal areas are set to provide foraging opportunities for this season. Eucalyptus globulus on the Tasman Peninsula and coastal areas will also be important food sources this season. Results from these bud surveys help Sustainable Timber Tasmania focus its Swift Parrot Monitoring Program during breeding season. General Manager Conservation and Land Management Suzette Weeding said that Sustainable Timber Tasmania is proactively monitoring and evaluating any potential nesting activity on public production forests which will inform our forest management and minimise risks to nesting birds. The research and operations team conducted reconnaissance this past week located in and around our forest coupes with potential foraging and nesting habitat. No swift parrots were heard or seen however, the team placed acoustic monitors out in the forest, which will be its ears to listen for any swift parrot activity in the area over the coming weeks.    

Time is running out to nominate a forest contracting legend to be recognised with an AFCA Hall of Fame, Service to Industry or Industry Excellence Award for 2024. Nominations close on Monday 30 September with the winners announced that the AFCA Gala Dinner in November. Source: Timberbiz “These awards are a chance to recognise and celebrate the amazing people and companies operating in the forest contracting sector, and the other businesses and organisations that are supported them,” AFCA General Manager Tim Lester said. “Every two years we induct up to 10 AFCA members into our Hall of Fame, and further recognise the significant contribution of one of our Hall of Fame members with an Industry Icon Award. “With our Service to Industry Awards we take the opportunity to recognise up to 5 individuals, businesses or organisations. It’s our way of saying thanks and acknowledging these important contributions. “We will also celebrate achievements in the fields of operational performance and safety practice. Contracting businesses and workers are innovating all the time, finding better, more efficient and safer ways to get the job done. “AFCA is also proudly continuing our other individual categories to highlight achievements of an incredible female leader and of the next generation. “Thanks also to our award sponsors – ForestFit, Forestworks, Forico, John Deere and the Forest Research Institute. Their support makes these Awards possible. “These Awards are a way to demonstrate the great work being done in and for forest contracting, so make sure you get your nominations in!” Mr Lester concluded. Nominations are being accepted online through the AFCA website at www.afca.asn.au The Gala Dinner and Awards night will be held on 14 November at the Tramsheds in Launceston, Tasmania.

Forest sustainability has taken on different meanings in Western Australia – changing depending on the audience. In one corner the Minister for Forestry, Jackie Jarvis, has repeatedly claimed the closure of the native forest industry was necessary because it was unsustainable. Source: Australian Rural & Regional News In the other corner is Stuart West, the General Manager of the Minister’s agency, the Forest Products Commission, overseeing harvesting operations in the jarrah and karri forests which have been independently certified as being sustainable. Both can’t be right, can they? Then Premier Mark McGowan announced an end to ‘commercial harvesting’ on 8 September 2021 under the smokescreen of climate change. Meanwhile, the Minister for the Environment has admitted there were no reports to demonstrate this link and the government’s alternative facts have been shown to be populist opinion. Despite this lack of scientific evidence, Jackie Jarvis continues to spout the same talking points. The FPC has followed suit and mouthed the government line. Their actions are however very different. Through all the anti-forestry propaganda the FPC’s operations in the native forest have maintained certification to the Sustainable Forest Management standard AS4708. FPC continues to hold this certification three years after we were told the operations weren’t sustainable. Responsible Wood oversee the implementation of this standard and ensures independent auditors check FPC’s performance. By maintaining certification Stuart West and the FPC are confirming the results of the certification that there is sound scientific evidence that WA forests are being sustainably managed. If the FPC didn’t believe that was the case, they should have handed the certificate back in 2021. Instead, the FPC has continued to have its forest harvesting audited in December 2021, February 2023 and August 2023 – confirming that they conform to AS 4708. This certification of sustainability continues until June 2025. Under Standard 4708 sustainability needs to be based on science and includes maintaining, enhancing or restoring ecological processes; carbon, nutrient and water cycles; and the biodiversity of forest ecosystems. Forest Monitoring under the acclaimed Forestcheck program has shown this to be the case since the 1990’s. It is clear the left and right side of government don’t know what the other is doing. Independent Auditors for Responsible Wood say the forests have been sustainably managed for timber production based on systematic assessment against defined criteria. Jackie Jarvis says they aren’t based on the politics. In a bizarre twist Stuart West sits on the Board of Responsible Wood (surely a conflict of interest).  He is precariously astride a barbed wire fence. As a Board member he is bound to support and uphold the integrity of the Sustainable Forest Management standard. As a vassal of the Minister, he has to publicly support her position. This certification fiasco follows on Jackie Jarvis’s confession of being confused over the publication of forestry data, which she has subsequently confirmed will now remain hidden from public view. This lack of transparency and accountability is totally contrary to the requirements of AS 4708 and pledges of open government. As can been seen from the audit findings above the FPC does not deal with stakeholder complaints appropriately, another symptom of the secrecy surrounding the mismanagement of the forest industry. Gavin Butcher is a former director of the WA Forest Products Commission.

The Victorian State Government’s flawed forestry transition scheme is failing to provide promised funding to help businesses transition into plantation timber jobs, according to the Nationals’ Member for Eastern Victoria Region, Melina Bath who has called for immediate state government intervention on behalf of Hodge Forestry in Latrobe Valley. Source: Timberbiz Due to government bureaucracy, Hodge Forestry cannot transition to the plantation industry and begin its new provisional contract. “Since 2014, Hodge Forestry has been providing specialised OH&S audit services as a VicForest contractor,” said Ms Bath. “Despite Labor’s claims of supporting workers and contractors, owner Trevor Hodge has not received any compensation or financial assistance following the closure of the native timber industry. “Without financial support, Mr Hodge cannot afford to purchase the specialist equipment to fulfill his contractual obligations for plantation work – it’s unacceptable.” Ms Bath said following advice from the Forestry Transition Team, Hodge Forestry applied for Round 3 of the Victorian Transition Innovation Fund but is yet to receive any news on whether his application has been successful. “It is unfair that Labor is leaving redundant forestry workers in limbo after its disastrous policy shut down Victoria’s sustainable native timber industry. “Labor has a history of turning its back on our forestry contractors. “After so much heartbreak, it is time for a good news story for contractors who have complied with the state government’s every requirement but are still facing uncertainty.” Ms Bath is calling on Labor to expedite the Round 3 application process so Mr Hodge can complete his transition and move forward.