News and views

Keep up to date with the latest forestry-related news and informed opinion.

September 2019

Forestry deals continue to keep the Overseas Investment Office (OIO) busy and 16 consents have been approved since the new streamlined forestry test was introduced in October 2018 (read more) Read more >>

Claymark has announce that its controlling shareholder has entered into an agreement with NZ Future Forests Products Ltd (NZFFP) to acquire the Claymark Group including all operations in New Zealand and the United States (read more) Read more >>

The Northland Regional Council is facing a loss of $800,000 dollars after investing in a high-tech timber mill at Marsden Point (read more) Read more >>

NZU carbon credits last traded at $24.85 (see chart) Read more >>

ForestX Comment
In the most recent set of ETS announcements forests registered in the ETS before 2019 will not be able to transition to averaging accounting. Other announcements include provision for foresters using averaging to offset their liabilities by planting an equivalent forest elsewhere and that foresters using averaging won't have to pay back NZUs after adverse events. What has not been clear is when the legislation will be introduced to Parliament. Read more >>

August 2019

KiwiRail's proposed freight hub at Dannevirke may extend Napier Port's log catchment further south, but is more likely to put existing trucked freight onto rail, port chief executive Todd Dawson says (read more Read more >>

Since 2011 almost 21,000 hectares worth $89 million has been sold to foreigners to plant trees (read more) Read more >>

Ngai Tahu Farming is converting Eyrewell Forest into dairy farming as the forest is felled (read more) Read more >>

Climate change policy and the ETS has topped the list of farmers' biggest concerns for the first time since 2010, according to Federated Farmers' latest Farm Confidence Survey (read more) Read more >>

Government plans to begin phasing down NZU industrial allocation at 1 per cent per year from 2021-2030, then at 2 per cent from 2030-2041, and at 3 per cent per year from 2041-2050 (read more) Read more >>

The CFR sale price in China for New Zealand logs has increased to around 113 USD per JAS m3 for A grade. Log supply into China has reduced considerably while log demand is still relatively healthy as they progress through their hotter months of the y Read more >>

NZU carbon credits last traded at $24.35 (see chart) Read more >>

July 2019

With the mountain of logs in China now estimated at more than 4 million cu m, or more than two months' supply, demand into China has virtually dried up, with prices falling by about 20% since early July (read more) Read more >>

In-market prices for logs in China - New Zealand's largest export market - have fallen in recent weeks and ANZ Bank warns the drop will make the harvest of some woodlots unprofitable (read more) Read more >>

Beef + Lamb New Zealand has expressed concerns about the potential impacts on communities of ''wholesale conversions'' of regions into forestry (read more) Read more >>

Farmland is not being gobbled up by forestry, and tree planting is moving the pendulum back after years of deforestation, Forestry Minister Shane Jones says (read more) Read more >>

A Tolaga Bay man whose farm was wrecked in last year's devastating storms which washed debris and logs onto roads and farmland is delighted one of the forestry companies has pleaded guilty to causing damage (read more) Read more >>

Moving another 100,000 tonnes of logs by rail from the Wairarapa to CentrePort benefits the region and means 6,000 fewer truck trips annually, Forestry and Associate Transport Minister Shane Jones says (read more) Read more >>

A $40 million project to reopen the mothballed Stratford to Okahukura rail line is a priority for new KiwiRail chief executive Greg Miller (read more) Read more >>

NZU carbon credits last traded at $22.90 (see chart) Read more >>

June 2019

Government forestry incentives have seen a 45% increase in forestry farm prices over the past year Read more >>

Forestry encroachment onto higher-value farm land is an issue for councils to manage, Lands Minister, Eugenie Sage says Read more >>

Thousands of hectares of prime Wairoa farmland sold to out-of-town forestry investors in recent months could have a "catastrophic" impact on the town Read more >>

The Forest Owners Association says the only way New Zealand can meet its international obligations to reduce carbon emissions by 30 percent in the next ten years is to plant 500,000 hectares of trees (hear more) Read more >>

There are fears the Government's goal to plant one billion trees by 2028 could be toppled by a chronic labour shortage Read more >>

Forestry Minister Shane Jones says if the goal of planting a billion trees by 2028 is to be met, forestry workers will need to be brought in from overseas Read more >>

A potential rail hub near Dannevirke could take 200,000 tonnes of logs off the regions roads, KiwiRail Deputy Chief Executive, Todd Moyle says Read more >>

Wood is a viable industrial fuel but greater effort may be needed to ensure that new demand from processors doesn't strip supplies from existing users, Fonterra says Read more >>

Avatar director James Cameron and Hobbit director Sir Peter Jackson, possibly anticipating land use changes, have joined forces to promote a meatless future Read more >>

ForestX's Comment
With the one billion trees planting programme now in full swing there have been some strong reactions from farmers. We are finally having a full debate in the media on sustainable land use. This is a debate we should have had before the one billion tree programme started. Commentators are focusing on sheep and beef hill country. What is the best use of this finite resource: pasture or trees? Plantation forests have been seen as the only way of making a serious attempt at meeting our Paris agreement climate objectives. Read more >>

May 2019

An arrangement signed by New Zealand and China paves the way for future forestry cooperation and boosting bilateral trade Read more >>

More and more of Wairarapa's rolling green pastures are being blanket-planted with pine trees, which rural communities warn are killing their way of life Read more >>

North Canterbury farmers have expressed concerns at the Ministry of Primary Industries "One Billion Trees'' programme Read more >>

Many industries within the primary sector are facing staffing issues, the retention rate of new entrants to forestry after three years averaged only 30% Read more >>

A forestry company has been fined more than $70,000 after poor practices led to significant sediment pollution in the Marlborough Sounds Read more >>

A large number within the industry want to be able to use carbon credits from other countries Read more >>

NZUs last traded at $25.35

The Government will make an announcement regarding the NZ ETS at 5.15pm today Read more >>

April 2019

Introduction of averaging accounting for all forests registered from January 1 2021 and the option to use the new accounting method for all forests registered in 2019 and 2020 Read more >>

The government has secured its second-largest forestry planting partnership as part of its one billion tree programme Read more >>

The Forestry Minister says the industry has a moral obligation to reduce harm caused by Methyl Bromide Read more >>

The rules governing forestry are too light and need to be reviewed, environmental groups say Read more >>

The report by Parliamentary Commissioner for the Environment Simon Upton, Farms, Forests and Fossil Fuels: The Next Great Landscape Debate, concluded the planting of trees could only buy a little more time and would not fix the problem in the long ru Read more >>

At Wharf Gate (AWG) prices for logs delivered to ports around New Zealand decreased on average 7 NZD per JASm3 in April. This decrease in AWG prices is due to a combination of increased shipping costs and uncertainty in the China log market Read more >>

NZUs last traded at $25.65

ForestX's Comment
Congratulations to the Government on the long awaited announcement on a move to “averaging” carbon when accounting for tree crop sequestration in the Emissions Trading Scheme. The early cashflow effect from this for landholders makes commercial forestry a much more attractive land use option. But, as the demand for carbon offsets increase, to possibly balance agricultural emissions, will future governments be brave enough to let the carbon market run its course? If the answer is yes, returns from carbon may come to outstrip the returns from logs. Read more >>

March 2019

Air New Zealand, Contact Energy, Genesis Energy and Z Energy have joined forces to create a partnership that will establish a forest portfolio to sequester carbon Read more >>

OneFortyOne has announced that as a result of strong domestic demand it has advised customers that there will be no sawlog exported from its estate until at least June 2020 Read more >>

The new owner of the Waverley Sawmill in Taranaki says a $30 million state-of-the-art plant could be built to replace it in a few years Read more >>

East Coast forestry companies plead not guilty to slash damage Read more >>

At Wharf Gate (AWG) prices for logs delivered to ports around New Zealand decreased on average 5 NZD per JASm3 in March from the February prices. This decrease in AWG prices is due to increased ocean freight costs for export log cargo Read more >>

NZUs last traded at $25.20

February 2019

Australian-based international New Forests has agreed to acquire Hikurangi Forest Farms on behalf of its investment clients subject to Overseas Investment Office approval Read more >>

Nelson Forests' acquisition of Manuka Island estate has been confirmed by the Overseas Investment Office Read more >>

Amid record returns for forestry exporters, the sector in New Zealand is being warned that the global demand for logs is beginning to trend downwards Read more >>

Tasman fire costing industry $2m a day

At wharf gate prices for logs delivered to ports around New Zealand increased on average 12-13 NZD per JASm3 over the last two months. This is due to a combination of increases in the CFR sale prices in China and a reduction in ocean freight costs. A Read more >>

NZUs last traded at $25.20

ForestX's Comment
Right from the start Shane Jones said he would have preferred the fisheries portfolio to the forestry portfolio. He has said that he took forestry at the request of his leader. After just over a year in the job the Minister has received widespread praise for lifting the profile of the industry. Now in his second year as Minister of Forestry the question being asked is whether he has sufficient grasp of available policy options to win the hearts and minds of land owners to encourage planting levels. Read more >>

December 2018

China Forestry Group NZ and Taranakipine sawmill in New Plymouth have signed a supply agreement that supports long term wood processing in New Plymouth Read more >>

Alliance Group chairman Murray Taggart has expressed concern over what he sees as the Government's apparent determination to subsidise forestry plantings at the expense of low environmental impact sheep and beef farming Read more >>

New $118 million grant scheme to help landowners plant trees has been announced by the Government Read more >>

The Government's adoption of auctions for the emissions trading scheme will leave in place the $25 fixed-price option for next year Read more >>

A new permanent post-1989 forestry activity within the ETS will replace the current Permanent Forestry Sink Initiative Read more >>

ForestX's comment:
Bio-based plastics made from forest resource have been under study for years. Many can serve as drop-in replacements for the fossil-fuel based plastics that most of us are familiar with, such as polystyrene and polyethylene. Overseas the momentum for a new bio-plastics industry is building. The UK government has set a target of eliminating all avoidable plastic waste by 2042. Bioplastics will play a crucial role in achieving this target. Read more >>

November 2018

The Provincial Growth Fund (PGF) will provide a loan of up to $1.8 million to TaranakiPine to allow the company to diversify and create new jobs Read more >>

Salt Funds Management plans to list a dedicated carbon fund, opening up the green commodity directly for retail investors Read more >>

Regional Economic Development Minister Shane Jones has announced up to $19 million in co-funding to increase the national coverage of LiDAR data - precise measurements of the earth's surface done from the air and used for creating 3D maps to manage Read more >>

In November prices for unpruned saw logs increased by 3-4 NZD per JASm3 at all ports while pruned logs increased 7-9 NZD per JASm3 Read more >>

NZUs last traded at $24.85

Graham West's comment
The recent indication that the future of the One Billion Tree fund will be two thirds orientated toward planting native species indicates that the Government has capitulated to anti-commercial forestry sentiment. Many miss the broader picture that commercial forestry has been a successful part of the rural landscape for more than 60 years and contributes significantly to regional economies. The NZ Farm Forestry Association has 1,500 members, there are another 10-12,000 small scale forest owners who have directly invested in forestry, and if shareholders of syndicates are counted the number of investors rises to near 100,000. Read more >>

October 2018

The Overseas Investment Office has given approval for NS Norway to buy Norwegian company Norske Skog's Kawerau assets for $29.9 million Read more >>

A Japanese-owned forestry company has promised to give 148 hectares of land to a local iwi for free as part of its consent from the Overseas Investment Office permission to buy 1,241ha near Whanganui Read more >>

Juken New Zealand Ltd confirms plan to return Kaitaia Triboard mill to profitability Read more >>

The Malaysian owner of a forestry company blamed for tonnes of debris washing up in Tolaga Bay has been fined twice for illegal logging overseas, but it took the Overseas Investment Office nine years to realise Read more >>

Fears forestry slash on council-owned land along the Maitai River could damage residential areas in a major storm has led to an investigation of harvesting rules Read more >>

The forestry industry has unveiled a robotic tree logger to cut deaths and injuries and boost production Read more >>

The PF Olsen Log Price Index increased $3 to $130 for October, the index is currently $4 above the two-year average, $6 above the three-year average, and $15 higher than the five-year average Read more >>

NZUs last traded at $25.25

ForestX's comment
A recent meeting of nearly forty bankers, accountants and solicitors in Hamilton confirmed forestry as an important diversification for farmers to consider in developing a more resilient cash flow from their property. It was further confirmed that understanding the major drivers of forest profitability was needed to avoid the mistakes of the past. Three simple criteria apply: location, location and location. Read more >>

September 2018

South Australian-based sustainable forestry company OneFortyOne Plantation has just completed the purchase of the 60,000ha Nelson Forests, after approval by the Overseas Investment Office Read more >>

The Australian forestry company, OneFortyOne, plans to buy the Manuka Island forest estate, near Blenheim, for an undisclosed sum Read more >>

Japanese-owned wood products company Juken is to upgrade its board mill in Kaitaia but also cut the workforce Read more >>

The Provincial Growth Fund (PGF) will invest $500,000 in the Far East Saw Mill in Tairāwhiti to increase wood processing capacity and get local people into jobs Read more >>

Foresters and farmers are casting a wary eye over the Productivity Commission's wide-ranging report on the country meeting its climate change target; especially the required annual forest planting rate of 100,000ha Read more >>

Lees Seymour, managing director of Nelson Forest's management company, which has announced measures to tackle controversial forestry practices Read more >>

Safety fears about logging waste on land along the Maitai River, including at this council-owned site, has sparked an investigation Read more >>

ForestX's comment
As the Government considers various foreign investor applications in the forest and wood processing sectors what should it be looking for? More than anything it should be looking for the opportunity to bring improved management into the industry and joint ventures with local parties. It is no secret that the forestry industry has not performed as well as it could have and that New Zealand has not benefited as well as it should have. Read more >>

August 2018

The Government is doubling to nearly $500 million the funding for forestry planting from its Provincial Growth Fund Read more >>

Ngai Tahu is planting a million native trees in New Zealand and converting some of its farms to horticulture as part of its strategy to deal with climate change Read more >>

Forest Owners Association says not replanting trees in dangerous terrain will see landowners penalised for not meeting environmental regulations Read more >>

Forestry Minister Shane Jones and Minister for Climate Change James Shaw have today opened consultation on improvements to the Emissions Trading Scheme Read more >>

A report on alternative plantation forest species suited to steep erosion prone land has been released Read more >>

The Ministry for Primary Industries has welcomed two South Island councils, Nelson City and Marlborough District, into the Hill Country Erosion Fund Read more >>

ForestX's comment
The time is right to review the Emissions Trading Scheme (ETS), congratulations to the Government on getting its review underway. The ETS is a complex scheme that most people put in the too hard basket. Many attempts have been made at trying to explain it but with so many intricacies it’s a hard ask. One approach to simplification could be to accept that most people planting trees are pleased to do so for the environmental impact even if this is only ancillary to financial objectives. Read more >>

July 2018

Forestry investment manager New Forests has announced that its Australia New Zealand Forest Fund 2 has acquired a 38% shareholding in Wenita Forest Products Ltd and full ownership of the Otago Land Company. Read more >>

Z Energy has invested $1.5 million in permanent local forestry projects to voluntarily offset the emissions from their operations Read more >>

Government's Provincial Growth Fund is putting nearly $1 million into beefing up forestry in the Horizons Region Read more >>

The Gisborne District Council says the damage done by last month's flooding could take more than two years to fix Read more >>

The pyrolosis lab on Scion's Rotorua campus is turning wood biomass into biofuel Read more >>

July's At-Wharf-Gate (AWG) prices for logs delivered to ports around New Zealand are relatively unchanged from June prices Read more >>

NZUs last traded at $22.40

Graham West's comment
Radiata Pine will grow at about five times faster than native species. It grows almost anywhere, it's easy to establish and manage and the underpinning science has a 70-year record. It is now about 95% of the commercial plantation estate that returns over $5bn in export earnings. As the climate warms and CO2 intensifies, radiata will grow faster. Following the mantra “right tree, in the right place, for the right reason many commentators and land use articles are exploring alternative tree species to fix all manner of environmental ills. Read more >>

June 2018

Sumitomo Forestry's NZ unit posts record annual profit after buying Hancock forests Read more >>

Fletcher's Laminex exits 10-year investment in Southland MDF plant with sale to Daiken Read more >>

'More than enough' wood fibre to supply proposed $180M Kawerau plant, report says Read more >>

Te Uru Rakau (Forestry New Zealand) and the Ngati Hine Forestry Trust have signed a joint venture agreement to plant and manage around 3,600 hectares of pine trees on the trust's land Read more >>

Ngati Koata said a recent decision by the Nelson City Council to cut some of its forestry operations has highlighted a long-standing concern among iwi about being locked into onerous land deals Read more >>

Recent floods in Tasman, and now the East Cape could see increased use of continuous cover forestry Read more >>

Masses of forestry debris that flooded a small town north of Gisborne has created a $10 million cleanup Read more >>

Westpac economist Paul Clark predicts softening Chinese demand during the next year will see log prices fall Read more >>

Free manuka seedling offer nearly 200 percent oversubscribed Read more >>

Consultation paper proposing a dozen improvements to forestry regulations in the New Zealand Emissions Trading Scheme Read more >>

The forestry industry is consulting plantation and farmer growers to determine whether they want a biosecurity levy Read more >>

May 2018

Forestry Minister Shane Jones has launched Te Uru Rakau, the first step in re-establishing a forestry service in New Zealand Read more >>

Te Uru Rakau will partner with Manuka Farming New Zealand to plant 1.8 million Manuka trees across New Zealand this year Read more >>

Southland District Council's forestry business is continuing to perform strongly, with an expected $2 million surplus this year Read more >>

New Zealand's export log market has picked up following a slowdown ahead of the Chinese New Year period and traders are optimistic about the outlook for the year ahead Read more >>

New Zealand mills producing sawn timber from unpruned logs report steady domestic sales while not as spectacular as last year in some regions Read more >>

The FMA has applied to the High Court at Nelson to place the Forestlands companies numbered 2-20 into liquidation Read more >>

New Zealand can achieve a carbon-neutral economy by 2050 Read more >>

National Environmental Standards for Plantation Forestry commence

A Nelson conservation group has welcomed the news that the city council is to retire more than a fifth of its forestry land Read more >>

April 2018

The Government is set to announce it's struck a deal to plant four million trees on Ngati Hine land in the far North Read more >>

Investments in sensitive land involving forestry rights will be brought into the scope of the Overseas Investment Act Read more >>

The forestry industry is hoping robots will soon take over the most dangerous jobs Read more >>

Waitaki-based forestry operations could pay higher rates to keep up the district's roads Read more >>

Allbirds, the merino wool shoe company, is adding wood fibre to the range of materials it uses for a new range of sneakers Read more >>

Almost 90 per cent of the environmentally-damaging fine sediment at the mouth of the Moutere River came from pine forest Read more >>

Taking faster action on climate change could save New Zealand $30 billion by 2050, according to new research commissioned by Westpac Read more >>

Graham West's comment
Are we at a tipping point in forestry politics? Typically, small scale urban investors, farmers, and Iwi have been taking investment risk without good representation or support. Already there are 12-14,000 of them, about 30 percent of the total plantation area. If a further 500,000ha of trees are to be planted, it is more than likely that only this group will have the land to make the programme happen. Read more >>

March 2018

New Zealand exported a record volume of logs to China last year as Asia's largest economy clamped down on harvesting its own forests Read more >>

Forestry registration rights are to be brought under the control of the Overseas Investment Office Read more >>

The apple grower and logistics company, Scales, is eyeing a possible expansion into the forestry sector Read more >>

8% revenue increase in Kiwirail’s overall forestry business in the six months to December Read more >>

KiwiRail is beginning work on the much-delayed Napier to Wairoa rail reinstatement Read more >>

Bay of Plenty village Minginui is to get a funding boost of almost $6 million for a native plant nursery Read more >>

The owners of two Whanganui forests are frustrated by the difficulty of getting their trees registered in New Zealand's Emissions Trading Scheme Read more >>

New Zealand's carbon emissions continue to rise, but new figures from Statistics New Zealand show the increase is slower than growth in the economy for most of the last 25 years, suggesting a relative improvement in resource use Read more >>

Graham West's comment
Last month I commented on the need for good information and professional advice when converting land to forestry. There have been two studies that have looked back at past afforestation eras and calculated how much of that forested area is likely to be harvested at a profit or harvested at all. A study from the University of Canterbury looked at the Whanganui District in 2012 and estimated 5-10% of the forests may never be harvested because of high costs. Read more >>

February 2018

Record log exports last year could mean building timber shortages for domestic New Zealand housing and reliance on imported lumber Read more >>

China has largely stopped felling its forests while Canada and Russia are not supplying China at present, prompting it to purchase more logs from New Zealand and Australia Read more >>

No big land-bank of Crown land available to plant in trees, so effectively any planting of new land is largely going to come off land that is already in existing use Read more >>

The Overseas Investment Office has approved multiple deals allowing foreigners to buy tens of thousands of hectares of land in New Zealand, although two of the deals involve entities that are already partially foreign owned Read more >>

Juken New Zealand, a unit of Japan's WoodOne Ltd, is consulting workers at its Gisborne wood-processing mill on a plan that may see it halve the mill's workforce as it struggles to return to profitability in a highly competitive market Read more >>

Activate Tairawhiti and Eastland Community Trust have jointly announced the sale of Prime Sawmill to New Zealand-owned Far East Sawmills, guaranteeing the creation of between 50 and 60 jobs at the Prime Wood Processing Centre of Excellence by April Read more >>

Steve Wilton, of Masterton company Forest Enterprises, has initiated the latest stage of the company’s succession plan by handing the leadership to fellow Directors Read more >>

Pushing forestry back from the edges of the Marlborough Sounds will cost forest owners millions of dollars, with industry saying it could be seen as land confiscation Read more >>

Dunedin City Forests withdraws all public permits to enter its forest blocks and curtails its own operations Read more >>

Graham West's comment
Last year I commented on the high returns from current harvesting, however I don’t believe this is being translated into significant interest in new planting, certainly not at the rate of the governments aspirational target of 50,000ha per year. The Crown Forestry action is clearly around doing deals to secure land for leasing and other deal makers, like Toitu Te Waonui, and various forestry consultants, are doing the same, good on them. Read more >>

December 2017

Australian forestry company New Forests has a war chest of up to $500 million set aside for investing in New Zealand forestry Read more >>

Australian company is set to take Nelson's largest forestry business, Nelson Forests Read more >>

Forestry consultant calling for the forest industry to shorten the harvesting period for radiata pine trees to plug a predicted slow-down of wood supply Read more >>

Forestry investment company Rubicon is planning to sell its remaining stake in a central North Island wood products company Read more >>

A new directive for forestry directs the Overseas Investment Office to place high importance on increased processing of primary products and the advancement of the Government's policies when assessing applications for consent Read more >>

Forestry Minister Shane Jones has welcomed $7.4 million in erosion control funding for Gisborne district landowners Read more >>

The Ministry for Primary Industries will be separated into four divisions, with the ministry retaining an overarching role Read more >>

Air New Zealand is in the early stages of scoping the private afforestation fund with the government but planting could begin next year Read more >>

Graham West's comment
The recent log price reports and financial returns for forest woodlot investors indicate there is real money being made in radiata pine woodlots. Reports on export log prices (a rise of $4-5 a cubic metre) in the last month has added to the rising trend for the last two years. PF Olsen's log price index is now $16 higher than the 5-year average. This is great news for farmers and urban investors who were "lucky" enough to plant woodlots in the early 1990's. Read more >>

November 2017

A world-first DNA feat by New Zealand scientists could boost the way we grow the star species of our plantation forests Read more >>

Growth projections show the country is heading toward a log boom that will have 55 million cubic metres of timber ready for harvest in 2024, that's more than twice the current rate Read more >>

Builders say booming log exports mean New Zealand tradespeople are having to make do with second-rate timber Read more >>

Funds had been set aside to build a rail line to Northport and modernise the line to Auckland as a condition of New Zealand First's coalition deal with Labour, Minister Shane Jones said Read more >>

Napier Port says the volume of wood shipped through it's docks will double for almost a decade Read more >>

Oregon Group, which manages a New Zealand portfolio of businesses for Malaysia's Tiong family, expects record earnings in 2018 on rising prices for forest products Read more >>

The new Labour-led government is dismantling the mega MPI ministry, splitting it into three parts covering forestry, fisheries and agriculture respectively Read more >>

NZUs last traded at $19.20

Graham West's comment
The recent announcements on afforestation by the new government are welcomed. The traditional forest industry of international corporates and farm foresters have already planted their land. It is more likely young farmers and Iwi will have spare land for new planting. Four things will help. First, a broader coalition of stakeholders is needed. The coalition could include urban investors, as happened in the 1990s. Read more >>

October 2017

Some New Zealand forest owners are suspending replanting of trees and re-thinking investments as the country's third-largest export earner finds itself in the sights of Winston Peters' protectionist agenda Read more >>

The forestry sector is heading into 2018 with some speed wobbles, following stellar times during the past almost two years Read more >>

The forestry industry is facing a frightening amount of work in the next few years, as it struggles to attract staff, a forestry management company says Read more >>

A Maori forestry company in Northland is urging politicians to use it as a model for future regional development Read more >>

A United States company is now allowed to buy land in the Waimate District for a commercial forest Read more >>

It might be another year before the Napier to Wairoa rail line is operational Read more >>

Many pine forests around the country are developing an unwelcome red tinge. It's the sign of a relatively new disease in New Zealand; red needle cast Read more >>

Log prices paid by mills were generally unchanged with the occasional price increase for unpruned logs. Prices received for export logs delivered in October dropped. There has been a significant and relatively unforeseen increase in ocean freight Read more >>

Graham West's comment
Forest land buyers need to be aware of undisclosed carbon liability. Buying land that had forests on it prior to 1990, can lead to an unforeseen large carbon liability bill. Our recent experience with such properties has led us to discover there could be 160,000 ha of land where owners may not know they have a significant liability. That could be over 5000 woodlots nationally. These are previously forested areas that did not receive an allocation of carbon units, nor given an exemption from the ETS; hence there is no reason for a legal record, or entry on the land title. Read more >>

September 2017

Sumitomo Corp is reported to be looking to increase its supply of wood from its New Zealand forests by 60% by the year ending March 2020, as the Japanese trading house anticipates growing demand in China and other parts of Asia Read more >>

Northland wood processors are upset overseas companies are taking local trees before New Zealand-owned businesses have a chance to access them, and shipping unmilled logs straight to Shanghai Read more >>

Red Stag Timber, which developed New Zealand's first "super mill" a year ago, plans to step up production next year to meet demand in its local and overseas markets Read more >>

The Queenstown Lakes District Council has voted unanimously to adopt a recommendation to harvest the Coronet Forest early Read more >>

Wanganui foresters are worried by watching needles turn red and drop off radiata pines Read more >>

An amendment to the Real Estate Agents (Exemptions) Regulations 2017 will permit registered members of the NZ Institute of Forestry (NZIF) to carry out real estate work in the forestry sector without being licensed real estate agents Read more >>

Large swathes of New Zealand's forestry stock are reaching harvesting age, and the big chop has already sent greenhouse emissions climbing Read more >>

Forestry is poised to play a key role on farms as new limits around nutrients and carbon emissions are put in place Read more >>

NZ First will exit the Emissions Trading Scheme and replace it with a UK-style Climate Change Act Read more >>

Labour would establish a new Forestry Service in Rotorua Read more >>

Due to the drop in export prices the PF Olsen Log Price Index for August has dropped two dollars and is now at $125. The average sale price is still $13 per tonne above the three year average Read more >>

Graham West's comment
Many city politicians are promising to solve climate change with trees without understanding that forests can't just be established anywhere in the landscape. It's easy to talk this up, but we shouldn't make the same mistakes of the past (e.g. dairy conversions) of changing the land use to something the ecosystem can't handle. Farmers are ready and willing to do the right thing and plant their marginal land in trees. Read more >>

August 2017

Property mogul Sir Bob Jones plans to take the timber industry to new heights, by erecting the world's tallest wooden office building in central Wellington Read more >>

Global Forest Partners (GFP), a forestry investment company, hired investment UBS bank to sell Nelson Forests pine plantation business in New Zealand Read more >>

A Japanese forestry firm has bought more than 300ha of land planted in pine forest near Kaitaia Read more >>

A total of 5,183ha of new forest will be planted by 101 applicants who have received support through the 2017 Afforestation Grant Scheme funding round Read more >>

138ha of high erosion risk land in Northland have Afforestation Grant Scheme (AGS) applications pending with MPI Read more >>

Forest owners have been paying Whanganui District Council rates for 25 years and all they want in return is the roads to bring their logs out Read more >>

GE Free NZ welcomes the removal of an alarming draft clause that permitted the planting of GE rootstock Read more >>

A new nationwide set of environmental rules for managing New Zealand’s 1.7 million hectares of plantation forestry Read more >>

A report from Wood Resources International claims that although over 50% of the wood harvest in New Zealand is being exported as logs, lumber production had picked up by about ten percent over the last three years Read more >>

Southland students are trying their hand at operating "hi-tech" forestry equipment, as the industry tries to draw in more workers Read more >>

Variety rules a Waikato farm. Around 185ha of the flat to rolling contour property is in grass. The balance is steep land and hosts forestry Read more >>

ETS review may reduce forest planting while foresters wait for certainty Read more >>

July 2017

Japanese-owned Pan Pac Forest Products has completed the $24million redevelopment of its Milburn sawmill Read more >>

New Zealand structural log prices have hit their highest level in more than two decades Read more >>

The Southland District Council's forestry operation is set to post a big surplus this year, driven by soaring log prices Read more >>

A Nelson Forests contractor has been hit by a fourth "frustrating" burglary in less than a year Read more >>

The domestic demand for both pruned and structural logs remains strong and supply ranges from balanced to tight around the country, apart from a temporary glut of pruned logs in the Central North Island. The PF Olsen Log Price Index for June has dr Read more >>

June 2017

Reductions in domestic harvest in China impacting on New Zealand exports Read more >>

Exports of log and wood materials increased 15 percent to $4.14 billion in the year ending March 2017 Read more >>

Residential building permits for the first quarter of 2017 were 4% up on the corresponding period a year earlier Read more >>

New Zealand's greenhouse gas emissions in 2015 were 24.1 percent higher than 1990 levels Read more >>

Forest Owners Association concerned recent Budget didn’t address afforestation necessary for New Zealand to meet its Paris Agreement commitments on climate change Read more >>

New Zealand First confirms that it would abolish the ETS Read more >>

Export prices for logs delivered to NZ ports in May increased by an average of $4 per JASm3 from April prices Read more >>

May 2017

A Chinese wood-processing company is to build a new 100-job particle board factory in Kawerau Read more >>

Northland experiencing a shortage of labourers in the forestry sector Read more >>

Eastland Port making application for resource consent to expand its log export facility Read more >>

The Financial Markets Authority has called in the Serious Fraud Office to look at some aspects of its ongoing probe of the Forestlands forestry investment group of companies Read more >>

Queenstown Lakes District Council exploring wood energy options for the Central Otago region based on 4.5-6.5c/kWh compared to diesel (17-19c/kWh) or LPG (12-14c/kWh) Read more >>

New Zealand log supply curbed by recent stormy weather Read more >>

As reported last month, log export prices have softened Read more >>

April 2017

Hancock Timber Resource's $370 million sale of its Tasman Bay forest to Japan's Sumitomo netted a little over $1 million Read more >>

A rise in the number of timber tree seedlings being produced indicates a recent decline in plantation forest replanting may be reversing Read more >>

Associate Primary Industries Minister Louise Upston has welcomed new forecasts showing forestry export revenue set to rise further over the next two financial years Read more >>

Southern hemisphere's biggest sawmill opens

Insurers have paid out almost $18 million for damage from the Port Hills fires in February Read more >>

The forestry and logging sector is worth $1.4 billion to GDP, making a substantially larger contribution than either the sheepmeat or beef sectors, says a new report Read more >>

Export prices declined by an average of $1 per JASm3 over the country Read more >>

March 2017

Wellington City Council purchases pine forest with the intention of making it a reserve Read more >>

Shortage of people with the right technology skills affecting forestry contractors nationwide Read more >>

WET Gisborne Ltd, a joint venture between Wood Engineering Technology Ltd and the Eastland Community Trust, is building a $9 million prototype plant using robotics Read more >>

Forest Owners say the new Federated Farmers’ policy on climate change is a major step to help farmers understand trees are not an alternative to farming, but rather trees are tools to assist farming Read more >>

New research led by NIWA atmospheric scientists, indicates that New Zealand’s forests absorb much more than previously thought Read more >>

Associate Primary Industries Minister Louise Upston has announced the opening of the Afforestation Grant Scheme 2017 funding round Read more >>

Log price outlooks carried out over the past year show a consistent optimism in pruned log price expectations, but none of those expectations have been met Read more >>

February 2017

Government confirms tree planting as one of three areas of action in its climate programme Read more >>

Ministry of Primary Industries to investigate the planting of manuka and kanuka to control erosion and carbon farming Read more >>

Rubicon, that controls Tenon, has teamed with US and New Zealand investors to complete a transaction in relation to the wood processing company's remaining asset Read more >>

The NZ Farm Forestry Association's 2017 national conference will be held in and around Feilding from April 6-10 Read more >>

Overseas Investment Office has granted an Austrian permission to purchase a 381ha farm for $2.2 million to convert into forest Read more >>

Overseas Investment Office clears sale of 4,973ha of land by forestry company Blenheim Estate Limited Read more >>

The domestic log market continues to have strong and consistent demand for all grades of logs, prices paid by log exporters for logs at ports around NZ increased sharply in January with a slight reduction in February Read more >>

December 2016

Wharerata Forest and Patunamu Crown Forest licensed land will transfer to Te Rohe o Te Wairoa in their Treaty settlement Read more >>

Clutha District Council has accepted tenders worth $6.6m for forestry blocks put on the market earlier this year Read more >>

Marlborough Sounds company increases log barging capacity

Rural development between Puhoi and Warkworth would see 1,300 hectares of pine forest replanted as native bush Read more >>

A disease devastating trees in the Western United States and Europe is a major threat to New Zealand plantations should it ever arrive here Read more >>

Both domestic and export log prices drifted in December with minor changes in some regions and to some customers, but little overall movement. Both markets continue with strong positive sentiment Read more >>

November 2016

Associate Primary Industries Minister Jo Goodhew has announced that 4,818 hectares will be planted during winter 2017, as a result of the latest funding round for the Government’s Afforestation Grant Scheme Read more >>

Oregon Group, which controls Ernslaw One, more than doubled its annual profit through gains in the value of forests and the sale of carbon credits Read more >>

Forest Enterprises Ltd has become one of the first forestry partnership schemes to be licensed under the Financial Markets Conduct Act 2013 and is planning a number of new forestry investments from 2017 Read more >>

Whanganui District Council said it was likely to cost an extra $20 million in the next few decades to maintain local roads to a standard to accommodate a threefold increase in logging volumes Read more >>

Allowing marginal hill country to revert to permanent native bush to off-set dairy emissions is a key recommendation from a new report by the Parliamentary Commissioner for the Environment Read more >>

October 2016

Clutha District Council is having a second go at selling its forest land Read more >>

The Government is considering measures to encourage forest planting. Locally grown forests are expected to be cheaper than buying foreign carbon credits to meet climate change targets. Read more >>

The Napier to Gisborne rail line is set to reopen improving transport economics for East Coast forests. Read more >>

PF Olsen has noted that unpruned and pruned export log prices increased $2/JAS m3 and $4/JAS m3 respectively in October. This confirms that pruned export log prices troughed last month having fallen up to $50/JAS m3 in the prior three months. The e Read more >>

September 2016

The bulk of the Whanganui District Council's forestry estate is now officially on the market Read more >>

The Wood Council is warning the wood-processing industry is under threat, with a predicted drop in tree numbers made worse by small lot owners selling their logs for export before they're fully mature Read more >>

Forestry would stack up better against dairying in the central North Island if environmental factors were taken into account, argues Scion chief executive Dr Warren Parker Read more >>

New Zealand export log prices have reduced given movements in foreign exchange and ocean freight rates Read more >>

New Zealand carbon reached a five year high of NZD18.80 per tonne Read more >>