Waikato Times

Virus shuts down logging

- Florence Kerr, Luke Kirkeby and Libby Wilson

Forestry crews across New Zealand have downed tools as contractor­s close operations due to the coronaviru­s.

The infection prompted shutdowns which left few people working in Chinese ports, causing slowdowns which have an effect on Kiwi exporters and those who buy in Chinese products.

Logging workers who contacted Stuff said they were told to go home and crews across the country were affected.

The processing slowdown at Chinese ports comes as the country deals with the coronaviru­s, declared a global health emergency by the World Health

Organisati­on (WHO) at the end of January.

New Zealand has taken precaution­ary steps for those entering the country, Air New Zealand suspended direct flights from Auckland to China, and foreign travellers from China or who have passed through have been banned from entering New Zealand for up to two weeks.

Chinese ports are accepting ships with exports from New Zealand, Te Uru Ra¯ kau - Forestry New Zealand said, but an extended new year holiday period means there aren’t many workers to unload them.

‘‘We are aware that some log exporters are delaying shipments due to the issue of limited staff in China to unload ships,’’ deputy director general Julie Collins said.

Chinese sawmills haven’t yet reopened after the holiday season, and Te

Uru Ra¯ kau is monitoring the situation.

A Waikato bushman who did not want his name used said the crew was out on a job and told to go home.

‘‘It’s pretty scary s...,’’ he said.

‘‘I mean, you don’t know if your job is safe. Our industry is always getting cuts. One of my mates that works down the line in Rotorua said they had to down tools as well. Happening everywhere from what I hear in the bush line.’’

They were not told when they could return to work.

The industry is reeling, Forest Industry Contractor­s Associatio­n chief executive Prue Younger said.

China is by far the biggest and most important market for New Zealand logs, the New Zealand Forest Owners associatio­n said.

There’s concern that port access could be restricted with little warning if coronaviru­s spreads to coastal areas.

Chinese central government authoritie­s are doing an excellent job but the longer-term effects on trade are hard to predict, president Peter Weir said.

The effect on crews in New Zealand regions which depend on log exports is the associatio­n’s biggest concern, he said.

South Waikato is one of those areas and Mayor Jenny Shattock said it was a huge blow.

‘‘I haven’t heard it myself but if that is the case it would have a significan­t effect on our district. Forestry is one of our base industries,’’ she said.

‘‘Those forestry workers, they have got families and they live in this town but it will affect not just the forestry workers, it

is the whole of the wider industry workers as well.

‘‘This is actually really quite devastatin­g for our community and this is a time when we really need to pull together.’’

Workers and small contractor­s need to be considered, Eastland Wood Council chief executive Kim Holland said.

‘‘At the moment we have to plan for the worst but hope for the best because no-one knows how long this is going to last.’’

Port of Tauranga was receiving log trucks and trains yesterday but expected there would be an impact on volumes, spokeswoma­n Rochelle Lockley said.

Slow movement of goods through ports will affect other exporters too – meat and dairy are other major items which New Zealand sends to China.

Exporters will be trying not to avoid having piles of product which can’t be shifted, Export NZ executive director Catherine Beard said.

‘‘In some cases, coolstores are filling up.’’

‘‘It’s not just impacting on exporters, but also a lot of goods are manufactur­ed in China for sale in New Zealand.

‘‘So some businesses which outsource their manufactur­ing to China are probably a bit worried as well.’’

Fonterra said its operations were not impacted as yet but they were monitoring the situation closely.

Any impact would potentiall­y take months to flow through to Fonterra’s export levels.

‘‘If there is a sustained drop in consumptio­n in China, for example fewer people eating in restaurant­s, then that could have an impact on sales,’’ managing director of co-operative affairs Mike Cronin said.

 ?? DOMINICO ZAPATA/STUFF ?? Logging contractor­s across the country have shut down operations due to the coronaviru­s.
DOMINICO ZAPATA/STUFF Logging contractor­s across the country have shut down operations due to the coronaviru­s.

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