Revival of the West Coast logging industry
PRICES ARE RISING AND THERE IS A growing demand in the export market and domestically for West Coast logs. Both of these markets are affected by the shortage of wood from both Canterbury and NelsonMarlborough. This has resulted in a massive increase in the number of logs railed from the West Coast to Christchurch and the Port of Lyttelton
At present KiwiRail is running 14 log wagons every day for exports through the Port of Lyttelton alone. The introduction by KiwiRail of log wagons of increased capacity has meant that total capacity has increased to 90,000 tonnes and that the service is operating at total log capacity or very close to it.
KiwiRail is also now aware that the transport of logs has become a very important factor on the Midland line, along with the traditional cargoes of primary production and coal.
This revival of the West Coast logging industry has resulted from a number of factors, foreign and domestic. A side effect of the COVID-19 pandemic has been an almost total shut-down of the logging industry in the United States, Canada and Russia. These countries had vigorously competed with the timber industry in this country in selling logs to China. Now that country is trying to buy up as much New Zealand timber as is available.
Added to this are domestic factors. With a growing bio-fuel industry in Canterbury and an awareness of possible Government moves against fossil fuels, there is a growing demand for timber in that region. At the same time, it must be noted that in the 10 years ending 2012, over 20,000 hectares of Canterbury forest estate had been converted to dairy farming. With a steep increase in the demand for housing in Canterbury there is a strong demand for suitable timber from the West Coast.
It is generally accepted in the logging industry that until recently there has been excessive harvesting in the NelsonMarlborough Region. There is also a growing demand for timber in the building industry for Nelson and Blenheim and locally there is not sufficient wood for this purpose.
According to Erica Kinder, Chief Executive Officer of the Canterbury West Coast Wood Council (CWCWC), Canterbury millers are looking to the West Coast as a source of supply. She sees the present situation as likely to last for at least 10 years. Ms Kinder says the present situation favours the West Coast logging industry with a growing increase in price. She points out that there is a strong demand for timber all over New
Zealand and in the export market.
This view is supported by Glenn Moir of the Christchurch-based arm of the Forestry Management Group. He says: “There is a building boom going on right now.” He adds that his company contracts crews in Canterbury and Nelson-Marlborough to supply International Panel and Lumber (IPL), saying the trucks hired for this operation then backload West Coast logs to Canterbury and Nelson-Marlborough mills.
Promoting forestry
The eighth Wood Council in New Zealand, CWCWC, is a combination of forestry, transport, processing, regional councils, contractors, nurseries and the Canterbury University School of Forestry. 54 members currently make up this diverse group that has formed to promote the benefits of forestry in our communities, careers in forestry, where our resource goes and what it is used for.
Wood Councils have been around in New Zealand for more than 30 years. They were formed by individual groups in each region to support each other in the sector and provide information to the public and interest groups on forest activities and purpose, helping them to understand how trees function in our landscape.
As we know, trees can be integrated into nearly any other land use and play a vital role in storing carbon and providing carbon neutral products for our customers. In Canterbury and the West Coast some of the Wood Council members own forests and sawmills producing framing timber for houses, wooden pallets and boxes, wood chip for biofuels, MDF, joinery timber and packaging.
Canterbury was one of the first regions to establish plantation trees. Some of those original families are still involved in growing and processing forests today. The West Coast has been based around forestry since the region was first settled and the industry is still a significant contributor to the Coast economy.
The CWCWC has a vision to promote, encourage and coordinate the sustainable economic development of plantation forestry and the wood products sector. The first event for the Wood Council was a visit to Clarkville School in North Canterbury with SML Transport where all 200 students viewed a log truck, learned about safety around trucks and listened to a forester talk about a renewable resource, where our logs are going and why.
Forest Management Group is made up of three independent companies with a common shareholding comprising Forest Management (FML); Tasman Forest Management (TFM) and Forest Management North Island (FMNI). The group provides the industry with experience and specialist expertise.