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issue 138 | 16.08.10 | Page 1
Burke plan snares all timber products
Government promises new, tougher legislation on illegally sourced wood
Burke’s law
How industry responded to import policy
Everything for solid timber processing. Everything from a single source. We give our 100%! Illegal wood .. tough legislation promised.
Mr Burke says these measures will put an end to unfair competition by ” restricting” the import of illegal timber products, including sawn timber, wood
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THE timber and wood product importing sector has cautiously welcomed federal forestry minister Tony Burke’s illegal logging policy announced last week and peak industry body NAFI has given in-principle support for a commitment to reduce the sale of illegally sourced wood products – but asks that the cause and not just the symptoms be addressed. A re-elected Gillard Labor government would introduce tough new legislation making it an offence to import any timber products that have not been legally harvested.
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issue 138 | 16.08.10 | Page 1
industry news
ATIF appreciates Making the complexity of an import restrictions impact ..
across Australia’s forest and forest products industry .. since 1940
From Page 1
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Victorian Association of Forest Industries Level 2, 2 Market Street Melbourne 3000 Tel: +61 3 9611 9000 Fax: +61 3 9611 9011 Email: info@vafi.org.au Web: www.vafi.org.au Page 2 | issue 138 | 16.08.10
of conduct to require suppliers who first place timber into the Australian market to carry out the proper tests to ensure wood coming into the country is legal. “We will also require the use of a trade description and the circumstances under which it can be used, which will give consumers confidence that they are purchasing legally sourced wood,” Mr Burke said. He said if elected the government would continue to work through bilateral agreements with Indonesia, China and Papua New Guinea to ensure a consistent global approach to eliminating illegal logging. Federal Labor’s initiative will complement the work of the United States under the Lacey Act and the European Union by demanding the legal origins of wood are verified. “Our combination of initiatives and those of the EU and the US on illegal logging will raise the bar for forestry practices in a number of countries internationally so that in the future they will have the same high standards of sustainable forest management which are demonstrated in Australia.” Chairman of the Australian Timber Importers Federation Nils Koren endorsed the aspect of Mr Burke’s policy that explicitly covered all timber and wood-based products and sources. “By so doing the policy recognises the research that has demonstrated that some imported manufactured imported wood-based product categories – including those from China – present a risk of containing illegally sourced
How do you employ
apprentices? Nils Koren .. policy embraces all wood products.
timber,” Mr Koren said. “Also the policy recognises – as does overseas experience – that if some wood-based product categories were excluded from the policy’s reach such products were likely to be increasingly imported to gain a price advantage in the marketplace.
Labor ‘zero’ on issue: Colbeck THE announcement by Labor of its policy to “ban” the importation of illegally logged timber demonstrates how they have achieved nothing on this issue since the last election, says federal Coalition spokesman for forestry Senator Richard Colbeck. “At the last election Labor said it would completely ban the importation of illegally logged timber. Now they are making the same promise again,” Senator Colbeck said. “It demonstrates how Labor regards forestry issues as a low priority when in government.” The Coalition is expected to release its policy on illegally logged timber in a few days.
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industry news
In-principle support for assault on illegal wood
But NAFI warns on any ‘blanket ban’ THE National Association of Forest Industries has provided in-principle support for the Labor Government’s commitment to reducing the sale of illegally sourced wood products. “However, a simple blanket ban on suspect products could punish legally sourced timber and forest dependent communities or simply push the illegally logged products to other markets around the globe,” NAFI chief executive Allan Hansard said. NAFI says while much of the detail in the proposed reforms is yet to be finalised, Australia was well placed to encourage
Allan Hansard .. addressing the cause and not just the symptoms.
the adoption of sustainable forest management practices overseas.
“We urge the government to take an approach which combines a reduction in the importation of suspect timber, while also addressing the cause and not just the symptoms of illegal logging,” Mr Hansard said. “Australia must encourage management practices in overseas forestry operations which emulate the highstandards in Australia. “The government also needs to consider the potential impacts for local industry which take into account World Trade Organisation (WTO) requirements when import conditions are imposed.” Mr Hansard said NAFI looked forward to working with government agencies and the Australian Timber Importers Federation on the criteria that would be applied to imports of forest and wood products, as well as ensuring that domestic suppliers were not adversely affected. “It is an unfortunate reality that Australia has a $2 billion trade deficit in forest and wood products,” he said. “The best way we can reduce our reliance on suspect imported forest and wood products is to grow the Australian industry.” NAFI’s recently released Forest Industries Growth Plan provides a roadmap to generate an extra $19 billion in industry investment by 2020, while reducing carbon emissions by 80 million tonnes a year. The timber and wood product importing sector has cautiously welcomed Tony Burke’s illegal logging policy. ATIF chairman and managing director of Gunnersen Nils Koren said timber importers
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Cont Page 4
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issue 138 | 16.08.10 | Page 3
industry news
Illegal logging policy must have commercial ‘edge’ and incentives From Page 3
supported the elimination of illegally logged timber and wood product imports. “Such trade damages the outstanding environmental credentials of wood as the building and manufacturing material of choice,” he said. Mr Koren acknowledged the substantial effort by Tony Burke in advancing policy development, including consultation with industry and careful analysis of policy options. “The minister is also to be applauded for his successful, active pursuit of bilateral agreements on restricting illegal logging with key timber and wood product exporting countries, including Indonesia, Papua New Guinea and China,” he said. Mr Koren agreed that the restriction of illegally logged timber and wood-based products was a delicate and complex area of public policy and international diplomacy, particularly in relation to some of Australia’s strategic northern neighbours. He also pointed to the substantial effort already made
Page 4 | issue 138 | 16.08.10
Restriction of illegally logged timber and wood-based products a delicate and complex area of public policy and international diplomacy.
by timber importing companies in developing and implementing procurement procedures and verification systems designed to test the legality of timber product imports. This includes the development of a code of ethics by ATIF to assist member companies in ensuring that imported timber products were legally sourced. Mr Koren said Mr Burke’s assurances about further consultation and transitional arrangements were heartening and would allow the industry to continue to work closely with the government on policy and implementation details.
“Equally, it is anticipated that the government will continue to assist and support industry measures directed at the same outcome.” Mr Koren endorsed the aspect of Mr Burke’s policy that explicitly covered all timber and wood-based products and sources. “By so doing the policy recognises the research that has demonstrated that some imported manufactured imported wood-based product categories – including those from China – present a risk of containing illegally sourced timber,” he said.
“Also, the policy recognises – as does overseas experience – that if some wood-based product categories were excluded from the policy’s reach such products were likely to be increasingly imported to gain a price advantage in the marketplace. “This would have serious impacts on domestic wood product manufacturing companies and their employees, as well as actually promoting illegal logging practices.” Mr Koren also emphasised the importance of encouraging industry cooperation and uptake by ensuring that the government’s illegal logging policy had a commercial ‘edge’ and incentives. “As has been demonstrated in Europe and the UK, the government should, in concert with the introduction of its policy, require all imported timber and wood-based products purchased for governmentfunded infrastructure, building and other activities to be obtained from legal sources verified by due diligence documentation,” he said. Finally, Mr Koren noted that Cont Page 13
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events
WHAT’S ON? 3-5: Canberra Timber & Working With Wood Expo, Exhibition Park in Canberra. Contact: (02) 9974 1393. Fax: (02)9974 3426 Email: info@eee.net.au 6-12: Landcare Week. www.landcareonline.com 7: WoodSolutions 2010. Program for architects, engineers and specifiers. Dockside, Darling Harbour, Sydney. Register interest at www.woodsolutions2010.com.au 7-9: Wood Manufacturing 2010. Rotorua, NZ. Designed for wood processing operations in the dry mill and stand-alone wood manufacturing companies. View: www.woodmanufacturingevents. com 8-10: AFAC bushfire CRC annual conference. Darwin Convention Centre Australia. www.afac10.org 9: Wood Solutions 2010 program. Melbourne Convention and Exhibition Centre. Register interest at www.woodsolutions2010.com.au 9: First Super Plantation Investors’ Seminar. Sofitel Melbourne on Collins. Day prior to industry development conference – ‘Australia’s Place in the Changing Global Forest Products Market’. Contact: ForestWorks cday@ forestworks.com.au Visit www. forestworks.com.au to download a full registration form 9: Australia’s Place in the Changing Global Forest Products Market. Future opportunities for global forestry markets including renewable energy; certification and regulation of global markets; ownership and investment in Australia; industry-led solutions for a sustainable industry. Presented
by ForestWorks, Sofitel Melbourne on Collins. Note: Forest industries liaison dinner in the evening at the Regent Theatre on Collins Street. For information contact: cday@ forestworks.com.au 13-15: Manufacturing 2010. Melbourne. Designed for wood processing operations in the dry mill and stand-alone wood manufacturing companies. View: www.woodmanufacturingevents.com 15: WoodSolutions 2010 program. State Library of Queensland, Brisbane. Register interest at www. woodsolutions2010.com.au 15-16: Wood Manufacturing 2010 Profitable Wood Manufacturing - Tooling Technology & Design, Melbourne. 20-21: Wood Manufacturing 2010 Profitable Wood Manufacturing - Tooling Technology & Design Rotorua, NZ. 30-2 October: The Future of Forestry and Forest Science Conference. Celebrating the centenary of forestry education in Australia. Sydney Myer Asia Centre Carrillo Gantner Theatre, Melbourne University. Contact: Event Planners Australia forestry. Email: 2010@eventplanners.com.au September-October: Centenary of Forestry Education in Australia. Celebrated with various activities and events reflecting on the past, and preparing for the challenges of the future.
OCTOBER 2010 9: Queensland Timber Industry Awards Dinner. Sofitel Brisbane Central, 249 Turbot Street, Brisbane. Contact: TABMA Queensland. Tel: (07) 3254 3166. Mob:0438 295 136. www.tabma.com.au
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10-13: Australian Forest Growers national conference, Mount Gambier, SA. Chief executive Warwick Ragg. Contact national office: (02) 6162 9000.
SUSTAINABLE. sustainable. responsible. . RESPONSIBLE
12: ForestWood 2010. A pan-industry conference jointly hosted by the Forest Owners Association (FOA), Wood Processors Association (WPA), Pine Manufacturers Association (PMA), Forest Industry Contractors Association (FICA) and supported by Woodco, NZ Farm Forestry Association (NZFFA) and Frame & Truss Manufacturers Association (FTMA). Venue: Museum of New Zealand Te Papa Tongarewa in Wellington. A great opportunity for organisations and individuals, with a keen interest in forestry, to engage with decision makers and professional specialists from the forestry industry. Conference will focus on maximising value through the value chain, the sector’s relationship with the community and the challenges facing the different sectors. Visit www.forestwood.org.nz 15-17: Melbourne Timber and Working with Wood Expo, Melbourne Showground, Melbourne. Contact: (02) 9974 1393. Fax: (02)9974 3426 Email: info@eee.net.au
The National The National Association of of Forest Association Industries (NAFI) Forest Industries (NAFI) represents is striving for an Australian companies, ecologically sustainable individualssociety and Australian organisations involved achieved through in thedynamic, forestry and forest products internationally industries. competitive forest industries. NAFI works with state and
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19-20: MTC Global Woodmart: Gateway to International Wood Markets. The first ‘one-stop’ selling and buying platform for all suppliers and buyers of wood and wood products. Early bird discount 5%. Organised by the Malaysian Timber Council at the Kuala Lumpur Convention Centre, Malaysia. Contact: Malaysian Timber Council. Tel: +60 3 9281 1999. Fax: +60 3 9289 8999. Email: council@mtc.com.my
federal governments to support interestsis of to its NAFI’sthemission members while the same represent theatinterests time improving industry of members by standards and practices, promoting the promoting sustainable environmental forestry management and educating the broader sustainability and community on theof the prosperity economic, environment Australian forest and social benefits of industries. a strong sustainable forest industry. National Association of The National Association Forest Industries Ltd of Forest Industries (Est. 1987) Ltd (EST.1987) PO Box 239, PO Box 239, Deakin ACT 2600 Deakin, ACT 2600 Tel: (02) 6285 3833. Tel: (02) 6285 3833 Fax: (02) 6285 3855 Fax: (02) 6285 3855 Web: www.nafi.com.au www.nafi.com.au Web:
issue 138 | 16.08.10 | Page 5
industry news
Time for NZ to shut the door on illegal wood THE New Zealand government must urgently adopt measures to prevent the entry of products from illegally logged forests, says the NZ Forest Owners Association. Following a pre-election promise by the Australian Labor Party to impose a ban on illegal timber imports, association president Peter Berg said: “It is disappointing that New Zealand, which has such a good story to tell about sustainable forestry at home, has been so nervous about doing anything meaningful about this damaging trade.” Mr Berg said illegal logging and deforestation were among the biggest contributors to climate change and the loss of biodiversity world-wide. It was also associated with violence against indigenous people living in tropical forests. “Closing off the markets for illegally logged products is the only tool that has been shown to have an effect on this trade,” Mr Berg said. The last NZ Labour Government adopted a policy of requiring kwila lumber imports to carry a certificate verifying that they came from legal sources. However, when National came to office in 2008, this policy was abandoned in favour of continuing talks with affected countries. Mr Berg says this was a disappointing backward step. “Last year, we joined with other groups in our sector in supporting a private member’s Bill sponsored by Green MP Catherine Delahunty. That would have required all imports of timber and wood products to be legal, sustainable
Page 6 | issue 138 | 16.08.10
Peter Berg .. damaging trade.
and certified by reputable certification processes. “Unfortunately, the government chose to vote against Ms Delahunty’s Bill at the first reading, which meant it could not be considered by a select committee.” Mr Berg says it appears that the government fears a mandatory labelling policy will cause offence to other countries. ‘The ethics and the economics of illegal logging directly affect New Zealand and our neighbours in the Pacific’ – Peter Berg “But it has other options,” he said. “Recent legislation in the US makes it illegal to import forest products that do not meet the legal requirements of the country of origin. “Indonesia could hardly object if we did the same – we would simply be requiring New Zealand importers to demonstrate they were complying with Indonesian law.” Mr Berg says the New Zealand Cont Page 9
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INDUSTRY NEWS
Illegal wood policy must be risk-based .. so industry can demonstrate compliance THE mechanism employed in the ALP pre-election commitment to restrict the sale of illegally logged wood should be risk-based, flexible and not prescriptive so that producers and importers can demonstrate compliance, says A3P chief executive Richard Stanton. “We are pleased that the ALP is continuing to focus attention on this important issue,” he said. “Illegal logging is one factor undermining investment in plantations, wood and paper manufacturing and job creation in Australia.” Mr Stanton said A3P was particularly gratified that the government had acknowledged and responded to a number of the key points made by A3P during the consultation process undertaken by the government as part of the implementation of its 2007 election commitment. “Firstly, the government’s 2010 commitment covers the full range of imported timber products including sawn timber, wood panels, composite products, wooden furniture and pulp and paper products,” he said. “Secondly, Minister Burke has committed to a mandatory pathway based on a ‘due
Richard Stanton .. illegal wood undermining plantations investment.
Bronwyn Foord .. opportunity for government to act on sustainable future.
diligence’ approach whereby “.. importers would have to be able to meet, minimum standards that they would have to follow in terms of due diligence that they’d undertake to make sure the timber they were sourcing had not been illegally logged ..”. A3P has been an active contributor to the discussion about addressing illegal logging for a number of years including publication of ‘Member Guidelines – Stopping the supply of illegally logged forest products to Australia’ in 2007. General manager of the Window and Door Industry Council Bronwyn Foord sees the Labor
policy on illegal logging as an opportunity for the government to act to ensure a sustainable future for the wood industry. Ms Foord said WADIC was part of a coalition of the nation’s timber merchant and secondary wood-processing associations that included the Timber and Building Materials Association, the Timber Merchants Association, Cabinet Makers Association, Furnishing Industry Association, and the Decorative Wood Veneers Association. She said the timber and wood processing industry was one of Australia’s largest manufacturing sectors; the secondary wood-processing
and timber merchant subsector comprised about half of this wider sector, directly employing more than 80,000 people. It included around 10,000 businesses, in areas such as merchandising, re-sawing, cabinet making, veneering, window and door manufacture and furniture and kitchen manufacturing. “Without a secure and suitable supply of sustainable and legally logged timber from Australian and overseas forests, sections of this industry may face an uncertain future,” Ms Foord said. “If businesses close due to a lack of adequate government timber industry policy and planning, trades and manufacturing jobs will go off-shore and apprenticeship positions will be lost.” Ms Foord said no government had ever focused on developing the appropriate policies required to enable this sector to continue to sustainably operate and grow. “This is surprising, considering the focus and assistance given to other manufacturing sectors such as the car industry and the Cont Page 11
Status and Trends of the Global-Pacific Rim Forest Industry
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issue 138 | 16.08.10 | Page 7
industry news
Industry repeats call for a national summit on bushfires management
Cautious response to royal commission findings THE Victorian Association of Forest Industries has cautiously welcomed the final recommendations from the 2009 Victorian Bushfires Royal Commission. And the National Association of Forest Industries has repeated calls for a national summit on bushfire risk management. VAFI gave evidence before the commission in conjunction with NAFI earlier this year, under the topic of fuel reduction and land management as well as providing a comprehensive written submission last year. Chief executive Philip Dalidakis says Victorian timber industry strongly supports
Aerial suppression .. playing a vital role in Victoria’s bushfire management.
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the commissioner’s final recommendation seeking a minimum annual target of 5% of prescribed burning on public land. “While prescribed burning itself can pose risks to our industry, the greater good is the safety of rural and regional communities and that must be supported first and foremost,” he said. “Other expert evidence at the commission called for an 8% prescribed burning target, based on Western Australian experience.” However, VAFI believes that the commissioners have failed the affected communities by not strengthening the role the local timber industry can play in both the fighting and prevention of bushfires. The association has called on the Victorian Government and the Opposition to provide the industry more support in its response to the recommendations so that it can continue its role in fire fighting and bushfire prevention. “If we are to maintain fire
tracks, reduce fuel loads and provide important fire-fighting infrastructure such as vehicles and personnel we need to have an industry presence,” Mr Dalidakis said. “The ongoing sustainable management of our forests is an essential aspect in reducing the overall bushfire threat that our state faces every summer.” The role and cost of maintaining vital infrastructure is carried out by the forest industry, but without the industry this cost will fall directly upon the shoulders of over-burdened taxpayers. NAFI chief executive Allan Hansard said there was an imperative to build on the state level findings at a national level and for key recommendations to be implemented as soon as possible and not let lapse. “NAFI is calling for a national summit on bushfire risk management as a way of ensuring a national approach is delivered,” he said. “The forest industry is looking for the necessary leadership to promote a comprehensive approach to bushfire risk management and act on its implementation. “Bushfires do not discriminate between land tenures or state borders. As such, government needs to coordinate the various land management agencies and jurisdictions to ensure fuel reduction practices are undertaken across the landscape to reduce the risk of large-scale catastrophic fires.”
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INDUSTRY NEWS
Reluctance to pay premiums threat to sustainable forests THE unwillingness of consumers to pay price premiums for certified timber and timber products poses challenges for sustainable forest management, the Royal Dutch Association of Timber Trade Association (NTTA) has warned. In a recent statement, the NTTA reported that members’ imports coming from forests certified as sustainably managed by either PEFC or FSC rose from 45% in 2006 to 62% of total imports in 2009. Growth in demand for certified material, however, fell short of the available supply. With supply exceeding demand, traders had to mix certified material with uncertified material and sell it as uncertified. NTTA warned that this undesirable development poses a threat to sustainable forestry as demand for certified products is a key driver for forest certification and sustainable forest management. NTTA is now jointly developing a strategic plan ‘Smart with Timber’ with the Dutch Association of Timber Manufacturers accompanied
by an action plan ‘Conscious with Timber’ to enhance the profile of certified wood. The objective of this joint initiative is to stimulate demand for certified timber and to make the use of PEFC and FSC standard practice in the Netherlands. Both PEFC and FSC are accepted for Dutch public procurement, following extensive assessments by the Dutch Timber Procurement Assessment Committee. Nationally, growth in imports of certified timber (excluding paper) rose from 13% in 2005 to 34% in 2008. “The volume of certified timber available in the Netherlands demonstrates that Dutch traders take their responsibility for the sustainable management of the world’s forests seriously,“ says Kees Boon of PEFC Netherlands. “We now need all forest stakeholders in business, government and civil society to work together to raise the awareness of the importance of this topic among consumers.”
Time to shut the door From Page 6
forest industry is committed to sustainable forestry and .. “illegal logging is not sustainable”. It also unfairly sullies the reputation of wood and forest products from sustainably managed plantation forests. “It is hard to find a land use which is more environmentally friendly than plantation forestry as practised in New Zealand,” Mr Berg said. “Also, our
Timber & Forestry e-news is the most authoritative and quickest deliverer of news and special features to the forest and forest products industries in Australia, New Zealand and the Asia-Pacific region. Weekly distribution is over 6,400 copies, delivered every Monday. Advertising rates are the most competitive of any industry magazine in the region. Timber&Forestry e-news hits your target market – every week, every Monday! HEAD OFFICE Custom Publishing Group Unit 2- 3986 Pacific Highway Loganholme 4129 Qld, Australia PUBLISHER Dennis Macready admin@industryenews.com.au CONSULTING EDITOR Jim Bowden Tel: +61 7 3256 1779 Mob: 0401 312 087 cancon@bigpond.net.au ADVERTISING Tel: +61 7 3256 1779 cancon@bigpond.net.au PRODUCTION MANAGER Leigh Macready Tel: +61 7 3841 8075 production@industryenews.com.au
government strictly enforces laws relating to the sustainable harvest of logs from native forests.” “The ethics and the economics of illegal logging directly affect New Zealand and our neighbours in the Pacific. Opposing the trade in products from this unsavoury business is a cause where New Zealand should stand up and be counted.”
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issue 138 | 16.08.10 | Page 9
INDUSTRY NEWS
WA pulls investment in plantations Redundancies in dramatic restructure of FPC MORE than 70 staff members at the Forest Products Commission in Western Australia have been offered voluntary redundancies in a dramatic state government measure to return the commission to “a sound financial position”. Forestry Minister Terry Redman has advised the staff reductions will occur at metropolitan as well as regional locations. Most of the changes will occur across the next two years. FPC will also be hosted by the Department of Agriculture and Food to save on accommodation and administrative costs. Mr Redman said the restructure was unfortunate but necessary because the mismanagement of the FPC by the previous Labor government left the organisation in a dire financial position. “The previous government failed to provide appropriate guidance and parameters to the FPC,” he said. “As a consequence the commission was allowed to become reliant on unsustainable borrowings and federal government grants that have since ended. “That has meant that instead of returning a dividend to the government, the commission
Funding runs out for new plantations in Western Australia.
has posted consecutive losses over the past two years.” The Minister stressed the financial pressure was coming from the new plantations segment of the FPC business, not the native forest segment. “The FPC’s native forest and mature plantation operations remain profitable,” he said. “The problem is an imbalance between costs and revenue in the share farming and fee-forservice operations. “In a program jointly funded by the federal government, the FPC spent $64 million of taxpayer funds on strategic tree farming (STF) in lower rainfall areas. That funding has now ended. “In order to meet STF planting targets, the state government would need to invest something
Terry Redman .. plantations a financial burden
like $40 million every year for the next 20 years, and that is clearly an unacceptable drain on taxpayer resources.” Under the restructure, the FPC will stop investing in lower rainfall plantation development
and focus on its core business of native hardwoods, mature pine plantations and sandalwood. Despite the changes, Mr Redman has assured those who have contracts with FPC – be they customers, sharefarmers or service contractors – that contracts will be honoured. The government has allocated funds for voluntary redundancies for about 75 FPC staff. “FPC staff will not be thrown out into the street,” Mr Redman said. “All effort will be made to redeploy staff to other government agencies and those who can’t be redeployed will be offered generous severance packages. Counselling services will also be made available to affected staff. “I acknowledge this has been an unsettling time for FPC staff, and there is still a way to go yet. “However, I am firm in my resolve that these steps are necessary and I am confident this restructure will allow the FPC to continue to play an integral role in a viable and sustainable forestry industry in Western Australia.”
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INDUSTRY NEWS
Political parties are staying out of forest debate in Tasmania AS negotiations continue for a possible new forest agreement for Tasmania, the National Association of Forest Industries and Timber Communities Australia have reconfirmed that no political party has been involved in the talks, nor are the talks being influenced by any political process or agenda. “Senator Eric Abetz has been a long-term friend of the forest industry. However his recent comments in relation to potential secret deals between Labor and the Greens in relation to the forest industry in Tasmania cannot be linked to the recent discussions between industry representatives and conservation groups on the
future of the Tasmanian forest industry,” NAFI chief executive Allan Hansard said. TCA chief executive Jim Adams says the talks are far from secret; the fact that they are going on is well known and there has been wide stakeholder consultation conducted by parties on both sides Mr Hansard added: “As we’ve said since these talks began, at no stage have these negotiations involved representatives from governments. If and when an agreement is reached, the agreement will be brought to government through the appropriate channels at the appropriate time.”
Quality timbers for auction THE Forest Products Commission in Western Australia received spirited bidding from woodcraft enthusiasts at its quarterly log auction last Saturday. The auctions, held at regular intervals throughout the year, provide opportunities for the public to purchase a unique range of assorted native timbers. The rich colours and distinctive features of WA timbers are
often the inspiration behind exceptional furniture creations and craft designs of local artisans. Going under the hammer on August 14 were a quantity of jarrah (curl and birdseye), marri (curl included), karri, sheoak and blackbutt logs. There was also an assortment of slabs and boards, as well as jarrah burl slices and craft packs. Auction report next issue of T&F enews.
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Illegal timber policy From Page 7
clothing and footwear sectors,” she said. “We call on the government to take this opportunity to initiate consultation with all representative stakeholders from secondary-wood
processing and timber merchant sector to develop policies and programs that will prtoect our long-term future and manufacturing jobs, while ensuring legal wood supply and sustainable forest management.”
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issue 138 | 16.08.10 | Page 11
TIMBER TREATMENT
The CHARGE for CHANGE
Standards, marketing acts and treated timber THERE have been significant changes during the past few years in the way preservative treated timber is produced, marketed, and regulated. The first major change was the introduction by Standards Australia (SA) of a user-pays plan to fund on-going work on standards development. All of our current (and any planned new) timber standards were affected by this SA requirement, including a critical revision of the AS1604 series of preservative treatment standards. The user-pays policy had such far-reaching potential impact on timber standards that the industry sought help from Forest and Wood Products Australia (FWPA). To its credit, FWPA agreed to establish a timber standards development fund managed by a dedicated standards and codes manager. Assisted by an industry standards reference group, his first task was to prioritise the 150-plus timber standards, in terms of their future development. An additional and most important function was to liaise with Standards Australia to find timely and cost effective ways in which timber standards can be delivered under the userpays umbrella. Meanwhile, work-in-progress on revising the AS1604 series was halted by SA’s user-pays modus operandi: the preservation industry was asked to pay for further work to complete and publish this nationally relevant 5-part standard. Because of its importance in specifying the production of treated timber, including engineered wood products, the Timber Preservers Association of Australia (TPAA) sought funding from its members and others to progress the revision. The TPAA also approached
Page 12 | issue 138 | 16.08.10
Timber preservation .. self-regulation on the way.
By
DR HARRY GREAVES FWPA under the new arrangements to fund progress on approved priority timber standards. The result is that the TPAA with FWPA assistance has facilitated this critical standards revision and, at the time of writing, the revised documents have reached the
standards committee postal ballot stage. In addition to the national standard specifying preservative treatment of timber and engineered wood products, Queensland and New South Wales operate marketing Acts which require approval of a preservative and the registration of a brand before timber can be offered for sale in these states as preservative treated. In Queensland, the Timber Utilisation and Marketing Act 1987 (TUMA) and in New South Wales the Timber Marketing Act 1977 (TMA) ensure that treated timber in the market place is fitfor-purpose. TUMA was reviewed during the last half of 2009 and a Bill is now before the Queensland Parliament to repeal a number of Acts, including TUMA; the
outcome is expected to remove TUMA as a means of regulating the sale of treated timber in Queensland. The Timber Marketing Regulation 2005 gives effect to the TMA in New South Wales, and it is currently being reviewed. The NSW government web site indicates that a proposed new regulation (September 2010) would repeal the old one with some changes, an important one of which is to ensure that references to Australian standards will be updated. These important changes to state legislation take place as we work through the difficulties with national standards development outlined above, presenting industry with operational uncertainties in terms of approved specifications for preservative treated timber products. Such conditions surely argue the case for future self regulation within the preservation industry, but achieving a national consensus on this point is likely to be as difficult as it was to progress the AS1604 series revision, and would require a significant commitment by all concerned to make it work. And throughout, standards play an increasingly important role as state marketing Acts are repealed, and they will be prioritised for any future work, so that limitations on funding do not impede progress towards fit-for-purpose treated timber products nation-wide. The TPAA, SA, and FWPA will need to work together to achieve this. * Harry Greaves is principal of HG Consulting in Melbourne.
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wood design
Big week for wood in New Zealand
Treated
The draft conference program is available online at www. forestwood.org.nz
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imported timber products were likely to become increasingly important as Australia attempted to address its substantial housing shortage. “Estimates indicate that house starts need to be ramped-up by an additional 40,000 to around 190,000 housing starts a year to tackle the housing backlog and to meet future housing demands,” he said. “Timber supplies from domestic producers will be a limiting factor, notably in product categories like structural framing, panels and hardwood boards. “A continuing strong timber importing sector will be vital if Australia is going to meet its existing and future housing needs.”
New Zealand’s future prosperity and how it can maximise value through the value chain and the sector’s relationship with the community.
r
From Page 4
organisations have held a joint conference which builds on the successes of previous individual and combined industry events and conferences which have attracted world class speakers and presenters. The conference will focus on the forest industry’s contribution to
ne ree
Policy support
Pine Manufacturers Association and the Forest Industry Contractors Association. The conference is supported by Woodco, the NZ Farm Forestry Association and the Frame and Truss Manufacturers Association. This will be the first time these
G
THE NZ Wood Timber Design Awards will be held in Wellington on October 11, in conjunction with ForestWood 2010 to be held the next day at the Museum of New Zealand. Organisers say the awards event will be a great opportunity to network with other marketrelated contacts, and view the innovative and aesthetic use of timber by NZ architects and engineers. The design awards have been recognising excellence in timber design and engineering for many years and have been hosted since 2008 by NZ Wood – this year in association with Carter Holt Harvey. NZ Wood is a major promotional and development program to promote the forestry and wood sector, now New Zealand’s third largest industry making up more than 12% of export earnings. ForestWood 2010 is a panindustry conference jointly hosted by the Forest Owners Association, the Wood Processors Association, the
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issue 138 | 16.08.10 | Page 13
WOODCHOPPING
Jim Head – new kid on the block Youngest axeman to win coveted champion trophy By JIM BOWDEN
A SHARP axe re-shaped history in the woodchop ring at Brisbane Royal Show last week when Jim Head, 24, became the youngest competitor to win the most coveted axemen’s trophy in Australasia. The perpetual trophy, a white cedar figure, has been presented every year to the Queensland Champion of Champions Axeman since it was created by legendary wood craftsman Robert Dunlop in 1978. The idea for the trophy was hatched at Brisbane’s Pinkenba Hotel 32 years ago when David Armstrong, then manger of the Queensland Timber Board (QTB), and Jim Bowden, founding editor of Timberman, met with the late Col Barker, secretary of the Australian Axemens Association. “We need to create a prize that recognises the best of the best in the sport,” Col said over what I recall was a very long lunch. “For the beef industry, the sport
Jim Head, the youngest axeman to win the coveted champion of champions trophy (second from right) is pictured at the Brisbane Show with his father Kerry Head (trophy winner 10 times), Phil Hillcoat, first winner of the trophy, and Jim Bowden, who has taken part in almost every trophy presentation since 1978 and was attending his 53rd show as an agricultural/timber writer. Picture by Tina Mitchell.
is rodeo riding; for the timber industry it’s woodchopping,” he said. Timberman became the official journal of the association and in August 1978, accompanied by a fanfare of trumpets, the QTB
David Armstrong (then manager of the Queensland Timber Board) joins with Sir John Eggerton to present the inaugural QTB trophy to Phil Hillcoat in 1978.
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trophy, affectionately named “Fred”, was presented in the centre ring to Phil Hillcoat. An axeman had to win the trophy 10 times to keep it; Jim Head’s father Kerry, 48, of Redcliffe did just that after pledging to
Woodchopping legend Garry Hewitt gets a tight grip on his first champion of champions trophy at Brisbane Royal Show in 1979. He went on to win the award nine times.
repeat the performance of his idol Gary Hewitt, a Gympie log haulier. Hewitt dead-heated with Phil Hillcoat for the trophy in 1978 but lost on a countback through semi-finals and heats. He went on to take the trophy nine times but was robbed of the outright trophy win when he injured a shoulder working in the bush that took him out of competitive woodchopping. A young Kerry Head then came up through the ranks, winning Queensland Champion of Champions 10 times. Although Kerry retains the trophy, he presents it each year in Brisbane to a new champion and still regards it as “the Queensland timber industry award”. Meanwhile, his son Jim, who won his first woodchopping competition when he was eight years old, hopes to repeat his father’s performance of 10 wins. He won his first open competition at the age of 19 and has done so every year for the last five years, training at the gym before each show. Jim is encouraged by veteran Phil Hillcoat, 75, who was in Brisbane this year to congratulate the young winner. Phil worked in the timber industry around Bundaberg felling and cutting logs for railway bridges and was 42 when he started competitive woodchopping. Although now retired, he judges at various events and “joins in the occasional chop”. Over the years, Robert Dunlop has added new platforms to the trophy to accommodate the growing number of attached winners’ shields. “Robert told me he was using wood from the same slab of white cedar he originally used to craft the trophy in 1978,” Kerry Head said.
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INDUSTRY SKILLS TRAINING
Gumatj forest project: new skills helping a tree to become a house ForestWorks presentation at Garma festival NEWLY-learned indigenous skills have turned the Gumatji Corporation’s forestry project in northeast Arnhem Land into an exciting reality. The project featured prominently in a forum at the Yolthu Yindi Foundation Garma festival of traditional culture at Gulkula, about 14 km southeast of Gove in the Northern Territory. Chief executive of ForestWorks Michael Hartman was a keynote speaker at the Yolungu forestry project forum, which outlined how economic opportunities, business development, training and employment opportunities and community development plans are “closing the gap”. Mr Hartman said the festival was highly successful and the Gumatj Corporation forestry project was well received. “ForestWorks’ role was to assist with getting workers skilled – enough to make the tree become a house,” Mr Hartman said. The Gumatj Corporation, as part of the Yolungu forestry project, hired indigenous locals to work in the mill, build a workers’ bunkhouse and another house, as well as quality furniture. The workers learned valuable skills in forestry, harvesting and housing construction and furniture making through onthe-job skills training. Mark Blackwell, a worker made redundant at Scottsdale Timber in Tasmania, is now employed by Gumatj Corporation and oversees the milling of local timber. Mark says he looks forward to the future of the project as he sees the benefits to the community unfolding on a daily basis. The managing director of Forestry Tasmania Bob Gordon
industry had to offer in terms of job opportunities and skills development. “It was exciting to be part of such an important national indigenous cultural event.”
Further dips in US housing
Actor Jack Thompson visits Michael Hartman at the ForestWorks display tent at the Garma Festival this month.
has been working with the Gumatj people of east Arnhem Land to establish a sustainable timber industry which includes harvesting and milling timber, housing construction, furniture making and training in Nhulunbuy and Wadeye. Mr Gordon was a keynote speaker at the forum and spoke about the potential of managed forests for employment, carbon capture and the importance of self determination. Forestry Tasmania also provided a working display of the Lucas Mill as well as furniture making workshops by local workers. “It’s an opportunity for local landowners to consider undertaking similar projects,” Mr Gordon said. ForestWorks’ display tent adjacent to the Forestry Tasmania-Lucas Mill site was a big crowd-puller. Deputy chief executive Jane Bartier was on hand to answer questions and handed out information about ForestWorks and the opportunities for indigenous
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workers in the forest, wood, paper and timber products industries. “It was an amazing environment for real cultural exchange and learning,” Jane said. “Many people visited our tent and were very interested in what the
The Gumatj people of east Arnhem Land are building a sustainable timber industry which includes harvesting and milling timber, housing construction, furniture making and training.
BUILDING material supplier James Hardie is bracing for a further downturn in the US housing industry as building starts stall at the worst lows for almost 50 years. Chief executive Louis Gries said sales volumes – and profit – were almost certainly going to be lower than last income year. That would be a consequence of ‘’disappointing and fragile’’ recovery in the US housing market after the expiry of government tax incentives in April. US housing starts for the June quarter were 142,000, up from last year’s corresponding figure of 124,000, but still 74% down from its 2005 peak. The annualised number of housing starts – 549,000 – was the second lowest since 1963. James Hardie generates more than three-quarters of its revenue from the US, but a strong performance from its business in Australian, New Zealand and Philippines saw earnings doubled. Industry analysts say despite record low prices the US housing market will not recover unless confidence and employment figures improve. Economic reports show American firms shed 131,000 jobs last month, double the amount expected.
issue 138 | 16.08.10 | Page 15
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