6922
AFS/01-10-01 www.forestrystandard.org.au
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issue 250 | 03.12.12 | Page 1
Now it’s time to grow our homes
This Issue
An incredible new generation of wood buildings changes thinking
Michael Geen .. architects are stuck in a glass and steel mindset.
actual building is made of materials that are not. He says the culture of concrete peaked in 1929 with Swiss architect Corbusier and steel
Cont Page 4
•A greement an opportunity or just a sham? •T a Ann to stay in industry •F orest industry bullied by governments
• V AFI awards recognise service to industry • Queensland delivers timber industry plan • Katter stalks the ‘green monster’
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CONTROVERSIAL architect Michael Green grabbed the attention of the huge audience at the Wood Solutions Fair in Toronto last month when he proclaimed: “Wood is the most technologically advanced building material in the world.” Warming to the subject at the fair on November 20 he added: “Architects are stuck in a glass and steel mindset; man-made materials are nowhere near as good as what Mother Nature has made.” Mr Green wonders why sticking solar panels on the roof of a concrete or steel building is considered ‘green’ when the
The Tasmanian saga
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issue 250 | 03.12.12 | Page 1
INDUSTRY NEWS
On a guided path .. timber industry plan will drive new demand for wood products.
Group ready to present plan for industry growth
QUEENSLAND’S forest and timber industry plan will be presented to the Forestry Minister John McVeigh in Caboolture this week. The plan will be delivered on December 6 by the chief executive of Timber Queensland Rod McInnes at a special event at the Caboolture sawmill of Carter Holt Harvey Woodproducts Australia. Mr McInnes is chair of the forest and timber industry plan working group formed to develop a plan that will meet industry’s needs and could be considered for adoption by government and industry. The group comprises representatives from Timber Queensland, key industry stakeholders and the Department of Agriculture, Fisheries and Forestry. Recognising the need to secure and cultivate the future of Queensland’s forest and timber industry, Queensland Premier Campbell Newman identified the development of the plan as one of the initiatives in the government’s six month action plan: July-December 2012. Mr McInnes said the plan aimed to drive the growth and sustainability of the forest and timber industry by maximising the use of Queenslandgrown wood fibre to produce innovative wood and timber products for a range of cost
Page 2 | issue 250 | 03.12.12
effective, energy efficient and low carbon footprint uses. “Sustainable management and expansion of the state’s plantation estate, and sensible commercial utilisation of native forests, will be encouraged to supply the forecast long-term demand growth for wood and timber products in a range of markets,” he said. “It will also establish a supportive environment to encourage investment in world’s best practice and competitive plantation estates and timber processing facilities that will provide sustainable employment opportunities for a well trained, career focused workforce across a range of regional communities.” The Caboolture event will also be attended by Andrew Powell, Minister for Environment and Natural Heritage, Lisa France, Assistant Minister for Natural Resources and Mines, Chris Hay, chairman, Timber Queensland, Warwick Temby, executive director, Housing Industry Association, and Brian Farmer, chief executive of HQPlantations, who was recently elected a director of Timber Queensland representing forest growing and management. A report on the event will appear in the next issue of Timber&Forestry enews.
ForestWorks performs a range of industry wide functions acting as the channel between industry, Government and the Australian Vocational Education and Training (VET) system
Learning Skills Research Advice Innovation
VICTORIA
PO Box 612, North Melbourne 3051 Tel: (03) 9321 3500 Email: forestworks@forestworks.com.au
NEW SOUTH WALES
PO Box 486, Parramatta 2124 Tel: (02) 8898 6990 Email: smukherjee@forestworks.com.au
TASMANIA
PO Box 2146, Launceston 7250 Tel: (03) 6331 6077 Email: edown@forestworks.com.au
SOUTH AUSTRALIA
Level 2, 32 South Terrace, Adelaide SA 5000 Tel: (08) 8219 9028 Email: michelle@forestworks.com.au
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THE TASMANIAN SAGA
Ed Vincent
Terry Edwards
Lara Giddings
Jan Davis
Tony Burke
Forest agreement an opportunity for Tasmania or is it just a sham? The case – for an against – on new peace deal
THE Tasmanian Forest Agreement created a new opportunity for the state and its forest industry, the chief executive of the Tasmanian Forest Contractors Association Ed Vincent said. “It has the potential to change the way which Tasmania and particularly the forest-based businesses are viewed by financiers and investors,” Mr Vincent said. A forestry peace deal agreed to by industry, union and environment groups last Thursday should end the state’s forest wars protecting half a million hectares of forest from logging. In return, the legislated quota of sawlogs will be cut to 137,000 cub m a year and Forest Industries Association of Tasmania chief executive Terry Edwards says 395,000 ha will be reserved immediately and the balance in March 2015. But the state Opposition points to a division within the Forest Industries Association of Tasmania and criticism from the Tasmanian Chamber of Commerce and Industry and the Tasmanian Farmers and Graziers Association. Premier Lara Giddings said she would “not hear a bad word against Terry Edwards.” In State Parliament she read
Peace deal .. contractors see a new opportunity for the state and its forest industry.
out a letter from Timber Communities Australia, the only signatory to the intergovernmental agreement yet to formally sign off on the deal. In the letter, TCA chief executive Jim Adams promised to strongly recommend his members support the deal at two consultation meetings scheduled early this month. Ms Giddings said the agreement was the right thing to do for families and the Liberal’s alternative would result in a far worse situation
for the forestry industry. The Federal Environment Minister Tony Burke says the deal has the makings of something extraordinary. Mr Burke told the National Press Club that after being disappointed when it appeared that the talks had fallen apart some weeks ago, he now had new optimism. “I think we have the makings of something quite extraordinary, we are heading towards something that is a unique win for jobs in Tasmania and that has conservation benefits
‘Tasmania needs to have a long, hard look at the social, economic and environmental consequences of the peace deal’ – Jan Davis
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many people thought were not possible,” he said. Key points of the forestry peace are: • 137,000 cub m of high quality sawlog available for industry. • More than 500,000 ha of new reserves created. • Immediate reservation of 395,200 ha. • A further 108,800 ha reserved by 2015, if peace deal holds. • Extra 20,000 ha designated as once-off logging; 1,200 ha log-of-last resort zone. • 38,000 ha placed in specialty craft and timber zone. Opponents of the peace process believe the agreement is a sham that offers no security to the forest industry. Liberal Senator Richard Colbeck says a federal Coalition government would tear up proposed reserves in the interests of the industry. “They’ve basically been bullied into this, there’s no question that that’s the case,” he said. The Tasmanian Farmers and Graziers Association’s Jan Davis says reduced sawmilling capacity will hurt private growers. “This will probably be the death knell not only for us, but for other parts of the industry,” she said.
Cont Page 7
issue 250 | 03.12.12 | Page 3
THE TASMANIAN SAGA
The time has come to stretch the imagination on timber structures
volume space in the US. The 37-metre high wooden Church of Transfiguration in Russia that was built in the 17th Century is still standing.
From Page 1
“The Earth grows our food; the earth can grow our homes. It’s an ethical change that we have to go through.” But innovation in architecture is incredibly slow, he says. The building codes are not performance based, so change takes years, and we have to “change society’s perception of what is possible”. Michael Green’s work is a testament to wood; he has used a clever combination of large panels of laminated strand lumber in the atrium in the North Vancouver City Hall. This material would normally be cut up for lintels and beams. He told the Wood Solutions Fair: “Engineered structural timber materials with many applications have emerged from the realisation that we can chop wood up and glue it back together; that we can use the fibre, which is the basis of wood, to its best advantage. “For example, we used jumbo sheets of LSL (laminated strand lumber), which is made from compressed timber waste, to construct a large building very quickly. This was the North Vancouver City Hall project, where we cross laminated three sheets measuring 12 x 4 metres to create a beautiful wood structure that is also exposed as its ceiling.” Speakers at the Toronto fair agreed – these are exciting times for wood design. Ongoing technical innovations have resulted in stronger, smarter, and more versatile wood products and systems that are being enthusiastically embraced by building and design communities around the globe. An incredible new generation of wood buildings has loomed into view. Michael Green says the time has
Page 4 | issue 250 | 03.12.12
“When we started renovating a 100-year old building in Vancouver’s Chinatown we discovered that all the walls were made with ‘mass timber’, which was common practice at that time. We saw that we could learn from other cultures about their building practices and traditions to improve our own work. We also discovered that we build with wood now pretty much the same way as we did 500 years ago.”
Michael Green’s 30-storey wooden building concept .. major American architectural firms are serious about building wood towers for offices and residential projects.
come to stretch imagination, and while he is excited about the proposed 10-storey wood frame building being constructed in Prince George, he is contemplating the issues surrounding the construction of a 30-storey building. He says that project will spark worldwide discussion and attention. He says the Prince George building – the Wood Innovation and Design Centre – needs to be built quickly because it will dispel misconceptions about building tall buildings with wood including cost competitiveness. He says when it comes to
buildings in the interior or northern British Columbia, wood becomes a very cost competitive material. “That becomes a real game changer for the forest industry,” he says. Mr Green says architects should learn from then past. “More broadly in our architectural practice, we started to look around at existing timber structures and asked – how can we learn from the past? “For example, at the turn of the 20th Century the timber barn on the Vanderbilt family farm in Vermont was the single largest
The tall wood project is part of a small but distinguished group of ‘woodscrapers’ proposed for everywhere from Norway and Austria to Australia
As for Michael Green’s 30-storey wood towers, he says that he picked that number for its impact; had he said 10 storeys, people might not have paid attention. And he reckons even taller wooden buildings could result from more research. Many believed he was crazy, but now major American architectural firms are in serious discussions with him about building wood towers for offices and residential projects. The tall wood project is part of a small but distinguished group of ‘woodscrapers’ proposed for everywhere from Norway and Austria to Australia. Michael vision was inspired by the sheer amount of energy required to create the materials for a common building – most of which must be sourced long distances. Sustainable forests everywhere, if well managed, can produce an abundance of raw carbon sequestering materials to build cities.
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WHAT’S ON?
NOVEMBER
28-29: ForestTech 2012 – Improving Wood Transport and Logistics. Melbourne and Rotorua
30: NSW Forest Products Association annual conference and timber industry dinner. Parkview Room, Doltone House, Darling Island Wharf, 48 Pirrama Rd, Pyrmont. Conference 9am3.30pm. Theme: Community Engagement for the Forestry Industry. Keynote speaker Troy Grant, Parliamentary Secretary Natural Resources. AGM for FPA members at 4pm. Dinner starts at Doltone House, Jones Bay Wharf, Pirrama Rd, Pyrmont, at 6.30pm. RSVP: November 2. Tel: (02) 9279 2344. Email: fpa@nswfpa.asn.au. Web www. nswfpa.asn.au
APRIL 2013
7-10: 6th international Woodfibre Resources and Trade Conference, Istanbul, Turkey. ‘Woodchips and Biomass for Global and Regional Markets’. Hilton Istanbul Hotel. Included in the program is a pre- and postconference field trip, two days of conference and the opportunity to visit Gallipoli. Visit www.woodfibreconference. com to register.
Residues-to-Revenues 2013 Conference and CleanTECH Expo Wood energy and ‘cleantech’ industry developments. Crowne Plaza Hotel, Auckland, April 10-11, 2013; Bayview Eden Hotel, Melbourne, April 15-16,
2013. Event website: www. woodresiduesevents.com
7-11: Institute of Foresters of Australia conference – Canberra Rex Hotel, Canberra. ‘Managing Our Forests into the 21st Century’. Inquires to Alison Carmichael, chief executive, IFA, PO Box 7002, Yarralumla ACT 2600. Tel: (02) 6281 3992. Mob: 0414 287 079. Email: alison. carmichael@forestry.org.au Web: www.forestry.org.au April 28-May 12: EuroWOOD 2013 study tour to LigNA Hannover (May 6-10). Study tour and visits to Austria and Germany, starting in Vienna and finishing at LIGNA, Hannover, Germany. Add-on tour options to Finland and UK and European destinations. The 16-day tour is supported by the Engineered Wood Products Association of Australasia (EWPAA), in collaboration with other industry bodies and companies. Participants will have the option to attend the full LIGNA program in Hannover and join selected visits to surrounding wood manufacturing factories and a university outside LIGNA for one or two days, allowing three full days at LIGNA. Internet site for registrations available soon. Costs: $7550* (+gst) p.p. or $9370* (+gst) single with an option for single participants to twin share. Price includes all airfares, ground travel and most meals, including entry to the famous LIGNAHannover Fair from May 6-10. The study tour will inspect the
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EVENTS
latest technologies of factorybuilt prefabricated housing and cross-laminated timber (CLT) construction methods, revolutionary MDF processes, wood panel processing, structural timber frame housing construction, and all the machinery that puts it together. Generous time has been allotted to rest, relax and enjoy Austrian and German tourist locations along the way while travelling by luxury coach and staying at top hotels. Tour limited to 32 participants, including professional industry tour guides. Travel consultant: Harvey World Travel, Shop 18, Fountain Plaza, The Entrance Rd, Erina NSW 2250.Tel: 02 4365 2337. For a full itinerary and registration details, contact the EuroWOOD 2013 Secretariat, PO Box 330, Hamilton Central Q 4007 or email eurowood13@ bigpond.com * Tax deductible industry tour
MAY 2013
8: Global Softwood Log & Lumber Conference Sheraton Wall Centre Hotel, Vancouver, BC. Sponsor opportunities available. Contact: info@ woodmarkets.com or call 1-604801-5996.
December
4-5. Focus on improving transport and logistics in the forestry sector. It will build on the excellent program designed by the Forest Industry Engineering Association. Visit www.foresttechevents.com
Australia’s forest, wood, pulp and paper products industry now has a stronger voice in dealings with government, the community and in key negotiations on the industry’s future, as two peak associations have merged to form a single national association. The Australian Forest Products Association (AFPA) has been formed through the merger of the Australian Plantations Products and Paper Industry Council (A3P) and the National Association of Forest Industries (NAFI). AFPA was established to cover all aspects of Australia’s forest industry: - Forest growing; - Harvest and haulage; - Sawmilling and other wood processing; - Pulp and paper processing; and - Forest product exporting. For more information on the Australian Forest Products Association (AFPA) or to enquire about membership , please call (02) 6285 3833.
issue 250 | 03.12.12 | Page 5
INDUSTRY NEWS
CHH to close Lakeside operations
Graeme Hart rejects $27m state government offer CARTER Holt Harvey has followed through on a threat to close south-east mills in South Australia after a dispute with the state government. A total of 94 jobs will go when the company shuts its Lakeside mill and its pine mouldings plant on December 14. A CHH spokesman said some of those workers would be moved elsewhere. “We’ve created at the same time 113 new positions at our Jubilee Highway sawmill so there’s a net impact of 94 roles,” he said. South Australia’s Employment Minister Tom Kenyon promised help for the affected workers. “Services offered to the workers will be the same as those provided to those retrenched from Kimberly-Clark Australia in Millicent,” he said. “All workers will be supported through a government support package for a period of 12 months after their retrenchment.” The forestry union had warned for months of impending job losses and blames the government, accusing it of failing to reduce log prices before a recent sale of Forestry SA’s forward harvest rights.
Page 6 | issue 250 | 03.12.12
Graeme Hart .. rejected government offer.
Jack Snelling .. against cutting log prices.
CFMEU district secretary Brad Coates said the government had responded poorly to the concerns. “Now the reality is starting to hit in and it’s now time for them to step up and be mature about it,” he said. “We basically warned them that this would and could happen if they didn’t take it seriously. They decided to not take it seriously and as a result workers have paid with their jobs.”
The government offered Carter Holt Harvey a $27 million assistance package, but this was rejected by the company’s owner Auckland-based Graeme Hart. Mr Hart, an astute buyer and seller of businesses, currently runs the world’s second biggest packaging business which he has built since buying Carter Holt Harvey for about $3.3 billion six years ago. South Australian Treasurer Jack Snelling says cutting log prices would only have hurt other timber companies. The money previously on offer to CHH is now being offered to the other mills. The independent MP for Mount Gambier Don Pegler says
‘The problem is the timber industry in the region has lost its competitive edge – Robert Eastment
industry restructuring is needed to compete internationally. “There won’t be as many people employed but I think the timber industry has a bright future, particularly once we get through this global financial crisis which has only just come home to roost really here now,” he said. Forestry industry analyst Robert Eastment says the problem is the timber industry in the region has lost its competitive edge. “They haven’t really got any world-scale mill there. You know it’s been under-invested and they have been run down,” he said. “I’m sure a lot of people will be really upset to hear that but, look, I mean at the end of the day you’ve got to take a cold look at it. “If you look at the mills there compared to the ones in places like Scandinavia and Europe you know they are underperforming.” Mr Eastment says cheaper logs are not the answer. “If you give away cheaper logs at the end of the day then what’s going to happen is that the mills still don’t invest,” he said.
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INDUSTRY NEWS
Must push processing of both plantations and residues: TFCA
From Page 3
Farmers believe they were unfairly excluded from the talks and have opposed the peace deal. Ms Davis said one of the biggest issues with the process was the parties involved were selfappointed and unaccountable. “We need to have a change in our forest industries and we’ve seen that happening over the last few decades,” she says. “But if we’re going to move to massive and radical change then that needs to be a community-wide discussion and it needs to be held with the whole suite of information available to the people engaged.” Ms Davis says the process was doomed to fail from day one. “It is not representative, it is not accountable and it’s not going to be bound by the decisions that come out in its agreement and that’s what we’re seeing already,” she said. “Tasmania needs to have a long, hard look at the social, economic and environmental consequences of the peace deal.” Ed Vincent said while there was considerable and understandable apprehension about the agreement, the final document had the potential to lead to a cessation of the community dividing protest action which has dogged the industry for more than 30 years. For most of that time contractors had borne the brunt of disruption from these protests. Many contractors had expressed relief that there might now be a positive, and
certain future, albeit in a smaller industry than the one that has been in decline since 2008. The TFCA has also called for serious effort to promote domestic processing of both plantations and residues, a benefit for public forest as well as private forest management. This could underpin the resurrection of a viable public and private forest industry and place a stop to the decline in forest industry fortunes evident since 2008.
“There will still be a challenging period ahead, while the restructure of this sustainable industry continues,” Mr Vincent said. “However, if governments provide the support the agreement requires, that restructure will not cause the level of pain to businesses, individual and communities that would have resulted in the absence of an agreement. “On balance, there are positives for contractors which improve
their position in the industry, as well as a requirement for a
significant
research
investment
and
development,
particularly aimed at plantation
and residue processing within Tasmania.
“This can only improve the durability
and
resilience
of
the Tasmanian forest industry, including the harvest, haul, silviculture
and
contracting sectors.”
roading
‘There are positives for contractors which improve their position in the industry’ – Ed Vincent Advertising: Tel +61 7 3266 1429 Email: cancon@bigpond.net.au
in
issue 250 | 03.12.12 | Page 7
ISSUES
Imported timber contributes to building and construction jobs
THE Australian Timber Importers Federation has identified what it considers inaccurate statements and commentary about the fitfor-purpose and standards compliance credentials of imported engineered and structural timber products. ATIF general manager John Halkett said that in addition to concerns about the commentary made by some sections of the industry about codes and standards compliance, there had also been inaccurate remarks made about the jobs-related virtues of imported timber products. Mr Halkett said that in relation to the employment impacts ATIF timber AdvertFINAL.pdf 1 of imported products,
allegations that such products were costing jobs in Australia do not stand close scrutiny. “ABARES data related to consumption trends for timber and wood-based products, plus data from the Housing Industry Association confirms that imported timber products account for around 10% of material inputs into the building and construction industry,” Mr Halkett said.
Imported timber products contribute to 28,990 jobs directly in building and construction and a further 80,450 in 8/10/12 4:56 PM allied occupations
John Halkett .. jobs are dependent on imported timber products.
“Relating this to employment, analysis of employment-related data indicates that imported timber products contribute to 28,990 jobs directly in building
and construction and a further 80,450 in allied occupations. “The labour force attributable to imported wood products is larger if tertiary occupations are also taken into account. “Put bluntly, these jobs would simply not exist without imported timber products. “These are jobs that are dependent on the utilisation of imported timber products either not manufactured at all in Australia or not available in sufficient quantities to cater for building and construction demands.” Mr Halkett added that in relation to ongoing innuendo about dumping, previous dumping
Cont Page 16
C
M
Y
CM
MY
CY
CMY
K
Page 8 | issue 250 | 03.12.12
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INDUSTRY NEWS
Bob Katter .. “watch out Greenies, you’re on my hit list.”
Katter wants to put a stake in the heart the ‘green monster’
MAVERICK MP Bob Katter has stepped up his campaign to find Tasmanian candidates for his namesake Katter’s Australian Party. With less than 12 months until the next federal election, the North Queensland MP has been in the state capitalising on what he says is the disillusionment of Tasmanian voters. “Tasmanians have been let down by the state Labor-Green government and federal Labor,” Mr Katter said in the Hobart Mercury. “They’ve just closed down another couple of thousand jobs in this timber agreement,” he said. “Governments that just continue to take jobs away from their people deserve to be thrown on the scrapheap and jumped upon.” Mr Katter said he had no faith that the signed forest peace agreement would end conflict over native forest logging, because of what he labelled the “green monster”. “There’s only one way to deal with a monster, and that’s to put a stake in its heart,” he said. “We’re the fun and freedom party .. we believe that people should be able to do what Australians have done since we’ve been Australians -fishing, camping, hunting, shooting, unrestricted by the wowser class. “I’m talking about the Greenies
and their fellow travellers.” Mr Katter, 67, has been an elected representative in far north Queensland since 1974. Katter’s Australian Party claimed its first two seats in Queensland’s Parliament following the state’s March elections and won 11.46% of the vote. Katter’s Australian Party state director Jenny BranchAllen said there had been a lot of interest from potential Tasmanian candidates. The party would announce candidates early next year in anticipation of an early federal election, she said. Broadly speaking, Katter’s Australian Party policies include 100 new boats with cruise missile capability to patrol Australia’s coasts, awarding government manufacturing contracts to Australian companies first, the restriction of foreign ownership of Australian farms and blocking the carbon tax. Mr Katter wants to break the Coles / Woolworths duopoly in food retail to get a better price for Australian food producers, restrict free trade and put an end to the “nanny state”. This is Mr Katter’s second trip to Tasmania in recent months. The next federal election must be held by November 30 next year.
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dennis@industrye-news.com
issue 250 | 03.12.12 | Page 9
THE TASMANIAN SAGA
‘Sold out for handful of trinkets’ Forest industry bullied by governments: Colbeck
A LIBERAL government will not recognise any new reserves contained in the sham, unrepresentative IGA deal, says Coalition forestry spokesman Richard Colbeck. “This crap deal signed up to by Labor is not good for Tasmania in any sense,” he said. “Taking the area of reserves in Tasmania to over 50% is not sustainable and nor is it justifiable.” Senator Colbeck said Tasmanian Labor members – including Julie Collins, Dick Adams, Sid Sidebottom and Geoff Lyons – had abrogated their policy development responsibilities as elected members to the CFMEU, the Wilderness Society and Environment Tasmania, among others. “If they are not interested in doing what they were elected to do they should get out and hand the job over to someone who will,” Senator Colbeck said. “They have sold out the forestry industry and other sectors for a handful of trinkets. The Coalition will not. “There are many other parties that are significantly impacted by this sham process, including agriculture, mining, tourism, and furniture manufacture, and they have had absolutely no say.” Senator Colbeck said forest industry representatives had been bullied by the federal and state governments to re-enter the process and negotiate away the promises of timber supply that were made by federal Environment Minister Tony Burke and Premier Lara Giddings. The IGA promised 155,000 cub m of Category 1 sawlog, 265,000 cub m of peeler billets for Ta Ann and 12,500 cub m of special species timbers. “Where have these
Page 10 | issue 250 | 03.12.12
commitments from government gone?” Senator Colbeck asked. “Tony Burke promised Tasmania, and I quote: ‘Where you get a clash between the minimum requirements for wood supply and a conservation aspiration, wood supply will win.’ (Kingston Community Cabinet, October 3, 2011) “The word and signature of the Prime Minister Julia Gillard, the Tasmanian Premier and Tony Burke mean nothing. “Industry has seen supply cut from 300,000 cub m of Category 1 saw logs to 137,000 cub m and the environment groups’ claim has gone from 572,000 ha to 560,000 ha. Who didn’t compromise?” “To replace the volumes lost with plantation timber will take decades and also about 100,000 ha of land, most likely agricultural land, of which there is about 650,000 ha in the state. What about the government’s food bowl plans?” Senator Colbeck said not only would the greens campaign against the conversion of farm land to plantation, they would continue to campaign against the native forest sector. “That is why Bob Brown and Peg Putt have taken up more senior positions in Markets for Change, which opposes all native forest harvesting. “The Coalition has said all along that this process was a bad idea.
“The claims of the environment groups actually prove what the timber industry has been telling us for years – they are very good forest managers
good forest managers. “Instead of paying to close down jobs, Labor should be working to grow the output
of the industry – looking to develop higher-value products,
whether it is the next generation of
cross-laminated
timber
from Australian hardwoods, or energy or high value cellulose based derivatives. Richard Colbeck .. to replace the volumes lost with plantation timber will take decades.
“It started out of a deal between Gunns, the CFMEU and ENGOs to get a pulp mill, but all of the reasons for that deal no longer exist. “There is an opportunity to get a ‘win win’ win out of the exit of Gunns from the industry without locking up more of Tasmania.” Senator Colbeck said with only 155,000 cub m coming from areas currently available, it was possible to reduce the intensity of harvest and extend forest rotations which would give better environmental outcomes; higher quality timber outcomes; better returns for sought-after products; better returns for industry; and retain employment in regional towns. “Instead environmental groups are stuck in the past with a view that the only way to retain conservation values is to lock it up and throw away the key,” Senator Colbeck said. “This theory is completely undermined by the fact that much of what is being caught up in the new IGA is regrowth forest regenerated from clear fell and burn. “The claims of the environment groups actually prove what the timber industry has been telling us for years – they are very
“And, of course, continuing to
develop our top-end wooden boat and fine design craft
and furniture sectors with our
unique and highly sought-after special species timbers.
“The really sad thing is that what is left of the industry is
being squeezed into a much
smaller area which will have the opposite effect, setting the
industry up for more problems
and making it less sustainable.” “Let us not forget that even the West report told us that if ‘any’
more forest is locked up supply contracts cannot be met.
“I would not be surprised if
we are back here doing this all
again in five to 10 years, Greens complaining about the intensity of harvest and forest practices,
and industry about supply, they are being set up to fail.”
Senator Colbeck added: “If Labor weren’t tied to the coat tails of the Greens they would
stand up for their traditional supporters not sell off their jobs.
“The rest of the state, however, is left with the mess, made
worse by the sponsorship of the process by Lara Giddings, Julia Gillard and Tony Burke.”
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THE TASMANIAN SAGA
Ta Ann decision to stay in industry an opportunity for private forest growers THE jobs of more than 100 Tasmanian timber workers have been secured with processor Ta Ann Tasmania confirming it will remain in the state. But the company has warned it will collapse if the Upper House scuttles forest peace deal legislation. The veneer producer says its timber quota will fall by almost 40% under plans to protect half a million hectares of forest from logging. Executive director Evan Rolley says the company is supporting the plan because it will bring with it critical environmental backing for the company. “They’ve given us assurances that they’ll stand shoulder to shoulder with us and help us with our products and our markets,” Mr Rolley said.
Ta Ann plans to overhaul its operations and source more timber from private forests. “We’ll have to diversify our supply away from the state forests supplied by Forestry Tasmania, and we’ll need to talk to private forest owners. “We think our firm offers an opportunity to private forest growers to process more of their wood here in Tasmania through our veneer mills.” Mr Rolley warned that Ta Ann would pull out if the Upper House scuttled the forest peace deal. The Lower House passed legislation to reduce native forest logging late this month and it goes to the Legislative Council in December. Huon MLC Paul Harriss said the peace deal was a dud based on
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Tasmania,” he said.
“We will not have a sound basis on which we can go back into the market; we are just holding our business together today. “We have explained to them (MLCs) that we believe this is the best chance for our company to be able to continue to operate, to reinvestment and to diversify its markets.” Evan Rolley .. diversifying supply away from the state forests.
a flawed process and he would not support the legislation. Mr Rolley said the company had started lobbying MLCs. “We will work very hard to brief Legislative Councillors about the future (because) we won’t have a business in
Mr Rolley also says the Liberal’s plan to rip up the peace deal is not a viable option for the company because it does not provide it with critical environmental backing.
The Opposition has pledged to return any new reserves created under the forest peace deal to working forests if it wins majority government.
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meet these requirements. In fact, laboratory tests show many imported non-certified products are continuously failing Australian standards for emissions and bonding strength and are life threatening. FACT: Manufacturers, agents and suppliers trading in inferior quality, unlabelled and non-compliant plywood and LVL risk damage to their business, media exposure and high penalties under Australian law.
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issue 250 | 03.12.12 | Page 11
EVENTS
Awards recognise service to state’s $7.5bn forest industry Presentations in six categories at gala VAFI dinner
INDUSTRY awards recognising lifetime achievement, sustainability, the environment, innovation, community service and heath and safety in the workplace were highlights of the Victorian Association of Forest Industries’ annual dinner in Melbourne last month. More than 240 representatives of the forest and wood products industry, government, academia and media gathered for the dinner at the Park Hyatt in Melbourne on November 16. The night provided guests with the opportunity to network and celebrate the achievements of an industry that generates $7.5 billion in sales and services income and directly employs 24,000 people. Keynote speaker was Victorian Minister for Agriculture and Food Security Peter Walsh who assisted in the presentation of awards. One of the most applauded award winners was Bairnsdale resident Ewan Waller who was recognised with the
VAFI Lifetime Achievement Award for his many years of services to the forest and wood products industry and to fire management in Victoria. Mr Waller, a former Department of Sustainability and Environment chief fire officer, received the award after 35 years of service to Victoria in forest, land and fire management roles. “Over the last three-and-ahalf decades Ewan Waller has provided Victoria with an invaluable service, ensuring our forests are properly managed and that we properly prepare for the effects of landscape scale fires,” VAFI chief executive Lisa Marty said. Mr Waller worked as a forester from 1977 to 1983, and then, after 21 years working in other
‘A love and appreciation of Victoria’s forests was clearly in Ewan’s blood’ – Lisa Marty
Ewan Waller .. significant contribution of Victoria and the state’s forest industry.
aspects of land management and for the Gippsland Ports Committee of Management, he returned to the industry as regional manager, East Gippsland, for VicForests. However, shortly after this he was appointed to the position of chief officer, fire and emergency management, for the Victorian Department of Sustainability and Environment in 2005. In this role he was responsible
for fire management across one-third of Victoria’s total land area, including national parks, state forests and protected public lands. Ms Marty said having been born in East Gippsland, one of the major forestry regions in Victoria, a love and appreciation of Victoria’s forests was clearly in Ewan’s blood. “Ewan has provided a significant contribution to Victoria through his work managing our forests for a range of economic, social and environmental values, and protecting them from fire,” she said. “Everyone who has worked with Ewan appreciates his commitments to Victoria’s forests, the people that work in them and the communities that rely upon them for their livelihoods. “Victoria’s forest and wood products industry, as well as all Victorians who love and appreciate our forests, owe a debt of gratitude to Ewan Waller.”
Lisa well placed to fight for industry employees
THE chief executive of the Victorian Association of Forest Industries Lisa Marty has joined the First Super board of directors. Ms Marty said the role, which she saw as advocating for First Super fund members, was an extension of the advocacy she performed for the industry through VAFI. “As the peak body for the Victorian forest and wood products industry, our association represents nearly three dozen businesses, their
Page 12 | issue 250 | 03.12.12
employees and stakeholders,” Ms Marty said. “Through my position on the First Super board, I will be able to continue to fight for industry employees, to help ensure they have the best possible superannuation funds available when they retire.” First Super is the industry super fund for workers in the timber, pulp and paper and furniture and joinery industries and manages nearly $1.7 billion in funds for more than 72,000 members.
Lisa Marty .. on the board of First Super.
Ms Marty said VAFI was committed to building on the industry’s investments and encouraged the industry to continue to adapt and innovate by leading a project to investigate ‘Innovation and Investment Pathways in the Victorian Hardwood Processing Industry’. “This project provides a framework for innovation by businesses and the industry based on an analysis of our wood availability and our market dynamics.”
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VAFI ANNUAL INDUSTRY AWARDS
Engineered red gum products win industry innovation award
ARBUTHNOT Sawmills, the last remaining mill along the Murray River using high quality red gum sawlogs harvested from state forests, received the Innovation Award at the annual VAFI dinner Presented by the Victorian Minister for Agriculture and Food Security Peter Walsh, the award, sponsored by ForestWorks, recognises the $1 million investment the Koondrook-based mill had made in new equipment to improve the efficiency of its operations, making more red gum products available to builders and home owners. VAFI CEO Lisa Marty said the award highlighted the efforts Arbuthnot had made to efficiently use as much of the sought-after red gum timber
The Victorian Minister for Agriculture and Food Security, Peter Walsh (second from left) presents the Innovation Award to the Arbuthnot team, from left, Paul Madden, John Eberbach, Simon Oster, Peter Hunter and Alexander Arbuthnot.
available as possible for high value applications. “These investments will maximise the amount of timber going into higher value applications, such as fingerjointed laminated bench tops, decking and flooring, and engineered finger-jointed
laminated verandah posts,” she said. “This means that more of the timber processed by the mill can be used for high value, appearance grade applications used in homes or other building projects where aesthetics are important.”
The $1 million invested was in a new finger jointer, a laminating press, wide belt sander, a new panel saw, and sawdust extraction to be used to compliment machinery in the dry mill. Ms Marty said it was important for the forest and wood products industry in Victoria to maximise the value of each piece of timber by using new technology and techniques, and developing new products and markets. “Arbuthnot had shown a way to do this,” she said. “This initiative showcases the innovative nature of the Victorian forest and wood products industry and the ways in which it continuously adapts to changing circumstances.”
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issue 250 | 03.12.12 | Page 13
VAFI ANNUAL INDUSTRY AWARDS
Sustainability: Montana Timber leaves better forest for the future
A NEW forest management project in East Gippsland has been recognised for its innovative methods by the VAFI sustainability awards. The project, a joint trial between Montana Timber and state government business enterprise VicForests, is designed to test the commercial feasibility of harvesting high quality timber from low yielding, uneven-aged forests in East Gippsland. The Environment Award, sponsored by First Super and presented at the association’s annual dinner in Melbourne by Victorian Agriculture Minister Peter Walsh, recognises the
innovative approach adopted by Montana Timber. VAFI chief executive Lisa Marty said the Victorian forest and wood products industry placed the highest value on appropriate and sustainable forest management. “Our industry only has a future while the forests are well managed, and by restoring the forests using low impact forest management techniques, Montana is making sure they will be healthy for future generations,” Ms Marty said. The trial is using a selective harvesting technique in unevenaged coastal and foothill forests to access mature trees, while
THE 2012 Victorian Association of Forest Industries sustainability awards have recognised Eden-based South East Fibre Exports for its environmental achievements. The Environment Award, sponsored by First Super and presented at the VAFI annual dinner, recognises the range of renewable energy initiatives championed by the company. “In the past year South East Fibre Exports has systematically undertaken a number of projects to improve resource efficiencies, limit
environmental impacts and support renewable energy,” VAFI chief executive Lisa Marty said. These initiatives included a pellet plant that converted mill processing waste into wood heater pellets, an energy audit that identified a range of power saving measures, planning for a wind farm project and a bioenergy proposal that would generate renewable energy from mill waste. Ms Marty said energy costs and the threat of climate change were significant issues facing
George Kasikovic (right) of Montana Timbers receives the VAFI Sustainability Award from the Victorian Minister for Agriculture and Food Security Peter Walsh.
retaining younger regrowth to improve long-term forest health and productivity. This technique is specifically designed for low elevation mixed species forests. Ms Marty said it was important for the forest and wood products industry in Victoria to remain innovative, and Montana had shown another way to do this in certain forest types. “This project showcases the innovative nature of the Victorian forest and wood products industry and the ways in which it continuously adapts to changing circumstances.”
Environmental initiatives recognised in award to South East Fibre Exports
Victorian Minister for Agriculture and Food Security Peter Walsh (let) presents the VAFI Environment Award to South East Fibre Exports representative Peter Mitchell.
Australia, and forest and wood products industry businesses such as SEFE were well positioned to take a leading role in developing renewable energy projects. “It is important our industry uses the advantages of natural, renewable and carbon storing forest and wood products to combat climate change,” she said. “SEFE’s initiatives showcase the innovative nature of our industry and the ways in which it continuously adapts to changing circumstances.”
VAFI president has wide experience in paper industry
THE newly-elected president of the Victorian Association of Forest Industries Julian Mathers has been professionally involved in the paper manufacturing industry in Australia for more than 25 years.
Page 14 | issue 250 | 03.12.12
He has held positions with Australian Paper Manufacturers, Amcor and PaperlinX. Currently, he is a member of the senior management team of Australian Paper, specifically responsible for optimisation of the company’s supply chain.
Over the last decade he has been increasingly involved in complex negotiations, operational and strategy development with significant social, economic, community and organisational implications. Collaboration and interaction
with all levels of government has been an important element of his work for some time. He has effectively led or guided all of the major Australian Paper projects of the last decade be it, new capital plant, resource security or IT.
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VAFI ANNUAL INDUSTRY AWARDS
Track record in community and safety earn awards for Maryvale
AUSTRALIAN Paper, the largest private employer in Victoria’s Latrobe Valley, received the Local Community Engagement Award and the Occupational Health and Safety Award at the VAFI annual dinner. Both awards recognise Australian Paper’s commitment to building a strong community around its Maryvale mill. The awards highlight the efforts Australian Paper has made to improving safety for the nearly 1000 people employed at its Maryvale paper mill, its local community and beyond. The company was awarded the Occupational Health and Safety Award for its dedication to building a culture of safety and zero harm in its own workplace by focusing on a different safety theme each month. “Not only would Australian Paper send out safety emails each fortnight, set up new safety posters in 83 locations around the mill each month, and conduct zero harm audits every two months, they would also share their safety material with other businesses,” VAFI chief executive Lisa Marty. “We have heard the innovative safety materials prepared by
Safety first .. monitoring production at Australian Paper’s Maryvale mill in the Latrobe Valley.
Australian Paper have made it as far as a BP oil rig in North America.” Australian Paper also received the Local Community Engagement Award for its ‘SeeMore’ safety Program. Operated through the KIDS
‘Australian Paper has taken the concept of being a good neighbour, or a good corporate citizen, to another level’ – Lisa Marty
Chief executive of Australian Paper Jim Henneberry receives the VAFI Award for Occupational Health and Safety from the Victorian Minister for Agriculture and Food Security Peter Walsh.
Foundation — a not-for-profit, health promotion charity dedicated to childhood injury prevention and injury recovery — Safety Club programs have been established in eight local schools and three kinders. This year, 1602 primary school students and 123 kinder students had been taught about safety through these programs. Ms Marty said these two initiatives showed Australian Paper was a leader in workplace safety, and was willing to share its experience and corporate knowledge with its local community and the other businesses. “Australian Paper has taken the concept of being a good neighbour, or a good corporate citizen, to another level,” she said. “They were an easy choice for these awards and we congratulate the company, and its employees, for their efforts.” The Local Community Engagement Award 2012 was sponsored by Regional Development Victoria and the Occupational Health and Safety Award 2012 by PFOlsen.
Forest owners and contractors rise to the challenge
FOREST owners and farmers in New Zealand now have access to detailed information about carrying out earthworks on steep hills that are often prone to erosion – the tiger country where plantation forests are increasingly grown. To harvest those hills, you need highly skilled roading engineers and operators who can construct low-cost, fitfor-purpose, roads, culverts and landings that meet high environmental standards. They in turn need a source of reliable information about what
One-stop shop .. Forest Owners transport chair Brian Pritchard, Associate Minister for Primary Iindustries Nathan Guy and FOA chief executive David Rhodes at the launch of the New Zealand Forest Road Engineering Manual.
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works and what doesn’t work in difficult terrain and across a wide range of soil types. Launching the New Zealand Forest Road Engineering Manual and associated Operators Guide, associate minister for primary industries Nathan Guy complimented the Forest Owners Association for taking the lead. Principal editor Brett Gilmore was praised for putting a huge amount of work into the project. “The purpose of the manual is
Cont Page 16
issue 250 | 03.12.12 | Page 15
ISSUES
Importers want go ‘grow’ market share to compete against substitute products
From Page 8
allegations directed at imported structural timber products sourced from Europe and North America were the subject of a comprehensive investigation by Australian Customs and Border Protection Service. “The dumping inquiry was terminated, as the dumping allegations made were found to be without substance,” Mr Halkett said. “Notwithstanding these findings there has continued to be sweeping commentary by some unions and domestic processing-focused trade associations that imported building materials are being ‘dumped’ and/or are ‘dodgy’. “Noticeably, the CFMEU has continued an anti-imports campaign. It would seem that the union wants old-style protectionism back in the
Data verifies the substantial contribution imported timber products make to jobs in building and construction industries.
timber industry, based on their media release that following the passing of the Illegal Logging Prohibition Bill through the House of Representatives.” The CFMEU media release said in part: ‘Thousands of timber, furniture and pulp and
paper workers, whose jobs are under threat, are relying on the Illegal Logging Prohibition Bill to pass without delay ... Wood products represent the second largest sector in Australia’s manufacturing industry and cheap, imported products are
costing workers their jobs ..’ Mr Halkett argues that building and construction industries employment data verified the substantial contribution imported timber products made to jobs in these industries, in the timber supply chain and associated support industries. He asserted that standardscompliant, quality imported timber products are making a worthwhile contribution towards meeting the demand of the building and construction industry and to thousands of jobs in these industries. Mr Halkett concluded that timber importers wanted to see the collective resources of the timber industry better directed at growing the size of the market and competing against less environmentally-friendly steel, aluminium, concrete and plastic building products.
Forest owners and contractors rise to the challenge
From Page 15
to provide a one-stop shop for information on all aspects of the planning, design, construction and maintenance of unsealed forest roads,” Mr Guy said. “Road engineering is one of the
most technically challenging and expensive parts of forestry. This manual documents best practice and provides all forest owners – large and small – with access to important information.”
Mr Guy said the publications were well-timed, because many owners who established forests in the 1990s were starting to make plans for developing their infrastructure. Many of these would be smaller owners harvesting for the first time.
The annual harvest is forecast to climb to a projected 35 million cub m a year from the early 2020s. This could equate to 14,000 km of new harvest access roads in the next 10 years, at a cost of around a billion dollars.
Opportunity: new engineered product Project seeks access to on-going timber resource
ThIs engineered product is manufactured from small diameter treated true round plantation logs that would normally be chipped or destroyed. Resource cost is minimal. The production system is low capital cost and can be set up in a minimum of time and at a minimum of cost. Compared with current systems such as LVL, sawn timber etc. this product has unrivalled versatility, fire resistance, projected longevity and sustainability. This product has the ability to lower the costs of floor and wall framing in modern homes, as well as being ideal for low-cost housing The entire buildings can be erected on site using unskilled labour. The product has undergone comprehensive testing at the engineering faculty of the University of Technology Sydney under the guidance of internationally renowned timber engineer Prof. Keith Crews.
Engineered Timber Products
Loggo products have undergone comprehensive testing at the engineering faculty of the university of Technology sydney.
Page 16 | issue 250 | 03.12.12
The project is keen to establish a plant near a guaranteed resource. Contact: (02) 4256 4767 or email pat@loggo.com.au www.loggo.com.au
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Weeding out illegal timber from the EU starts in March next year But using wood is beginning to look like a criminal activity
AS of next March, weeding out illegal timber from the European Union will be the responsibility of the European forest owner as seller or the company importing timber in the EU, according to the Finnish Forest Association. The system is anything but simple. The European Timber Regulation, which comes into effect at the beginning of March next year, says that the one who places timber and timber products on the market must be able to show the origin of the wood used in the product. The company or individual also has to evaluate the risks related to illegality of every timber lot and to show how the risks have been decreased if they have been greater than negligible. For each timber lot or wood product imported in the EU, one must be able to show its name and type, the name (and sometimes even the scientific name) of the tree species used, the country or region in a country that the timber originates from, information on the risk of illegal loggings in the area, the volume of timber logged, information on the body supplying the timber and documents proving compliance with legislation. The risks must be evaluated on the basis of the legality of logging and the occurrence of illegal loggings in the area in question, as well as in the light of international regulations and the complexity of the chain of custody. All documents must be preserved for five years. In addition to this, the
Paper trail .. for each timber lot or wood product imported in the EU, one must be able to show its name and type, the name of the tree species used, the country or region that the timber originated from and information on the risk of illegal loggings in the area and the volume of timber logged.
regulation contains provisions for those who trade in wood products. They must be able to show where they purchased the timber lot or the products and where they delivered them, if not sold to consumers. Documents showing the description of the product, the volume of timber used in the product, the tree species used as well as sales and purchases ledgers must be preserved for five years. Small wonder if the use of timber begins to look like
Will the officials accept the forest certification systems, for example, as proof of the legality of timber? The provisional answer is ’no’.
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criminal activity. As an example, take an art dealer who also sells wooden frames as a sideline. Come March, he might be sorely tempted to start selling aluminium frames instead – and as we know, the origin of aluminium is not questioned by anybody. ”There might be such a temptation, yes, although this is not the purpose of the regulation,” says Tatu Torniainen, consultative official at the Ministry of Agriculture and Forestry in Finland. ”That certainly is a question worth asking,” says Marko Lehtosalo, senior adviser at the Agency for Rural Affairs, the authority monitoring the implementation of the regulation in Finland. ”Although the regulation obligates both large and small traders, I reckon we must bear in mind the resources that compliance demands from
smaller actors,” says Lehtosalo. “This being the EU, simply having a regulation in place is never enough: we also have to have a system to monitor compliance. In practice, monitoring is carried out by private auditing companies, monitored in turn by designated authorities in each member state – in Finland’s case, the Agency for Rural Affairs.” The auditing companies are accredited by the European Commission. As far as is known, some 10 companies are planning to apply for accreditation. They are most likely to be the very same companies already accredited for auditing certifications. However, the monitoring authority also monitors those placing the products on the market. The monitoring is, however, targeted to those with presumably the largest risks. The evaluation of the risks may be based on the perception of the monitoring authority, but also on reports from other stakeholders. Moreover, the details of how the regulation will be implemented have not been finalised. For example, it is not know which products the regulation will ultimately concern. What is known is that recycled or printed paper will be excluded. The commission has published a product list, but it leaves room for interpretation. ”As an example, the regulation does not concern ’packages used to support other products’,” says Tatu Cont Page 17
issue 250 | 03.12.12 | Page 17
INTERNATIONAL FOCUS
The commission has a product list, but it leaves room for interpretation
industry companies use to monitor the origin of timber imported from Russia.
From Page 17
Torniainen. This means that if fruit is packed on a wooden pallet, the regulation does not concern the pallet, but if the pallet is used to carry other pallets, it will. The same goes for all packages made of wood or wood fibre. It is easy to find products whose treatment is unclear – take, for example, products made of willow or clothes containing rayon. Nor is it known at this point about the sanctions for not complying with official rules based on the regulation. The monitoring of the regulation is based on random samples. However, the monitoring body only needs to carry out checks which it considers necessary. Importers, for example, have no other reporting obligation besides that related to the
“It will depend on the system. We have criteria that they must meet. If the systems do meet them, we will accept them,” says Lehtosalo.
European Timber Regulation .. doubt on acceptance of forest certification systems.
monitoring. The monitoring concerns systems, not individual product lots. According to Lehtosal, “we are not going to pull illegal boards out of walls, but we aim at preventing the entry of the next illegal timber lot.”
Will the officials accept the forest certification systems, for example, as proof of the legality of timber? According to Lehtosalo, the provisional answer is ’no’. The same goes for the very comprehensive systems which Finnish forest
For example, the PEFC forest certification system bans all illegal wood. However, PEFC has initiated steps to change its rules so that, as far as possible, they would comply with the wording of the EU Regulation and those of the corresponding Australian legislation and the US Lacey Act.
”Our goal is that the new PEFC rules will be accepted by midMarch 2013 at the latest,” says Auvo Kaivola, secretarygeneral of PEFC Finland. – The Lesprom Network.
COPYRIGHT NOTICE Items provided in this section of Timber & Forestry E news are drawn from a number of sources. The source of the item is quoted, either by publication or organizations in line with the practice of fair reporting.
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