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IssuE 262 | 25.03.13 | PAgE 1
Australian industry goes it alone to explain new law
ThIs IssuE • FT retains control of production forests • Trade college is developing new building skills
Smuggling .. China has become the number one importer of illegal wood products from around the world.
The China syndrome Beijing illegal logging forum will be a daunting task for speakers THE federal government has turned down an invitation to attend what will be China’s biggest forum on the illegal
timber trade, once again leaving industry with the task – and expense – of explaining Australia’s new law on logging.
add-on event to the World Congress of Timber and Wood Products Trade in Beijing next month, the International Union
In what appears to be a rushed
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issue 262 | 25.03.13 | Page 1
INDUSTRY NEWS
School’s in for engineered wood
Improving our industry’s capacity to develop and maintain a skilled workforce ............................
IN an on-going national education and timber promotion program, the Engineered Wood Products Association of Australasia is targeting architecture and carpentry students in schools, colleges and universities. Last week, EWPAA general manager Simon Dorries addressed Year 12, certificate III and full-time carpentry students at the Australian Trade College at Scarborough, a Moreton Bay suburb north of Brisbane. Mr Dorries was impressed
with each student’s general knowledge about timber and the desire to learn more about engineered wood products. The college is a fully accredited registered training organisation and its students are winning awards and accolades across both the trade, business and education sectors. The picture shows Mr Dorries with full-time carpentry students, from left, Jacob Uglow, David Hare, Paolo Panettiere and Thomas Burns. See story, Page 10.
Forest peace deal vote still looks tight THE Upper House vote which will decide the fate of Tasmania’s forest peace deal is still looking tight, as MLCs air their views after a lengthy inquiry into the legislation. The review heavily criticises the proposal to cut wood supply to the forest industry and protect half a million hectares of forest from logging. Debate on the report is expected to reveal how the MLCs will vote on the legislation to enact the peace deal. Elwick MLC Adriana Taylor is considered to hold the deciding
Page 2 | issue 262 | 25.03.13
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vote. She is willing to keep the Bill alive but is not optimistic. “I am doubtful that we can make sufficient and appropriate amendments that will make this a good Bill and at the same time acceptable to the Lower House,” she said. Apsley MLC Tania Rattray says she has never supported the peace deal and the inquiry has not changed her mind.
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Murchison MLC Ruth Forrest and Mersey’s Mike Gaffney have indicated they still support the forest agreement.
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WOOD DESIGN
tiMBer desiGn
Architect prescribes timber for for Forest fund to pay $156m enhancing health and wellbeing plantation Tasmania Wood should be usedestate extensively inin a hospital environment FOREST investor the Australia NO hospital in New Zealand New Zealand Forest Fund has has been built out of timber, agreed to pay $156 million and the Christchurch rebuild for ha of softwood was 46,000 a “game-changer” plantations in northern according to leading Canadian Tasmania. architect Tye Farrow. The estate was a joint venture “Canterbury’s new health between Forestry Tasmania facilities should have more and global timber investment timber to enhance health manager GMO Renewable and wellbeing, according to Resources. The state will Mr Farrow, who received the maintain ownership of the First World Architect Award land. for Advancing Health and The forest fund manger Humanity using the medium Sydney-based New Forests Pty of health and architecture Ltd lodged an application with by Stockholm-based World the Foreign Investment Review Congress on Design and Board and the transaction is Health. scheduled to be completed in In a Christchurch lecture January. organised by NZ Wood, Mr Farrow spoke of the The sale of rights of Forestry importance of thinking about Tasmania’s joint venture how architecture can enhance softwood plantations will the health of people assist the business managein hospitals. its way through restructuring His has of thearchitectural state’s timberfirm industry worked – Bryan on many Greenprojects around the world, including a timber hospital in Canada. Managing director David Brand said New Forests was forefront pleased Mr Farrow is at the to acquire and this practice attractive of research in forestry important design forestate, health,an public health component the sustainable and urban of design. He sees plantation industry to in unlimited timber opportunities Tasmania. rethink the built environment
Bryan Green .. a very good outcome for Forestry Tasmania.
Bob Gordon .. logical extension of decision for joint venture.
The plantations are on generally state’s timber industry. flat to rolling terrain, with good “New Forests will have the rainfall and a history of good right to establish, maintain and management. harvest the 46,000 ha plantation estate untiloutside the forestry “The estate for aarchitect high- Tye Healthy woodmakes .. Canadian Farrow the newrights timber-rich College ofinvestment Creative Arts Building Massey expire inat 2069,” MrUniversity’s Green said. quality, long-term Wellington campus. opportunity,” Mr Brand said. While the trees will change – Fairfax NZ News photo. New Forests currently hands, the land remains owned manages more than 275,000 by Forestry Tasmania, and for its potential to cause health “The perception was that ha of timberland properties the new owners will continue it was going to be difficult rather cause acrossthan Australia onillness. behalf of its to supply the sawmill at Bell and more expensive, but we institutional clients. “Wood has investment never been used Bay, Norske Skog’s pulp mill found that to be the opposite. Boyer, as well as several Tasmania’s deputy premier at extensively in a hospital It really seemed to resonate smaller timber processors. Bryan Green said the sale of with people, because they saw environment,” he said. rights of Forestry Tasmania’s Mr Green said he welcomed Forestry Tasmania’s decision joint venture softwood ‘The perception was that it [wood] was going plantations would assist the to use its share of the proceeds to be difficult and more expensive, but we business manage its way primarily to retire debt to help foundrestructuring that to beofthe – Tye Farrow manage its business through the through theopposite’
restructuring of thewas industry. something that familiar “This is a very good and comfortable andoutcome natural. for Tasmania such and the We Forestry found materials as wider forest industry,” said. [timber] seemed to he resonate “I would emphasise deeply within us,” he that said.while the government kept He encouraged has citybeen planners fully informed, thelegacy decision to to think about the of the sell the 50% share in the joint building. venture was made entirely by “If you’re building a new office the Forestry Tasmania board. building, think about if you “The is aspace sign ofthat confidence want sale office makes in future the Tasmanian youthework at of120%, and will timber by Newor Forests, attract industry, young people, if you which already holds significant just want . . . to work at 70%.” forest assets around Australia.” Tye Farrow of Farrow Taswood Growers appointed Partnership, Canada, was investment bank Morgan in New Zealand for a series Stanley to advise on a of public lectures and competitive sale process. The appointments in Auckland, price achieved was within the Wellington, Christchurch and fair value range appraised by Rotorua.’ independent expert James W. The SewallStockholm-based Company in JuneWorld this Congress on Design and year. Health as a Forestry identified Tasmania’shim managing global leader who is making director Bob Gordon said the a contribution to salesignificant was a logical extension health and humanity through of FT’s decision in 1999 to the medium and enter into of thearchitecture joint venture design. arrangement with GMO Farrow Partnerships Renewable Resources.portfolio of work includes multiple “We have also been mindful of international architectural the recommendations of the awards for designing some of the most technically advanced Cont Page facilities in13 the world.
Wood Protection Patent For Sale australia Patent No. 2006312410 LOSP Boron for flame retardant, termite protection and outside cladding. contact: tina.ivan@orcon.net.nz
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issue 262cancon@bigpond.net.au | 25.03.13 | Page 3 Advertising: Tel +61 7 3266 1429 Email:
INDusTRY NEWs
China’s growth as timber exporter built on imports, much of it illegal From Page 1
for Conservation of Nature, the world’s oldest and largest global environmental organisation, has chosen April 1 to conduct an international forum on green procurement policies of timber and wood products. Beijing, China’s second largest city and the nation’s cultural and education centre, will host both the congress and forum, expected to attract more than 2500 delegates. John Halkett, general manager of the Australian Timber Importers Federation, will join government representatives from the US and the EU to explain respective illegal logging laws to Chinese wood suppliers and buyers. Each will have about 45 minutes to address the forum on: • The EU timber regulation that
took effect on March 13. • Australia’s Illegal Logging Prohibition Act 2012 which became law on November 28 last year. [Its operational regulations including due diligence requirements are being developed]. • The US Lacey Act Amendment which was passed four years ago. These regulations have and will continue to influence Chinese exportation of timber and wood products to these countries and regions. Delivery, acceptance or even an understanding of these laws by Chinese traders represents a daunting task for the three speakers. While China has improved management of its forestry sector, expanding forest plantation cover and banning
John Halkett .. lone voice on Australian illegal timber legislation at Beijing forum.
harvesting of natural forests, the nation’s recent growth as a wood products exporter is built on timber imports – much of which are illegal Most logs imported into China are effectively stolen, with no payment of government
royalties to exporting nations or environmental control over harvest operations. At least 80% of Chinese timber imports from Brazil, Cambodia, Cameroon, Congo-Brazzaville, Equatorial Guinea, Gabon, Indonesia, Myanmar, Papua New Guinea, and the Solomon Islands are illegal, according to recent estimates by the Smithsonian Tropical Research Institute, with somewhat lower values (50-60%) for Malaysia and Russia. Unprocessed logs are easy to acquire and smuggle, and corruption in the log trade is far more prevalent than that for processed forest products. China is one of the largest producing, consuming and trading country of timber and wood products. In 2011, Cont Page 17
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EVENTS
WHAT’S ON? 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. Australian and international speakers will address delegates on both international and local issues that will face foresters and forest managers in the century, such as politics, policy and perceptions. Contact IFA, PO Box 7002 Yarralumla ACT 2600. Tel: (02) 6281 3992. Web: www.forestryconference. org.au 11-14: 43rd Annual JIV Hoo-Hoo Convention. Main Corner, Mount
Gambier. Accommodation at the Commodore Motel. Registration
details on www.hoo-hoo-jiv.org. au or contact Maurie Drewer, 0418 394 296. Email: or mkdrewerdubai@gmail.com . 18-19: Inaugural Local Government Forest and Timber Industry Conference – Bayview on Eden, Melbourne Aimed at both local government and timber industry professionals from across Australia. The program will have a focus on socio-economic issues and the relationship between local government and the timber industry, and will feature presentations, discussions, workshops and opportunities to learn from and share experiences. Contact: Municipal Association of Victoria. Tel: (03) 9667 5529. Visit www.ntct.org.au
MAY 16-21: 3rd International Congress on Planted Forests – Lisbon,
Portugal. The congress aims to investigate the contribution of planted forests to sustainable development in the context of global changes. Topics will include the sustainability of planted forests, changing climates and the future role of planted forests in environmental protection and REDD+. Five of the major European Atlantic countries (Spain, France, Ireland, UK and Portugal) with large areas of planted forests have joined forces to organise this congress under the coordination of the Atlantic regional office of the European Forest Institute and
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the UN Food and Agriculture Organisation. Deadline for abstracts is February 28. Visit www.efiatlantic.efi.int
JUNE 15: Melbourne Hoo-Hoo Club 217 50th anniversary dinner (venue to be advised). Contact: Trish Waters on 0418 358 501. Email: waters58@bigpond.com 24: The Cat Goes Gold. Brisbane Hoo-Hoo Club 218 50th anniversary celebration. Victoria Park Golf Complex. Contact: Don Towerton on 0428 745 455. Email: don@ thoratimbers.com.au or Tim Evans on 0417 726 741. Email: t-evans@ bigpond.net.au
august 6-9: AWISA 2014 Exhibition. Brisbane Convention and Exhibition Centre. The Australian Woodworking Industry Suppliers Association Ltd has decided that the exhibition will move from Sydney to Brisbane next year. Inquiries about booking space: email info@awisa.com or call Geoff Holland on 0412 361 580 23: The Cat Goes Gold. Brisbane Hoo-Hoo Club 218 50th anniversary celebration. Brisbane Riverview Hotel, Cnr Kingsford Smith Drive and Hunt Street, Hamilton, Brisbane. Tel: 0401 312 087 or 0428 745 455 for bookings..
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:
December
- Forest growing; - Harvest and haulage; - Sawmilling and other wood processing; - Pulp and paper processing; and - Forest product exporting.
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
For more information on the Australian Forest Products Association (AFPA) or to enquire about membership , please call (02) 6285 3833.
issue 262 | 25.03.13 | Page 5
CERTIFICATION
Shipments of forest products from Indonesia now carry new ID labels THE first stage of the CertiSource ‘verified legal’ timber certification in Indonesia is almost complete and all pallets shipped after March 1 have new identification labels. CertiSource is a widely recognised timber legality verification system for any species of timber from any location in Indonesia coordinated by Double Helix Tracking Technologies Pty Ltd which is accredited to ISO/ IEC Guide 65 as a product certification body. Independent ISO accredited certification bodies are used to audit timber legality against the CertiSource standard, policies and procedures. “The system allows anyone to trace individual products back through the supply chain to a verified forest concession, enabling an itemised check on product legality,” program director Paul Wilson said. CertiSource is the only certification system that uses DoubleHelix DNA technology to verify chain-ofcustody documentation. DNA technology reduces the need for physical audits, lowering costs and improving the effectiveness of the system.
PAgE 6 | issuE 262 | 25.03.13
Stamp of approval .. new Certisource identification label.
Mr Wilson said trading in CertiSource verified legal timber product would demonstrate compliance with relevant due diligence and due care requirements as legislation to ban illegal logging comes into force in the UE, Australia and the US. The labels contained supply chain and legality status details. At the moment more details such as the container information, and docket, sawmill and concession certificates could be supplied by CertiSource. Phase 2I of the platform offered all traceability details through a pubic online database. “We hope to get this in place around August and as a nonprofit organisation we are
Double Helix Tracking Technologies .. highly recognised timber legality verification system.
seeking funding to take this forward,” Mr Wilson said. “CertiSource remains committed to batch-based timber product verification. The real test of timber legality is on
the product itself and not just entities in a supply chain. “Without verifying each product, the risks of getting unwanted (illegal) product mixed in a supply chain are very real. “This is happening not just in the timber industry but in many different supply chains, and the recent horse meat controversy in the UK only serves to highlight these dangers.” With a resolution by the NZ Importers Tropical Timber Group (retailers, government and NGOs) to only allow legally verified timber onto the New Zealand market, CertiSource was one of only five systems identified as being of a high enough standard to meet requirements. The New Zealand government also recognised CertiSource soon after the Keurhout admission and the system was included in a brochure and campaign to encourage responsible purchasing practices by the NZ Ministry of Agriculture and Forestry. Originating in the Netherlands, the Keurhout assessment process is recognised as a detailed assessment of the fitness of certification systems.
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THE COMMUNITY
A waterway, some shovels and a cause as tree planters celebrate World Forestry Day CITY commuters travelling from the inner Brisbane suburb of Bardon last Thursday caught glimpses of a group of ardent tree planters working along the banks of Ithaca Creek. The group included members of the Institute of Foresters of Australia and Save Our Waterways Now (SOWN) and the project helped raise awareness of World Forestry Day – March 21. The focus of the tree planting was very appropriate given that this is the first year that the International Day of Forests has been celebrated worldwide since being ratified by the United Nations General Assembly. It replaces the FAOsponsored World Forestry Day which has been held on this day since 1971. The focus of this international event is to celebrate and raise awareness of the importance of all types of forests and to show the world how trees, forests and their surrounding environments make a difference to the community and its life. There was no better way to commemorate the day than a community tree planting event involving retired foresters, foresters from corporations (HQ Plantations and SFM Forest Products) and government departments (Queensland DAFF), volunteers from the IFA Queensland division, volunteers from Save Our Waterways Now (SOWN) and the participation of families. About 200 trees and shrubs were planted as part of the Ithaca Intact Project, which is funded under a grant provided by the Queensland Department of Environment and Heritage. This project is aiming to restore 7km of Ithaca Creek extending from Mount Coot-tha to Red Hill. The day provided an enjoyable morning planting trees with a wonderful exchange of ideas,
Happy planters .. enjoying the day alongside Ithaca Creek are, from left, Bob Thistlethwaite (IFA), Adam Richardt (SOWN), David West (HQPlantations and IFA), Leo Lee (SOWN), Mike Anderson (IFA), Rohan Allen (IFA and DAFF), Kerrie Catchpoole (holding Lillian), Stephen Walker (SFM Forest Products and chair of the Queensland division of IFA) and Gary Bacon (IFA).
experiences and information between the members of the IFA and SOWN. It was all rounded off very nicely with Billy tea, freshly baked scones and pikelets.
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Contact the Australian Lonza team for full details of the Lonza value package. Phone:1300 650 636
issue 262 | 25.03.13 | Page 7
industry news
Forest growers commodity levy referendum: last chance to vote
March 29 crunch time for industry in New Zealand A PROPOSAL to introduce a compulsory commodity levy on logs and other forest products at the time of harvest is presently being voted on by forest growers in New Zealand. The voting concludes at 5 pm March 29. The president of the New Zealand Farm Forestry Association (NZFFA) Ian Jackson says it is imperative that affected forest growers register and vote now. The association has been working alongside the NZ Forest Owners Association (FOA) to spearhead a promotional campaign prior to the referendum, so that all growers are well-informed about the implications of the levy. At present, the forest industry has no coordinated or universal approach to funding of its organisation or science activities. The introduction of a levy seeks to address this. The FOA and NZFFA are considered the voice of the forest industry, promoting wood and instigating research, lobbying local and central government, and providing general direction. Mr Jackson said members of these two organisations accounted for more than 80% of the plantation forest area, but there were many forest growers, perhaps 10,000, outside these two organisations, who gained the benefits of the work of both associations but did not contribute; they were basically ‘free-loaders’. “The challenges and opportunities that lie ahead for the forest industry need the commitment of all growers, not just the enthusiasts,” Mr Jackson said. The New Zealand forest
Page 8 | issue 262 | 25.03.13
Ian Jackson .. unless the forest sector is prepared to step up and backs its own science, research activity will definitely decline.
industry is worth around $4.5 billion to the export economy, the third biggest export sector and a huge employer. A levy will provide a funding basis for research aimed at producing higher yields of better quality timber, and harvesting that timber more efficiently. The industry has set itself some bold targets: for example, the NZFOA’s Science and Innovation Plan aims to increase MAI (mean annual increment) of radiata pine from the present day level of 18 tonnes/ ha to 35 tonnes/ ha by 2025. The Wood Council of New Zealand in its 2012 Forest and Wood Products Action Plan aims to more than double export earnings to $12 billion by 2022. The science and innovation plan will be the basis of future research, broadly aimed at doubling production through genetic improvement and growing healthier trees.
Already the major corporate industry members have committed to inject considerable funding to this research. Currently they commit around $1.7 million to research on a voluntary basis. The owners of New Zealand’s major forest companies have largely thrown their collective weight behind the implementation of a forest levy, as they see benefits of research for their businesses. “These companies may have the most to gain from a levy, but they will also be contributing by far the largest proportion of the levy monies,” Ian Jackson said. “A forest grower’s levy will benefit all forest growers.” Historically, much of New Zealand’s forest research has been funded by government. Currently, the total direct sciences spend for forest research is around $25 million a year, and covers many research areas. Scion, (formerly the Forest Research Institute), is
’The challenges and opportunities that lie ahead for the forest industry need the commitment of all growers, not just the enthusiasts’ – Ian Jackson
the major research provider. The voluntary subscriptions and efforts of those growers who join either the NZFOA or the NZFFA have, for many years, complemented government funding. In addition, in recent years funding has come out of FIDA, a fund set up as partial compensation for the incomplete dissolution of carbon credits in the initial stages of the ETS. FIDA funds have now disappeared, and the government has made it plain that future research funding for forestry will be much reduced, and be highly contestable. “Unless the forest sector is prepared to step up and back its own science, research activity will definitely decline,” Mr Jackson said. “The industry will not develop to its potential, and its international competitiveness and profitability will be at risk.” If the levy gets the go-ahead following the referendum, a seven-member Forest Growers Levy Trust Board will be established. This board will be made up of an independent chairman, two representatives of small scale forest growers, and four others voted by all forest growers. The new board will represent a coherent industry voice for organising priorities and lobbying government. It will administer the levy fund and be responsible for its allocation. To govern the research spend, a research committee, with a terms of reference, will be set up under the board. Between 60-70% of the levy funds will be used for overall science funding. The remainder would be spent on wood promotion through NZ Wood, Cont Page 9
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industry news
Growers levy trust will represent voice for forest industry From Page 8
programs run by NZFFA and FOA, and about 10% for levy administration and collection. A compulsory levy will be collected on all harvested forest products, excluding firewood. Collection would be done in a similar way to that of other levies, at the point of sale, or if ownership does not change, when a log enters a mill or is accepted onto a wharf for export. The levy rate will be 27c/ tonne increasable to 30c/ tonne over the first six-year levy period. The total forest harvest in New Zealand, in 2012, was 25 million tonnes, giving a total potential levy collection of around $6.75 million a year at current harvest levels. Mr Jackson said the mention of
a producer levy did not always sit well with farmers. “But there are plenty of successful current examples – NZ Kiwifruit Growers, the Foundation for Arable Research, Horticulture NZ and the Deer Farmers Association – so farm and small scale foresters can take good lessons from these. It is crucial that the forest industry gets this levy in place, in order to provide a basis for future growth, cohesion within the industry, and have a united political voice.” The NZFFA and FOA believe that a forest levy will not just benefit large-scale foresters. Small growers stand to gain just as much proportionally from having a unified and healthy prosperous forest industry that realises its huge potential.
dennis@industrye-news.com
Milk industry soured by forestry blackmail LABOR Minister Simon Crean stands condemned for his outrageous attempt to blackmail the Tasmanian Legislative Council and community over future dairy funding, says Coalition forestry spokesman Senator Richard Colbeck. “Tasmanians should be disgusted by Mr Crean’s ruling that proposals to grow the dairy industry would not be funded unless there is a favourable upper house vote on the forestry Bill,” Senator Colbeck said. Mr Crean, the federal regional development minsister, made the comments at the opening of the Tasmanian Dairy Products factory in Smithton last week. “His moves to link growth in one industry sector to the death of another are nothing short of
a disgrace,” Senator Colbeck said. “Even worse is Minister Crean’s obvious lack of understanding of his sham forest deal. “Not only does the deal kill off the native forest industry, it puts the proposed replacement, the plantation sector, in direct competition with agriculture.” Mr Colbeck said the transition to plantation proposed under the sham forest deal would require 130,000 ha of agricultural land – 20% of the agricultural land available in the state. The proposed dairy expansion would require up to 40,000 ha. “When added to the increased demand for land for poppies, wine and a number of other commodities the conflict being created becomes painfully apparent,” he said.
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issue 262 | 25.03.13 | Page 9
TRAINING
Trade college is developing new apprenticeship skills in building
Students learn about sustainability of resources By JIM BOWDEN
THE resources boom has robbed the building industry of trade apprentices who have headed to mining towns, attracted by quick cash gains. Many of them have ducked apprenticeship training for the quick buck that simply driving a truck can provide – and this, in turn, has sponged skills that the building sector will need for the inevitable upturn. “But this imbalance is about to change, brought on by the anticipated slowdown in the mining industry and its wrangling over government policies and the mining tax,” says David McDonald, trade trainer at the unique Australian Trade College at Scarborough, a Moreton Bay suburb north of Brisbane. “They’re coming back – and they’re coming back to complete apprenticeships in wood-related skills such as joinery, cabinetmaking, kitchens and bathrooms and this is extending to manufacturing and solid timber. ”These are the home-bred skills we need – we don’t want to go chasing overseas for
Leighanne Daniels, marketing manger with apprentice services group MRAEL, meets students Jack Kelly (Year 12) of Bray Park, and Jacob Invenov (Year 11) of Morayfield during a visit to the Australian Trade College. College trainer David McDonald looks on.
our apprentices when we can develop the talent here.” The Australian Trade North Brisbane is accredited registered organisation set up under then Prime
College a fully training in 2006 Minister
John Howard’s ‘super-TAFE’ scheme. Sadly, with the change of government, this plan fell by the wayside. But the college is flourishing and its curriculum is clearly identifying the needs of
‘They’re coming back – and they’re coming back to complete apprenticeships in woodrelated skills such as joinery, cabinetmaking, kitchens and bathrooms and this is extending to manufacturing and solid timber’ – David McDonald
industry. The college and its students are winning awards and accolades across both the business and education sectors. In July last year, Mr McDonald was at the AWISA exhibition in Sydney to see a college student collect the Queensland state prize in the coveted John Tiddy Memorial Awards for wood working apprentices. The student was a schoolbased cabinetmaker who finished Year 12 and rolled on to a full-time apprenticeship – and he picked up a good job working with solid timber, not just knocking up white boards for cabinets. “What sets the trade college apart from others is that Year 11 and 12 students can make the choice to come to us at the end of Year 10, specifically to pursue a trade,” Mr McDonald said. “They start by learning specific trades and at the end of Year 12 they’ve completed 45% of their trade training. “And because we also offer full-time apprenticeships as an RTO, students can finish Year Cont Page 15
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Page 10 | issue 262 | 25.03.13
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INDusTRY NEWs
EWPs that tick ALL the boxes Engineered wood products manufactured by EWPAA member companies top the list Economic forecasters say an improved housing market will be a main driver of economic growth in the US in 2013.
Low interest rates, better jobs outlook drives us housing LOW interest rates, an improvement in the labour market and a government strategy to buy back mortgage securities appear to be drivers of the gradual upturn in the US housing market, according to a timber market survey released by URS. The outlook for 2013 by the US Bureau of Economic Analysis estimates GDP to grow relatively strongly by 2%. The sharp rise in west coast structural timber prices over 2012 may be partly driven by reduced production capacity and the emergence of competitive tension with significant US timber export markets developed during the US domestic housing downturn. Following the GFC, the housing downturn and the weakening of the US dollar, US softwood timber exports climbed by around 69%, from an annualised volume of about 2.5 million cub m in 2008 to more than 4.1 million cub m in 2011. This increase largely reflects the increase in exports to China, which jumped from less than 100,000 cub m in 2008 to more than 1 million cub m in 2011. In the lead up to the GFC, US housing starts fell by around
70% over the period from 2006 to 2009 which drove structural timber prices downward. Over the three years following the GFC from 2009 to 2011, an oversupply of housing and weaker economic conditions contributed to a prolonged period of low activity in the US housing market. However, over 2012, demand for new housing showed signs of recovery with housing starts increasing by around 29% compared to 2011. Structural timber prices have responded to the improvement in housing market activity, increasing by more than 40% during 2012. The performance of the US timber and housing markets can have a significant effect on global timber markets and supply dynamics. For example, US imports of softwood timber from Germany declined from around 1.4 million cub m in 2007 to around 110,000 cub m in 2010, which led German producers to look at alternative markets such as Australia. The impact of the US housing recovery on timber exports, production levels and prices will be closely watched over 2013.
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Consistent QUALITY LOWEST emissions Structurally SOUND and SAFE Wood from 100% LEGAL, CERTIFIED forests GUARANTEED to Australasian Standards JOBS security
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* Independently tested to the highest standard; guaranteed to comply with Australian standards; certified under JAS-ANZ accredited product certification scheme; guaranteed to be safe and to carry the designated design load; complies with the Building Code of Australia; meets safety and quality requirements accepted by unions; meets all Workplace Health & Safety requirements.
issue 262 | 25.03.13 | Page 11
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Extensive testing of SmartLVL 15 to AS 1649-2001 (Timber – Methods of test for mechanical fasteners and connectors) and AS/NZS 4357 (structural laminated veneer lumber) has demonstrated the following Joint Strength Group characteristics when fastening to SmartLVL 15 with nails, screws and bolts: 1.Face -JD3 (applies to truss boots, jack truss hangers etc. mounted on LVL chord faces) 2.Edges and ends -JD4
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Note: the above joint strength capacities are for nails, screws and bolt connections only and do not relate to nailplate tooth capacity. Nailplate tooth capacity is proprietary information of the individual nailplate manufacturer.
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Page 12 | issue 262 | 25.03.13
Technical 1300Advertising: 668 690 Tel +61 7 3266 www.tilling.com.au 1429 Email: cancon@bigpond.net.au
tilling timber crestmead opening
Tilling is willing, opening thrilling Family invests another $14m in Queensland
By JIM BOWDEN
THE opening of Tilling Timber’s $14 million world-class distribution and office facility in Logan City demonstrates the faith and plan for growth this leading engineered wood manufacturer has in Queensland. More than 120 business leaders, company clients, timber merchants and builders watched as Logan Mayor Pam Parker officially opened the new complex at Crestmead, a fully serviced industrial area 27 km south of Brisbane. Snubbing tough trading times in the timber industry, this second generation family business continues to believe that Queensland rates very highly as part of its network of sites in Melbourne (head office), Perth, Adelaide and Sydney. “They made us welcome, they helped and encouraged us,” said company chairman Norm Tilling in his high praise of the Local City Council. “This was the right move for us and we’ll never regret it.” Crestmead is close to the Port of Brisbane, Brisbane Airport, and easily accessible by way of the Southern Brisbane Bypass with roads connecting major highways to all parts of the state. Guests at the opening on March 15 marvelled at the extent of the infrastructure at Crestmead spread over 30,000 sq m accommodating warehouses, yards, machinery, transport and offices with more than 12,000 sq m under cover. “Crestmead is a showpiece of our national operations and is part of a growth strategy to expand our product range in Queensland,” said Glenn Tilling, managing director. “Sure, times are hard in the industry and the rains in Queensland have played havoc with building activity
Out in the sunshine at last .. Matt McKinley, general manager Tilling Timber, Crestmead, Glenn and Judy Tillling, Logan Mayor Pam Parker, who officially opened the Tilling Timber complex, and Norm Tilling, company chairman. Pam Parker was elected Logan’s first female mayor in 2008 and was re-elected unopposed in the 2012 Local Government election. She is an executive member of the South East Queensland Council of Mayors and the Women in Local Government Association as well as chair of the Council of Mayors Infrastructure committee. Logan is Queensland’s third largest city and has a growing population of more than 50,000.
over recent months. But we’re happy to be here and we’re happy to be part of the state’s development in the long term.” The staff of 42 under the management of Matt McKinley has settled in well, many acting as guides on the opening day taking guests on tours of the complex. Tilling Timber is one of Australia’s largest timber wholesalers and importers, starting as a small suburban timber trader in its first office in Eltham Victoria in 1963. Over the next 50 years, the company has grown into a major remanufacturer, importer and distributor of global forest products, with wholly owned
distribution complexes in all mainland states supporting 320 employees. Today it stands out as a leader in the national supply of engineered wood products and decorative profile woods. The company history in Queensland started in 1976 with products sold through a wholesale distributor. It then took off with rented premises in Moss Street, Springwood, the building of a freehold warehouse and office in Barrinia Street, Springwood, in 1980, moving to a much larger purpose-built facility in Meadowbrook in 2000 – then to the Crestmead site at Magnesium Drive.
‘Crestmead is a showpiece of our national operations and is part of a growth strategy to expand our product range in Queensland’ – Glenn Tilling
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As well as manufacturing facilities at the 8 ha Kilsyth head office, 31 km east of Melbourne, Tilling Timber operates sites in Sydney (24,000 sq m), Perth (25,000 sq m) and Adelaide (8000 sq m). Glen Tillling said Crestmead would enable the company to expand its product range, particularly treated pine framing, a wide selection of western red cedar products, and the LOSP prime radiata range. On display at Crestmead was the SmartFrame full range of LVL, SmartJoists and SmartLam beams, which are backed up by a state-of-theart design compendium that includes the SmartFrame software package.
issue 262 | 25.03.13 | Page 13
tilling timber crestmead opening
Logan Mayor Pam Parker unveils a plaque at the official opening of the Tilling Timber complex at Crestmead on March 15 watched by Norm and Judy Tilling and son Glenn Tilling, managing director.
Andrew Wyeth, Blue Star Pacific, Brisbane, and Tim Starkey, Hardware and Building Traders, Bateman’s Bay, NSW, are welcomed to the Crestmead opening by Debbie Payne, Jeremy Johnston and Andrew Jackson, Tilling Timber.
Tony Campbell, Lyndons, Windsor (left) catches up with the J.H. Williams team from Murwillumbah, NSW, Mark Pickett, Ann Ryder and Steve Carter.
Fiona Luckey, Tilling Timber’s sales, technical and EWP manager, escorts Sandra Usher and Tonnia Plail of Logan City Council on a tour of the Crestmead operation.
Page 14 | issue 262 | 25.03.13
In the Tilling Timber tent at Crestmead .. Gerry Verwey, Melbourne, company director, Bob McMaster, Redland Bay Roof Trusses, Paul Williamson, state manager, Neville Smith Forest Products, Brisbane, and Ken Last of Forth, Tas, a director of both Tilling Timber and Neville Smith Forest Products.
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tilling timber crestmead opening
Hyne executives from Acacia Ridge Peter Hyne, sales and marketing manager, and Warren Tye, import, export and distribution manager, chat with Craig Titmarsh of John Gill and Co, Cleveland.
Looking over the Tilling Timber operation at Crestmead are Garnet Bradford, and Cr Phil Pidgeon of Logan City Council, and Desley Scott, MP, Woodridge, state Shadow Minister for Community Services.
Alisha Swain, Logan City Council, Ken Newing, Virginia Building Supplies, and Sandra Usher, Logan City Council.
Representing the Bunnings Group in Brisbane are Bruce Harding, trade centre manager Queensland, Otto Evers, business development manager, and Matthew Booth, trade centre inventory manager.
Steve Phillips of Tilling Timber welcomes David Wuiske, general manager, Langs Building Supplies, Yatala, to the Crestmead opening.
Greater emphasis on customer service and satisfaction From Page 10
12 and then come back to us to complete their training. “This is a very unique concept – other schools still provide school-based apprenticeships but their students only have one day a week training and one day a week with an employer. When it comes around to the next week of training, many of them have forgotten everything.” Mr McDonald said students spent one month full time at school and one month with an employer, so they were on rotations throughout the school year. “Employers love that – they get a good bite at them. They can teach and mould the apprentices on the job site for a month. And when they return to college students can complete their school subjects as well as
their trade training. “And because it’s a trade college they are not doing subjects such as geography, music or history. They do maths, English and APT. So they do four subjects in Years 11 and 12 and their trade training counts towards a Queensland Certificate of Education – basically a high school certificate. “We’ve have never had fewer than 90% of students who don’t walk away with this certificate.” Mr McDonald admitted the college “is not a big school in the scheme of things”. But he proudly points to a tally of about 350 Year 11 and 12 students completing woodrelated training over the past 12 months. “And now with full-time apprenticeship training – initially we were set up for only school-
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based training – we’ve got a bit smarter and we’re making sure the proper skills are there and ready when they’re needed.” Mr McDonald said changes to training packages at the college had seen cabinetmakers learn more about the sustainability of the resources used in the industry, as well as greater emphasis on customer service and satisfaction. “In recent years, mainstream cabinetmaking has taken more of a manufacturing focus rather than a timber furniture focus,” he said. “In part, this has occurred as Australian businesses fight to compete in a global economy. “Since the inception of a new kitchen and bathroom stream for cabinetmaking training, the college has developed its resources to provide contemporary skills and
knowledge to apprentices.” The college is trialling some new products including plasticboards and CAD programs and has been invited to participate as a training advisor for the newly-formed FJC (furnishing, cabinetmaking and joinery) alliance. Hettich, as a major sponsor of the college, has provided new resources for kitchen and bathroom training in the form of product brochures and catalogues and electronic materials around the company’s latest products. The company has also offered a trip to Germany to inspect its production facilities and visit the Interzum Trade Show to be awarded to the college’s school-based cabinetmaker of the year.
issue 262 | 25.03.13 | Page 15
Chopsticks to get the chop? Sticks are chewing up too many trees in China IT’S a battle that has divided East and West for centuries: are chopsticks superior to the knife and fork? Now the debate finally may be decided on environmental grounds. With 1.4 billion people ploughing through 80 billion pairs of disposable chopsticks each year, China has admitted that its forests can no longer provide enough cutlery for its dinner tables. “We must change our consumption habits and encourage people to carry their own tableware,” Bo Guangxin, the chairman of Jilin Forestry Industry Group, told fellow delegates at the National People’s Congress. Pointing out that only 4000 chopsticks could be carved from a 20-year-old tree, he even went so far as to suggest that restaurants should offer metal knives and forks instead. If Mr Bo’s suggestion is widely adopted, it would be a dark moment in the chopstick’s 4000-year history. It was Da Yu, the founder of the Xia dynasty, who is said to have first used two sticks to eat his food in about 2100 BC. It was an invention born of urgency; in his rush to reach a flood zone, Da Yu did not want to wait for his meat in his wok to cool, instead seizing a pair of twigs and wolfing down his meal. Chopsticks quickly became popular around Asia. Chinese chopsticks are longer than their Korean and Japanese counterparts in order to reach the communal dishes in the centre of the table. Koreans also often use metal chopsticks
PAgE 16 | issuE 262 | 25.03.13
Sticking to tradition .. China is chopping down 20 million mature trees a year to feed its disposable chopstick habit.
because of their love of barbecue. The fork is said to have been invented by the Romans, but did not become common in northern Europe until the 18th century. Catherine de Medici is said to have taken the fork with her from Florence to France in the 16th century, along with many
of her chefs, when she married Henri II, a moment that many Italians claim as the genesis of French cuisine. Today, China is chopping down 20 million mature trees a year to feed its disposable chopstick habit, according to Mr Bo. Nor can China find enough wood in its own forests. It is now the world’s largest importer
Chinese forestry officials are urging restaurants to stop using wooden chopsticks as they struggle to keep up with demand China is chopping down 20 million mature trees a year to feed its disposable chopstick habit
of wood and even imports chopsticks from America, where a company in Georgia realised that the state’s native gum wood would be perfectly suited to make the utensil. The appetite for chopsticks appears to be increasing – now previous estimates from China’s state forestry administration, based on statistics from 2004 to 2009, put the yearly total at 57 billion disposable pairs, much lower than the numbers now used. Then again, as the comedian Jerry Seinfeld once joked, parting the Chinese from their chopsticks is no mean feat. “They’re hanging in there with the chopsticks, aren’t they? You know they’ve seen the fork. They’re staying with the sticks. “I don’t know how they missed it. Chinese farmer gets up, works in the field with a shovel all day. Shovel? Spoon? Come on. You’re not ploughing 40 acres with a couple of pool cues!” Chopsticks are also used in Japan, Korea, and Vietnam, making them the world’s second-most popular method of conveying food to mouth, the most popular being the fingers. There are a few things to avoid when using chopsticks. Chinese people usually don’t beat their bowls while eating, since the behavior used to be practiced by beggars. Also don’t insert chopsticks in a bowl upright because it is a custom exclusively used in sacrifice. The Kuaizi Museum in Shanghai has collected more than 1000 pairs of chopsticks. The oldest one is from the Tang Dynasty. – The Province
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INDUSTRY NEWS
Forestry Tasmania retains control of production forests in restructure plan FORESTRY Tasmania will retain control of production forests under the government’s restructure of the state-owned company. The company will be split in two, transferring control of national parks and reserves to a new statutory authority to be created within the Parks and Wildlife Department. The Resources Minister Bryan Green was considering stripping Forestry Tasmania of the management of commercial forests. He now says that would make the organisation unviable. “The advice form the signatories was that there needed to be an independently managed organisation and that has been backed up by FTOC, the committee responsible for advising the Government in this area,” he said. “They’ve conducted extensive work in Victoria and Western Australia with respect as to
Announcement confirms Forestry Tasmania’s core business as a manager of multiple-use state forests.
how they manage their native forests.” Forestry Tasmania managing director Bog Gordon said the announcement confirmed FT’s core business as a manager of multiple-use state forests. “We intend to press ahead to do what we do best – managing state forest professionally, commercially and with the confidence that we have the support of the government in doing so. The Tasmanian Greens say they will support legislation to
Bob Gordon .. doing what we do best – managing state forests professionally.
enact the proposed restructure despite vehemently opposing Forestry Tasmania retaining control of production forests. The trade-off is the new statutory authority to take over control of national parks and reserves. Greens leader Nick McKim says it is in line with the forest peace deal which can not be cherry picked. He says it will increase the possibility the Legislative Council will support the forest peace deal because the proposed restructure is written into the agreement. “We wanted to maximise the chance of what will be a stunning conservation outcome with 500,000 ha up for protection from the forest industry,” he said. But Mr McKim says the Greens will only vote with Labor if the new statutory body is created.
Profound world change in forest industries From Page 4
China imported 42.32 million cub m of round wood and 21.51 million cub m of sawn wood, accounting for nearly 25% of the world’s log and sawn wood exportation. The Chinese market is also sending important signals that the environmental properties of both the raw material and the end products are being added into the procurement checklist of both public and private consumers. The forum in Beijing on April 1 aims to promote communication and exchange among policy makers and the private sector of major timber consuming countries on legislation, green public procurement policy and “industry codes of conduct relating to timber legality and sustainability and their
roles in promoting better law enforcement and sustainable forest management”. John Halkett said the Beijing forum was an opportunity for the Australian industry to explain to Chinese suppliers details of its illegal logging legislation and the time frames on the roll out of regulations. “The forum will brief the audience on the legislative changes in the EU, US and Australian markets and in turn allow Chinese traders the opportunity to collect and answer industry’s questions and concerns on these new legislations,” Mr Halkett said. “”China is the world’s largest importer of logs used to manufacture products for western economies and they must demonstrate that these products come from a legal
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source. “International research also shows China is the largest handler of illegal logs and timber products.” Mr Halkett said he was disappointed the Australian government would not be represented at this landmark event. “Meanwhile, Australian industry is ticking all the boxes on the case against illegal logging and is pleased to support the forum in Beijing,” he added. Forestry and timber industries around the world are experiencing some profound changes that are generating multiplied effect on the international wood market. It has become a general trend of timber producing countries to introduce log export bans and policies that promote
development of the domestic timber processing industry. Some major timber producing countries are entering the VPA negotiation with EU and are in the process of improving forest law enforcement capacity. On the other hand, major timber consuming countries are putting laws and regulations in place that alter the market preferences towards timber legality and sustainability. If the Beijing forum takes just one short step in the giant leap needed to stem China’s massive flow of illegal timber products, then hopefully it will justify, albeit in a small way, the heartache, toil and work interruption Australian traders have been subjected to in cooperating to help establish the government’s illegal logging laws.
issue 262 | 25.03.13 | Page 17
ON THE ROAD
Pristine Prius v a comfortable, clean hybrid hatch from Toyota Flexible, fuel efficient and lots of space for the family THE ‘Last Train to Pottsville’ was the debut single by The Monkees released in 1966. We didn’t take a train to the song’s Pennsylvania’s train station, nor did we take one to Pottsville, a quaint seaside town on the NSW North Coast. This time we took a Toyota Prius v – the new stretched version and a member of what has become a four-car family of hybrids. We travelled through some of the five world heritage listed national parks that surround the village on all kinds of roads, totally impressed with the car’s smooth and quiet performance, the result of innovative ‘pitch and bounce’ control. This is designed to counteract the bobbing motion experienced on concrete slab roads or those narrow and sometimes bumpy tracks through the national park circuit. The car’s computer uses small power adjustments though the electric motor to counteract the rocking motion and smooth out the ride. The Toyota Prius is a full hybrid electric mid-size hatchback, formerly a compact sedan which the EPA rates as among the cleanest vehicles on the road. It delivers stellar fuel economy without requiring much effort on the part of the driver. Despite its hybrid technologies, Toyota’s new ‘family-friendly’ hybrid is second-only to Kia’s Rondo as Australia’s leastexpensive seven-seater. Longer, wider and taller than the standard Prius hatch, Toyota says the v (in italics, please) stands for versatility. Indeed, the fit and finish on the car we drove to Pottsville could not be faulted. Second-row seats are set higher than those in the first
Page 18 | issue 262 | 25.03.13
Efficient hybrid .. the Prius v is a cleverly thought-out and well-built car.
row, and the third row is in turn higher than the second. The result is great all-round visibility and travelling comfort for all passengers. The seating can be tailored 64 ways to carry everything from its maximum seven occupants to a small van-sized load. The front two seats are well-bolstered for hips and thighs and there is plenty of adjustment. With up to 93% seat-back angle adjustment, they are great for a roadside power nap. The standard v has automatic climate-control air-con, reversing camera, head-up speed display, a 6.1-inch display audio screen, electric windows and exterior mirrors, a rear spoiler and a six-speaker AM/FM/CD audio system. Also on the list of goodies are daytime-running lights, front-and-rear fog lights, Bluetooth, USB jack and a leather-wrapped multi-function steering wheel. Storage options are one of the v’s strong points; even with the third-row seats occupied, there is still room for a decent golf bag. And there’s ample other cubby holes and lidded
Comfortable and quiet .. plenty of room for the family inside the Prius v.
spaces (including an overhead sunglasses holder). When all seven seats are occupied, there is 180 litres of luggage space. Flip the thirdrow seats down and there is a flat-floor area of 485 litres. Under the bonnet is a 1.8 litre, Atkinson cycle ‘four’ with variable valve timing. It produces maximum power of 73kW and peak torque of 142Nm, and is mated with a 650Volt, 100kW and 207Nm electric motor. A comfortable, quiet cruiser, it was rewarding to have fuelconsumption figures in the lowto-mid 4L/ 100 km range. There are seven airbags (dual front, side, curtain and driver’s knee), electronic stability control, traction control, ABS brakes with electronic
brake-force distribution and brake assist, hill-start assist an emergency-stop tail-light system and three-point seat belts. The smartphone-connected Entune system brings live destination search, traffic data, and Pandora streaming to the dashboard. Voice command tech and intuitive steeringwheel controls help to keep eyes on the road. The Prius first went on sale in Japan in 1997, and was available at all four Toyota Japan dealerships, making it the first mass-produced hybrid vehicle. It was subsequently introduced worldwide in 2000. The Prius is sold in almost 80 countries and regions, with its largest markets Japan and the US. As October last year, a total of 2.8 million have been sold worldwide. A hybrid is not for everyone, but, like the Camry Hybrid, the Prius v is a cleverly thoughtout and well-built car. The real advantage of its hybrid system is on urban streets rather than the highway. But for space and flexibility, for fuel efficiency and low CO2 emissions in increasingly grid-locked roads, the Prius v is safe and sensible buying – priced from $38,500 plus on-road costs.
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