Southern Hemisphere forest industry journal Vol 17 No4 - December 2011/January 2012
ISSN 1173-5899
Forestry education’s challenging future
Latin America search for bridge to the future Big brains solving NZ forestry perceptions Developments at Stellenbosch Rise of the super graduate in Australia Join Southem Groups
December 2011/January 2012 A SouthemTM Publication
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 1
Contents 4
A Southem View Forestry education’s future in front of us if we are listening
4
Southem People New CFO at Sappi Ltd Infor head meets Forest Engineers Peter Juniper retires after 35 years of service Young Forester Award 2012 launched
5 Southem News Cost of Arauco panel mill rebuild after forest fire damage tops US$100M Corma calls for full rigor of law afteer forest fire deaths High cost on Chile national park fire West Australian agencies join forces in fire fight push Students in rural fire service $4B investment potential in Argentine forestry Australian PM Gillard strongly defends Tasmania deal Carters urges South Australia forestry expansion Australia-New Zealand Forest History group widens sights Fibria plans for $4B project in Parana boost development Future Forests lifts NZ research bar Study focuses on eucalypt carbon efficiency Durban COP17 benefits for Maori landowners 8 Southem Features Latin America: Forestry education searches for a bridge to the future Report on forestry education in Latin America Big brains working to improve perception of New Zealand forestry careers Developments in undergraduate wood science education at Stellenbosch University, South Africa Course updates inventory and mensuration techniques Super graduate rises from challenges in Ausstralian forest sector 20
Southem Markets
Cover Photo credit: Universidad Austral de Chile, Valdivia, Chile..
Š The Southern Hemisphere Forest Industry Journal is published by Trade and Media Services Ltd. Street address: 5 High Street, Rotorua 3201, New Zealand. Mail address: PO Box 6215, Whakarewarewa, Rotorua, New Zealand Tel: 64-7-349 4107; Fax: 64-7-349 4157; Email: info@southem.com; www.southem.com Editor and Director: Michael R. Smith Advertising Sales: Colin Gestro, www.affinityads.com Auckland, New Zealand colin@affinityads.com; Tel: 4-9-444 9158; Mob: 272568014
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A Southem View
Forestry education’s future in front of us if we are listening By Mike Smith Editor and Director
I
am of an age when it is mildly tempting to say yesterday was better than today. The summers were longer, the living was cheaper, and the flowers were brighter. Mildly tempting as it might be to reminisce about how it all was that much shinier and better “back in the day”, I am not sure I totally agree.
estry’s future would be focused on climate change and carbon credits? Or that China and other North Asia countries would overtake the wealth of United States as number one markets? Or that more and more of the wood resource would be harvested and shipped as raw logs to feed manufacturing plants in the northern hemisphere?
In this edition of the Journal, we examine how forestry education in the southern hemisphere has to take a serious look forward rather than looking back and resting on its laurels. By its very nature, looking forward on forestry education also necessitates identifying trends for the future of forestry and forest industries.
Of course, not all of these trends were totally unforeseen. In the depth of universities and other institutions, researchers had long been tracking changes in the earth’s climate. Marketing whizzes were also pushing for a greater focus on Asian markets, based on a combination of economic growth and population projections, and tightening supplies of tropical hardwoods.
Once upon a time (yes, this is something of a fairy tale) forecasting future forestry and forest industry developments seemed a simple task. When the Journal was launched in 1994, it was possible to forecast the billions of dollars required or planned to expand the industry to meet the expansion in plantation forest areas in each of the countries. Pine trees would be grown up to about 25-30 years, depending on location, with stands being thinned and pruned along the way. The big idea then was that the plantations were being grown for a future where thinnings and offcuts from logs would provide wood resource for the pulp and paper manufacturing plants expected to be dotting the landscape of tomorrow. Note most consideration was given to pines, and mostly radiata pine, up until that stage. Eucalypts started to be planted in larger areas in Chile and Australia from the mid-1990s onwards. The future facing forestry education was no less certain. Land would be prepared, trees planted, logs harvested, offcuts and woodchips would go to pulp and paper production, and the best wood reserved for sawmilling and conversion in to value added products. Okay, this summary may be a bit simplistic, but you get the gist. Who would have thought then that much of for-
December 2011/January 2012
So we have reached that point where forests are increasingly seen as just as valuable (if not more?) for their carbon output than their timber; where the suction generated by China’s development inhales the world’s resources; and where, in New Zealand at least, a half or more of all logs harvested are exported whole to feed the markets in other countries. As we see in our articles, the world is also more “connected” as satellites and digital technology deliver a global view no matter where you are located. For forestry education, that means an increased focus on utilising technology at all levels of the sector. You would expect youngsters entering tertiary institutes today would be ideally placed to make the most of the digital forestry future. Not necessarily so, according to Professor Jerry Vanclay from Australia, who says many people coming into forestry are more interested in rural life than life online. The computer skills they bring are more use for gaming rather than the kind of analytical approach required when searching for answers. I can’t tell you what will happen in forestry in another 20 years time but no doubt there are clever people out there who may be able to give us a glimmer of the future. Are we listening?
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Southem People
New CFO at Sappi Ltd
Sappi Limited, the global pulp and paper group, has announced that Mark Thompson, the current Chief Financial Officer, will retire from Sappi in August 2012 having reached the mandatory retirement age of 60. In order to ensure a smooth transition in this important role, Sappi has also announced that Steve Binnie, currently the Chief Financial Officer of Edcon
Infor head meets Forest Engineers The executive director of Chile’s Forest Research Institute (INFOR), Hans Grosse (pictured), has met with the president of a Association of Forests Engineers for Native Forests (AIFBN), Sergio Donoso, and the executive secretary, Rodrigo Herrera, in order to analyse proposals the industry body offered in the book "Toward A New Forest Model," published by the association. "The document expounds the idea of a better society, and highlights what role the forestry sector could make in this respect," Grosse said.
(Pty) Ltd, will join Sappi as CFOdesignate on 09 July 2012. He will become CFO and join the Sappi Limited Board as an Executive Director on 1 September 2012. Binnie, pictured right, would provide a smooth succession, said Sappi CEO Ralph Boëttger.
Peter Juniper retires after 35 years of service Peter Juniper, the processing chamber manager for the Australian Forest Products Association, has retired after some 35 years of fine service to both the hardwood and softwood sectors of the industry. Peter was part of the inaugural staff of AFPA following the merger of A3P and NAFI in April 2011, looking after the needs of wood product processing members. Before this his role at A3P was manager, solid wood and previously held high level positions such as the CEO of the Plantation Timber Association of Australia (PTAA) and Pine Australia. He is a Fellow of the Institute of Engineers Australia and a Fellow of the Australian Institute of Company Directors. Achievements include implementation of several important industry programs - the introduction of MGP structural
Young Forester Award 2012 launched The Commonwealth Forestry Association (CFA) has launched the Young Forester Award 2012. The Young Forester Award is designed to support the professional development of foresters below 35 years of age through the provision of a short-term work placement in a country other than their own. It consists of a designated placement combined with a bursary of between £1000 and £1500 to cover a stay of between three- and six-months (depending on the placement selected) with established and renowned forestry organisations in order to meet their professional interest. See http://cfa-international.org 4 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
timber grades, upgrading of the Plantation Timber Certification Scheme, setting up of the Monash Timber Engineering Centre, and introduction of multi-residential timber frame construction in Australia.
Aus exec Kate Spargo on Fletcher Building board Fletcher Building Ltd chairman Ralph Waters has announced the appointment of Australian business executive Kate Spargo to the boards of Fletcher Building and its listed issuer of capital notes, Fletcher Building Industries Limited. Kate Spargo will be an independent director and the appointment will be effective from 1 March 2012, a company statement said. Kate Spargo is a resident of Melbourne, and has extensive business experience from advisory roles on strategic and governance issues following a career in legal practice in both the public and private sectors.
December 2011/January 2012
Southem News Cost of Arauce panel mill rebuild after Corma calls for full rigor of law after forest fire damage tops US$100M The Chilean forestry giant, Arauco, has announced the reconstruction of its Nueva Aldea panel mill destroyed as a result of a forest fire in January. A company statement said the mill would be rebuilt at its current location, in line with a project under study. “We know that the community, specially our workers and neighbors, expect us to rebuild these facilities, thus contributing to the development of the Region and the commune, by recovering job positions that were lost in this regrettable
event”, said Iván Chamorro, Arauco’s Public Affairs manager in a statement regarding the fire that destroyed the Nueva Aldea panel mill. It is estimated that the panel mill’s construction and future operation will take at least two years. The mill’s annual output of 450,000 cubic metres represented 15% of the group’s production of panels, with the rebuilding cost put at US!00 million-plus.
High cost on Chile national park fire Authorities predict it will take 200 to 500 years and cost about $13 million for native forests in a Chilean national park to recover from forest fires. The disaster affected the Parque Nacional Torres del Paine, located in the Patagonia area of Chile’s Region of Magallanes. The fire has consumed nearly 13,000, of which, about 3,500 hectares is native forest. In a statement regarding this “sombre” outlook for the future of the park, the director of the Forest Research Institute (INFOR), Hans Grosse Werner, warned that the task needed for the reafforestation of the park was not easy technically and, also, would require strong
financing in order to restore forests destroyed during the last three big fires. "Given the difficult conditions, we think new planting will incur an investment for such a reforestation program in the order of $13 million. If the restoration of grasslands is added, including water basins and erosion control, the costs would be doubled," said Grosse. According to the director of INFOR, the recovery of the burnt forests, mainly of lenga (Nothafacus sp.), could take nearly 200 to 500 years.
WA agencies join forces in fire fight push People in Western Australia are being urged to watch out for suspicious activity this bushfire season and report it to the crimesolving organisation, Crime Stoppers. To help tackle the problem of arson in Western Australia, WA Police, FESA, the
December 2011/January 2012
Department of Environment and Conservation (DEC) and Crime Stoppers have joined forces, according to a statement launching a public campaign.
forest fire deaths
The Chilean Wood Corporation (CORMA) has said it is mourning the death of seven firefighters in what it has alleged were deliberately lit forest fires. The death of the firefighters occurred in Carahue in the Araucanía Region, CORMA and called on authorities to investigate the origins of the fires and apply the maximum rigor of the law to those responsible for those found to have lit any intentional fires. Fernando Raga, president of CORMA said in a statement: “We deeply lament the death of these hard-working men, who perished trying to contain the flames and save the forests that were set on fire.” He said it was believed there was sound reason to find that in some cases the fires were intentionally lit as they took place simultaneously. CORMA also condemned any intent to intellectually justify arson. Raga said forest companies invested important resources in the prevention and control of fires, but this was never enough in the face of criminal acts.
Students in rural fire service New South Wales Rural Fire Service (NSW RFS) Commissioner Shane Fitzsimmons has congratulated the hundreds of students who have participated in the 2011 school cadet programme in the Australian state.. "Since its inception in 2005, more than 3,600 young people from across NSW have successfully graduated from the Program,” he said in a statement. "This year alone we've seen more than 800 students complete the programme
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Southem News
$4B investment potential in Argentine forestry Argentine forest owners believe the country has the capacity for more than $4 billion worth of investments in the sector by 2020. The estimate was part of an annual meeting held between executives from the Argentine Forest Owners Association (Afoa) and government officials in the Palace San Miguel, in Capital Federal. Those attending in-
cluded managers, professionals, producers and national and provincial officials. As well as looking at the past year and analysing challenges for 2012, also discussed plans to hold the IV Argentine and the Latin American Forest Congress in a combined format with the Argentina Forest Fair in Posing in 2013. A statement quoted Afoa
Aus PM Gillard strongly defends Tas deal Australian Prime Minister Julia Gillard is strongly defending an agreement made regarding the fragile state of forestry in Tasmania. The government has been under fire from a number of sources on all sides of the controversy over an agreement designed to help keep wood flows going at the same time as conserving the native forest resource. The agreement comes at a time of apparent collapse of big portions of the state’s forest industry, with big player Gunns Ltd closing or selling out of interests. At a press conference in the Tasmanian capital, Hobart, the PM made it clear the government had been working with the State Government and stakeholders on all sides of the debate, including industry and environmental interests. “The truth is that market conditions changed for forestry in Tasmania, and that meant that we knew, with Gunns exiting the industry, that workers were going to lose their jobs, that contractors were going to exit the industry and go out of business,” she said. “Now, as Prime Minister I could have sat in Canberra [the Australian capital] and watched that happen, or I could have got myself involved to make a differ-
ence for those workers and those contractors and the people those contractors employ, so I did get myself involved, and that means we’ve made money available to assist workers who are losing their jobs; money available for contractors exiting the industry.
ANZ Forest history group widens sights Australia and New Zealand are joining forces to forge a new body to include environmental as well as forestry. The Australian Forest History Society has decided to change its name to the New Zealand and Australian Environmental and Forest History Society, a statement said. This will mark an exciting new stage for environmental and forest history if the new constitution is adopted. “The proposed name change will enable us to recruit members who share a common interest in the broader history of the environment, engage with relevant topics as they arise, and reinvigorate and launch the New Zealand and Australian Forest History Society into the 21st century,” the statement said.
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president Jorge Acne regarding the opportunities available for public-private partnerships in developing the full potential of the forest industry. “The country has a great forest wealth that is able to and should be converted to value. It is a motor of sustainable development in regions that need it,” he said.
Carters urges South Australia forestry expansion Carter Holt Harvey has urged the expansion of plantation forests in South Australia – on the block to boost the state’s coffers. Carter Holt Harvey has described the potential for expansion in the region as substantial as part of its confidential submission to the South Australian Forest Industry Strategy. “It (expansion) must begin now if the industry is to develop into the future,” it said in an Adelaide Advertiser report. “Australia has a massive deficit in plantation softwood sawlog resource. “The Green Triangle region is already the largest area of plantation softwood in Australia. The potential to expand the Green Triangle region is substantial and should be pursued without delay,” the report said.
December 2011/January 2012
Klabinplans for $4B project in Paraná boosts development Brazilian forestry group Klabin is planning a US$4 billion pulp plant in Paraná, the company said in a statement. The location was not released but JM News reported the leaders of Campos Gerais have discussed how funds from a State tax, will be generated by the plant, and have started the legislative process based on the project’s tax payments, starting from 2012. It’s reported that an agreement has been formulated between Klabin, the state government and municipalities in Paraná so that funds derived from the taxes earned will be distributed
between the cities supply wood to the production lines as part of a regional forest industry manufacturing development agency. The Klabin “megaprojeto” will help propel the forest sector in the Paraná. Specialists said that, for an annual production capacity of annual production of 1.5 million tons of pulp (1.35 million tons of real production), the company would need about 300,000 hectares of planted forests.
Maps and modelling programmes to assist forestry investors and managers and improvements in harvesting techniques and equipment are among the achievements of the New Zealand agency Future Forests Research for 2011. FFR is an agency directing the science needed to increase the value and productivity of the forestry sector, with funding of NZ$6.2 million from the government and NZ$1.3 million from the forestry sector. The FFR 2011 Annual Science Report outlines work being undertaken, including new research findings that can be used to ensure the right sites are used to produce the right wood for specific markets, as well as improvements in harvesting techniques and equipment to increase productivity, improve safety and cut costs. Maps and modelling programs developed through Future Forests Research are showing forestry investors where to plant trees and forest managers how to manage them for best quality and value.
Scientists at Scion, the forestry Crown Research Institute, have produced a map of New Zealand that provides a detailed picture of what wood properties can be expected on any site in the country. As wood density is driven by temperature, silvicultural regime (such as pruning and thinning) and genetics, the knowledge gained in this study will help to guide tree breeding programmes and planting decisions on specific sites. At the same time, research has found innovations in harvesting trees on steep slopes have potential to double the size of commercial forestry in New Zealand. Cheaper and more effective methods of harvesting trees on New Zealand’s steep country are vital if the forest industry is to remain internationally competitive and to grow, the report says. Once cost-effective solutions to steep country harvesting are achieved, it will enable greater expansion of forestry on to marginal land, most of which is on slopes over 20 degrees. This could double the size of commercial forestry in New Zealand.
Future Forests lifts NZ research bar
December 2011/January 2012
Southem News Study focuses on eucalypt carbon efficiency A study developed by big Brazilian forest company Fibria was one of the topics at IUFRO Eucalyptus 2011, an international conference on the eucalyptus that was held in Porto Seguro (Bahia state) in November. The project “Carbon allocation and leaf gas exchange of Eucalyptus hybrid clones under different climates” tested and selected clones that were most efficient in utilising natural resources under adverse environmental conditions, a company statement said.
Durban COP17 benefits for Maori landowners A Maori tribal negotiator in New Zealand observing the United Nations Climate Change Summit in Durban said Maori landowners should soon be free to change land use without paying a heavy penalty, Waatea News has reported. Chris Insley from the Climate Change Iwi Leadership Group is reported as saying Maori landowners are among the largest generators and users of New Zealand carbon credit units, so it’s important they have a market regime that is robust and transparent. He said its included some flexibility of land use, which should happen under changes agreed in South Africa in November 2011 and would allow owners with forests on flat land to replant on hill country areas seen as being more suitable for growing trees.Iwi were also keen to see the New Zealand government invest in research and technology that would allow Maori farmers and growers to lower their carbon emissions.
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Southem Feature
Latin America: Forestry Education searches for a Bridge to the Future Pic courtesy: Universidad Austral del Chile
By Mike Smith from interview with Hernán Peredo López and sources as indicated. Forestry education must find a way of bridging the growing divide between its traditional strengths and a raft of new challenges, says leading Chilean educator, Hernán Peredo López. Dr Peredo, who was a Professor at Universidad Austral de Chile, is now working as a private consultant as an institutional evaluator and has extensive national and international experience in educational assessments and accreditation.1 Dr Peredo has published papers and given addresses on the topic of the relevance of forestry education in today’s world. He was cited by a Chilean contact as ‘the expert’ on forestry education in Latin America. “The present outlook for forestry education is very bad in Chile,” he told the Southern Hemisphere Forest Industry Journal from Valdivia, Chile. “We have a very substantial drop in students coming to study in forest engineering programs 1 See the following web site for more information: http://www.cybertruffle.org.uk/people/0019482_.htm
in Chile.” Most of the concerns held by Dr Peredo and other experts in the field revolve around not only the relevance of forestry study programs but also the public’s perception of forestry in general. These concerns have been reflected in a number of papers and addresses at sector meetings in recent years. “The future isn’t good, mainly because universities are not doing very well in relation to their professional profiles,” Dr Peredo says. “They have very little relationship to the forest engineers’ work and they are not sufficiently aligned with the professional who are doing the real work in the field. They are only able to implement academic concepts rather than new ideas.” One example he gave of this was the lag in the way new era remote sensing was being introduced in Chile as part of forestry education courses. Dr Peredo says work in the forestry world is increasingly becoming one where practitioners are working in groups, often solving complex problems through online networks.
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Southem Feature
Facultry members on parade (above left) - is what they want, what students want (above right)? Photos courtesy of Universidad Austral de Chile, Valdivia.. “Faculties in Chile and Latin-America aren’t aware of this new way of doing the real work and they are teaching old ways of doing things.” However, this new aspect of forest management and science – where individuals speak to one another and engage in wide-ranging discussion – was not part of the university curriculum. “The new tools in management for research, such as modelling, they are at a very low level in the curriculum, including forestry pathology where the use of remote sensing or the tools available through web sites is very rare.” He likened the current situation to past experience in the Chilean forestry industry, where experts from the United States came to talk about how best to utilise the growing wood resources in the production of timber and pulp and paper products on in order to develop indices to measure the biosecurity risks for timber sent to the USA. “Today, all this work would be done via online using much of the software available for these purposes (Skype, Adobe Connect, Microsoft SharePoint, etc).” Overcoming this gap in education was a real problem, he acknowledged. However, it seems this technological gap is contributing to a perception of forestry as a somewhat out of date and dislocated profession. In a paper to a workshop on forest education in Latin America in October 2011, Dr Peredo highlighted the components required to improve the pertinence of the curriculum.2
2
Hernán Peredo López. Address to III Taller sobre Educacion Forestal en Latinoamerica, Facultad de Ciencias Forestales, Universidad Nacional Agraria La Molina. Lima, Peru. Octubre 2011.
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For employers in the Chilean sector forest, a number of issues stand out: • A negative environmental perception of the profession did not reflect the reality. • More emphasis in the social areas was required, such as relationships with the community, prevention of risks and systems of administration (such as, the environment, security and occupational health). • W i d e r o p p o r t u n i t i e s e x i s t e d i n commercialisation and sales which have not been taken advantage of previously. • P r o f e s s i o n a l s w e r e d e f i c i e n t i n the way they approached problems of forest management and landscape administration. • Deficiencies were seen in developing native forest management plans, drought resistant species and restoring damaged sites. • Deficiencies also existed in the preparation of EIAs (environmental impact reports) and DIAs (Declaration de Environmental Impact) associated with sawmilling, pulp and panels. • Weaknesses could be found in estimating the costs of forests tasks and the Man and Biosphere programme (MAB) institutionally Deans and academics at Chilean universities had the following issues: • They agreed with the view of international Deans regarding social contempt in which the profession was held and also that this issue should be addressed by state agencies services and the CIFAG (members of the Chilean College of Forest Engineers Colegio de Ingenieros Forestales de Chile).
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Southem Feature
More of this (above) and less of this (right)? Photos courtesy of Universidad Austral del Chile • The profession was discredited socially (seen as being akin to being lumberjack or labourer. • Students were ill-informed [about professional forestry] and chose careers with better salaries, easier employment and labour stability. • Historically, the profession was the second choice in students’ preference. • The sector needed to find innovative solutions, discarding EBC and accreditation careers, agree on minimum standards between universities and grant scholarships to outstanding students. Joint State-Employers-Universities with CIFAG support: • Employers should only hire only professionals who could work in partnership with a wide range of careers. • It was necessary to overturn the widespread [negative] view and better communicate the contribution being made by Forest Engineering. The concerns raised by Dr Peredo reflected those expressed at a meeting organised by CIFAG (Chilean College of Forest Engineers) in April 2011 in Santiago.3 The meeting aimed to analyse the current situation of the profession and to identify areas of agreement and differences among various sector players.
3
“Situación actual y perspectivas de la formación forestal en Chile” (The actual situation and perspectives of the forestry sector in Chile). MundoForestal. Colegio de Ingenieros Forestales de Chile, Edicion Trimestral. Ano 6 - mar/apr/mayo de 2011. 20.
The perspective of state employers was provided by Hans Grosse, executive director of Infor (Instituto Forestal research agency), who analysed the actual forest sector situation and tied this to the future requirements for forestry professionals. He was optimistic, pointing out how diverse challenges and potential opportunities existed yet to be taken up by the forest sector, and how they would require forest engineers to complete them. He highlighted, for example, the seven million hectares of native forest which could be incorporated into forest management, noting no other professional group could take responsibility of this task. The profession had been involved in managing sustainable forests in Europe for more than 100 years and was the forerunner in developments around sustainability currently dominating the international scene. At the same time, he highlighted the contribution forest engineers had made in helping to combat erosion in Chile over the past 30 years. As such, he noted how it was often forgotten that erosion and land degradation continued to be one of the main environmental challenges, so professionals should feel proud to have been involved in the afforestation of the country. “An environmentally negative perception of the profession doesn’t reflect the reality,” Grosse said. Osvaldo Cirano, forest engineer and general manager of human resource at Forestal Arauco,
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Southem Feature This would also require a change on the part of academics from the traditional question of “how to teach” to the new one of “how do students learn”, recognising that engineering, including the forest industry, was the art of problem solving. Jorge Contreras, from the School of Forest Engineering at Universidad Católica del Maule, presented statistical evidence and opinions from students in the Region of Maule. The results suggested a high level of disinformation existed amongst secondary school student regarding the career of forest engineering.
Not students but ‘clients’. Photo courtesy of
Universidad Austral del Chile
detailed the participation of forestry professionals in the Arauco group, one of the largest forestry and forest industry groups in the southern hemisphere. At present, Arauco has 356 forest engineers, including direct and contract employees, mainly in the area of silviculture and sawmilling. He highlighted areas of the profession which may not have been apparent initially to graduates. A greater emphasis was required in the social areas, relationships with the community, risk prevention and systems of MASSO administration (covering environment, security and occupational health).
At noted by previous reports, the results confirmed the tendency of students tended to focus decision on which career path to follow on the basis of a competitive salary, the ease of getting employment and labour stability. “In the face of this, students have the opinion that the career of forest engineering offers them exactly the opposite,” said Contreras. This in spite of statistical evidence that forest engineering is no different to careers like psychology, architecture or journalism; in all the indicators mentioned above. Subscribers can download this article by using the link button.
Untapped opportunities also existed on a wide scale in the areas of forest commercialisation and sales. At Arauco, for example, more than 150 people worked solely in this area, of which forests are an exception, Cirano said. Like other representatives of the forest industry, Cirano he was concerned over the current situation facing the profession. It was a situation being analysed by Arauco and he congratulated the College of Forest Engineers for taking the first step in approaching the issue in a combined way. Gonzalo Paredes, of the Universidad Austral de Chile (Southern University), discussed the need for institutions to treat students more like clients and recognise that when choosing a career, these “clients” made decisions with economic objectives based especially on future incomes. As a result, the sector should look at ways to reduce the time students spend at university and reduce the gap between the academic and managerial world.
December 2011/January 2012
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Southem Feature
Report on Forestry Education in Latin America
A
study on forestry education in Latin America found institutions and students are in danger of being left behind by demands for a greater environmental and social focus. The report was carried out jointly by the UN Food and Agriculture Organisation (UN FAO) and the Chilean university, Universidad de Concepción. Published in 2009, the 348-page final report included the results of a survey of higher educational institutions throughout Latin America and discussions held in an online digital forum. The authors noted urgent work was required on the new paradigm being faced by forestry professionals in sustainable forest administration and the knowledge to cater for analysis and creativity. This had to include attitude changes bringing in ethics, honesty, responsibility, and equanimity, as well as developing intellectual abilities for decision-making, analysis, planning and leadership.
Table: Areas needing reinforcement in Latin American forestry education institutions (for Argentina, Brazil and Chile) Argentina
• Evaluation of environmental impacts. • Forest management in semiarid regions. • Human resources.
Brazil
• Genetic improvement. • Quantitative methods. • Technology of forests products.
Chile
• Social and economic environment. • Bioenergy. • Social Sciences applied to rural forest extension. • Sustainable development. • General economy. • Agriculture and forest economy. • Integration of the tangible and intangible forest goods. • Silviculture of Chile native forests, south and southern zones.
They found that the teaching of forestry science was established with a solid structure within Latin American higher learning organisations. Their work highlighted the need for forestry education to take account of the current state of the sector, including the impact of globalisation and the technology revolution “The growing range of ‘knowledge’ in modern societies, in general, will force us to reconsider the way in which this education takes place and how it is administered, since the production and countries increasingly depend on the distribution of knowledge for competitiveness and global market access: the revolution in communications already offers innovative and unsuspected possibilities, threatening to exclude or marginalise those who don’t know how to take advantage of them.” In its conclusions section, the report noted how new concepts in forest management necessarily required changes in the source of members of the forest professions, the institutions teaching them. So much of the curriculum offered in Latin American forest education appeared left behind in comparison with other sectors in the face of current demands. Although the countries in the region had academic strengths in various forestry topics, they also had weaknesses which could be solved through cooperation and an exchange of experts.
Subscribers can download a full version of this report by using the link button. A convenient way of overcoming this problem would be the establishment of a network of forest education institutions in Latin America, able to offer similar courses based on similar curricula throughout the region. “Convincing students that forestry careers exist in the region will help to improve their academic preparation in order to satisfy demand for labour with a professional profile in the marketplace.” Such work should also underline the key role forests play in reducing pressure on forests and help to maintain and conserve water basins and biodiversity. “However, a significant number of student consider forestry education institutions are not making enough of an effort in order to satisfy such requirements, not helping to improve the forestry education sector’s image,” the report said.
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Southem Feature
Big brains working to improve perception of New Zealand forestry careers From interview with Bruce Manley and Jeremy Christmas, and sources provided.
I
n May 2011, some of the best brains in New Zealand forestry education had dinner in Auckland, the country’s commercial capital. The dinner was coincident with a conference with the ambitious title “Pacific Forestry – Growing a Forestry Future”. The conference was organised as part of the joint Australia and New Zealand Institutes of Forestry ANZIF 2011 Conference. Around the table sat Bruce Manley, Associate Professor and Head of School and Forestry Board of Studies at the New Zealand School of Forestry, Canterbury University, and other forestry education leaders. These included Jeremy Christmas, Director of the School of Forestry and Primary Industries at Waiariki Institute of Technology, Ian Boyd CEO of the forest industry training agency, FITEC, Andrew McEwen of NZ Institute of Forestry. According to Dr Manley, the discussion included weighing up how best to get through the perception of forestry and highlight the benefits of forestry education. “It’s an industry issue really,” Dr Manley told The Journal. “We live and die by that industry and how it is regarded, and what we can do.” The meeting discussed different things those involved could do to help boost the perception of forestry. “Forestry is part of the solution for climate change through sequestration, for example.”
December 2011/January 2012
NZ School of Forestry Survives Quake Christchurch, where the NZ School of Forestry is based, has faced a number of very real challenges over the past year with a series of earthquakes which took lives and disrupted communities, displacing many citizens. However, the School of Forestry buildings were not greatly affected and the faculty has been largely able to operate on a “business as usual” basis. This includes an Advisory Committee comprising a wide range for forestry and forest industry representatives providing feedback directly to the university management team. Some changes were included in a new university-wide 15-point course structure, which saw plantation silviculture; forest management; and wood science expanded to 30 point courses. The expansionprovided the School of Forestry with the opportunity to add some additional topics within these papers. Centre of Excellence at Waiariki The Waiariki Institute of Technology is based in the Central North Island region,and receives industry input from a combination of local advisory committees, and direct stakeholder contact along with the government forest industry training agency, FITEC.1 As a result of consultation and support of the forest and wood processing Information from reply to Education Questionnaire for Southern Hemisphere Forest Industry Journal. 1
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 13
Southem Feature industries in recent years, Waiariki has invest more than NZ$5 million upgrading and expanding its teaching facilities and equipment. 2 A big moment came in 2008, when a “National Centre of Excellence for the Forest and Wood Industry” was opened on the main Waiariki campus in Rotorua. The centre includes a specialist forestry simulation computer laboratory. Further investment was undertaken in 20102011, with the completion of a new “Timber Industry Wood Manufacturing Centre, Timber Testing Laboratory and Gasification Plant. The Wood manufacturing centre resulted from a partnership with the University of Auckland, New Zealand’s main commercial city to the north of Rotorua, and FITEC. Facilities include a specialist computer suite used to run simulation software relating to forest mapping, forest operations and related timber applications. Publicity material says the aim of the centre is to develop technical expertise and research capabilities to equipment students with the necessary skills to “transform the forest and wood industries from their current commodity orientation to one that focuses on high value-added products for export”. Given that a full half or more of logs harvested are exported directly, and the processing industry has been struggling, the task of supplying graduates with jobs will be a challenge. However, various industry sectors in New Zealand, including forestry, have lost large numbers of skilled workers to Australia, so even maintaining the current level of skills will be useful should the forest industry be transformed. Forestry and Forest Industry Training
retain the integrated supply chain. The government appears to want to place forestry in a global primary sector group, matching the restructure of government departments which has seen the former Ministry of Forestry subsumed within a primary sector department including agriculture and fishing. To further help improve the supply of skilled workers, government primary industry training agencies are behind a New Zealand Trade Academy. As well as the forestry agency, FITEC, those involved in agriculture industry and horticulture industry have formed a partnership with high schools and employers. To further help improve the supply of skilled workers, government primary industry training agencies are behind a New Zealand Trade Academy. As well as the forestry agency, FITEC, those involved in agriculture industry and horticulture industry have formed a partnership with high schools and employers. The aim is to provide senior secondary school students with a more formal processing for launching a career in the primary industries. Under the scheme, the academy combines classroom study on on-the-job learning. In forestry, the Year 11 students involved will complete a national certificate, those in Year 12 will commence or complete an introductory skills section of level 2 national certificate in forestry, and those in Year 13 [the final year of secondary school] will commence or complete Level 2, with up to four strands in establishment, pruning or harvesting. Subscribers can download this article by using the link button.
FITEC is part of a group of industry training organisations (ITO) in New Zealand and faces a challenging few years itself as the government looks to restructure this sector, with a possible merger of different agencies. There has been some concern over the possibility the merger could result in the “forestry” and “forest industry” aspects of FITEC could be disconnected. While some in the industry favour forestry and manufacturing specialisation, others prefer to 2 Waiariki Institute of Technology, School of Forestry and Primary Industries Prospectus, 2012.
14 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
December 2011/January 2012
Southem Feature
New Zealand School of Forestry Name of Organisation: New Zealand School of Forestry Location: University of Canterbury, Christchurch Number of students: 135 Number of faculty members: 14 To what level are students taught: Managerial/professional foresters: BForSc, BE (Forestry), MForSc, PhD How could you describe the subjects taught? Professional/vocational Number of graduates 2011: 15 BForSc, 5 BE (Forestry) Are the following areas of study undertaken? Biodiversity, yes; Climate change, yes; Carbon credits, yes; Deforestation, yes; Wood utilisation, yes. What areas do students go into after graduating? Post graduate, Masters, and Vocational How do you garner forest industry input regarding aspects of what is taught?: School of Forestry Advisory Committee What are the main influences on your institution in 2011?: Canterbury earthquakes and 2 snow stoppages caused disruption but overall had a minor impact on the School In planning future requirements, which areas do you foresee demand increasing? Increase in harvest volumes, Increase in new land planting, implementation of the ETS all increase the demand for professional foresters and professional engineers Has the cost attending courses increased/decreased 2012 (2011)? Increased by 4%
Source: Reply to questionnaire for Southern Hemisphere Forest Industry Journal
Waiariki Institute of Technology Name of Organisation: Waiariki Institute of Technology Location: Rotorua, Taupo, Turangi, Tokoroa, Whakatane, Ruatoki, Opotiki, Kawerau, Napier, Warkworth Number of students: 38 Forest Management students; and 244 Forest Operations students Number of faculty members: Forest Management - 4 staff; and Forest Operations - 12 staff To what level are students taught (proportions)? Managerial/professional foresters: Forest Management, Level 5-7 Forest technicians: Forest Management (100%) Level 5-7 Skilled labour level: Forest Operation Level 3 – Ground based (100%) How could you describe the subjects taught? Professional/vocational Can you please state the number of graduates: (For Forest Management) 2011 (12) and 2010 (6) (2009), (5). Successful Forest Operations students stay within the ground based workforce. Are the following areas of study undertaken? Biodiversit, no; climate change, no; carbon credits, no; Deforestation, yes; Wood utilisation, yes. What areas do students go into after graduating? Vocational How do you garner forest industry input regarding aspects of what is taught? Local Advisory Committees, FITEC and direct stakeholder contact. What are the main influences on your institution in 2011? (e.g. Financial, political) Political, financial and stakeholder demand. In planning future requirements, which areas do you foresee demand increasing? Resource management and conservation. Geothermal. Has the cost attending courses increased/decreased 2012 (2011)? Increased 4%
Source: Reply to questionnaire for Southern Hemisphere Forest Industry Journal
December 2011/January 2012
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 15
Southem Feature
Developments in Undergraduate Wood Science Education at Stellenbosch University, South Africa Tim Rypstra1 Abstract In South Africa, Stellenbosch University (SU) is the designated provider of Bachelor, Master and Doctorate level qualifications in Forestry and Wood Products Science. SU provides educational programs to both mechanical (sawmilling, preservation, composite products, furniture, etc.) and the chemical (pulp & paper) processing sectors. To ensure academic quality, SU regularly has her academic programs assessed externally. In 2000, several changes to the then existing 4 year B.Sc. Wood Science program were recommended. A restructured SU undergraduate program, similar to the B.Sc. Wood Products Processing program at the University of British Columbia (UBC), Vancouver, Canada, was consequently introduced in 2003. That same year, to provide more support to this effort, a partnership between UBC, SU and the Nelson Mandela Metropolitan University, the SA institution responsible for the National Diploma and Bachelor of Technology degrees in similar subjects, was established. The objective was to develop and deliver successful tertiary programs in value-added wood product processing education for South Africa and later, for other African countries as well. A Wood Products Processing Education Project, implemented in 2004 and running until mid 2010, funded by the respective partner institutions and the Canadian International Development Agency (CIDA) through the University Partnership in Cooperation and Development Program, was established. In addition to curriculum developments based on the UBC model, module content was modified to address relevant South African conditions. To make modules accessible to part-time students and members of industry off-campus, conversion of several Wood Products Science modules into e-learning format was implemented. A concise overview of Wood Science education at Stellenbosch University is given and the implementation and progress of the CIDA project at SU is briefly discussed. Solutions to the educational needs of the SA pulp & paper sector are also highlighted. Keywords: Wood products science, education, undergraduate program, pulp and paper, South Africa Introduction The Faculty of AgriSciences of Stellenbosch University (SU) offers two fields of study in Forestry and Natural Resource Science i.e. Forest and Resource Management and Wood Products Science. To support the South African commercial (plantation) forestry industry and to address environmental and community (agroforestry) issues, the Forest and Resource Management program focuses on providing tertiary education in silviculture, forest management and forest engineering. Value adding to the locally grown and imported timber resource into a variety of quality products is covered by the Wood Products Science program. The SU is the designated provider of Bachelor, Honours, Masters and Doctorate level qualifications in these fields of study and has provided many graduates to government and industry. Of the enrolments in Wood Science, a relatively high number of students continued with further post graduate studies. 1 Department of Forest and Wood Science, Private Bag X1, Matieland 7602, Stellenbosch University, South Africa. Corresponding author: tr@ sun.ac.za. This paper was originally presented at the 2010 EC-IAWS/ESTB7 meeting, Rabat-Morocco, March 2010, and has been updated, and published in the Southern Hemisphere Forest Industry Journal with the author’s permission.
Subscribers can download a full version of this article by using the link button.
16 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
December 2011/January 2012
Southem Feature
Course updates inventory and mensuration techniques
A
short course on “Update of Inventory and Mensuration Techniques” was presented by the Forest and Wood Science Department, Stellenbosch University, in 2011. The short course was coordinated by Prof Thomas Seifert (Stellenbosch University) and Prof Christoph Kleinn (University of Göttingen, Germany).
The course was designed for forest scientists and practitioners in the field who have already received an education in enumeration and inventory and wanted to update their knowledge, get an overview of the state of the art and gain new skills. The content of the course was a mixture of lectures and practical computer work. Session revolved around inventory planning, plot designs, enumeration practices, GIS support in inventories, inventory accuracy considerations, and national forest inventories. The course was concluded with the state of the art in research
Delegates attending the 2011 short course on inventory and mensuration techniques. on Forest inventory at the Department. Further lectures were Anton Kunneke (Stellenbosch University), Dr. Lutz Fehrmann and Dr. Hans Fuchs (University of Göttingen). The good industry attendance showed a high relevance to keep the inventory skills up to date.
Stellenbosch University, South Africa Name of Organisation: Stellenbosch University Location:.Stellenbosch South Africa Number of students: Total in programme - 130 Number of faculty members: 12 To what level are students taught? 100% Managerial/professional foresters How could you describe the subjects taught? Professional/vocational Number of graduates 2011 (if possible) and 2010 (2009): around 18 per year Are the following areas of study undertaken? Biodiversity, yes; climate change, yes; carbon credits, yes; deforestation; yes; wood utilisation, yes. Other: Bioenergy, actually we cover the full value chain from bare land to final product (paper, furniture etc) What areas do students go into after graduating? Masters, PhD, Vocational. Other: About 10% of students return for graduate work – all the other are employed in local industry How do you garner forest industry input regarding aspects of what is taught? Through producing relevant research and incorporating that into the education programme – hence industry see the benefit through good student employment. What are the main influences on your institution in 2011? Economic downturn and hence not enough students to look after the interests of the total industry In planning future requirements, which areas do you foresee demand increasing? Bioenergy issues and linking that to traditional industrial requirements. Has the cost attending courses increased/decreased 2012 (2011)? Increased by 8% Source: Reply to questionnaire for Southern Hemisphere Forest Industry Journal
December 2011/January 2012
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 17
Southem Feature
Super graduate rises from challenges in Australian forest sector structure From interview with Jerry Vanclay, and sources provided. Changes in the Australian forestry sector have given rise to a new “super-graduate” who must straddle complex new areas of science and be a small business manager. The changes underway in the Australian forest sector over the past few years have flowed through into forestry education. While facing similar challenges as forestry education in other southern hemisphere countries, Australia has had to deal with a number of additional changes. This has seen in some cases insurmountable financial pressures which have seen stand-alone forestry courses morph into parts of other courses. The changes have included the following: • Structural changes in the way federal governments perceive and manage forestry. • The wholesale selling off of cutting rights to forests previously managed by state departments or corporation. • The collapse of the private sector investment market for tree growing based on mostly domestic investment. • The increasing presence of TIMOs, the timber investment management organisations, headquartered internationally. Professor Jerry Vanclay of South Cross University in Lismore, NSW, said these structural changes have seen more and more work contracted out to consultants. Caveats often existed in agreements made for private companies to manage public resources for employment conditions to remain
the same. However, the trend was for companies to manage large, former state administered plantation forests with very few in-house staff, and with most of the work being outsourced. “So in the past, a forestry graduate could be expected to be picked by an employer and be employed for a very long time. Increasingly, what we are seeing with new graduates is that they will work for a small consulting outfit, or they will set up their own consulting outfit and offer services as a small contractor to one of these companies.” This meant graduates needed to acquire some small business management skills, which were not so necessary in the past. So more work was being done with students to ensure they had more knowledge of small business and they understand accounting. In the current tough fiscal environment, and with increasing demands for forest education to adapt or be seen as irrelevant, some institutions have taken the option of folding forestry degree courses into other sectors, such as environmental sciences. Professor Vanclay has written extensively about a wide range of topics, including the challenges facing forest sector educators. Professor Vanclay is the SCU Head of School, Environmental Science & Management, and he has written over 350 publications, and articles in more than 150 journals. At SCU he leads research in forest management and teaches the undergraduate unit on forest modelling and management. His
18 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
December 2011/January 2012
Southem Feature research interests focus on information systems and conflict resolution for forest and land use management.1 Professor Vanclay published an article in 2007 entitled “Educating Foresters for the 21st Century” in which he highlighted how changes underway in forestry practice and education in Australia.2 The article was based on a survey of Institute of Foresters of Australia (IFA) in 2007. Interviewed by the Journal, Professor Vanclay confirmed things had changed even since the article was published. Australia has in the past had three main forestry education institutions located at: SCU in Lismore; the Australian National University, in the Federal capital, Canberra; and the University of Melbourne in the State of Victoria. In recent years, the last two of these three have made major changes to the structure of their courses. “I think the main change since then has been that SCU is now the only university offering a dedicated 4-year forestry degree,” he said. All three universities previously offered a 4-year bachelor degree in forestry. However, ANU now offers a 3-year Bachelor of Science (Forest Science), with a considerable reduction in the forestry content in the degree3. Melbourne University is offering a professional masters in forestry but students first have to complete a generic bachelor degree (e.g., arts, science, economics). The Melbourne structure is said to be more aligned with what is known as the European Bologna model. So it was hoped the change would attract more students from abroad who had already received a bachelor’s degree and want to sign up for a professional masters at Melbourne. Professor Vanclay said SCU had continued with the model it had in place, because it had been well-received by employers and in the marketplace.
1 Southern Cross University: Staff Directory. http://www.scu.edu.au/staffdirectory/ person_detail.php?person=9898 2 Vanclay, J.K., 2007. Educating Australian foresters for the 21st century. International Forestry Review 9(4):884-891. 3 http://fennerschool.anu.edu.au/files/ panel/238/fennerughb2012.pdf December 2011/January 2012
“We have a large practical component to our course, and I think that’s pretty much what industry wants. To put it crudely, there is a big demand for dirt foresters who are willing to live, work and travel in rural areas. Very often, graduates who complete a masters degree are looking for a job in an air conditioned office in a capital city using a GIS.” While there was certainly a need for people with these skills, and foresters were needed in capital cities, there was a very pressing need for “dirt foresters” out in the bush4 as well. Although cautioning the survey work published in 2007 was based on a relatively small sample5, the findings were seen as being consistent with those obtained elsewhere. They also revealed diverse interests among foresters and how perception of a subjects “utility” varied as graduates became more experienced in work situations. “The survey reflects the utility of subjects such as silviculture, mensuration and forest management, and highlights the need to include subjects such as human resource management, business studies and communication skills in forestry programs,” the article said. Professor Vanclay told the Journal the responses so far had been based on immediate market forces, rather than as a result of the survey or any long-term re-shaping of forestry education as such. “Forestry in Australia is not fashionable at present, so all tertiary institutions are under pressure with student numbers and all need to find their own way to deal with that. At Southern Cross, our student numbers are holding up reasonably well.” SCU had strengthened its forestry program with a satellite program at Mount Gambier. The city is in the state of South Australia, and is part of the Green Triangle region which includes southeast SA and the south-west corner of Victoria. Roughly half of SCU forestry program students were now studying at the Mount Gambier facility.
4 “The bush” in Australian terms is used as a generic term for rural areas. See The Australian Bush at http://australia.gov.au/about-australia/australianstory/austn-bush
5 The findings resulted from 169 responses to an 8-page survey distributed on the IFA email list and in the weekly IFA Bulletin.
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 19
Southem Markets
Chile exports and prices Chile Exports of Pine Lumber Products ($M)
Chile Pulp Product Exports ($M) 400
80
350
70
300
60
250
50
200
40
150
30 20
100
10
50
0
J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D 2008
2009
2010
Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan
0 2011
2009
2010
Chile Panel and Board Exports (US$M)
Chile Paper Product Exports ($M) 40.0
35.0
35.0
30.0
30.0
25.0
25.0
20.0
20.0
15.0
15.0
10.0
10.0
5.0
5.0 0.0
J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D
0.0 2008
2009
2010
2008
Plywood
Bleached pulp (US$/T.M..)
2008
2009
2010
Q3
(Pulp and Fish Meal)
0.0
Q2
0.0
0.0 Q1
200.0
Q4
50.0
50.0 Q3
400.0
Q2
600.0
100.0
Q1
150.0
100.0
Q4
800.0
Q3
200.0
150.0
Q2
1,000.0
Q1
1,200.0
250.0
Q4
300.0
Oil (US$/bb.)
Fibreboard
200.0
Q3
1,400.0
Q2
350.0
Copper (US$/lb.)
2011
250.0
Q1
1,600.0
Q4
1,800.0
400.0
Q3
450.0
Q2
2,000.0
2010
2010
Chile Lumber, Woodchips, Plywood Exports Inex (100: 2003)
500.0
2009
2009
2011
Chile Commodity Prices (US$/unit)
(Copper and Oil)
2011
2011
2011
Lumber
Fish meal (US$/T.M.B.)
Woodchips
Plyw ood
Total
Source: Chile Government data.
PULP: The value of pulp product exports fell in late 2011, dropping to US$2,894.8 million in the 12-months ended December 2011, still 17.5% more than in the year ended December 2010. PINE LUMBER: Pine lumber exports from Chile totalled US$678.9 million in the 12-month period ended December 2011, up 19.0% on the year ended December 2011. PANELS AND BOARDS: Chile’s exports of panel and board products rose to US$510.2 million in the year ended Dcember 2011, or 10.8% more than in the December 2010 year. WOOD PRICE INDEX: The price index for exported lumber products dropped to 86.3 in the third quarter of 2011 from 101.6 the previous quarter. However, the overall total remained at above 110, finishing at 112.9 in the third quarter. The woodchip price index fell from 179.1 in the previous quarter to 142.3 in the third quarter, but plywood lifted from 64.6 to 72.9. COMMODITY PRICES: The downward trend for commodity prices was generally towards a lower level from mid-2011, apart from oil prices. The bleached pulp price of US$610.6 per metric ton in December 2011 was 18.4% lower than a year previously. 20 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
December 2011/January 2012
New Zealand exports and housing New Zealand Building Consents (number by month)
New Zealand Log Exports (NZ$M)
3,000
200.0 180.0
2,500
2,000
160.0
2,000 1,500
1,000
1,000
500
Houses
2009
2010
Apartments
80.0
20.0
J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N
2008
100.0
40.0
0 2007
120.0
60.0
500
0
140.0
0.0
2011
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
1,500
(All dwellings)
2009
All dwellings
New Zealand lumber exports (NZ$M)
2010
2011
New Zealand lumber exports by value trend (US$/m3) 450
300.0
400
250.0
350
200.0
300
150.0
250 200
100.0
150
50.0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
100
2009
2010 Pine lumber
2011 Wood products
50 0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
(Houses and Apartments)
2,500
0.0
Southem Markets
2009
2010
2011
2012
Source: Statistics New Zealand
HOUSING CONSENTS: Building consents are a key indicator not only of the New Zealand economy but also the potential health of the domestic sawmilling industry. Building consents issued for all dwellings fell 15.0% in the year ended November 2011, at 13,562, compared to the November 2010 year. LOG EXPORTS: Log exports fell back mid-year and never regained the earlier momentum. The total for the year ended November 2011 NZ$1,631 million was 25.3% over the 2010 November year. LUMBER AND WOOD: The value of pine lumber exports from New Zealand to the 12-month period ended November 2011 was NZ$708.7 million, or 9.6% less than the November 2010 year. VALUE TRENDS: After a lift at the start of the year, the per cubic metre value of exported New Zealand pine lumber dropped then levelled out at a range around US$300 per cubic metre.
December 2011/January 2012
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 21
Southem Markets
Australia trade and housing Australia Building Approvals (total and private sector by month)
Australia Log Exports (A$M) 30
14000 12000
25
10000
20
8000 6000
15
4000 2000
10
0
5 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
16000
2010 Total dwellings
0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
2009
2011
2008
Private sector houses
2010
2011
Australia Pulp Product Trade (A$M)
Australia Wood Product Trade (A$M)
45 40
120 100
35 30
80 60
25 20
40
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
2008
2009
2010
Exports
2011
5 0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
15 10
20 0
2009
2008
Imports
2009 Exports
2010
2011
Imports
Australia Paper Product Trade (A$M)
Source for data: Australian Bureau of Statistics
350 300 250 200 150 100 0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
50
2008
2009 Exports
2010 Imports
2011
HOUSING STARTS: Housing start numbers lost a bit of their firmness later in 2011, after a stronger mid-year period. Both total and private sector building approval numbers were lower in the 12-months to November 2011 compared to the same period of 2010. LOG EXPORTS: Log exports are a small part of the Australian forest products trade. Nevertheless total log exports in the 12 months ended November 2011 of A$223 million was 30.9% more than the November 2010 year. WOOD TRADE: Wood product imports at A$1,059 million fell 1.1% in the 12 months ended November 2011 compared to the November 2010 year. PULP TRADE: The total Australian pulp trade (exports + imports) was A$436 million in the 12 months ended November 2011, or 4.0% down on the total for 2010. PAPER TRADE: Paper product imports were quite strong through much of the year, up until October when a retreat started. The total value of paper imports for the 12 months ended November 2011 was A$2,619 million, or 7.9% less than the November 2010 year.
22 Southern Hemisphere Forest Industry Journal Vol. 17 No. 4
December 2011/January 2012
Southem Markets
South Africa trade and housing South Africa Lumber Product Trade (Rand Million) 7000 6000 5000 4000 3000 2000
0
2009
2010 Exports
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
1000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul
100.0 90.0 80.0 70.0 60.0 50.0 40.0 30.0 20.0 10.0 0.0
South African Residential Building Consents (R'000)
2011
2009
Imports
Residential
2011
Total
South African Paper Trade (Rand Million)
800.0 700.0 500.0 400.0 300.0 200.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
100.0
2009
2010 Exports
2011
700.0 600.0 500.0 400.0 300.0 200.0 100.0 0.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
900.0 800.0
600.0
0.0
2010
2009
Import
2010 Exports
2011
Imports
Sources: Statistics South Africa and Department of Trade and Industry.
HOUSING STARTS: The value of residential building approvals in South Africa rose 6.8% in the 12-months ended November 2011 compared to the November 2010 year, at a total of R28,384 million. LUMBER TRADE: South African lumber imports totalled Rand 735.4 million in the 12 months ended November 2011, or 6.2% more than in the year ended November 2010. PULP TRADE: The value of pulp product exports rose 12.6% over the November 2010 year to R6,411.6 million. PAPER: The value of paper product exports for the 12 months ended November 2011 at R4,133.6 million, down by 13.9% on the November 2010 year.
December 2011/January 2012
Southern Hemisphere Forest Industry Journal Vol. 17 No. 4 23
NZ Log Price Summary September 2011 Quarter and 12-Quarter Average As at: September 2011 December 2010 (Quarter)
March 2011 (Quarter)
June 2011 (Quarter)
September 2011 (Quarter)
Pruned
176-203
179-197
155 - 181
172
Unpruned A-grade
118-121
132-144
133 - 148
Unpruned K-grade1
106-130
130-148
125 - 145
Pulp
100-120
129-137
110 - 176
161-173 123-132 108-114 109-118
P1
130-154
128-147
130 - 152
134
P2
109-132
110-127
122 - 130
S1
97-100
88-98
99 - 125
S2
92-102
92-103
86 - 105
L1 and L2
73-102
72-103
74 - 115
S3 and L3
80-86
82-92
81 - 92
Pulp
46-58
47-57
48 - 61
132-152 114-130 99-105 94-108 78-95 82-89 49-61
Generic Log Type & Pricing Point
12-quarter average
EXPORT (NZ$ per JAS m3 f.o.b.) 122 112 101
DOMESTIC (NZ$ per tonne delivered at mill 111 95 91 81 77 51
Source: NZ Ministry of Agriculture and Forestry, Senior Analyst, MAF Policy Information & Regions 2 = Korea grade
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December 2011/January 2012