FOREST TALK

CHH, China, Russia, the building boom and the FTA: A recipe for domestic shortages

WITH THE WHANGAREI MILL BEING

the latest casualty in the closure of up to 15 mills in recent years by the country’s largest structural timber supplier, Carter Holt Harvey (CHH), debate is raging over the true cause of domestic structural timber restrictions.

Grant Dodson, Chief Executive of City Forests and Chair of the Southern Wood Council, says while demand in Asian and other markets for New Zealand logs remains solid, domestic mills are now “flat out” due to escalated building sector demand.

In contrast to complaints by producers that the current supply issue stems from China’s inflated and subsidised prices for New Zealand logs, he says domestic use still represents about 43% of this market, indicating this is more than a simple export issue, with the root cause of supply restrictions of structural timber relating to chronic, long-term underinvestment in wood processing .

“This really starts with processors, who are limited by a lack of capacity,” he says.

Now CHH has cut supply to its smaller customers, prioritising Placemakers, owned by Fletcher Building, and Carters Building Supplies. This leaves building supplies cooperative ITM and Mitre 10 on the lookout for alternative supplies on the back of a residential building boom that saw building consents move up 5% to a record 39,725 dwellings for the year to February. The CHH move has sparked a Commerce Commission enquiry.

CHH issued a statement that the shortage was short-term and industrywide caused by a huge timber appetite as well as CHH’s difficulties with upgrading capacity at its Kawerau mill.

Red Stag Chief Executive, Marty Verry says there is a worldwide building boom and New Zealand is no exception with COVID and its construction aftermath.

Chief executive of the New Zealand Building Industry Federation, Julien Leys, explains that CHH only closed its Whangarei plant because the Northland region no longer has any more structural graded timber to make the sawmill economically viable. “Closure of the Whangarei plant has been planned for many years, so despite the unfortunate job losses, it had no impact on CHH’s manufacturing capacity or the structural timber supply for domestic housing,” he says. The total shortage of structural wood in the building supply chain is approximately 5 to 10 per cent – not ideal in the middle of a housing boom.

President of the New Zealand Institute of Forestry (NZIF), James Treadwell, emphasises that this short supply is not an export-related issue “as about 90% of logs that are exported don’t meet the structural specification for domestic mills anyway”.

“What we’re exporting is what the domestic mills don’t want in general,” he says.

The Wood Processors and Manufacturers’ Association’s (WPMA) Jon Tanner disagrees, saying the increase is because New Zealand is shipping an extraordinary amount of logs overseas.

“New Zealand wood processors pay the price that is being set at the wharf, so we’re paying the same prices as the people who are importing.”

Of all the logs New Zealand cuts down, more than half of them end up at the port to be shipped overseas. China is

our biggest buyer, purchasing the large majority – 85 percent of those raw log exports.

Mr Tanner says he’s been warning the Government about the impact of foreign buyers on prices here.

“What we’re saying is, let’s make sure the market for those logs is free and fair so that domestic processors can compete on the same footing as overseas processors.”

The New Zealand Forest Owners Association’s (FOA) Phil Taylor says the WPMA claim that the problem is log exports to China goes back to the drive to get the government to cross subsidise local production with exports, which was the aim of Shane Jones’ Log Bill last year.

“The WPMA was wrong then and it’s unfortunately wrong again now. Their colourful stories of Chinese buyers flying over forests to spot log supply from the air has nothing to do with this short-term problem.

“The WPMA is using a completely unrelated framing timber shortage to try to get Government support for intervening against exports which is the type of move the entire primary sector completely rejected last year.”

Mr Taylor says the volume of the New Zealand timber market has been remarkably stable for at least the past two decades.

“On top of that you can’t expect processors to have capacity on stand-by for extra sales at a level which hasn’t happened in the past 20 years.”

The NZIF’s Mr Treadwell says the cutting of supplies is most likely a commercial issue between a supplier and its customers, rather than a supply issue within the New Zealand Forest and Wood sector.

“Current domestic supply of logs is strong – there is a good supply of logs for domestic processing,” he says.

“This isn’t an export vs domestic supply issue. Most forest owners are more than happy to supply domestically and will continue to do so. Forum Members are well placed to keep the domestic supply chain well stocked with New Zealand logs,” he says.

Prue Younger, CEO of the New Zealand Forest Industry Contractors Association (FICA), says there have been some suggestions that there is not enough wood being harvested overall. She says there is pressure on the overall supply chain, rather than it being a specific harvesting issue.

“Rather than a specific wood supply issue, we’re seeing the whole supply chain under pressure, affecting the expediency of getting logs to processing and export,” she says.

Added to the mix is the new law proposed by Russia’s President to ban the exportation of softwood logs and highvalue hardwood logs as of 1st January, 2022. The Russian government is also considering new regulations aimed at reducing the exportation of green softwood lumber. This regulation is loosely planned to also commence in 2022 and is intended to incentivise investments in dry kilns to produce dried lumber for exports. From that country’s perspective, reducing log and green lumber exports will likely stimulate further value-added processing within Russia and better control illegal logging.

While the proposed ban is not yet law, it is widely expected to be implemented and passed into law in the second quarter of this year. Considering that Russia exported 15 million m3 of logs in 2020, which accounted for almost 12% of globally traded roundwood, if enacted, the law will have a significant impact as China looks to source more sawlogs from other regions of the world, such as Europe, the US and, of course, Oceania. The increased competition for logs in those markets will likely put upward pressure on sawlog prices. In time, China may change its focus from importation of roundwood to importation of lumber.

Added to this is New Zealand’s 2019 upgrade to its China Free Trade Agreement (FTA) which allows for tariff-free entry for almost all of New Zealand’s $3 billion wood and paper trade to China, and phased tariff elimination on additional wood and paper products worth $35 million.

None of this bodes well for the current domestic lumber shortage. “Not surprisingly, very few countries including New Zealand managed to successfully plan for the tremendous upswing in consumer housing demand that followed the viral curveball that turned all societal and economic norms upside down,” says Mr Leys, predicting that New Zealand’s shortage of structural building wood is likely to last until June 2021 until supplies catch up with demand, combined with a winter seasonal slowdown.

“Perhaps we will realise that investing consistently in increased wood production capacity needs to be matched to long-term procurement contracts from Government for the building supply chain irrespective of what the crystal ball economic forecasts say,” Mr Leys concludes. NZL

Log prices soaring

AS LOG PRICES SOAR ON THE BACK OF DEMAND FROM CHINA,

strong domestic construction activity and tight global supply, particularly from Australia and Europe, forestry is helping power a recovery in regional New Zealand.

According to BusinessDesk, in the latest ASB Regional Scoreboard, the two top spots in the rankings were held by the forestry powerhouses of Northland and Gisborne. The New Zealand Regional Economic Scoreboard takes the latest quarterly regional statistics and ranks the economic performance of New Zealand’s 16 regional council areas.

Prices aren’t far off the highs they hit back in 2018-19, with ASB Bank’s forestry indices lifting 5% in New Zealand dollar terms over Q4 2020 and then a further 6% over Q1 this year. The index is currently $10 above the two-year average, $6 above the three-year average, and $6 above the five-year average.

The PF Olsen Log Price Index remained at $130 in March due to the stable at wharf gate (AWG) prices. The cost and freight prices for New Zealand pine logs in China increased approximately US$5 over the last month and continue to increase.

The price for A-grade logs is now around US$158 per Japanese Agricultural Standard (JAS) cubic metre and it is expected log exporters will continue to ask for increased pricing to compensate for increased shipping costs. NZL

Help is on the way

WITH CARTER HOLT HARVEY (CHH) UNABLE TO MEET DEMAND, the opening of a new CLT wood processing plant in Rotorua this month will help alleviate New Zealand’s domestic timber shortage.

Red Stag group CEO, Marty Verry, says the plant will add five percent to the capacity of the New Zealand wood processing sector. That equates to around two thousand dwelling units, or most of the estimated shortfall in current timber supply.

The factory will produce cross laminated timber, or CLT as it is commonly known. CLT is a ‘mass timber’ construction product made by gluing successive layers of timber laid crossways over the layer below, to form large panels three, five or seven layers of timber thick. The rigid engineered timber panels are then precision cut by CNC machines in factory and rapidly assembled on site.

In Red Stag’s case the CLT panels can exceed 16 metres x 4 metres in size, making for fast construction and few connections.

Kaianga Ora is a major CLT user in New Zealand and use internationally is widespread. Google last week broke ground on its first mass timber building in Silicon Valley using CLT.

Costing $50 million, the CLT factory is co-located with the Southern Hemisphere’s largest sawmill, Red Stag, in Rotorua. It will employ forty people initially, rising to double that over time, and is partfunded by a $15 million loan from the Provincial Growth Fund.

Mr Verry doesn’t expect all of the CLT factory’s capacity to be used in residential units though as there is already a waiting list of other projects, including retirement villages, student accommodation, office buildings, educational facilities and cultural buildings.

“CLT has a value sweet spot in large-format structures, buildings of three storeys or more, and for mid-floors in terraced housing built to the NZS 3604 standard. Apartment buildings and fast-to-install CLT mid-floors will be our residential focus areas.”

Supply of flooring materials such as joists, I-beams and flooring panels has been delayed in recent months, and Mr Verry expects the building community will be quick to take up CLT mid-floors, which drop into place to provide a finished platform to construct the next level on without delay.

Meanwhile the CLT factory’s sister company, Red Stag Timber is also flexing to help with the timber shortage. The country’s largest sawmill, supplying around 25 percent of New Zealand’s needs, is pulling back uncommitted supply from export markets and squeezing out more hours and capacity to help keep its ITM, PlaceMakers, Mitre 10 and independent clients.

“We plan to bring forward further expansion of both the mill and CLT factory on the back of CHH’s decision to stop supply to key merchant chains,” he says. “There are many in the industry that will want to source from an independently-owned supply chain, rather than relying on product from a competing merchant chain.”

Also commenting on CHH’s decision to discontinue supply of structural timber to some merchants, the New Zealand Timber Industry Federation (NZTIF) says this comes as no surprise.

In recent months all New Zealand sawmills have been under pressure to supply a booming domestic timber market for all end uses; residential building and outdoor timber including fencing, decking and landscaping, says the NZTIF.

However, based on other available timber milling production capacity and previous cyclical shortages, the Federation doesn’t expect the current timber shortage to be overly prolonged.

Efforts are being made to keep up with the demand, including the diversion of export timber back into the New Zealand market.

However, sawmills’ ability to ramp up production quickly has been constrained in regions by a lack of availability and rising costs of logs and labour, the NZTIF adds.

Apart from the two remaining CHH sawmills, there are still a good number of other mills operating and all are lifting capacity as much as they are able, to meet this current increase in demand. “The biggest challenge to lifting production for mills is getting enough logs and in turn, competing on supply and price with the Chinese buyers and the export demand for New Zealand logs. The next challenge then is getting enough skilled staff to put on additional shifts. Getting the mix of skills required, or training staff, has been an ongoing issue to the timber industry for a number of years,” says the Federation.

They suggest that Councils and building consenting authorities put provisions in place to remove compliance barriers and that Government includes the specialised skills applicable to sawmilling, on the Essential Skills Shortage List so the immigrant labour could be utilised in the short term.

“New Zealand sawmills have historically been able to supply all of the country’s timber needs with few shortages ever occurring or lasting for long. Timber retailers and builders have, in the past, been spoilt with timely deliveries and choice of timber suppliers, leading to few supply constraints and timber prices being held down. However, the squeeze between rising log and labour costs and sawn timber sales prices has led to numerous sawmill closures over recent years. Some regions of NZ now have no, or few, sawmills making these communities more exposed to timber supply shortages.

“Over the last two years alone, we have seen five significantly sized sawmills close down, representing an estimated 400,000 cubic meters of production. While the remaining sawmills have taken steps to plug the shortfall, lost capacity to service the local market is evident.” NZL

17 metre lamella running through the new plant followed by boards that will be auto cut into 4.5 metre wide lamella.

Farm foresters have their say

WHEN FARM FORESTRY NEW ZEALAND

started in the 1950s, the idea that trees be planted as a commercial crop was novel and needed considerable support and practical demonstration. The need for an integrated approach to trees in the landscape and greater promotion of the farm forestry concept is now clear, says incoming Association President, Graham West.

Following the Association’s annual five-day conference in Wellington, themed ‘Trees and the political landscape’, a number of issues emerged. Climate change impacts, adaption, and building resilience were a consistent backdrop to many of the presentations.

Incentives for tree planting and regulations around tree crop establishment or harvesting are now commonplace. Numerous senior officials informed the conference of key new regulatory developments that will either encourage or control trees in the landscape. However, few provided answers to how 680,000+ hectares of new planting will be incentivised to achieve the goals suggested in the recent Climate Change Commission (CCC) advice.

Mr West says if a consistent programme of tree planting is desired by New Zealand, several strategic issues need to be addressed concurrently to encourage private investment. Voluntary groups like the Farm Forestry Association have the practical skill and need to be supported with funding to coordinate professional field officers that facilitate information transfer via field days and preparation of case study material, he says.

“The heavy reliance on radiata pine to do many roles in the forestry sector, is a major risk in terms of biosecurity. But species diversification needs to be addressed by government because it is a national risk that individuals don’t address. Knowledge of alternative species options and management practices is well developed in farm forestry, but the significant risk around processing and markets remains. While we cannot de-risk the future, we can reduce the upfront costs when establishing these alternative species, if Government mitigates that risk through larger grants”.

Farm foresters are getting into the peak years of harvesting from their 1990s plantings, he says, and they don’t want the government to control or tax their longawaited harvest as it appears the Wood Processors and Manufacturers Association (WPMA) was wanting the government to do.

“The WPMA says it wants the government to make a level domestic and export playing field, but it is in fact demanding the complete opposite.

“Plus the logs supplied for export, are generally not suitable to meet the house construction grades here in New Zealand. There is not that much overlap.” NZL

New President of the New Zealand Farm Forestry Association, Graham West.

A new era for Scion

“WE ARE AT A DEFINING POINT FOR NEW ZEALAND, WITH THE Te Whare Nui o Tuteata showcases innovative technologies for large potential for forestry to fuel a bio-based and sustainable economy. buildings in timber that are climate-friendly, earthquake-resilient and Scion’s work has the potential to power the transformation that New cost-effective. The building stores approximately 418 tonnes of CO2Zealand is making as we look to meet our climate change commitments, eqv for the life of the building. This is equivalent to the emissions from build our economy back better, and improve environmental and social 160 return flights from Auckland to London. New Zealand’s radiata pine outcomes,” says Scion Chair, Dr Helen Anderson of the opening of its forests can regrow this amount of wood in just 35 minutes – making it new innovation building. truly sustainable.

Te Whare Nui o Tuteata, has been officially opened by Prime Minister See the April 2021 edition of NZ Logger magazine for a full feature on Jacinda Ardern and Minister of Research, Science & Innovation, Dr the new building. NZL Megan Woods marking a new era in Scion’s evolution.

The building name “Te Whare Nui o Tuteata” was gifted by Ngā Hapū e Toru who hold mana over the whenua. The name acknowledges the mana of the tupuna Tuteata, from whom Ngā Hapū e Toru descend and the connection to the whenua, Tītokorangi.

Te Whare Nui o Tuteata is now the ‘front door’ to Scion’s campus – Te Papa Tipu Innovation Park – which is already home to more than 30 different organisations and companies.

Scion Chief Executive, Dr Julian Elder, says, “Te Whare Nui o Tuteata is an example of timber technology and innovative design and construction that has been created through collaboration with New Zealand designers, wood processors and construction firms. This building is a symbol of the powerful connections we foster between Scion, local iwi, government, industry and the local community.” Prime Minister Jacinda Ardern opens Scion’s new doors, surrounded by children from Whakarewarewa School and some 500 guests.

Made for

NZ's Toughest Harvesters

GB harvester bars, are manufactured to exacting tolerances to maintain precision clearances for sprocket rotation providing less sprocket heating. Ultra high strength material, ensures trouble free performance in all cutting conditions. Now fitted with the new GB9BC nose tip.

EXCLUSIVE EXCLUSIVE NEW ZEALAND NEW ZEALAND DISTRIBUTOR OF DISTRIBUTOR GB FORESTRY PRODUCTS GB FORESTRY PRODUCTS

EXCLUSIVE NEW ZEALAND DISTRIBUTOR OF GB FORESTRY PRODUCTS

EXCLUSIVE NEW ZEALAND DISTRIBUTOR GB FORESTRY PRODUCTS

PITCHGAUGE

3/4

PITCHGAUGE

EXCLUSIVE NEW ZEALAND DISTRIBUTOR OF GB FORESTRY EQUIPMENT

EXCLUSIVE NEW ZEALAND DISTRIBUTOR OF GB FORESTRY PRODUCTS

A little mentoring goes a long way

ONE OF THE OBJECTIVES OF THE FORESTRY AND WOOD

Processing Workforce Council is to “increase on-the-job training, professional development, and knowledge and application of best practice”. Another is to “strengthen and support professional identity and pride among forestry and wood processing workers”.

Part of its Action Plan, the Council’s General Skills Project was developed to meet these objectives, thereby helping manage and develop workforce capability for the industry.

“Nearly every new employee in the forest and wood processing industry lacks knowledge about the industry, the commercial aspects of the employer’s work in the forest or processing site, and his/her role in the industry,” says Council Chair, Fraser Field.

This project recognises that a new employee has a task to perform for the employer that will create a financial benefit to the employer. As such, training for this task takes precedence, he says. “Having started the training required for the task, we see the need to also give the new employee a ‘grounding’ in the industry, to develop greater maturity, to deliver training needed to operate within the industry as well as within task elements,” he adds.

This project has grown out of that perceived gap in knowledge, plus the opportunity to mentor new employees, especially young rural people fresh out of school, the need to recognise achievements, and the need to record training at the employee level.

The concept identifies the skills and knowledge needed to make a fully rounded worker – one who will stay in the industry. Currently concentration on new employees is geared to developing task skills as soon as possible. This could be headed ‘the how’. Too often ‘the what’ and ‘the why’ don’t feature in their training, says Mr Field.

“We try to recognise that people will always perform better if they know why they are doing certain things rather than just ‘how’. To deliver this extra training we plan to make wider use of mentors. So we need to identify mentors and train them – in coaching, face-to-face contact and in building trust and confidence between parties.

“We have also determined that recognition can be given at the completion of milestones throughout early employment – for example after a first month of employment,” he adds.

Consider the employee’s story – he/she has: • completed the first month in a new role, • become used to new tools or materials (spade, chainsaw, fillets), • become work-fit and completed 20-odd full working days, • learned techniques to complete elements of the task, • learned to cooperate with others in a fast-paced and dynamic environment.

These accomplishments are worth noting on their own, Mr Field says: “Add in the D&A requirements, necessary emergency procedures, the need to report even minor incidents; and for a young person, not long out of school or changing career, a month is a milestone. Our suggestion is that an award may consist of no more than a certificate, awarded by say the crew boss at a tailgate meeting or at smoko.”

Support for a new employee from a mentor will encourage the successful completion of a first month (or three months which will be the next stage). This mentor should ideally be from within the crew, he adds.

“We are aware that the abilities and skills of mentors are not within every crew member and it may be that no worker in a team demonstrates the characteristics of empathy and experience that will be required. Contractors do, in fact, bring in training capacity from outside the crew and that training includes, by default, mentoring. In any case, there is within this project the need to develop those skills both within and outside the crew. We see, at completion of the project, a mentor in each crew who will complement training purchased or brought in,” he explains.

Lastly a system of recording progress is needed, he says: “Unit standards are the building blocks of qualifications but even they are broken down into small deliverables. These are called outcomes, and even these are broken down again into pieces of evidence of learning. When each small element of an outcome is achieved, we need to record it. The learning can then be completed in a logical sequence, on the job, as the worker progresses. The project will seek out and develop a suitable process.”

In summary, the benefits of the project include: • Increased knowledge, at an earlier stage in employment, about Health & Safety, productivity, quality, environmental aims, and commercial aspects of the industry and, in particular, the benefits of the task being learned to the industry. • A mentor for each employee from day 1, who can deliver basic Health & Safety, quality, environmental and productivity training and provide guidance, encouragement, and primary pastoral care. • A mentor who gains experience at this role in preparation for more complex training and assessing further on. • Planned and graduated recognition of progress from the first few weeks through to maturity as a competent employee able to take a full part in the industry. This may well include being a mentor in his/her own time. • A recording process that creates a transparent record of achievement

The Council has secured funding from the Forest Growers Levy Trust to get this project underway, so expect to see progress reports.

For more on the Forestry and Wood Processing Workforce Action Plan, search it on: https://www.mpi.govt.nz NZL

Industry-first ‘right to plant’

ONE OF NEW ZEALAND’S TEN LARGEST FREEHOLD FOREST

plantations, Aratu Forests, has announced an industry-first, 90-year ‘right to plant’ land management agreement with sustainable land-use company, eLandNZ – with the backing of the Gisborne District Council.

Set to create a permanent native forest buffer alongside waterways within Aratu Forests, the scheme has been under development for two years. This month, ground will be broken as part of a community launch event involving Iwi, community groups and the Gisborne District Council. eLandNZ Managing Director, Sheldon Drummond, says: “The 90-year agreement for mixed land use within Aratu Forests will see eLandNZ progressively manage revegetation of streamside buffers within the Aratu Forests estate that are unsuitable for timber plantation.

“In the first 25-years the project will establish a permanent streamside native forest with primary species planted including manuka, belts of larger native trees in higher areas and flax in flood zones. The specific environmental improvements will include greater biodiversity, improved water quality and reduced offsite wood debris movement during any future flood event,” he says.

“Community expectation on improved environmental management of our land and waterways requires the forestry industry to be thinking long-term while also taking action today. We are confident this project will pioneer a new standard for sustainable forestry practices, which can be replicated across other fragile forestry environments,” he adds.

In the first year of the agreement approximately 170 hectares of the Aratu Forests estate will be prepared for planting, which will kick start this month.

Ūawanui Environmental Sustainability Project spokesperson, Victor Walker, adds: “Our iwi and community, including our schools have been facilitating meetings to discuss environmental remediation and the impacts of the woody debris and flooding on our community in numerous forums for over a decade. These have been challenging times. The community hui at Reynolds Hall in Uawa, after the floods in 2018, was a touchstone for a highly connected approach to explore proactive solutions for what was required to keep our waterways and coastlines pristine and our community safe.”

Ūawanui acknowledges the training and employment pathways that the industry provides and is optimistic that the project will also help build relationships to create opportunities.

Tara Strand, General Manager Forest and Landscapes at Scion says: “Scion is excited to support this long-term initiative to bring the health and wellbeing (the mauri) back to the forest and community. Establishment of these permanent forests enables us to better understand how forests help to mitigate flooding, lock soil and improve water quality, biodiversity, soil health and ultimately the wellbeing of the people.”

Aratu Forests Chief Executive, Neil Woods, adds: “As more forestry owners become more proactive in activities that facilitate the environmental remediation of streamside land it will reduce costs to local and regional councils, while also assisting the Government in meeting its Paris Accord commitments through additional permanent forestry and carbon sequestration.

“This is a commercial solution to an environmental problem and there are going to be a lot of learnings for the industry as this project develops,” Mr Woods says, “This project stands to bring our communities together and there will be opportunities for other partners to participate in the future, including to involve other forests in the region and, ultimately, across New Zealand,” he says. NZL

Forestry scoops primary industry awards Applications open for NZIF Foundation awards

TAKING THREE OF THE FOUR CATEGORY

prizes in the Ministry for Primary Industries’ Good Employer Awards this week is a sign the forestry sector has come of age as a leading primary sector industry, says Forest Owners Association (FOA) Vice President, Grant Dodson.

“Many people still think the land-based industries are only about food production. But we have companies and individuals in our forest industry who are equally proud of the work they do. It’s great to see three of them have been recognised through these awards. They are representative of many other individuals and companies who are working to high professional standards in our industry,” he says.

“On top of forestry’s key role in absorbing greenhouse gases, the government also expects an increase in our forest products overseas earnings of $2.6 billion within ten years.

“That’s a growth volume in our primary sector that only horticulture is going to equal. We need good companies and people to achieve this, and doing so well in these awards, against the best in the whole primary sector, shows we can do it,” adds Mr Dodson.

The three award winners were: South Island based forest company Port Blakely for Health & Safety, Rewi Haulage, a Māoriowned and operated log trucking company based in Rangitukia north of Gisborne for the Māori Agribusiness Award, and the Supreme Winner was Rayonier Matariki Forests.

The Supreme Award recognises employers who provide great employment conditions, demonstrate a commitment to diversity, have a highly effective employee development programme and excellent health and safety record.

Managing Director of Rayonier Matariki Forests, Brendan Slui says he’s thrilled to receive such a prestigious accolade for the company’s good employer practices.

“We have worked hard to be a successful company and provide a workplace where our people are valued, respected, and contributing at all levels. The calibre and passion of our people is what makes us a great company and one which people want to be a part of.” NZL

APPLICATIONS ARE INVITED FOR THE

awards and scholarships offered by the New Zealand Institute of Forestry (NZIF) Foundation for 2021. The total value of awards offered is $34,700.

The awards open for application are: • Two Future Forest Scholarship awards for post graduate research, each up to $10,000. • The New Zealand Redwood Company

Scholarship of $5,000 for an undergraduate scholarship at the University of Canterbury

School of Forestry. • One or more Otago Southland Awards up to a combined total of $5,200 to assist a project or projects of relevance to forestry in the Otago/

Southland region. • Mary Sutherland Scholarship of $1,000 for a polytechnic student. • University Undergraduate Scholarship of $1,000. • Frank Hutchinson Postgraduate scholarship of $1,000. • Student poster prizes at NZIF Conference (1st, 2nd and 3rd prizes of $800, $500 and $200). Applications are now open. Further details and an application form are available on the Foundation web page (https://www.nzif.org.nz/about-us/nziffoundation/ ) NZL

875 Logger advances to E-series

TIGERCAT’S 875E LOGGER INTRODUCES SEVERAL NEW FEATURES,

including an updated operator station, two undercarriage options, and various grapple configurations to tailor the machine to specific needs.

This multi-purpose carrier has two boom options for loading or processing applications. The machine can be equipped with the Tigercat FPT N67 Non-certified, Tier 4f or Stage V engine, producing 210 kW (282 hp).

The undercarriage is designed and built to withstand rigorous, fulltime forest duty applications. Two options are available. The F7-150 undercarriage is standard. The larger footprint F7-162 undercarriage provides additional stability for heavy timber applications.

The 875E can be configured as a loader equipped with various power clam, butt-n-top, live heel, pulpwood and log grapple options. The carrier can also be configured as a high-capacity processor capable of running large harvesting heads in demanding duty cycles.

The spacious cabin has a new operator’s seat with built-in heating. Controls are now integrated into both sides of the joystick pods, eliminating the need for any bolt-on control pods. The optimally positioned controls and a large touchscreen display improve ergonomics and machine monitoring. Reduced in-cab noise levels help the operator enjoy the auxiliary audio input port, Bluetooth audio and hands-free calling. Additional new features include a standard equipped rearVIEW camera system, emergency stop button, and a key FOB to turn on exterior lights remotely when entering the cab in the dark.

Some of the many advantages of the 875E over excavator conversions include better service access, higher cooling capacity, a better operating environment, more robust undercarriage components and efficient hydraulic circuits. The result is higher production, uptime and fuel efficiency. NZL

Dolling up the dozers

DELIVERING IMPROVED RIDE QUALITY AND INCREASED

productivity on the industry’s toughest and most challenging job sites, John Deere has announced updates to its largest dozers, the 950K and 1050K models.

Based on customer feedback, the updates improve productivity, durability, and operator satisfaction. The upgraded 950K and 1050K models include a suspended double-bogie undercarriage, new Extended Life undercarriage options and updated blade offerings.

“Our time spent on customer sites has allowed us to confidently design an undercarriage for the 1050K that drastically improves operability and productivity on rough terrain,” says Matt Goedert, solutions marketing manager, John Deere. “With these updates, we’re delivering increased machine uptime while significantly enhancing the operator experience.”

The suspended double-bogie track frame on the 1050K improves ride quality. Featuring a second layer of bogies, new isolators and refined geometry, the 1050K delivers increased durability and a smoother ride that reduces fatigue for operators on long shifts.

Another update for both the 950K and 1050K models is the Extended Life undercarriage option. A successful option on the smaller dozer models, the Extended Life undercarriage features the John Deere-exclusive SC-2™-coated track chain bushings. Produced using a proprietary coating that forms a hard shell, the SC-2-coated bushings deliver up to twice the wear life of standard bushings, significantly increasing machine uptime.

In addition, the 1050K Semi-U blade now features a more productive profile. The new profile delivers several benefits, including increased capacity with improved roll performance and standard cast end bits. As a result, the Semi-U blade reduces material plugging and carries more dirt where it needs to go with every pass, boosting machine productivity.

Other updates include a 950K stockpiling configuration addition and exterior hose upgrades. Intended for coal handling and wood chip applications, the new factory stockpiling configuration for the 950K provides specialized sheet metal guarding to increase protection from material spilling over the blade and falling through the horizontal hood perforations and grille. This configuration also includes a special high-debris cooling package. The exterior hoses on both machines have also been upgraded, offering improved flexibility and extended durability in cold-weather environments. NZL

The 1050K Crawler dozer.

Last of the Redwood Loggers ?

Above: The loaded rig of Tokoroa contractors Rob Dahm. Below left: This CAT 538 loader was limited by the opening of the grapple arm. Below right: Like kauri some redwoods reached giant proportions. The Atiamuri trees were more modest like those in the background. Humboldt State University Library Special Collections. Photographer A.W. Ericson.

Story: Paul Mahoney

HISTORY WAS LIVED AGAIN WHEN REDWOOD LOGS AS BIG AS

kauri were felled recently in the central North Island. In the March edition of NZ Logger magazine, we featured the last of the kauri bushmen in the 1920s. In the 2020s this may be the last of the big redwood loggers. The giant Sequoia semperviren trees came from Hancock’s Forest on State Highway One near Atiamuri, near where it crosses the Waikato River. The species are native to central and northern coastal areas of California, and for more than a century were the impetus for a thriving old-growth lumber industry.

It is thought the 15 trees were planted in the 1920s when this forest was being established as part of the giant New Zealand Forest Products (NZFP) estate that extended south from Kinleith for 50km towards Taupo. At that time there was no state highway, few inhabitants, and just a local road. The NZFP planting focus was radiata pine from its Tokoroa nursery. However, it was common in forestry at that time to plant examples of other species in amenity areas, so there may have been a forestry camp located beside the road which was just a scratch in the pumice.

The logging contractors for this harvest were PJ & DA Stevens of Taupo. A three-foot chainsaw bar was used for the felling, which was done by hand. Each tree was bucked into four-metre logs, the largest of which weighed six tonnes. These logs are too large to fit in any New Zealand sawmill, so they are being exported. A few large stands of redwoods were planted in New Zealand in the 1920s as part of species diversification, but most of these were logged in their prime in the 1980s. The forgotten Atiamuri trees may well be the last to go for utilisation unless some other lost gems are found.

Though it is legal to fell them, an outstanding group of 120-yearold giant redwoods remain protected at Rotorua as the Redwood Grove, and you can enjoy them on an elevated treetop walk. These Atiamuri redwoods somehow survived three or four rotations in the surrounding radiata forest before their time was up – a tranquil period which enabled them to grow to such a giant size. Back in their heyday redwoods were renowned for strength and durability, so were in demand for structural timbers and railway sleepers. These ones now being so rare will likely find some premium use. NZL

Taking tech into the forest

Keynote speaker, New Zealand Tech Alliance CEO, Graeme Muller.

THIS YEAR’S HARVESTTECH CONFERENCE INCORPORATED WOOD

Transport and ran alongside the Forest Industry Safety and Technology conference (both of which were cancelled last year thanks to COVID). A busy couple of days left delegates with plenty to think about, covering topics ranging from virtual reality to wood haulage, log scaling, mechanised felling and extraction, managing harvest residues, and supply chain innovation and optimisation.

Keynote speaker, Graeme Muller, CEO at the New Zealand Tech Alliance, spoke on Technologies Shaping New Zealand.

The New Zealand Tech Alliance, is an NPO consisting of 20 different technology associations in one, funded by some 1500 member organisations including universities, banks, agri businesses and government agencies.

With that backing behind him, Mr Muller’s message was clear – technology is everywhere but there is not enough of it shaping New Zealand.

A recent Productivity Commission survey showed that emerging technology supports productivity growth, higher income growth and increased resources. Mr Muller says there are three arms to this – people, business and government.

In terms of people, technology is the highest paid – twice as high as the median average in other jobs – yet one of the least desirable career paths out there. With low investment in upskilling it has a large churn which “feels like a skills shortage and fewer openings for graduates” he says, adding that though there is plenty of emerging technology more is needed “on the ground”.

From a business point of view, 20% of New Zealand’s small businesses are not using any cloud products while 65% experience increased profitability and productivity with just one additional cloud product or service, says Mr Muller. That adds up to $6.2 billion of GDP growth if small businesses just took on one cloud product. We also need to get more serious about cyber security, he says. The average cost of a cyber-attack for a US business is $3.8 million. Mr Muller emphasises four simple things to do to cut back risk: • Update your systems continually. • Back up – make it automated as we all get complacent about this. • Use complex passwords – use password safe or password manager. • Use two-factor identification.

Lastly, on Government and tech, he says policy in government struggles with technology. For instance two recent new Bills – Water Services and Reserve Bank – had no mention of digital technology, real-time monitoring or digital currency or cryptocurrency. Considering it can take up to three years to change a Bill, this is a concern, he says. On the plus side, Government recently announced that it will establish a connected national digital strategy.

Key take-aways he left the delegates with are: • Remember the supply chain – what you and your suppliers do impacts further down the line. • Think about offering opportunities to see technology in action for the future generation. • Push Government to move fast enough by contacting agencies like the New Zealand Tech Alliance.

Digital Twins

The University of Canterbury School of Forestry’s Dr Stephan Hoffmann gave a fascinating talk on taking disruptive technologies out of the lab and operationally, out into the forest.

He says the difference between Virtual Reality (VR) and Augmented Reality (AR) is that while they both interface between the real and digital world, VR is used in digital environments that shut out the real world (like training simulations) and AR is digital content “on top of your real world”.

Both are important to fulfill the vision of forestry 4.0 concepts and they can be seen as digital twins interfacing to humans for training, planning, monitoring and steering.

Though direct communication with machines is a long way off with manual operations still playing an important role in forestry, further improving skills out of the risky environment of the forest while reducing costs with mobile, virtual programmes is real. For instance, the Chainsaw Operator Training programme from Forestry South Africa has proven valuable.

Other uses of VR include operational improvement eg, the high vision system of HIAB. This camera and virtual reality goggle system make it possible to operate a loading train or truck out of the risk zone and in comfort while increasing the payload capacity of the vehicle.

AR developments such as automated digital log pile measurement are as valuable, affecting the entire supply chain.

Compact mobile apps ready to take into the forest have many applications in the timber supply chain. For instance information gathering on stand condition is possible with the Moti inventory app developed in Switzerland. Stump evaluation apps to check work quality and tree felling such as the Stockfibel To Go app developed with the German Safety Association are showing their worth, in this way including AR in quality assurance of an operation. Another example is the iFOVEA timber scaling app which uses a mobile phone application to measure volume on a bulk or single step base and get summaries on overall volume and aspects like quality classification.

AR and VR are not only good for operational applications but also in the recreational and educational sectors, such as the AR-Education App: Forest tour city of Eggenfelden which highlights the role of timber and forest sustainability through the tour.

While we still have a long way to go until we enter the virtual world in established operational forestry we are certainly making strides. NZL

Lessons learned from electronic log docketing

NIGEL BRABYN, PROCESS IMPROVEMENT

Leader for OneFortyOne New Zealand, spoke at this year’s HarvestTECH 2021 conference, sharing lessons learned from implementing a new system of electronic log docketing across the New Zealand side of the trans-Tasman forestry business.

His presentation covered the innovative switch from a paper docket system to a real time, cloud-based system, accessible via tablets, phone Apps, and from any desktop computer or laptop.

OneFortyOne was the first company to officially go paperless here in New Zealand, on 1 May 2019. The system allows for completely contactless log cartage and unintentionally put the company in a uniquely placed position when COVID hit.

The electronic docket system is environmentally friendly, prevents errors, and is delivering material savings to the business each year, says Mr Brabyn. He says it has eliminated communication and downtime issues that were previously caused by contractors and employees waiting in a queue to radio in their stocks.

Each truck driver has a tablet connected to the system, as does each loader driver on each harvesting site. Using the tablets the truck drivers can see where they need to go, how to get there, and what they’re going to pick up. The loader drivers can upload information such as what logs they have available, and when they have loaded a truck ready for dispatch.

The tablets also have a text messaging service so that everyone can communicate via message. Previously this would all have been done via radio.

Information is able to be tracked and viewed by anyone in the supply chain that needs it, including customers, who can now see when loads of logs are coming and their ETA, with instant information provided about what’s been delivered.

Each harvesting site, customer location, and weighbridge is geofenced so that when a truck crosses the boundary of the geofence, the system automatically updates to mark the truck as ‘en route’, ‘arrived’, ‘departed’, or ‘delivered’. Similarly, the tablets in the trucks automatically update with colour-coded entries for the drivers.

Although there was some initial resistance to the idea, a robust method of consultation with the end users of the system worked through and resolved issues that were raised.

Weighbridge-less cartage is next, he says. “There is a lot of waste and lost time involved with weighbridges, and as an industry there must be millions of dollars per year tied up in this system, not to mention the lost time queueing for weighing. What we’re looking to source now is technology that allows us to weigh the trucks accurately without a weighbridge.” NZL

The new software shows real-time, instant information about truck locations and destinations.

WoodTECH 2021

Linking NZ and Australian sawmills

FOR OVER 20 YEARS NOW, SAWMILLERS

and saw-doctors have been meeting every two years in New Zealand and in Australia. The occasion? The WoodTECH series. It’s run by the Forest Industry Engineering Association (FIEA) and designed with industry and key technology and equipment providers.

The event provides an independent showcase for local companies to evaluate the latest in innovations, technology and operating practices around saw design and operation, mill maintenance, wood scanning, sawmilling and mill optimisation. It’s also one of few opportunities that mill production and operational staff get to come into one location, get away from the day-to-day production for a couple of days and network. Plans are now set in place to run the 2021 event again. At this stage, it’s expected to be one of few that will be run in 2021 – anywhere around the world,” says FIEA Director, Brent Apthorp. “The format has been modified though based on the expectation of border and travel restrictions still being in place for international equipment suppliers.

For the first time, the New Zealand and Australian event is going to be run in both countries and at the same time. This means sawmillers and saw-doctors will be connected over the two days with presentations being given from both countries – in person and virtually – from around the globe. “The virtual component enables us to access expertise that ordinarily wouldn’t be able to travel into both countries in the past,” says Mr Apthorp.

Details on the two-day programme have just been uploaded onto the WoodTECH website. It’s extensive. In addition to new innovations around sawmilling and saw maintenance, a feature of this year’s event will be the number of practical workshops being given (saw guides and lubrication, fine tuning your circular and band saws, making use of machine data in the mill, real time data collection for machine diagnosis and troubleshooting and the like). There will also be a focus on one of the major constraints to increased production – retaining and attracting younger skills into the industry. A series of presentations around new timber treatment and wood modification technologies have also been built in to the event.

WoodTECH 2021 runs in Rotorua, New Zealand and Melbourne, Australia on 3-4 August. NZL

Overseeing operations from a sawmill cab.