Australian Forests & Timber News

Page 1

MAY 2014 Issue 3 Vol. 23 • P: (03) 9888 4834 • E: m.dolphin@ryanmediapl.com.au • www.timberbiz.com.au

¢ Forestry Corporation of NSW joined a delegation of Oberon Council staff and Councillors and representatives from the region’s major timber processors Highland Pine Products and BORG to inspect the new fleet at Mangan Haulage.

$6m truck safety plan F

EWER TRUCK movements, safer vehicles and less wear and tear on local roads are just some of the benefits that will flow from a $6 million investment in new log transport vehicles by Oberon business Mangan Haulage, with the support of Forestry Corporation of NSW. Forestry Corporation of NSW Haulage and Sales Manager Tijmen Klootwijk said the safer and more efficient log trucks would transport timber from Central West pine plantations to local processors. “Each year around a million tonnes of log products are transported from Forestry Corporation’s softwood plantations to timber processors in Oberon, Bathurst and Tumut, which equates to around 30,000 loaded truck movements plus a further 30,000 return trips into the forest,” Tijmen said. “We want to see each and every one of these trips completed safely so, together with Oberon-based contractor Mangan Haulage, we’re investing in up to 10 next generation timber transport vehicles with significantly improved safety features. “These vehicles are equipped with the latest safety features including electronic stability control, anti-lock braking, automatic load tensioning, global positioning system, daytime running lights, lifting axles on the trailers and an on-board weight measuring system, as well as the latest emissions control technology.

Inside:

“They are also slightly longer than traditional haulage trucks, which means the load can be spread more effectively to reduce the centre of gravity of the load and greatly improve its stability. “The new vehicles were not only safer, but the increased length means they also achieve an optimal payload more often as they do not reach the height restriction applicable to heavy vehicles in NSW. “In fact, even though they operate to the same legal gross mass as traditional trucks the introduction

Next generation timber transport vehicles of these next generation timber transport vehicles has the potential to reduce truck movements in the region by up to 5,000 a year. “The first next generation trucks have begun operating on local roads and already we’ve had great feedback from local drivers in the community who say they can see the improved stability in how the new trucks maintain their position on the road with very little side to side movement.” The transport sector has received strong support from all levels of Government for the new vehicles, including from Oberon Councillors, who inspected the new

• OLD TREES COULD BE GOOD TREES

vehicles last month and Member for Bathurst Paul Toole. “My congratulations are extended to Mangan Haulage of Oberon who are clearly a catalyst and industry leader in the promotion and support of implementing safe and professional work attitudes, practices, and conditions in the timber transportation industry,” said Paul. “Log trucks are the lifeline of raw materials to wood yards, sawmills, and manufacturers. Forestry is a major industry and employer in our region. With around a million tonnes of log products transported annually this is an initiative that is an all-round winner from every perspective.” Due to their length, the new vehicles can only travel on roads that are approved for their use so traditional vehicles that meet Forestry Corporation’s high safety standards will continue to be used on some local roads. Mangan Logging is a family business that has been in operation for more than 50 years. For 20 years, Mangan Logging was run by Bert and Monica Mangan, and for the last 30 years it has been run by Michael and Suzanne, and their family. Michael and Suzanne Mangan own and run the business alongside their sons Matthew (logging manager), and Chris ( haulage manager) and daughters Lisa Mangan (office manager) and Michelle Corby (company accountant). The Mangan Haulage

• CERTIFICATION AGAINST THE ODDS

• COURSE covers value chain

sector of the business was started in 2004. The business currently harvests, forwards and hauls over 600,000 tonnes annually in softwood plantations in the Macquarie region and employs more than 50 people.

¢ Mangan Haulage.


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Australian Forests & Timber News, May 2014 – 3

Company achieves forest certification against the odds T

ONY STONJEK, a second generation forester and his wife and co-director Karen are proud to announce that their company AKS Forest Solution Pty. Ltd (Launceston) recently achieved

certification to the Australian Forestry Standard AS 470082013 as forest managers and wood brokers. Certification for Sustainable Forest Management requires

meeting economic, social, environmental and cultural criteria and requirements. “We made this decision during the worst time in the history of our industry to position us well in the ‘new forest economy’. It is a transparent declaration of our long term commitment to the environment, our industry, Tasmania and our family,” Tony said. “We are now able to offer forest owners and wood markets assurance of certified wood from the forest to the mill door,” he said Tony explained that while the process was beyond their resources, they bit the bullet and engaged

well known forest consultant Mark Leech of Brueckner Leech. “Certification is a commitment to continual improvement, maintenance of systems, monitoring performance and regular reporting. The initial development phase of 12 months highlighted what we were doing well and provided pathways for developing new systems and documentation. “We must emphasise that the Tasmania Forest Practices System provided an extensive and professional platform of systems, data and forest management without which this project would most likely not be achievable for a company of our size,” said Tony.

Forester earns NSW Service Medallion COFFS HARBOUR forester David Wilson has received the NSW Service Medallion for 42 years of meritorious public service. “I’ve worked all over the State and loved every town I’ve lived in. I’m lucky enough to enjoy going in to work on Monday morning as much as I enjoy knocking off on Friday afternoon,” David said. Forestry Corporation of NSW Regional Manager Craig Busby said while David’s career had taken him around NSW, he had spent the past 18 years in Coffs Harbour. “David joined the then Forestry Commission as a trainee in 1972 and worked in Bega, Tamworth, Tenterfield, Deniliquin, Mildura and Armidale before moving to Coffs in 1996,” Craig said.

“During his time with forestry he’s completed a professional exchange in the USA, participated in major fire fighting efforts, coordinated major industry training programs and offered his services as a Justice of the Peace for 26 years. “For the past decade, David has been the region’s Community Partnerships Forester and has worked with locals, community groups and councils to provide information and advice and improve their experiences in the region’s State forests. “As well as coordinating community clean ups, trails and facilities for mountain bikers and horse riders, permits for fossicking and special events, in recent years David’s been our man on the ground

¢ Tony Stonjek.

ABP certification reinstated

managing logistics on State forest roads for the hugely successful World Rally Championships. “He has also played a key role in some major facelifts of community facilities in the Orara East State Forest, including the award-winning Forest Sky Pier at Sealy Lookout and the new viewing platform at Korora Lookout. “David has put his heart and soul into forestry over the past four decades. His love of the bush, diverse experience and enthusiasm have seen him inspire others both at work and in his personal life where he’s an active member of the local community as President of the Coffs Coast Tigers Football Club. I congratulate him on this milestone and thank him for his many years of service.”

AUSTRALIAN BLUEGUM Plantations (ABP) has had its FSC Forest Management Certification reinstated following an extensive review of six major non-conformances by independent auditors, Rainforest Alliance. FSC Australian CEO, Natalie Reynolds, welcomed ABP’s swift response to rectifying the non-conformances identified in October 2013 relating to koala welfare. On the back of the ABP investigation new initiatives have been implemented that will raise the bar for the industry as a whole around the important issue of koala welfare. “While there was already an industry standard in place for koala welfare and management, the FSC system has seen ABP go beyond this and introduce new initiatives that we expect will have a positive flow-on effect for member companies,” said Reynolds. ABP managing director Tony Price said the whole process had been a challenge and was now glad that certification had been reinstated.

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¢ David Wilson (centre) at the 2013 World Rally Championships in Wedding Bells State Forest (photo courtesy Rob Cleary Seen Australia).

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4 – May 2014, Australian Forests & Timber News

Road safety shifts up a gear at Forestry Corporation of NSW

ISSN 1444-5824

May 2014

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Paul Deakin from Howard Sawmill in front of a 75m3 kiln charge. More details page 10.

Features Timber Towns Forum Conference Wrap Hall of Fame Wood Flow Logistics Finance Bio Business Forwarders Mulchers

6 12-13 14 16 17 20 21-23 25

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EXT GENERATION haulage vehicles, automatically-t r iggered warnings for approaching drivers and radio communication protocols for forest users are some of the ways Forestry Corporation of NSW is approaching improving safety on its extensive road network and haulage routes. One promising development in vehicle safety is the next generation of timber trucks that have been brought to roads in the NSW Central West by Forestry Corporation contractor Mangan Haulage. The next generation vehicles are equipped with the latest safety features including

electronic stability control, antilock braking, automatic load tensioning, global positioning system, daytime running lights, lifting axles on the trailers and an on-board weight measuring system, as well as the latest emissions control technology. With increased stability and payload optimisation, these vehicles are expected to not only improve the safety of trucks on the road but to also reduce the number of truck movements required. In the State’s south, Forestry Corporation successfully trialled a radar sensor that triggered f lashing signs to warn approaching drivers when it detected vehicles turning onto a

major road from a forest access road. Forestry Corporation is now working towards implementing a more advanced system using infra-red cameras that are only triggered by heavy vehicles. Meanwhile on the mid-north coast, the long-standing informal practice of locals checking in with log truck drivers over the UHF radio while using forest roads has been formalised for forest road users. New signs instructing road users on how and when to use the radio network have been installed on popular forest routes. As well as introducing a direct line of communication between drivers, the initiative is expected

to increase awareness of major log haulage routes and safe driving behaviour among forest road users accessing popular recreation areas. Forest roads and haulage routes are among the main points where industry and the community interact, so by focussing on both industry advances and community awareness Forestry Corporation hopes to make real inroads into improving road safety for all forest users.

Forestry planning for the next decade WEST AUSTRALIA’S new Forest Management Plan is of critical importance to the timber industry as it must ensure long term industry viability and the continued employment of native forest workers over the next 10 years. State Environment Minister Albert Jacob said the new guidelines covered 2.5 million hectares of land vested with the Conservation Commission of Western Australia. The Minister said the Forest Management Plan 2014-23 (which came into effect 1 January) struck the right balance between conservation and other activities. “This new plan incorporates a number of management activities to ensure biodiversity and water catchments are protected, while at the same time allowing for recreation and a sustainable native forest products industry,” he said. “The plan is based on scientific knowledge, and the potential impact of climate change has been taken into account. “It builds on the previous 10-year plan to provide clear policy direction for the south-west forests and their diverse values and uses.” Key features of the Forest Management Plan 2014-23 include: • continued protection of all old-growth forest, totalling more than 334,000ha • enhanced protection for large marri trees, which provide nesting and food for black cockatoos • an increase in protected areas by adding 4,000ha to Whicher National Park near Busselton • increased retention of habitat logs for native animals

• improved monitoring and reporting on the health and diversity of the forest • a new objective to protect and conserve the value of the land to Noongar culture and heritage. Following an extensive process of development, consultation and review, including assessment by the Environmental Protection Authority and appeals under the Environmental Protection Act 1986, the plan will include timelines for completion of some management activities. In addition, the Environment Minister must approve any industry request to access

FMP over 62% of the State’s native forests is set aside in reserves, and all areas classified as old-growth forest are reserved and protected. It will see improved monitoring and reporting of forest health and biodiversity and will ensure forests are fully regenerated after harvest. However, under the new FMP there will be challenges for the native timber industry. One of these will be to ensure that the existing industry has ongoing access to suitable timber for processing and value adding into furniture, joinery and flooring. There will also be higher costs of accessing the forest as a result of the increased protection of conservation values. In addition, areas available for harvesting contain a larger proportion of low yielding forests than under the previous FMP. On the other hand, there are opportunities for the timber industry to develop with new technology in engineered wood products, biofuels and bioenergy. These initiatives require large investments and will have important regional socio-economic benefit if successful. In 2012/13 the FPC’s operating profit was $4.6 million and it paid $3.3 million in dividends to state government. Since becoming a separate entity in 2000 the FPC has made a total operating profit of $61.3 million. The native forest timber industry will continue to provide an important contribution to rural communities through the harvesting of a renewable resource.

‘Strict requirements will result in some significant challenges for the native timber industry’ maximum sustainable timber harvesting limits, known as the ‘upper limit allowable cut’. Timber volumes available for harvesting under the new guidelines are similar to the 2004-13 plan. While the plan is sound and strongly supported by the Forest Products Commission (FPC), its strict requirements will result in some significant challenges for the native timber industry. The FMP is based on long term scientific research, and sets out harvesting limits that are well within sustainable levels. Under the new

Old trees could be good trees! A PROCESSING trial that will test potential value-adding opportunities for Eucalyptus nitens plantations begins near Scottsdale. Teams from Forestry Tasmania and the University of Tasmania will take logs from a 30-year-old FT plantation research trial and test the performance of sawn timber and peeler veneers. The trial is part of an ongoing collaboration between FT and two UTAS bodies – the National Centre for Future Forest Industries (NCFFI) and the Centre for Sustainable Architecture with Wood (CSAW).

The Kamona trial – East of Scottsdale – involves one of the oldest E.nitens stands in the FT estate and has special significance because the genetic background of each tree is known, and detailed measurements and assessments have been carried out since it was planted in 1984. It will be followed by a trial of similarly aged nitens from a plantation near Sheffield and another of a younger and larger plantation at Meunna - both located in North West Tasmania. FT is donating 100 cubic metres of logs for the trial, which has

significant commercial interest for the Tasmanian industry. Apart from its age, the Kamona plantation is representative of a substantial part of the Tasmanian nitens estate, much of which was planted for pulpwood and is unthinned and unpruned. Much of the existing knowledge of rotary peeled veneer quality in mature E.nitens plantations has come from a single stand of 50 trees taken from a plantation near Penguin. Results from that trial were promising and provided the inspiration for this trial. FT has some 40,000 hectares of

¢ Forestry Tasmania’s Dean Williams, Senior Scientist – Tree Improvement, at the Kamona trial.

nitens plantations managed under a number of different silvilcultural programs. These include pruned and thinned stands, as well as unpruned and unthinned plantations – like Kamona.


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6 – May 2014, Australian Forests & Timber News

¢C r Tom Sullivan (Moorabell Shire), David Fisken (Australian Forest Growers Association), Bernard Young (Trees Victoria).

¢F riends of Forestry representatives – Graham Taylor, Jacqui Commans, Martha Chandler and Cr Jim Child (Yarra Ranges Shire).

¢ Cr Jan Vonarx (Alpine Shire and President Timber Towns Victoria), Kevin Peachey (EO Timber Towns Victoria) and Amy Moulton (Midway Ltd).

Timber Towns forum finds common ground T

HE QUESTION and answer session at the recent Timber Towns Victoria annual general meeting provided surprising agreement between Government and Opposition representatives on much of Victorian forests policy and infrastructure. Responding to questions on funding for timber communities roads, bridges and logistics, recent legislation dealing with illegal protestors in working coups, and jobs, there was surprising agreement in many of the answers given. Parliamentary Secretary for Transport Gary Blackwood and Opposition Shadow Minister for

Scion to build forestry centre CROWN RESEARCH institute Scion and Bay of Plenty Regional Council have entered a partnership aimed at pushing forward innovation in the forestry and wood processing industries. Scion successfully bid for funding through the council’s inaugural regional infrastructure fund, receiving $2.5 million to build a dedicated centre. The regional council says the project to be built at Te Papa Tipu Innovation Park has potential to provide a significant economic boost to the wider region. Scion chief executive Warren Parker said the centre will help the industry meet its goal to increase New Zealand forestryrelated export earnings from about $5 billion to $12 billion by 2022. He said the centre will create new capital, expertise and technology to the forestry and wood processing industry which the Bay of Plenty region has a 35% stake in. Construction of the Scion Innovation centre is expected to begin towards the end of the year with building completed by the end of 2015.

Agriculture Jacinta Allen found little to disagree on in fielding questions from shire councillors, industry representatives and Friends of Forestry. With the State election scheduled later this year, Allen was asked about Labour polices and its support of the regional forest industry. She responded that Labour had supported the recent forestry legislation and understood the issues of timber roads, transport and local jobs. There was also agreement between the Government and Opposition on Government fulfilment policies that support locally produced copy paper. Yarra Ranges Shire councillor Jim Child questioned following the new legislation why there were delays by authorities to remove protestors in the Healesville area. Blackwood said that DEPI officers needed training and this was now happening. “We have strengthened the laws but understand concerns (regarding delays),” he said. The Minister for Agriculture and Forestry Peter Walsh in opening the meeting said the industry comprised 380 businesses, employed 21,700 people and contributed $1.78 billion turnover annually. Walsh referred to a number of recent investment decisions including those in Western Victoria that demonstrated confidence in the industry. VicForests had stabilised its operations and had paid down part of its loan debt to Treasury. Walsh said the Government’s Sustainable Forestry Act 2014 now provided penalties for offenders who illegally disrupted forestry harvesting which

¢ Danny O’Brien (Parliamentary Secretary for Forestry), Cr Jan Vonarx (President Timber Towns Victoria), Peter Walsh (Minister for Agriculture).

increased safety parameters for forestry workers and protesters. “We are committed to this industry as evidenced by our actions,” he said. Timber Towns president Jan Vonarx, from the Alpine Shire, presented the annual report covering funding issues for timber roads and bridges and referred the Timber Industry Road Evaluation Study (TIRES report) used for recording and ranking of timberimpacted roads. This identified the gap in costs by shires in maintaining major timber roads in various shires at $96.7 million but resulted in only an additional $4.5 million of State funding to timber impacted roads. Other Timber Towns programs included organising responses on the review of Code of Practice for Timber Production 2007,

¢ Julian Matthews (Australian Paper), Tim Johnston (CEO VAFI) and Craig Dunn (Australian Paper).

involvement in the Leadbeater’s Possum Advisory Group and several themed meetings at MAV offices as forums between councils and the forestry industry of Victoria.

Executive officer Kevin Peachy demonstrated the new Timber Towns website and he encouraged delegates to visit the site (www. timbertownsvictoria.org.au) and use the Twitter account.

Study confirms removing fuel from our bush can massively reduce the economic costs from bushfires A NEWLY-commissioned study by Deloitte Access Economics has shown that removing fuel from the bush by mechanical removal, in combination with prescribed burning of trees and understorey biomass, could dramatically reduce the devastation caused by bushfires and save the community tens of millions of dollars each year. The cost benefit analysis forms part of a scoping study commissioned by the Australian Forest Products Association, to look into the benefits from increased fuel reduction in key fire prone areas. The Deloitte study suggests that, for example, in the Blue Mountains area to the west of Sydney, removing

fuel from as little as 5% of the area each year could halve the extent of bushfires and save the community as much as $34 million per year in insurance claims, property loss and fire-fighting costs. This is a benefitcost ratio of around 4.6. “This is a stunning result,” said AFPA chief executive officer Ross Hampton. “We need a national conversation which gets serious about severe bushfires while the smoke haze from a very difficult summer of fires is still in the air. “For too long the idea of taking fuel out of the bush to reduce fire risk has been ignored in Australia despite being a widely accepted practice elsewhere in the world.

Instead we watch as the bush goes up in flames in out of control mega fires.” The Deloitte study identifies a number of areas where a full cost benefit analysis would better inform bushfire policy, including the Melbourne fringe and Gippsland regions in Victoria, south-west WA, the Blue Mountains, the Pilliga and north and south coastal areas of NSW, and Tasmania. The report identifies the benefits of using mechanical fuel removal, in conjunction with prescribed burning, noting the narrow window of good weather days for undertaking prescribed burning; and the need to control fuel loads in bushland areas

close to population centres or other important assets. Ross Hampton said, ‘The Abbott Government is to be congratulated for allocating an additional $15 million for bushfire reduction measures in Australia. This study provides the impetus to conduct a more detailed CBA of bushfire management policy and a trial program of fuel reduction practices. “This would help inform more effective bushfire management, rather than the usual expenditure on suppression using more tankers and water bombing helicopters. The latter approach merely treats the symptoms and fails to treat the cause,” Ross said.


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8 – May 2014, Australian Forests & Timber News

Letters Unbalanced report On Thursday, 10 April, the National Business Review (NBR) - New Zealand’s premier business newspaper contained an article in which Dennis Neilson of DANA is quoted saying certain things about the sawmilling industry in New Zealand and its competitiveness. DANA was unhappy with its unbalanced report, and its headline. DANA had previously provided the author with a copy of its new Review on the industry: “The 2014 New Zealand Forest Industry Sector Review”, to assist her to write a series of articles about various aspects of the New Zealand industry for publications such as the NBR. In early April it also discussed the industry with her to provide some postDANA Review publication updates of industry events. An earlier article in the NBR about challenges facing efforts to increase New Zealand’s plantation forest base, which quoted DANA was faithful to what we had written and had said to her. However, in DANA’s opinion, this latest NBR article was unbalanced and with an overly provocative headline; and DANA is disappointed its name was associated with it. Like any industry in New Zealand or internationally; there will be some small, some medium and some large sawmills in New Zealand making super profits, some more modest profits, some breaking even and some losing money. The international trends in sawmilling evolution from small, regional, low technology sawmills to ever larger, more expensive and high technology sawmills is well documented. These trends occur with different speeds in different regions & countries. They occurred, for instance, over some years in Chile 15-20 years ago and since; extremely quickly in Germany from 2000 to 2006, very quickly in Western Canada from 2006-2013, quickly in Eastern Russia from 2011-2014, and with ever increasing pace in the United States South from 2011-2014. In contrast, this trend continues at a (relatively) slow pace in NZ, but is expected to continue. Dennis Neilson Director DANA LIMITED

Log on Today! Visit www.timberbiz.com.au/dtn to sign up today.

Request for Proposals RFP 2014.1 Harvest and Haulage Services VicForests is calling for proposals from suitably qualified and experienced contractors to provide native forest harvest and/or haulage services in the Central Highlands region of Victoria. Up to 250,000m3/annum of capacity is expected to be required in a range of contract sizes. Long term agreements may be available for some suitable proposals. Request for Proposal documents are available under ‘Tenders’ on the Sales and Supply page (top right-hand corner) of VicForests website: www.vicforests.com.au Please refer to the website for the closing date for proposals. If you wish to register to receive the RFP documents by email and any further RFP communications, please email your company name, contact name, phone details and postal address to: vfs.woodsupply@vicforests.com.au VicForests, a State owned enterprise, is responsible for the sustainable harvest and commercial sale of timber from Victoria’s native forests.

Highest possible accuracy F

OR MANY years, HewSaw have produced an accurate log rotator with 370mm diameter rollers that can achieve a 180 degree rotation in a little over 0.5sec and at the same time centre the log in to the chipper canter to ensure the best open face and recovery. The HewSaw system differs from others as the feed rollers are not responsible for rotating the log – only holding and feeding. The whole feed roll assembly and log are then rotated around the logs axis with a separate ring. The addition of the HewSaw Rotation Control Systems (RCS) now utilises a second scanner just prior to the log rotator to identify the actual log rotation and compare this to the target log rotation and if it demands, performs a correction to ensure the highest possible accuracy in final log position. Latest installations of the RCS system are confirming the accuracy of the standard heavy duty HewSaw 2R log rotator with only very minor corrections required - if at all.

Improved machine operation with minimum fibre damage

NEW FIBREMAX feedrolls with replaceable inserts are now available for all VK debarkers. The new feedrolls guarantee better grip of logs especially in difficult debarking conditions and it is easy to keep up their high performance due to easy reconditioning. The FibreMax feedrolls improve the efficiency and reliability of your VK debarker and maximize your fibre recovery. • Three different insert models available • Flat teeth for easy debarking conditions • Sharpened teeth for debarking in normal conditions (is installed as standard version for all VK machines) • Spiked model for debarking in difficult conditions (e.g. frozen logs) • Minimal fibre damage and better chip quality • Better grip of feedrolls prevents log rotating, especially in difficult conditions – smaller risk for splitting log ends • Inserts are not self sharpening and do not leave any cutting mark in the log – better quality of chips • It is possible to use different insert models simultaneously in different feedrolls of the machine minimizes the mark left from the feedrolls to the log • Reconditioning of the feedrolls is easier

• Due to a screw fastening it is easy to change the inserts – no special skills required • Mounting of each insert with two screws • It takes about one hour per wheel to change the inserts New FiberMax feedrolls will be installed on all new VK debarkers and can also be fitted to most older VK machines. Contact your local VK agent or Valon Kone directly for more information.

Nordautomation Oy the supplier of a new saw facility and a sawmill infeed NORDAUTOMATION OY has received a significant order from Lappi Timber Oy, which is mainly owned by Keitele Group. Keitele Group also owns two other mills in Finland. The new saw facility will be built in Kemijärvi in northern Finland. The product capacity will be 150.000 m3 sawn goods during one work shift. The facility will initially work in one shift and mainly use small pine timber. The delivery from Nordautomation Oy includes a log sorter with 42 log bins, a sawmill infeed and bark conveyors. The log sorter is the fastest in its kind. The maximum speed of the line is 200 m/min. The whole equipment is electricity- and inverter driven. There will be no log turner, but the logs will be turned before the sorting. The sawmill infeed includes a barking machine, which the logs will be fed into without log gap. The maximum speed of the saw line is 180 m/min.

The order includes planning, projecting, delivery of facilities, control devices and electricity systems, installing, training and initialization. The order was placed in the middle of April and the installation will start in August. The test run will start at the beginning of November and the saw facility will be in production use before the end of 2014.



10 – May 2014, Australian Forests & Timber News

Wood waste recycled for drying W

HEN SOMEONE recommends a product that they’ve bought it adds credibility, but when that someone is very successful at what they do it adds authority. That’s why when Paul Deakin, owner of Howard Sawmill in Hervey Bay, Queensland, said he purchased a Veto Boiler it really means something. “I have always worked within the building industry, starting out as a bricklayer and progressing into building. I relocated with my family from Victoria to Queensland approximately twentythree years ago where I continued to work within the building industry. About fourteen years ago the option to purchase Howard Sawmill arose. An opportunity that both my wife Sue and myself went into with a fresh outlook and lots of enthusiasm. Howard Sawmill has grown from a small, green hardwood mill with three employees to currently employing twentytwo staff. The sawmill was not the only thing that was green, so were we. Our knowledge of the industry was minimal, however a positive attitude, a fresh outlook, dependable staff and value adding have been the key to our success. Howard Sawmill has gone forward every year and has established a good name within the industry. Continuous growth year after year for fourteen years is infinitely respectable given that many sawmills are falling backwards before finally shutting down.”

Dry argument Howard Sawmill works with native Queensland hardwoods. “The raw log comes into the mill and we cut for board production, as in decking, flooring, claddings and internal linings,” said Paul. “All timber cut goes through the drying process in the kilns and then turned into product.” Howard Sawmill had been using a conventional small wood fired boiler that they hand fed and ran overnight on LP gas but Paul could see room for improvement. “We were spending approximately $35,000 a year

on gas to run this small boiler overnight,” he said. After installing and using the Veto Boiler with auto mechanical stocker Paul said it was faster, cheaper and more efficient. “Given today’s gas prices we would be spending $66,500 per annum on gas had we maintained the old system. We have saved a considerable amount of time by not having to feed the former boiler and we have improved our drying time by a third. The old system required three man hours per day merely to light the fire in the morning and to feed offcuts into the fire. That is no longer necessary as a loader is now used to feed the hopper twice a week with sawdust that

Matuschka was in possession of a small boiler. I flew to South Australia to inspect the boiler which resulted in me ordering one.” David Matuschka is the distributor for Veto in Australia and has been in the timber industry for more than twenty-five years selling products such as Kara saws. “I gave Paul some guidance on how to determine the size of the equipment required and from there we discussed what Veto and I had to offer, after a period he settled on a system which we put together,” said David “Paul would install it … in a 20ft shipping container. He bought a 150kW boiler, a feed system and

‘You can’t even see that it’s running it burns that clean’ the mill produces as a byproduct. We are using fifteen cubic metres of sawdust per week in the boiler which we sell for as little as five dollars per cubic metre. Using fifteen cubic metres per week in the boiler still leaves excess biomass that we continue to sell. The purchase of the Veto boiler paid for itself within the first 12 months. It’s has been fantastic” said Paul

Do-it-yourself installation When Paul first started his search for a new boiler he found it wasn’t easy being in Australia, not only because of the tyranny of distance but also because of the boiler size he was after. “I searched the internet for what was available, very little was obtainable in Australia in this smaller sized boiler,” he said. “All the boiler companies I had spoken to were suggesting that I would require a much bigger boiler system than I thought was necessary and which would also have cost twice the price.” “I came across the Veto heaters from Finland and noticed David

¢ David Matuschka VETO AUSTRALIA and Paul Deakin HOWARD SAWMILL in front of the Veto fully automated boiler operating inside a 20ft shipping container.

computer system that goes with it. The basic components for a biofuel hydronic heating system.” The order was placed in December 2013 and by January 2014 they had it in and operational, choosing to perform the installation and commissioning in-house. “It’s not an installation that anyone could perform. It is fortunate that my manager, Pat, is a plumber and was able to handle that side of it. A friend who used to own a sawmill had knowledge of boilers and was able to assist us to install and commission it,” said Paul David encourages buyers to perform their own installation because he says every installation is different and there are also significant savings to be made. “This technology is commonplace in Scandinavia where every building that is occupied by people has to be heated in the winter. The equipment is therefore commonplace and made such that it can be installed by any competent tradesman,” said David. Paul is particularly pleased with the size and price of the equipment, but even more so with the versatility of the boiler as he can use sawdust, wood shavings or wood chips and once you’ve filled it, it looks after itself. There were a few initial teething problems but Paul said that it was due to their not knowing the system. Once they got their

heads around it, it all worked effortlessly. “The Veto system is more useful in Australia due to its size. The big advantages with it is that it’s simple, not too complicated,” said Paul, “I had a look at some machines that looked like robots. The manufacturers however would not supply to Australia as Australia is such a small market and if any technical issues arose they would not be able to solve them. I therefore opted for a very basic model.” As with all businesses you want to make sure that if anything goes wrong you’ve got quick back up and accessible parts, that’s another positive. There are not that many parts in the boiler so not much goes amiss, however, if parts are needed they are readily available,” said Paul. Paul said environmental concerns were also a consideration. “You can’t even see that it’s running it burns that clean,” he said. Howard Sawmill’s Veto 150kW boiler is running two 75 cubic metre kilns and two 10 metre kilns and performs with ease. “We could probably add another one but it would slow the existing kilns,” said Paul. “We will be looking at installing further kilns and an additional boiler. “I have purchased another boiler from David which is a small 30kW unit and I am installing that system onto a fifty cubic metre Solarkiln (Solarkiln was featured in the last edition of Australian Forests & Timber News). We will be installing that system in the near future and will have it running in the next month or two.”

evolution to using timber waste product is within the timber industry. And the best location is anywhere outside the city. “The biofuels industry is best for rural areas, better away from the natural gas grid in that if people are capable of purchasing natural gas at $10 a gigajoule then wood chips at 40% moisture are barely competitive at $100 a tonne,” he said. For rural industry it’s a very good alternative if the industry is using LPG, oil or electricity and it’s very easy to substitute biofuels in the form of wood chips, shavings or sawdust so long as there is local supply. The advantage of this system is that it works extremely well on dense Australian hardwood waste, fuel with fairly high levels of moisture and it’s versatile because you can use a variety of fuels so long as it is suitable to be augured.

¢ Paul Deakin (Howard Sawmill) in front of a 75m3 kiln charge

Waste not want not “I’m of the opinion that since the timber industry has a waste problem with sawdust, shavings and wood chips, that we recognise it as being an energy resource of value,” said David. “It’s been extremely difficult to get an understanding of waste as being a resource. Virtually all the energy focus has been on alternate energy areas that have been highly subsidised by Government and biofuel happens to be one that isn’t.” So David believes that the appropriate place to start an

¢ The rotary feeder -airlock and stoker feed augers sawdust from the fuel compartment to the boiler fire

¢H oward Sawmill Kilns (right), Veto container heating system and fuel compartment in blue container (partially obscurred) with sawdust and shavings cyclones on left.


Australian Forests & Timber News, May 2014 – 11

Innovation and collaboration T

Industry supports national skills conference

HE 6th Industry Development Conference in Canberra under the umbrella of the Innovation Skills Program, delivered two half-day engaging forums on the essential elements and best successes in innovation and collaboration for development in our industry. The event was attended by 184 forest, wood, paper and timber industry participants, representing 18 employer and employee associations, business executives, industry consultants, employees, and registered training organisations. The discussions of the day were opened by the Parliamentary Secretary to the Minister for Agriculture, Senator Richard Colbeck, emphasising the forest, wood, paper and timber industry’s sustainability and the presence of business leaders in the industry that show the potential for innovation. Senator Colbeck highlighted the importance for this industry to be prepared for significant contributions, considering the very important role of our industry’s R&D investments for regional Australia and jobs. The Senator also outlined the range of innovative products that were opportunities for the industry in Australia. The day continued with the first forum being chaired by Rob de Fegely (President of the Institute of Foresters and Board Member of

VicForests). A range of insightful presentations followed predominately concentrating on the industry approaches to research, development and innovation. The presentations of both forums were given by key industry leaders including Ross Hampton, CEO of Australian Forest Products Association (AFPA), and Michael Hartman, CEO of ForestWorks. Michael provided the industry participants with an overview of the Innovation Skills Program, why it was important to the industry, how to get involved and coming activities. The second forum was chaired by Bill Watson, CEO First Super. Participants heard from Dr George Goroyias (Senior Principal of Poyry Management Consulting), Dr Alastair Woodard (Director of Technical, Promotion & Consulting Solutions) and Kersten Gentle (CEO of the Frame & Truss Manufacturer’s Association of Australia (FTMA)). Highlights of the presentations from the day included: • Recognition of the massive market opportunities offered by innovative products, in particular, by the CLT and wood cellulose nanofibre technologies • The social infrastructure supported by our industry for Australia, where productivity and job growth is projected to be supported

by innovation and a new National Research Institute for Forestry •A n introduction to the ForestWorks Innovation Skills Program and its contributions to industry development (provision of informal and formal innovation-targeted learning, and facilitation of industry collaborations) through the development of innovation forums, innovation skill sets and innovation working groups •A review of international innovations including chemical modification (heat treatment, accoya, kebony), laminate flooring, OSB, bioresins, MDF with increased electrical conductivity for powder coating, bio composites, biochemical, biofuels, CLT •T he journey of a local industry innovation project - prefabricated lightweight timber ground floor systems. At the end of each of the forums there were panel discussion sessions debating the essential ingredients in business innovation. During these panel sessions, a number of high profile industry experts stimulated discussions about the role of leadership (active management) in innovation, the massive shifts across marketplaces, and the role of social media in grabbing opportunities. The talks extended to an identified need for better communication of

TCA restructure nears completion By Helen Murray National Coordinator Timber Communities Australia THE MAJOR focus within TCA over 2014 is implementing structural changes to ensure the association continues to play a key role of supporting and providing a voice for timber communities. Following the comprehensive review of TCA in 2013, the Interim Board has set about implementing the recommendations from the review including development of a new Constitution. Consultation with grass-roots and other stakeholders about the process of change within TCA has continued since the appointment of a National Coordinator in January. The new structure is on track to be finalised soon under the Interim Board which comprises: Tim Woods (interim chair), Mick Stephens, Warwick Ragg and Lexie Hurford. The new Constitution will be up and running as anticipated for the 2014/15 financial year. The key outcome, as desired, will be a structure that is more reflective of the involvement of grass-roots members. The revised Constitution will be voted on in May 2014, under the voting process within the existing (outgoing) structure. The new structure contains various categories of members – including individuals (and family), branch members (with clear guidelines about how branches and the national entity interact) and affiliate members (separately incorporated entities that support the goals of TCA and commit to its charter). There is also capacity for involvement by sponsoring organisations (e.g. local businesses). More formalised linkages are being established with other key stakeholders to support TCA’s vision and capacities. Information packages going to members

A membership renewal package is currently being prepared to be sent to all existing branches and members whose subscriptions were paid up and current for the 2012/13 financial year. The 2012/13 memberships were deemed as current for the 2013/14 year, while the TCA review was carried out and the new structure developed. Therefore 2014/15 renewals will be issued. It is planned for the membership renewal packages to be mailed in May 2014 with subscriptions covering 2014/15. Full details of the new structure will be contained in the package including Frequently Asked Questions which will enable members to decide which category they are eligible for and want to belong to. Anyone who may have an earlier lapsed membership (i.e. had not renewed their membership in 2012/13) or is interested in joining TCA for the first time should email contact@tca.org.au and request a package to be sent out. Please supply full name, phone number and address. The information packages will be sent in May 2014. New addition to TCA Interim Board The newest appointment to the Interim Board of TCA is well known timber identity Lexie Hurford from Ballina. As many would know Lexie was a member of TCA from its earliest days and was the driving force behind the recent formation of a local timber community group on the North Coast of New South Wales. Interim Chairman Tim Woods welcomed Lexie, pointing out that she brings a wealth of experience to the team as a well-known and committed resident of a timber community and involvement with a long-standing family business. Looking to the future The new shape of TCA will evolve throughout 2014. TCA is operating on a leaner resource base than before and hence streamlining

¢ Helen Murray.

of the organisation is essential. In addition to implementing an entirely new Board structure, a key 2014 focus is development of new communications strategies – to and from members and for TCA’s external engagement with Government policy makers, other industry stakeholders and the public. A high priority is a revitalised website and social media platforms. TCA anticipates engagement with communities in native forest locations and new locations in the plantation sector. TCA will move to develop a suite of national/regional advocacy strategies in consultation with members which provide a clear focus for the work of TCA in supporting timber dependent communities. All activities require resources. The speed of change will depend on the availability of resources. TCA engages one part time contractor and while the ‘to do’ list is long – TCA must cut its cloth accordingly. For information on how you can get involved contact TCA welcomes enquiry from new members or sponsors. Contact National Coordinator Helen Murray ph 02-6282-8455 0419-991-424 hmurray@tca.org.au

¢ Michael Hartman.

the product in the local markets and making it available when needed; and, to strategic alliances (including principles for building trust and the right connections) and the contribution of diverse skills and people to innovation. Michael Hartman wrapped up the day’s proceedings by thanking presenters and participants for making the day a successful and worthwhile event. The majority of the attendees then made their way to the Gala Dinner which was held that evening in Parliament House. On the conclusion of the forums, ForestWorks conducted a survey of participants. Of the respondents 93% indicated the forum was valuable, 85% indicated the forum connected them to people or resources they will use, 85% indicated that the forum helped develop ideas and actions for change and 97% would recommend the forum to others.

“They still have the passion and drive that the timber industry requires” By Letisha (Tish) Rakich Communications Manager Timber Communities WA CAN I start by saying huge congratulations to ForestWorks, for a fantastic conference, yet again, which was not only well attended but well delivered! It was great to catch up with some old familiar faces (old for the years I’ve known them, not in the quantity of wrinkles they sport) and to know that they still have the passion and drive that the timber industry requires to continue on its tumultuous way. It was really exciting to hear (but not quite understand) the advances in timber technology such as ‘microcrystalline cellulose’ and the absolute endless uses it has such as Biocomposites for bone replacement and tooth repair, Pharmaceuticals and drug delivery and Additives for foods and cosmetics. It seems no matter how much negative publicity the industry seems to attract, there are still incredibly intelligent people out there determined to turn opinion around by truly proving that there are absolutely endless uses for this incredible and sustainable resource. At the Industry dinner in ‘The Great Hall’, it was also a welcomed

¢ Tish Rakich.

relief to finally have a political leader in Tony Abbott support the industry outright without any hesitation and no sign of fence sitting. A refreshing change to say the least with so much excitement and enthusiasm happening around R&D. The next morning we headed back to WA to prepare for our first FIFWA industry dinner in several years. That too was very well attended with representatives from not only industry but also members of both State and Federal parliament showing their support. We also had the pleasure of hosting Helen Murray from TCA, with a trip to Wespine in Dardanup and a very informative tour by Brad Barr of the facility. World class to say the least. The Leschenaultia Hoo Hoo club then hosted the annual World Forestry Day Dinner which is always well attended and a great networking opportunity. Unfortunately the month ended on a sour note with our second attempt at a senate election. Sadly the green vote increased by a little more than 6%, no doubt stimulated by the ‘shark culling’ debate in WA, although Green s Senator Scott Ludlam did have a go at invigorating the forestry debate to no avail, thank the Lord!


12 – May 2014, Australian Forests & Timber News

CONFERENCE WRAP

Innovation in leadership forum – the role of women A

N INNOVATION forum that focused specifically on leadership and the role of women was held in Canberra on 3 March with 26 participants, predominately women, attending. The forum was held in conjunction with the ForestWorks 6th Industry Development Conference. The forum provided the opportunity for discussion on innovation in a diverse workplace and also sought the viewpoints of women in the industry on leading innovation and change. Jane Calvert, WFTN Chair, facilitated the forum and gave a brief outline of the activities of the WFTN in 2013 and the coming activities for 2014. She also introduced the first speaker of the day who was Alison Aggarwal, Principal Advisor, Sex Discrimination Team, within the Australian Human Rights Commission. Alison’s presentation focussed on two core topics: • Women in male dominated industries: A toolkit of strategies • Supporting working parents – Pregnancy and return to work after parental leave The first topic outlined the significant and innovative work undertaken by the Commission to research and produce this ‘toolkit of strategies’ which aims to ensure women have access to both formal and on-the-job development required

for successful career paths in nontraditional roles. The toolkit highlights the economic and business benefits of increasing women’s representation in workplaces where there is a significant under representation of women. The second presentation from Alison was on Supporting Working Parents – Pregnancy and Return to Work after Parental Leave. The focus of this innovative research was to firstly identify the prevalence, nature and consequences of discrimination relating to pregnancy at work

website and read further information regarding a range of research undertaken by the Commission. The second guest speaker was Kym Charlton, Assistant Secretary, Communication Branch, Governance Division, Department of Agriculture, Fisheries & Forestry. Kym is an experienced communications professional who has been involved with the challenges of managing crises and emergency situations. Kym focused her presentation on the critical importance of social media to

• Immediately accessible to people via their smart phones Kym’s presentation was well received by the participants and paved the way for an innovation with social media discussion which took place later in the forum. Following the presentations, the forum hosted a panel discussion and heard from three women in various leadership roles. Alison Carmichael, CEO Institute of Foresters Association, was joined by Theresa Lonergan, President of

‘Toolkit highlights the economic and business benefits of increasing women’s representation in workplaces’ and return to work after parental leave. Secondly the research aims to identify the adequacy of laws, policies, procedures and practices and ascertain strategies and leading practises to address these challenges. Wide consultation took place with both women and men within community organisations, unions, employers and peak industry associations. This was conducted between October 2013 and February 2014 and a report is currently being drafted. Alison wrapped up this informative session by encouraging participants to contact her on any of the topics she had covered and in particular, visit the

an organisation and how its use can drive and foster innovation … things she had learned in her time when working with the Queensland Police Service. Kym provided her audience with some examples of the crucial role social media played in the management of people affected by the natural disasters of the Queensland floods and cyclone Yasi in 2010. She also outlined the benefits of social media in general terms including: • 2 4 hour service •C ommunity engagement •A uthority of and source of information

the Forest Industry Council and coowner of P&T Lonergan, and Helen Murray, National Coordinator of Timber Communities Australia. The panellists spoke of the challenges and the support they have encountered in the industry, their personal perspective of the industry and all three took part in an open Q&A session with participants. They were all trying to work with industry to change and improve the way things are done to increase value. This is innovation in action and they discussed the skills, knowledge and techniques they used to generate innovative processes. The last session of the day reverted to the topic of social media and its

innovative uses. This session was interactive and engaging and was facilitated by Jane Bartier, Deputy CEO ForestWorks, and Michelle Ingley-Smith, ForestWorks Skills Advisory Manager. Michelle advised participants of the new social media tools the WFTN were embracing in order to reach a wider audience. Participants were asked to use the social media they currently have to ‘like’, ‘share’ and ‘comment’ on the forum in session and to share their knowledge with other attendees. (i.e. learn and practice new skills in the forum). Topics and ideas for proposed webinars to be held over the course of the year were also put forward. The session wrapped up with a Q&A session which provided participants with the opportunity to recount their social media experiences and also discuss the benefits of joining the trend. The forum finished with Alison Carmichael proposing another innovation for the industry, the idea of establishing a Male Champions of Change group specifically for the wood and forest products industries. The group is seeking participation from male CEOs and Chairpersons to use their individual and collective influence and commitment to boast and ensure the issue of women’s representation in leadership is elevated on the industry agenda.

Innovation forum on business accreditation in the forest growing and harvesting and haulage sectors ForestWorks’ activities are assisted by funding provided by the Commonwealth Government through the Department of Industry.

Improving productivity in your workplace A learning program is now available for leaders, managers and workers to improve the operation of your business. · Build innovation capability at all levels · Improve innovative thinking, practice and development · Make innovation a workplace reality for future business growth

FIND OUT MORE: 1800 177 001 forestworks@forestworks.com.au www.forestworks.com.au

FORESTWORKS ISC, partnering with the Australian Forest Contractors Association (AFCA), held an Innovation Forum on Business Accreditation in the forest growing and harvesting and haulage sectors of the forest industry. The forum was held in conjunction with ForestWorks’ 6th Industry Development Conference – Innovation and Collaboration. There were 30 attendees on the day and Tim Woods facilitated this forum which garnered support and interest from across the country. The participants key goal was to explore industry aspirational objectives to make business better through innovation and funnel general knowledge into a program of action. One idea explored at the forum asked how contractors could be recognised for their skills and knowledge. And after some lively discussion it was agreed that it would be worthwhile exploring an aspirational scheme that is not mandatory to accredit contractors as professional business owners and to drive greater learning and skill development in the sector. The following main drivers for change were identified: • Safety • Reliability, certainty

• Standardisation of skills (qualifications) • Environmental The question ‘What are the broad principles that need to be met in order to operate in a professional and innovative manner?’ was discussed around each table and the following points were raised for consideration: • Workplace standards conditions and wages – setting base conditions • Commercial • Respect commercial confidences • Mutual trust between forest grower and the contractor and between contractors themselves (trust in commercial relationships) • Ongoing verification (audit) – high but appropriate standards should be applied i.e. grading or levels • Element of self-regulation (standards, compliance) • Consultation with key stakeholders e.g. forest growers, harvesting and haulage contractors, processors, regulators and end users • Environment issues covered in FSC and AFS – should not be inconsistent with these • Maintain separation of entities • Must add value to the business (recognise and minimise cost) • Voluntary scheme on an opt in basis

¢ Tim Woods.

•T ransparent scheme • I ndependent formal assessment •S imple – not over bureaucratic •R ecognition of existing skills and business capabilities (including non-industry) There is to be further debate about the four pillars on which to base the scheme: 1. Safety 2. Environmental 3. Financial 4. Social 5. O thers include: • Q uality


Australian Forests & Timber News, May 2014 – 13

CONFERENCE WRAP

Innovative practices in Work Health and Safety ‘Need for T attitudinal

HERE WERE 36 attendees at the Innovative Practices in Work Health and Safety forum which was held in conjunction with the ForestWorks’ 6th Industry Development Conference – Innovation and Collaboration. Michael Hartman, CEO, ForestWorks, facilitated the forum and started by introducing the two presenters David Bennett, Manager of Forestry Systems PF Olsens, and John Love, Safety Manager HVP Plantations. The first session was a full room roundup of who was present and each participant had the opportunity to discuss what safety issues they were particularly concerned about. Participants were from a variety of enterprises, associations/unions and RTOs from around Australia. One such issue discussed was the need for attitudinal change in order to get management and operators more involved in safety and to report incidents in a no blame environment. These trends can then be analysed through systems such as - IRIS– Incident Recording Information System (AFPA has a project on this). Haulage and load restraint issues were also prevalent among participants with many participants sharing experiences. Management of unauthorised persons on site was another issue experienced across Australia. Other concerns raised were: • T he need to increase safety without reducing performance • M achinery needs to be up to date and this is hard with short contracts and no cash f low to fix the problem • M anual handling • Fatigue management • Mostly mechanised felling means less trees require manual falling but those that do are usually trees requiring advanced falling skills, however, manual falling skills are dropping – how do we maintain these skills? • C ontractor management and contracts and how we engage with people • Slips, trips, falls, driving, protesters, maintenance on site • Staff turnover Many companies had a goal of zero harm in the workforce. To achieve this, safety is linked to training and forums like this where sharing information improves knowledge across the industry. WHS needs to be in the social chamber of the business accreditation program which is currently being developed. David Bennet, of PF Olsen, and John Love, Safety Manager at HVP Plantations, gave presentations on log truck safety, log truck roll-overs and load restraint. Michael Hartman summarised these presentations by likening the guide for truck loading to the chainsaw and tree felling manuals which are already available. By getting

industry knowledge together in one manual or one guide this will, in turn, make it easier for operators moving across different jurisdictions in Australia. Michael Hartman wrapped

up the afternoon discussions about Work Health and Safety by saying that while ForestWorks were not experts in this field they wanted to get people together that were. ForestWorks is prepared to facilitate a Forest

Growers and Harvesting and Haulage WHS Forum. Based on industry feedback, this will only work properly if each State has a State-based structure which it can then feed into a national forum.

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14 – May 2014, Australian Forests & Timber News

HALL OF FAME

They’re part of what makes this industry tick F

OUR QUEENSLAND blokes with sawdust in their veins have been inducted into the Australian Forest Contractors Association Hall of Fame. The induction took place in Gympie earlier this year. The new inductees are Barry Asher, Joe and Herman Offerman, and Geoff Taylor. In the early 60s Barry started cutting timber in the Bunya Mountains (steep country) hand falling and snigging with dozers and then in the late 60s got a contract with APM. The APM operation was thinning for pulp for the chipper mill at Morayfield and in those days they snigged the timber with horses... “things have come a long way since then,” says Barry. He was with APM till 1985 when the APM chipper was shut down at Morayfield. After that he got a contract with CSR which saw him through to the 90s until Weyerhaeuser took over and then Carter’s came along. Since the late 90s and 2000s Barry has many contracts with major customers, chipping, transport, harvesting, log yards and also a timber wholesale and trusses and frame business. The Asher group has 100 employees and this started from one man in the Bunya mountains 50 years ago! Geoff describes his forestry work as “an addiction”. He started as a hand faller in plantation hoop pine thinnings while trying to make a living on a family cattle property during the major beef market slump in 1974. “We had 10 years experience with chain saws by then in hardwood felling and yard building, so the opportunity to fall smaller softwood within the close confines of a plantation, as well as getting paid on a regular basis, was all good,” he recalls. And it was the beginning of a nearly 40 year job with Hyne & Son,

first as a piece rate faller and then as a harvesting contractor supplying their Imbil sawmills. “Those 40 years saw changes in harvesting systems that provided opportunities to tackle changes in harvest volumes and log products, and the opportunity to investigate and introduce the equipment and operator skills necessary to maintain

sawmill increased production, the Yarder crew remained on a constant volume, but we had the job of supplying the extra loads required. “Final crop harvesting of hoop pine plantations in the Mary valley started in 1986. Harvesting volumes increased along with the size of the trees Hyne & Son began milling. We introduced 100 hp log Skidders

‘The opportunity to work in all phases of a harvesting operation over a long period of time with the same sound sawmilling company has been time well spent. I think business is not about who you are but more about what opportunities and challenges come your way and how you handle those’ regular log supply off the steep forest areas where hoop pine grows so well. “After hand falling thinnings, next it was snigging hand fell thinnings with a small Fiat crawler fitted with a chain driven Garwood Olding winch to roadside dumps where tree length logs were loaded onto folding skel trailers with truck mounted Palfinger cranes. Individual harvest crews comprised two hand fallers and one crawler owner-operator, with the number of crews dependant on Hyne & Son’s Mill demand. “The transition from piece-workers to harvesting contractors evolved as Hyne & Son shifted responsibility for employment and co-ordination of workers onto two of the plant operators one of which was a Yarder. I had become one of those contractors employing two hand fallers. As the

in the final crop operations to bring trees to roadside dumps where we docked them into lengths suitable for long length transport by crane trucks towing skel trailers. It was still a hand felling operation with diversion of veneer log to Hyne’s customers in Brisbane. With crews working in thinnings as well as final crop, and Hyne operating two shifts at their Imbil mill, my job had grown into a business. “These years were the most enjoyable, people were our key resource, and there was time to enjoy our work and smoko together as crews. I was driving one of the snigging machines through the week and doing the office work at night. Our family grew. “Mechanization of plantation harvesting had occurred in the slash pine forests along the flat

Wood Science Course covers value chain THE 21st Gottstein Wood Science Course was run with the assistance of CSIRO and the University of Melbourne in February. The course attracted delegates from across Australia who spent five days understanding the value chain from sawmilling to finished product and learning about the anatomy of wood. The course covered both hardwood and softwood processing and benefits of the timber industry overall. Keynote addresses were given by Ric Sinclair (FWPA) and Ross Hampton (AFPA), both of whom spoke about innovation in the forest and wood products industry. The Gottstein Wood Science Course has been running approximately every two years since its inception in 1978 and continues to attract delegates from different areas of the industry with different levels of understanding and background of the industry.

Comments provided by the delegates included: “It was fabulous to meet passionate individuals from the industry.” “I will have a greater respect for the material and all the different aspects of wood.” When asked about the personal benefits of the course responses included: “It was great to get exposure to others in the supply chain and their issues.” “Greatly increased my knowledge of wood and the whole timber industry.” The Gottstein Trust is the national education trust for the forest and wood product industries and has been assisting people in the industry with development opportunities for over 40 years. The Gottstein Trust will run a Forest Science Course in February 2015. The Wood Science Course will return in 2016.

¢ Barry Asher and Col McCulloch (AFCA CEO).

coastal wallum areas of south-east Queensland, and Hyne & Son were looking to see the same in the steeper hoop pine forests. Perceived gains in safety and lower harvesting costs drove the change to a full cut to length system as Hyne & Son purchased the ACI sawmill at Imbil and harvesting volumes doubled in 1996. “At this time, it became our responsibility to harvest the whole mill log supply. “With a new contract in 2002, we had men operating two Yarders and a mixture of excavator-based processors, forwarders, excavators snigging and loading. Thinnings was a shrinking part of our work. I still spent my days operating a machine in a crew. The budget had bigger numbers in it, and machine costs were now the major item. We were still hand falling all our trees for machine extraction and processing. We had a highly skilled workforce of 17 chainsaw operators before I started driving our first Waratah processor at the TMY 50 yarder landing. All our hand fallers except a determined few, found their way into a plant operator job in our crews. “Our son Adan left his 10 year Accountancy career to come into the logging business some time back, and his impact on the growing task of compliance documentation has enabled me to continue as a plant operator in a harvest crew to the present day. We share the management of our harvesting operations, but running a business from an office can distort the fine detail.

“Over the last few years, we have changed to feller buncher machines in our ground based crews. Our harvesting system is still designed to suit the needs of the Mill but within the restraints of terrain we work and the economic realities of the present market. “The opportunity to work in all phases of a harvesting operation over a long period of time with the same sound sawmilling company has been time well spent. “I think business is not about who you are but more about what opportunities and challenges come your way and how you handle those,” said Geoff. Joe and Herman Offerman are two of the most respected loggers in Southern Queensland due to a long and diverse association with harvest and haulage over many years. The boys started out with Herman leading the way cutting pine in the South East for many years supplying various mills in and around Gympie. As Joe stated on the night “It was all tough work, but Herman always led from the front, and was a very easy pattern to follow and learn from.” “We have seen and participated in the terrific advancement of mechanised harvesting throughout our time in the Industry, and if Herman was with us today he would be amazed at what we are now doing in Hardwood out west. “We are honoured to be recognised for our contribution to such a great Industry, and we congratulate Geoff and Barry for their recognition this evening.”


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16 – May 2014, Australian Forests & Timber News

WOOD FLOW LOGISTICS

Technologies boost wood harvesting and transport M

ORE THAN 400 forest managers, owners and harvesting contractors from New Zealand, Australia (a group of around 30 forest contractors visited as part of an industry tour organised by AFCA), the US, Canada and South America converged on Rotorua at the end of last year. The occasion was the Forest Industry Engineering Association (FIEA) organised Steep Slope Wood Harvesting Conference and a Forestry Safety Summit. It was certainly this region’s largest gathering of forest managers and contactors seen for many years.

The success of the November event along with innovations drawn from a transport and logistics program run for US forestry companies in the Pacific North West in October last year have been incorporated into this year’s Wood Flow Logistics 2014 event. The mid-June series is being run for local companies in both Australia and New Zealand. “New technologies, new practices and new operating systems being developed and adopted by some of the more innovative forestry, harvesting and wood transport companies will be the focus for Wood Flow Logistics 2014,” says Brent Apthorp, FIEA Director.

‘Forestry claw incorporates a camera into the grapple carriage providing the operator a real time bird’s eye view of the operation’

At last year’s Steep Slope Wood Harvesting event, technologies that improved both worker safety and productivity on steeper terrain were highlighted. What was interesting is that a number of these innovations were being developed by those working in the forest. There was an immediate need to change how wood was being harvested with their current equipment.

Brilliant initiative by harvesting contractor The initiative was coming from contractors working together with local engineering companies. Dale Ewers is a harvesting contractor based in Nelson with crews working around New Zealand. Late in 2011 the company decided, after experimenting with a number of grapple carriages on their cable hauling and yarder operations, to design and build their own – the Falcon Forestry Claw. The grapple carriages are now employed in all of Dale’s crews and have been picked up by other contractors. Fifteen have been produced. A smaller and lighter carriage has also just been built (800kg lighter with a maximum payload of approximately 4 tonnes) and at the time of writing, was being trialled by two of Dale’s crews. The forestry claw incorporates a camera into the grapple carriage providing the operator a real time bird’s eye view of the operation. It includes an infrared camera and carriage lighting for operating in the dark, GPS location (with data on cycle time, elevation, distance, speed and slope being supplied), details on carriage distance to hauler and a host of other benefits. Dale’s Nelson crews are up to 95% utilisation with the grapple carriages. Other innovations include an addition of an extra arm on the grapple that will hold trees already within the claw to multi-bunch (potentially leading to a 30% increase in the number of trees brought up to the landing). Other innovations being worked on by Dale and his team include a remote winch assist dozer, remote winch assist digger, crew voice recorders, automated hauler controls and a log carriage being fitted with a felling head. The objective from the start was to mechanise their harvesting operations with the aim of eliminating or reducing incidents on the landings, then with breaking out operations and finally, incidents through manual felling on steeper slopes. Dale will be outlining these innovations and one of Australia’s largest stand-alone harvest and haul operations, Sunchip will be presenting as part of the harvesting component of the Australian leg of the Wood Flow Logistics event

his year. In addition, the very latest developments from Waratah Forestry Attachments, Tigercat, Brightwater Engineering, an overview of innovations being used by leading South American harvesting operations and a new on-line mapping product to assist in harvest planning will be discussed at both the Australian and New Zealand legs of the Wood Flow Logistics 2014 event. Another innovation in wood logistics capturing a lot of attention recently is a smartphone app that’s been developed in Germany to measure wood volumes. Manfred Ide, Managing Director of Fovea, has already introduced the project at national and international wood fairs and is fielding enquiries from South African, Brazilian, Spanish and Russian forest products companies.

Smart way to keep loggers Appy The savings potential for the forestry industry is, according to the company, enormous. Professor Bernd Stock from the HAWK Faculty for Natural Sciences and Technology in Germany says, “The app is a real technological innovation. It uses elements from digital image processing and calculates this information on a smartphone.” This new app takes only a couple of minutes to count the logs, the cubic metres and the stacked cubic metres for an average log pile. The wood is measured photo-optically in several steps; a panorama photo then appears on the display, and finally the number of logs appears according to thickness along with the data on solid cubic metres and stacked cubic metres, on the basis of which the price can then be calculated. In addition to the advantage of saving time, the app can also – if used for larger areas – serve to simplify and standardize wood

logistics. As part of the upcoming Wood Flow Logistics 2014 event, the company behind the app will briefly outline the technology, what it can do and how it’s being used. In improving wood transportation efficiencies, insights into managing wood flows from one of Chile’s largest forest products companies (10 million m3 per annum), Australasia’s largest wood manufacturing operation, Visy Tumut, and dispatch systems being used by leading New Zealand, Australian and US operations will be covered as part of Wood Flow Logistics 2014. The return on investment through the adoption of real time dispatching and mobile technologies to assist in communications between landings, truck fleets, dispatchers and customers are already well documented. Setting up a collaborative logistics system to maximize transport productivity within a region will be discussed at the Wood Flow Logistics 2014 event. Working collaboratively sounds good in theory but it takes time to build up any coalition. Establishing fair and efficient contracts for each of the participating companies, overcoming resistance to change and setting up decision support systems that can keep sensitive information protected are all part of the journey. A case study on how one of this region’s most recent regional wood transport coalitions was set up and is now operating will be discussed at the mid-June event. Wood Flow Logistics was last run in 2012. Developments in mobile communications, data capture and analysis have in the last two years been significant. If you’re a forest manager, harvesting contractor or wood transport operator, you should look at Wood Flow Logistics 2014. The event will run in Rotorua, New Zealand on 1112 June and again in Melbourne, Australia, in the following week on 17-18 June. Further details can be found on the event website, www. woodflowlogistics.com


Australian Forests & Timber News, May 2014 – 17

FINANCE

A fresh approach to finance Australian Forests & Timber News talks with Mark O’Donoghue the principal of Finlease about their recent entry into financing the Forestry Contracting Sector Why has Finlease cast their attention to the forestry industry? With our expansion into regional country offices we have become aware of this sector and having recently assisted one major client in this space, we can see an opportunity to work well in this space and make a real difference.

What makes you think Finlease can make a difference? Firstly, although we are new to the industry, it is very similar to many of the other capital intensive sectors we have worked with for over 25 years and as such our skills and the buying power of funding over $350 mil p/a with a dozen or so competitive underwriters, easily migrates into this sector. We know all too well that we are “the new boys on the block” and as

such we will need to earn our stripes. We will do this by providing cheaper, more attractive finance alternatives and making the whole process easy now and in the future. We are in for the long haul, having joined the AFCA as a silver sponsor as well as exhibiting at Wood Flow in June. If our presence increases competition for the existing funders who have become a little complacent in their relationships, that can only be a good thing for the industry.

saving in interest rates will save $7,000 to $13,000 over a typical 5 year term. Multiply that by 10 units and the savings are significant. When a Logging Contractor has their debt spread over 4 - 5 competitive underwriters, there is both ongoing support created for long term growth as well as removing the potential issues around the cross collateralisation and concentration risks we often see when clients are too reliant on funding with their banks or via narrow funding channels.

What will be the key differences?

Why is Cross Collateralisation and Debt Concentration an issue?

It’s all about spreading debt and creating a broader funding base of lenders who will form a long term stable debt platform to support future Capital Equipment growth as well as creating competition between those funders to distil the best outcome on each individual Equipment Finance transaction. In a sector where Forwarders are typically over $500,000 and Harvesters are close to $1mil, a .5%

Although a business might have a good relationship with its bank, factors such as a change of personnel or the bank’s appetite for Logging Equipment finance could become issues and cause the client unnecessary grief. Similarly, if all debt is with one

bank, the cross collateralisation issue which means that all debt is secured by all securities, can limit borrowings in other areas when the logging equipment finance should be seen as quite separate to property or working capital loans requirements. The greater the debt with a single entity, the greater the chance of issues down the track It is far more ideal to have the equipment debt spread over 4 5 financiers who can provide that broad stable base who the client can form a track record with and in doing so have a wider platform of supportive lenders who will assist in the increased funding required for the longer term growth of the business.

What can a Contractor do if they are uncomfortable about being too reliant on their bank? We have seen companies too exposed to their existing bank.

Some bankers can’t see the wood for the trees

Although immediate and total refinance is an option, it can sometimes come at too high a price in early termination costs, so the suggested exit strategy is about a systematic departure over a few years ensuring any new equipment is funded away from their existing bank. By doing this they reduce this concentration risk and cross collateralisation issues.

Finally, any advice for Logging Contractors? Yes, treat money like the commodity it is. Make sure you access it at the right price, with the least amount of conditions and the most favourable terms including securities required. Create or allow competition for your equipment finance business, you may well end up with not only a better rate, but also better service and conditions. Just don’t take your bank or present providers’ view on what is the best facility on offer, you may be very pleasantly surprised on what else is out there.

Finlease will be exhibiting at Wood Flow Logistics in June! Come in and see us at the show.

Is your equipment finance often lost in a forest of delays, processes and red tape? Tired of chasing your bank for an answer or reasonable, competitive finance? Looking for a long term finance option that is easy, offers a true, sustainable, business partnership which works for you and allows you to focus on what you do best? Finlease... speed, personal service, small business expertise, understanding, in so many ways... better than a bank. 1300 346 532

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18 – May 2014, Australian Forests & Timber News

BIO-BUSINESS

Biorefinery could put SA forest

T

HE VTT Technical Research Centre of Finland says construction of a specialised biorefinery was a long term goal to help put South Australia’s forestry industry back on the growth track. The South Australian Government had invited VTT to identify ways of increasing the productivity of the region’s forest and sawmill industry and to promote co-operation among the region’s businesses. After a year of research, VTT has now published its report, recommending seven future pathways for the region. Three have a time horizon of around 3–5 years, the remainder extending beyond 10 years. “It cannot be overstated that the forest and wood products industry in the Green Triangle region is currently highly challenged and even,

construction of new biorefineries for manufacturing highly refined products, such as absorbing materials and membranes, cellulose-based textiles, biobased chemicals and polymers, as well as nanocellulose. Tom Kenyon, South Australia’s Minister for Manufacturing, Innovation and Trade, commended VTT’s contribution: “VTT Technical Research Centre is a world leader in translating research into tangible business opportunities and I thank them for their detailed work which provides a report setting an agenda for the next 5–10 years and beyond.” The two-stage study was cofunded by the State Government and Federal Government. South Australia boasts remarkable forestry resources: more than 340,000 hectares of plantation forest.

Centres for science, technology and innovation in Finland (SHOK; http://www.shok.fi/en/) that aim to turn science and technology into sustainable bio-based solutions. They have experience in offering businesses and research organisations a new way of engaging in close, long-term cooperation and leveraging the best competences and resources. FIBIC combines research and companies for innovative solutions. FIBIC are accelerating Finland to become a pioneer in the sustainable bioeconomy and VTT, universities and global businesses are partnering in the development of a more innovative, resource-efficient and competitive society,” the report authors said.

Our vision for the Green Triangle region is the following: Green Triangle has a thriving forest and wood products industry that provides a sustainable contribution to the economy of South Australia in the long term, contributing to community, wellbeing, sustainability, and quality of life. The study followed a rigid and proven process, involving local players and overseas experts, as well as the substantial internal resources of VTT. The process has resulted in the development of three pathways with a 3 to 5 year time horizon, four more concise pathways beyond 5 years time horizon, and three generic policy-oriented recommendations to support all the pathways. In the following, the executive summary summarises these recommendations. Summing up the pathways with 3 to 5 year time horizon

Pathway 1: New wood products from underutilised Green Triangle log supplies

¢ Bundled forest residue.

according to some, in a state of crisis,” the report said. “Several company closures and the transforming situation in the forest resource have left the region in an uncertain state. This is why something needs to be done and with a matter of urgency. The forest sector thus needs actions to boost and renew the industry to a new level.” VTT proposed seven pathways to raise short-term local production value and establish specialised biorefinery business in the longer term. Proposals for raising short-term productivity include more efficient use of timber resources, increased production value for the construction industry, and tapping into opportunities offered by fibre raw material and industrial side streams. According to VTT, the X-ray scanning of timber could increase yield volume by 5%, equivalent to extra annual sales revenue of $70 million for large sawmills. Scanning is used to analyse the inner structure of the timber and identify optimal use. Implementation of VTT’s longterm recommendations requires the

These consist primarily of pine and eucalyptus. The sawmill industry provides work for around 35% of the population in South Australia’s Green Triangle region. But, as the report points out ‘to implement all of the recommendations arising from the study at the same time is simply not possible for logistical reasons and cost considerations’. “Clearly, these will have to be prioritised in a manner that will require input from all the key regional players in the value chain. How this is best implemented has yet to be finalised, but a series of workshops with VTT assistance involving representatives from the various interest groups, Government representatives at all levels and research providers is suggested as a good way forward. “In most of the world there are ongoing research programs related to the development of intelligent and resource-efficient processes, future biorefineries and bioenergy solutions which may be templates for South Australia. For example, the Finnish Bioeconomy Cluster (FIBIC; http:// fibic.fi/), is one of six Strategic

Executive summary The forest and wood products industry and associated value chain, along with many other Australian manufacturing industries, have experienced a very difficult decade, peaking in recent times from the exceptional circumstances created by the global financial crisis and increased globalisation. Coupled with internal factors such as a lack of re-investment, ageing equipment and poor management decisions have resulted in a significant reduction in industry profitability and a loss of employment opportunities that have combined to create an atmosphere of gloom and doom. Faced with this predicament, the South Australian Government felt compelled to act and sought the assistance of VTT, as experts in the forest product value chain, to develop grounded pathways for the renewal of the industry, both in the short (3-5 years), medium (5-10 years) and long-term (greater than 10 years), through a roadmap exercise. The work undertaken forms the basis of this report.

• Recommendation 1: Oriented Strandboard (OSB) manufacturing OSB is a structural panel product produced from low-cost pulpwood grade logs. The Green Triangle region has a surplus of SWD and HWD pulpwood. This is being exported as chip and as logs at low prices. Experience from several markets demonstrates that OSB has reasonable potential when priced competitively. The technology is mature and an efficient factory investment of $30 million is required to develop a plant of 200,000m3/a scale. This might require foreign investors/partners. To progress this initiative forest owners, local councils and the State Government should work together to define the biomass opportunity, favourable factory location and investment hosting inducements. This will result in value-added uses for pulpwood and supplies of locally produced OSB that will significantly reduce Australia’s wood product imports, thereby reducing its balance of payments deficit. • Recommendation 2: Veneerbased Engineered Wood Products (EWP) EWP products can potentially be produced from the region’s underutilised pulpwood-grade logs. A proportion of these logs will meet the quality requirements for peeling to produce veneers as furnish for EWP such as LVL (Laminated Veneer Lumber). This type of mill requires relatively high cost large peeler logs. For example, the Wespine investment in Western Australia was of approximately $110 million for a nameplate output of 90,000m3. To progress this initiative, there needs to be an evaluation of the proportion of pulpwood logs that would meet the requirements for EWP to scope out the scale of

opportunity. Such an opportunity would generate another value-add use for pulpwood and would increase the returns to forest growers. • Recommendation 3: Improved sorting and better yields by X-ray scanning X-ray scanning of logs to be processed is a not a new technology and has been used for at least 10 years in several sawmills in Scandinavia. The simple advantage is that being able to “see” inside a pine log, better and more efficient sawing is possible, e.g. splitting the round wood to sawn timber pieces of highest possible quantity and quality. The logs with inner defects can be sorted to different sawing patterns before sawing and thus the end products are of the best possible quality and volume. Investment of X-ray scanners is quite modest, $2-4 million, but may also require investment in additional ICT and sometimes to extra log sorting and mill layout. Payback time is very short, usually within 1-2 years. The best result can be reached through stem terminal, but this needs higher investment costs and can be utilised beneficially only in large sawmills. The next step would be to contact X-ray technology suppliers and establish what yield improvement is achievable through real time measurement on local radiata pine logs at one of the larger mill sites with good log sorting facilities. Labour safety regulations concerning the installation and use of scanners must to be checked. The value yield increase can be best verified through use of equipment in local mills. Ultimately the stem terminal solution can be adjusted and verified during this process, but this needs more research work for logistics etc. Only then can the value of the yield increase be estimated, not only for the sawmill, but for the total forest biomass. • Recommendation 4: Specialised sawmilling (using smaller logs for sawmills) Since the use of small size pine logs and pulpwood in the region is diminishing rapidly due to the closure of the pulp mill at Tantanoola, the raw material is exported as logs or chips, or simply unused. The small logs could and should be processed locally. Existing mills in the region are constructed in the main to use larger and longer logs with the use of smaller logs primarily for roundwood products. Higher value can be achieved through specialised sawmilling for short and small timber products, either in separate mills or in a new line in an existing mill. Investment in such a facility would be of the order of $30 million. With low priced small logs and modern equipment, the payback time can be reasonably short, while also offering new employment possibilities. Investment is even more attractive if integrated into an existing sawmill, particularly if at a larger site. The resulting timber pieces are estimated at having a value four times higher than chips from currently unused pulpwood.


Australian Forests & Timber News, May 2014 – 19

BIO-BUSINESS

industry back on growth track To progress this initiative, the availability and logistics of good quality small logs and pulpwood is required, preferably after final felling. An optimum location for small log sawmill, or alternatively a small log line in an existing mill, needs to be chosen and a seasoned small log machinery supplier consulted.

Pathway 2: Opportunities in construction industry using existing outputs • Recommendation 5: Crosslaminated timber (CLT) and high storey houses Cross-laminated timber (CLT) is an innovative-engineered wood product that is not currently produced in the Green Triangle. Imports of CLT are growing and the national and international market is predicted to grow. CLT is presently rapidly growing in Europe, but has still only a very low share of the construction material market. It can be expected that the same trend will be replicated in Australia and hence a good business case can be made for increasing the production of CLT.

There is enough material for a new CLT plant that should be co-located with one of the existing sawmills. The investment for a 60,000m3 capacity plant is approximately $30 million with a payback of 3 to 5 years. The next step would be to consider in detail the recent experiences in Europe and initiate contact with CLT equipment and adhesive suppliers. It would be necessary to work with FWPA, South Australia Government and other groups to modify relevant building codes to permit use of CLT in a range of applications including in the construction of high-rise CLT buildings. Training programs to build competence in wooden building skills and encourage use of CLT in public construction projects would need to be initatiated. The value chain of building code authorities, sawmill, CLT site, construction companies and eco-marketing companies needs to be developed. As a consequence tall wood buildings will be part of the next generation of high-performance sustainable buildings. This is a trend that South Australia should not miss, but could if locally produced CLT is not available. Beyond the potential profitability of construction with CLT, South Australia will produce a safe, carbon-neutral and sustainable alternative to the

conventional structural materials of the increasingly urban world. • Recommendation 6: Gluedlaminated timber (Gluelam) Gluelam is well known engineered wood product already in Australia. Its use in Europe for most large constructions like sport halls, industrial buildings, malls and larger open constructions is very common. However, in Australia building with environmentally much lower performance materials such as concrete and steel are traditionally used. Investment in gluelam equipment even for large-scale beams is quite modest at $10-20 million and would be best utilised together with big sawmills. The next steps are to consider in detail the vast experience in Europe and follow the seasoned practices. As with CLT, the building codes should be modified to permit and promote the use of gluelam products in large constructions e.g. municipal buildings. An initiative for an investment into a large scale gluelam site integrated into one of the bigger sawmills is needed. As a consequence, raw material input in gluelam can be of lower continued on page 18.

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20 – May 2014, Australian Forests & Timber News

BIO-BUSINESS Biorefinery could put SA forest industry back on growth track continued from page17. quality, thus increasing the value yield of local sawmilling. • Recommendation 7: Wooden bridges Wooden framed bridges are currently widely used in several countries in the world. Norway and Sweden are the leaders in this field, but examples can also be found in USA, Finland and Chile. The advantages of lightweight constructions bring along with it the possibility to assemble bridges without any disturbance over existing roads and with simple “one-lift” operation over railroads, rivers and other obstacles. It offers an effective low-cost option as such structures can be manufactured in factories and delivered by trucks. Investment in wooden bridge equipment even for large scale bridges is very modest (around $1 million) when made from gluelam production. To progress this initiative, consideration should be given to the experience in northern Europe and to follow their seasoned practices and building models. The building codes should be modified to permit and promote the use of wooden bridges and discussions initiated with the appropriate bodies to achieve this outcome. Coating and preservation needs to extend lifetime and prevent termite damage should be assessed with local experts from CSIRO and other academic institutions. The consequence of all this is that local and sustainable raw-material can be used instead of concrete and steel and this in turn creates more employment and increases the valuable use of gluelam from local under-utilised pine plantations. • Recommendation 8: Biocomposites Biocomposites, in particular wood plastic composites (WPC) are synthetic, thermoplastic resin/wood/ additives that contain up to 80% wood and could utilise the lower quality uncommitted waste biomass. The WPC biocomposite industry is predicted to grow to 4.6 million tonnes globally by 2016. The price of composite materials ranges from $1500 to $5000 per tonne. The Green Triangle region does not have a polymeric resin supplier, but could be the manufacturing site of WPC pellets for further processing at existing or new biocomposite sites, for example APR or similar companies (http:// www.advancedplasticrecycling.com. au/). WPC may also be of interest to advanced technology flooring companies for example 3RT. Another application could be along the lines of a composite development by Puustelli Group Oy, a leading kitchen furniture manufacture in Finland that was realised in co-operation with VTT. The next steps to consider would be to evaluate if an existing MDF mill could be retro-fitted using the same front end and providing an alternative product and market stream. The logistics of the supply of suitable polymer is absolutely crucial. Forest owners, local councils and the State Government will need to work together to better define the

biomass opportunity, and investment possibilities. A national/international investor search canvassing biocomposite producers, as one of a range of possible end-uses for the under-utilised pulpwood logs would also be needed. As a consequence there may be an opportunity to generate composites from sawdust, pulp logs, wood chips and shavings and thereby add value to these biomass residuals. There is the potential to generate new forest-based value chains, more employment and add value to under-utilised biomass in the Green Triangle region.

Pathway 3: Biorefinery - opportunities for under-utilised wood fibre and residues • Recommendation 9: Bio-oil by fast pyrolysis Fast pyrolysis to heating oils is commercial ready technology. It is capable of converting different biomass resources including industrial and forest residues into liquid fuel that can replace heavy fuel oil used in boilers and kilns. The investment for a 60,000 – 90,000m3/a bio-oil facility is relatively low, in the region of $30 million, and would generate about $60 million worth of annual sales. The next steps to consider would be to identify suitable sawmills for

of the unused forest residues available in Green Triangle will be converted to a more usable energy form with profitable outcome for the region. • Recommendation 10: Bio-char by torrefaction The energy, mining and metal industries in South Australia, which uses millions of tonnes of thermal coal annually, could cofire biocoal in their power plants. In addition, biochar can be used as a soil conditioner and biogenic carbon sink. Biomass in the Green Triangle available for torrrefaction includes excess pulpwood, forest biomass and chips produced at sawmills. Production volume of torrefied pellets, as part of overall energy biorefinery platform, could be in the range of 100,000 to 200,000bdt/a with annual sales value of about $1530 million (excluding potential soil conditioning and biogenic carbon sink application revenues). Investment requirement is also relatively small ranging from $20 to $40 million. The next steps to consider would be to develop incentives and regulations for biomass use in heat and power production, to identify potential biochar customers, to establish the connections between the different value chains (forestry, power, mining, and metal, etc.), to identify suitable torrefaction plant location and to commence biochar logistics design and planning. As a consequence of the regulations, demand of solid biofuel increases in the energy

transportation fuels or chemicals. Revenues of over $100 million are possible for a facility processing 1,000,000m3/a biomass when FTdiesel is produced. The next steps to consider would be to identify most suitable incentive or capital investment subsidy programs for supporting first implementations of liquid transportation fuels production and for motivating biobased electricity production, to develop contacts and cooperation with fuel producers and distributors, to establish well-operating low cost biomass supply chain for supporting the large biomass demand of gasification based biofuels production, and to identify byproduct heat integration possibilities. A successful progression could see the first gasification based heat and power plants being realised in 3-5 years and a major part of unused forest biomass valorized. Summing up the pathways with beyond 5 years time horizon

Pathway 4: Development of adsorbents and membranes for local opportunities Manufacture of wood plastic composites from sawmill residuals could be extended to utilise waste fibre sources by the generic

future business impact and, as such, is a topic of significant research effort worldwide. The subsequent demand will transform the bulk cellulose business to one that focuses on the premium design applications of cellulose. However this would currently necessitate the location of a pulp mill in the region which, as already mentioned, is considered most unlikely in the current circumstance. However, a recent development on small-scale pulping using an organic solvent is showing some promise (Lignofibre technologies), and if successfully scaled could be transformational and make this opportunity even more attractive.

Pathway 6: Bio-based chemicals and polymers Biobased chemicals and polymers are part of the development of next generation cellulose products. The Green Triangle region, with its abundance of unused biomass, should retain an interest and in particular the development of added value products from hemicellulose and lignin. Hemicelluloses and celluloses are the most abundant of the natural polymers, and their availability practically outranges the current volumes of plastic production. There are opportunities for the use of xylan and cellulose derivatives. Routes to chemicals and materials useful for coating and packaging, including films, barrier materials and coating binders. The key stateof-the-art solutions that should also be considered are bio-based platform chemicals and polymers that have more than one application, such as natural polymers modified like starch and biobased materials like polylactic acid PLA which have established a position in the biodegradable plastic market. A key tendency is also from proven biopolymers towards composites, and the development of business and market development in the field of biopolymers and composites.

Pathway 7: Opportunities in nanocellulose

¢ Stacked logs set for the next phase.

a pyrolysis plant implementation based on feedstock availability and potential bio-oil users in the region, to establish conditions and regulations for bio-oil market development, to carefully assess potential “crude” bio-oil and upgraded bio-oil users, to develop bio-oil supply infrastructure and to follow the bio-oil upgrading technology development. As a consequence, first plants could be realised in Green Triangle in next 3–5 years, supplying energy first to the sawmill boilers and kilns and later to external customers. Significant parts

sector, enabling investments into torrefaction. • Recommendation 11 and 12 combined: Power, heat and biofuels by gasification Gasification is a key future energy biorefinery technology that has many different application areas. Gasification of forest residues has been demonstrated at an industrial scale. Large amounts of unused wood and forest biomass in the Green Triangle is a potential raw material base for electricity and, in the future, for conversion of syngas into

innovative utilisation of side-streams to generate bio-based monomers and corresponding polymers for amongst other things improved bioplastics, and high quality lignin plastics. Two more distant and unconventional ideas are a paper bottle or transparent cellulose based packaging materials.

Pathway 5: Cellulose fibres in textiles The use of cellulose fibres for textiles to replace cotton has high

Nanocellulose has been shown to have the potential to be very useful for a number of future technical applications. The key to understanding how nanocellulose will behave in different applications is to have a thorough understanding of how the structure and interactions of nanocellulose affect its function and hence its suitability for different applications. One large cost of producing nanocellulose comes from the energy input required for defibrillation of the starting materials. The rapid pace of development will see significant advances that should be watched very closely. While a promising beginning, the process undertaken to date is not complete.


Australian Forests & Timber News, May 2014 – 21

FORWARDERS

B means bigger and better! T

HE TWO innovative Tigercat forwarder models both powered by the Mercedes 906 -- the 1075B and the 1055B – are designed to do the “hard stuff with ease” and to last, according to David Hazell, Managing Director of Onetrak (Australia’s’ Tigercat agent). The 20-tonne 1075B is the industry’s highest capacity forwarder. Offering 275hp, wide spread bogies, an extendable bunk option and a choice of two wagon frame lengths, the 1075B excels in final felling applications, long distance forwarding and scarifying applications. The 1055B is a heavy duty 14-tonne forwarder built to handle both selective and final felling applications. Offering 228hp, up to 10m of crane reach, extendable bunk options and a choice of two wagon frame, the 1055B is an excellent all-around forwarder. The bogies are enhanced with thicker gear sets, walking beam wall thickness (1075B) and stronger wheel mounting areas. The outboard planetaries allow for larger gears. The 1075B forwarder bogie has the largest differential (20 tonne) and gear train in the market, making it more durable than competing machines. Tigercat forwarders feature on-the-fly differential lock shifting that is easily engaged and disengaged. The extra-long centre to centre walking beam distance (1.89m) greatly reduces ground pressures and outperforms competitors in deep snow and soft terrain. The increased wheel stance allows the bogie to roll over bumps gradually, reducing abrupt movement in the cab and in turn improving ride comfort for the operator.

Centre Section The Tigercat centre joint is extremely durable. It is constructed with thick steel plate and the articulation and oscillation joints feature oversized, sealed, tapered roller bearings with large pins and sacrificial bushings all

held together with reliable shim adjustment that is designed to stay tight for the life of the machine. The bearings are preloaded to prevent play. The unique center section design does not require an oscillation lock, allowing the operator to reach out and pick up a load of logs while the machine is still in motion. The 1055B comes standard with an oscillation lock and the oscillation lock is optional on the larger 1075B.

Cab Both models are equipped with a modern, well finished and spacious cab with extended windows for excellent visibility to the load area as well as the ground. The cab has reverse sloping windows on the front and rear to reduce the need for wipers in wet conditions. The cab tapers out at knee height providing exceptional space for rotating the seat as well as providing site lines down the sides of the engine enclosure to the ground. The large window area provides an open feeling, reducing the perception of being confined within machine cab for long periods. A quiet environment is important for better operator comfort and productivity. The Tigercat forwarder cab is insulated and isolation mounted for reduced noise levels and vibration. Sound insulation is used under the cab, on the engine wall area, and the engine hood to reduce driveline and engine noise. All connections to the cab use bulkhead fittings to reduce noise transfer. The interior finish is impressive and exceptionally durable due to the use of high impact strength materials throughout. All windows are 12mm thick polycarbonate with hard coating for scratch resistance.

¢ Tigercat 1075B forwarder working in southern Tasmania.

This feature dramatically reduces fuel consumption. The fan is driven hydraulically with a manual ‘purge’ function that reverses the fan direction to clean debris from the heat exchanger area without exiting the cab or halting production. In cold conditions the fan runs at low rpm, allowing the machine to come to operating temperature quickly at start up. The generously sized heat exchangers contribute to lower fan speeds and allow the machine to work through a broader ambient temperature range with a given oil viscosity. The reversing feature of the fan contributes to keeping the heat exchangers clean, further reducing the need for high fan speeds.

Cooling

Hydraulics

The B-series forwarders are equipped with an automatic variable speed reversing fan system that provides minimum necessary fan speeds to maintain optimal operating temperatures.

Tigercat forwarders are equipped with a large drive motor, allowing the motor to constantly work within its optimal efficiency range. This provides excellent drive performance characteristics

and allows maximum engine horsepower transfer to the drive system for improved tractive effort. Tigercat uses larger crane pumps to produce the required flow at lower engine rpm. This saves fuel and improves crane performance. All valves are centralised for quick and easy access in a single location at work bench height on the side of the wagon frame.

Service Tigercat forwarders have unsurpassed service access to all electrical, mechanical and hydraulic systems. Access to

the engine, driveline and pumps are through the tilt-out hood enclosure and tilting cab. All the hydraulic valves and computer control modules are located in one compartment in the wagon frame. Easily accessed from ground level, hydraulic adjustments are simple to perform. Electrical reliability is excellent due to short wire runs between the control modules and valves located immediately beside them. Further enhancing reliability, all electrical grounding is done through protected and sealed wires and connections that run from each component to the battery ground terminals.

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22 – May 2014, Australian Forests & Timber News

FORWARDERS

Intelligent boom control for forwarders J

UST BECAUSE loggers work in the woods doesn’t mean they don’t crave a first-class ride, and John Deere brings that best-inclass revolution with its E-Series Forwarders, packed with new features that result in higher productivity, lower operating costs and maximum uptime for loggers. Most notable is a long awaited breakthrough in Forwarder technology, Intelligent Boom Control. This optional feature will be introduced on the John Deere 1510E and 1210E IT4 Forwarders and is a milestone available exclusively from John Deere and was recently showcased at Elmia Wood 2013. The forestry industry has been talking about computerized crane tip control for over 30 years, and John Deere is pleased to offer Intelligent Boom Control (IBC) to its customers, so they remain successful with the most productive, reliable and intelligent machines and support solutions. Intelligent Boom Control makes the boom operation accurate, fast and easy, as the operator now controls the boom tip directly instead of controlling each of the independent boom joint movements. When all of the extra movements are eliminated, IBC will also increase the durability of boom structures and hydraulic cylinders. This intuitive control

system can significantly increase logger’s productivity while providing best possible fuel economy and boom lifetime. The most important benefit of the IBC system is how easily and quickly the operator’s capacity can be improved via crane tip control. A Forwarder operator’s workday consists largely of crane work – lifting logs from the ground and up onto the load bed and then unloading them at the roadside. It takes a long time to become a skilled operator and be able to operate the controls in the most efficient way. But many Forwarder operators then move on to operating harvesters, where the demands are even higher, and so then new Forwarder operators have to be trained up. Large Size E-Series IT4 Forwarders, the comeback of a fixed

comes equipped with productivity and uptime enhancing bogie axles, V-groove axle mounts, frames and a middle joint. It also features a new headboard design that significantly improves the operator’s visibility to the load area. The unloading speed is another notable enhancement, as loggers have increased visibility of where to grab. The 1510E IT4 Forwarder’s cross-sectional area has been increased to 5.3 m2 for the wide load space option. John Deere 1510E IT4 Forwarders are also equipped with the John Deere 6068 PowerTech™ Plus series turbocharged 6-cylinder 6.8L engines. Depending on the market, 1510E is also available with Stage 2 and 3 rated engines as is the 1910E which is powered with the PowerTech™ Plus series turbo-charged 9-cylinder 9.0L engine.

‘More capacity and power’ cabin option but still the same reliable T2 Engines for Australia and New Zealand The 1510E IT4 Forwarder is among John Deere’s most powerful Forwarders, now with more capacity and power with a larger hydraulic pump and a stronger drive motor. It

In response to many customer requests, John Deere is now offering an alternative for the revolutionary rotating and leveling cabin in its E-series Forwarders. The fixed cabin option features the same control panels and the same seat options as the rotating cabin. Despite a different

machine concept, the fixed cabin also offers good visibility to the work area and an ergonomic operator environment. The fixed cabin option becomes available in connection with the E-series IT4 models’ market introduction in June 2014 Other innovations recently introduced into John Deere Forwarders’ include the new TimberMatic F-12 control system focusing on customers’ productivity, uptime and daily operating costs by offering new features, including: •S mooth Boom Control – SBC - A new control system feature, which enhances E-series Forwarder boom precision and reduces vibration. SBC makes the operator’s work

easier, loading faster and boosts the machine productivity. •C ruise Control – Makes it possible to drive a John Deere Forwarder at a constant speed similar to passenger cars. This option is also available as a retrofit kit. •C onfigurable User Interface – A new shortcut display in the PC that increases uptime and productivity for operators. The advanced display makes navigation in the control system easier. •S ub Shifts Work Statistics – Enables two machine operators to be active in Work Statistics at the same time, providing better follow-up of the machine and operators during equipment service and repair.

Green out West Long-term relationships with major suppliers THERE HAVE been several John Deere forestry machines delivered in Western Australia’s South West three of them delivered to Plantation Logging Co. Established in 1984, Plantation Logging specialises in timber harvesting and haulage, earthmoving services and plantation maintenance. Business owners, Jeff and Jenny Loton, have a long history in timber harvesting within the Bunbury region. They are also members of Hoo Hoo International, an organisation uniting members of the timber industry. Today, Plantation Logging employs around 90 people, focusing on turnkey projects that encompass falling, extraction, loading and carting of both softwood and eucalyptus products. Jeff Loton said, “We operate several crews. We still do a small amount of native timber harvesting— about 100,000 tonnes of debarked blue gum. This is extracted using the cut-to-length method and transported in the roundwood form to Bunbury Fibre Exports where it is processed into export chips. “After winning a recent eight-year contract with the State Government’s Forest Products Commission (FPC), our largest volumes now come from softwood plantations. The contract involves felling, extracting, loading and transporting 250,000 tonnes

of pine to WESPINE, the largest sawmill in the South West.” In addition to their own timber haulage operations, Plantation Logging also cart for Colin Brown who won a parcel of wood in the recent FPC tenders. Colin purchased two John Deere harvesters and a 1910E forwarder. Jeff and Jenny also own Bunbury Firewood Supply, which utilises residue from the native forest harvesting operations to sell as domestic firewood to the local market. “When it comes to our equipment, we have formed long-term relationships with all our major suppliers,” said Jeff. “I’ve noticed manufacturers such as John Deere are offering technology that suits our business. For example, JDLink enables us to remotely monitor the activity of our harvesting equipment, including fuel consumption and productivity levels. “Ultimately, we see JDLink reducing our maintenance costs as it notifies us when a machine is due for service and also has the ability to alert both our company and Hitachi Construction Machinery Australia of any faults. “The first machines we purchased were Timberjack back in 1994. We decided on ‘Timberjack Green’ as our company logo colour, which today still represents our strong ties

¢ Hendrik Visser (Regional Sales Representative - HCA Bunbury Branch), Jeff Loton (owner of Plantation Logging) and Marty Coyle (1910E Forwarder operator). This photograph inadvertently appeared with the wrong story last issue.

with both John Deere and Hitachi Construction Machinery Australia.” Jeff and Jenny have attended various international logging exhibitions to seek further information about new forestry products and technologies. Following their FPC tender win and support from Hitachi Construction Machinery Australia (HCA), the John Deere 903KH tracked harvester sparked their interest. “We’ve always had Deere forwarders in our fleet, but it’s a long time since we purchased a tracked machine. After speaking with HCA’s Perth Sales Manager, Perry Maxwell, I contacted an old

friend, Colin Moreland in South Australia, to ask if I could see his 903KH in action. I would like to thank Colin for hosting us and showing us around his operation. This helped me make my decision as to what harvester I wanted. “We had specific criteria. As we run all Waratah attachments except for on one harvester, John Deere were the obvious choice as they offer an integrated Waratah package direct from the factory. When the machine arrived in Australia, it was only a matter of ‘plug and play’. “The production we require from the machine is very high, so we needed assurance of uptime and

productivity, and of course, low operating costs. “We have not been disappointed with either the 903KH or our two 1910E forwarders. As far as fuel consumption is concerned, these machines are exceeding expectations. “Local product support is critical and HCA have a local sales and support facility in Bunbury. “I also want to look after my crew. Ergonomics play a large role in my purchasing decisions and John Deere machines ticked all the boxes. These machines not only have to meet the above requirements, but I am also expecting them to ‘stand the test of time’.”


Australian Forests & Timber News, May 2014 – 23

FORWARDERS

The Land of the Giant P

ROBABLY THE best testimonial any manufacturer can ever receive is from an operator, satisfaction carries a lot of weight and greatly assist in obtaining repeat business. That has been the case with Mangan Logging and Komatsu for more years now, certainly longer than some can remember. In recent times, Mangan has bought three of Komatsu’s muchvaunted 20-tonne 895 Forwarders and, according to logging manager Matt Mangan, the “operators are over the moon so far”. The trios of machines were the latest in the purchase of an estimated 25 Forwarders from Komatsu Forest over the past 20 years. The new 895s certainly tick all the boxes as far as Matt is concerned. He listed payload, stability and visibility as a few of the machine’s standout points. “Then there’s the operator comfort, the reliability and the power,” he says. Matt adds that Komatsu machines have proven reliability “and there is real strong local support. With the three new big machines in operation Matt says there is a

noticeable increase in payload … “ a better payload than the 890.3”. In fact, Mangan Logging has about half a dozen of the Komatsu 890.3s in operation at the moment, too. The Komatsu 895 is incredibly powerful delivering 255 kN of tractive force, making it a giant among comparable forwarders. The new crane … the Komatsu 165F is one of the largest on the market, and delivers a very high lifting and slewing torque. The ProTec feature provides protection for the hose routing from the crane tip to the grapple, this is now fitted as a standard option on all 895’s. It’s incredible to think, from starting with just a Volvo 868 Komatsu 200-5 with 16” Waratah and five workers the Mangan operation now has about 30 machines in operation and employs more than 50 people. Its main clients are Forestry Corporation and Hume Forests. The business currently harvests, forwards and hauls over 600,000 tonnes annually in softwood plantations in the Macquarie region. And the last word on the new 895s goes to Matt … “It all boils down to reliability,” he says.

Forwarder hauls large loads long distances CATERPILLAR’S DESIGN philosophy is to make machines that are structurally superior. Just looking at the CatÒ 584HD, you can see that the forwarder lives up to its name. “When we set the criteria for the design of the 584HD, first and foremost was the goal to uphold Caterpillar’s reputation of building structurally superior carriers,” said Glenn Brown, product specialist for Caterpillar Forest Products. “That meant a forwarder built for extended hours of usage, with a robust structure making it worthy of a rebuild when the time came to give it a second life. It’s not a throw away design.” Manufactured in North America, the 20 metric ton capacity, 8-wheel drive forwarder is solid and stable. The rugged front and rear frame structures, heavy duty cast articulation and large oscillation bearings are built for long service life in demanding forest applications. High stress areas have been reinforced for more durability. The optional blade with wear resistant front cutting edge is purpose-built for clearing trails and pushing forest debris out of the way. “In addition to a robust machine and

carrying capacity, the most important factors for productivity are a fast loader and tractive effort that can move large, heavy loads uphill, cycle after cycle,” Brown said. The crane is one of the fastest, strongest and most reliable on the market. A field-proven hydrostatic propel system provides maximum power on grade through a wide engine rpm and ground speed range, resulting in infinitely variable speeds at peak power and dynamic braking on steep terrain. The forwarder is powered by the 147 kW Cat® C7 engine with ACERT™ Technology providing fuel efficiency through high torque in the 1400 to 1600 rpm range. Fuel efficiency is enhanced by the over-sized cooling fan, which has its own hydraulic pump that includes a speed control modulated by the forwarder control system. The fan requires less horsepower and cools more quickly, allowing loggers to haul bigger loads, faster. The variable-speed cooling fan also helps to maintain component life. “Our cooling system is much larger than what you’ll find in other forwarders. Our

expertise with cooling systems comes from many years of experience designing hydrostat systems for wheel feller bunchers, where constant flow reversing comes into play in high heat conditions,” Brown explained. Besides the oversized cooling fan that turns more slowly, other “parasites” that can waste power needlessly were removed from the system to further increase fuel efficiency. For example, pumps are mounted inline as opposed to on a gearbox. And the large hydraulic pump doesn’t have to rotate as much as a smaller pump to keep oil flowing. The 584HD was built with operator safety in mind. “Safety is extremely important at Caterpillar and operators tell us they feel really safe in the 584 forwarder,” Brown said. Stability is one reason. The 584HD has a wider stance than many other forwarders, giving it better stability on steep hills. Research shows the majority of equipmentrelated injuries occur while entering and exiting cabs or from falling from machines. The hydraulic lift stairs and cab walkway platform of the 584HD provide best-in-class

access to help prevent these injuries. “The operator does not have to climb onto the tires to access the cab and the steps are wide enough for work boots,” Brown said. The cab structure has been designed and ROPS (roll-over protective structures) certified for the entire weight of the machine, not just the front tractor section, resulting in a more robust cab. The comfortable, quiet cab features automatic temperature controls, low-effort ergonomic joystick controls and storage compartments. Side windows extend below seat level for ground visibility close to the cab. The cab is roomy enough for the operator to easily swing around in the seat to run the loader. All major components and systems are accessible through the forward-tilting engine canopy and hydraulic tilt cab. The valve banks are located beneath the rear window where they’re easy to access. CAT dealer Canpower sold two CAT 584HD forwarders to a customer out of its Mt Gambier branch.


24 – May 2014, Australian Forests & Timber News

The Victorian Farm Forestry Industry Action Plan – a new direction By Andrew Lang Secretary Farm Forest Growers Victoria

I

N OECD countries generally there is a strong awareness of the relevance and economic importance of afforestation and of sustainable forestry management. It is probably strongest in the countries that had been largely deforested, such as Ireland, Armenia, Israel, Turkey and Denmark (among very many others); but it is also very much front-of-mind in the forested European countries, some of which, like Finland and Sweden, have in the recent past had periods of extensive deforestation. In almost all of these countries the importance and benefits of sustainable management of all existing forest is regarded as a given, and in these countries supportive Government policies are in place to retain or expand forest cover and to ensure that management is conducted in such a way that the habitat, water, cultural issues and sequestered carbon are all properly considered. Within this, national laws and policies generally support the activities of grower–governed bodies to manage the family-owned forest holdings, which usually comprise over 50% of total forested area. These countries generally strongly appreciate the fact that forestry is a major contributor to not just export income but to the health of rural economies, supply of biomass for energy, provision of shelter and habitat for the valued fauna, and provision of flood and avalanche protection, wild food supply, recreational outlets, and of many other environmental benefits. In Australia it is quite different. Here we have the situation where in most States the farm forestry sectors are no longer supported or funded, and there is confused policy about management of

public and privately-owned native forest stands. In addition to supplying some logs native forests simultaneously have to fulfil recreational and aesthetic functions, act as water catchments and as native animal habitat and a notional ‘carbon store’. Forestry is seen as a political issue, and so largely uninformed sentiment among the voting public consequently is often polarised and spread between one extreme and the other. One of these extremes is that all trees are to be regarded as sentient beings linked to some primordial past that must not be cut down. The other extreme is that it is fine to lay swathe to great expanses of forest regardless of the iconic, scenic or habitat values of the expanse. It is in this context that Farm Forest Growers of Victoria (FFGV) was funded in 2012 by the Victorian

plantings on private land, and in addition are the areas of leased blue gum plantings, previously controlled by MIS companies, that have reverted after harvest to be controlled by the landowners. In the present State Government’s election pledges in 2010 there was a specific undertaking to improve services to the farm forestry sector. However, for all these growers now there is no extension and training, and no Government support of any sort for establishment, management, thinning or harvesting. No-one is there to advise landowners wanting to plant new sites. Noone is looking after or maintaining records on the hundreds of trial sites, provenance and species plantings, or the thinning of seed orchards. Many networks that had thrived when receiving support from farm forestry extension

association in Tervo, Finland’s first grower network, has recently just notched up 105 years of successful management of its members’ forestry holdings. Appropriately, the lead consultant for the IAP was Private Forestry Services Queensland (PFSQ), which itself is an example for how such a body could – if properly structured and led – generate the income to become independently viable, and grow to provide all the array of services needed within a relatively short period. PFSQ has developed since 2008 from being Private Forestry Development Committee with one executive officer to now being an independent non-profit body employing up to 12 people and with a turnover of about $2.5 million. However, as its CEO, Sean Ryan, points out, it has not been an easy road, and it required initial reliable

‘One obvious way forward is to have the farm forestry sector independent of Government and employing its own people to deliver the services that the growers want’ Department of Primary Industry to oversee the development of the new Victorian Farm Forestry Industry Action Plan (the VFFIAP, or IAP for short). This Plan has now been approved by the Minister and unanimously accepted by a recent meeting of the FFGV committee. FFGV represents and speaks for the 1000 or so affiliated growers who are members of the seven active farm forestry networks in Victoria (including four AFG branches). These grower members control approximately 25,000 ha of planted non-industrial private forest, but there may be an additional 20,000 ha or more of non-affiliated

officers now languish, and morale of these growers is extremely low. Other networks are operating in a holding pattern but are disillusioned by the lack of any coherent policies. One obvious way forward out of this situation is to have the farm forestry sector independent of Government and employing its own people to deliver the services that the growers want. As said previously, this is the case in many central and northern European countries, and it has been shown to work well. In fact many of these independent networks have been functioning smoothly for over 50 years, and the forest management

Expansion plans for Top End forests TRADITIONAL OWNERS from the Northern Territory’s Gove Peninsula are hoping to expand their forestry industry. Native timber is currently harvested from Rio Tinto’s bauxite mine lease near Nhulunbuy for local construction projects, under an agreement between the Gumatj Association and Forestry Tasmania. Gumatj CEO, Klaus Helms, says commercial plantation species could also be grown on the site for export into domestic and international markets. “I think we have to change our views on the current practices under the rules of special mineral lease, which the mining company must obey, to put a different type of regrowth in the area, which has a substantial value in the long run after mining, so there is more benefit for the Traditional Owners in the long run. “I think we really need to get together with the forestry department and do some sample plots, a couple of hundred acres, to see what is sustainable.” “I think we’re looking to better utilise the area that’s going to be cleared anyway, and to look at the after-mine industry,” he said. Helms says while the proposal is still in the early stages of development, initial stakeholder

discussions have been positive. And still in the top end, a Japanese company has signed a deal to export and sell woodchips from the Tiwi Islands in the Northern Territory. Over five years, the local Tiwi Plantations Corporation (TPC), in partnership with Mitsui, hope to export up to 400,000 green metric tonnes ofAcacia mangium to Japan, China and India. Chairman of Mitsui, Yasushi Takahashi, said the Tiwi Islands was famous for arts and football (AFL), and his company was committed to making it ‘world-famous’ for exporting woodchips. TPC’s general manager, Roger Smith, said the Memorandum of Understanding with Mitsui was a major milestone for the plantations. “In five years the gross revenue to the islands will be in the order of up to $200 million.” NT Chief Minister Adam Giles praised theTraditional Owners for their ‘courage’ to take on the plantations in 2009 after the collapse of former owners, Great Southern. Around 30,000 hectares of Acacia mangium are grown on Melville Island, north of Darwin. The first shipment of woodchip is expected to leave the redeveloped Melville Port later in the year.

base funding, a lot of persistence, hard work, hard headedness and some luck. So the FFGV at present now has a well-written IAP which summarises the main role and many actions and jobs, and other roles to work up. FFGV now has the job of developing a central body of the most suitable structure and with a powerfully interactive website, and of finding funding for two or more full-time positions for the transition period of three years or more. With help from the Department of Environment and Primary Industry, Victorian Association of Forest Industries, and Timber Towns Victoria, the

¢ Andrew Lang.

process of assembling the possible sources of funding has started. The potential benefits of a reinvigorated farm forestry sector in Victoria is that dispersed plantings on up to only 4% of the State’s cleared farm land would total around 600,000 ha and by 2040 would be producing about 4.5 million m3 of roundwood. In addition to income generated from sale of sawlogs and pulpwood, the production of biomass for energy, the sequestration of atmospheric carbon, improved bee forage, and the economic stimulus to regional economics, would all add to the overall benefits. Additional farm income and productivity, stock welfare, native animal and bird habitat and less nutrient runoff into water ways adds to this picture. It is not as if this all does not have good precedents. Countries as diverse as Israel, Denmark, Ireland, Turkey, China and Kenya have all been active in extensive reafforestation programs, and all are showing that the benefits from increased tree planting across cleared farm land can result in very significant benefits. In the case of plantings properly integrated with farming enterprises these benefits can begin to be evident within the couple of years after planting.

Eucalypt plantation a top example of how it should be done THE COOMBES Plantation, near Wauchope in the State’s north, is among the best examples of commercial eucalypt plantations in NSW. The 286 hectare eucalypt plantation was established in 2000 as both a carbon offset and a future timber supply, following an agreement between the Forestry Corporation of NSW and the Tokyo Electric Power Company (Tepco). Thirteen years after its establishment, the plantation’s five carefully selected eucalypt species are thriving. The planted Dunn’s white gum, coastal blackbutt, spotted gum, Gympie messmate and flooded gum have reached up to a healthy 32 metres in height and 30 to 50 centimetres in diameter, and will prove a reliable source of timber for poles, girders, peeler logs, sawlogs and pulpwood for local industry in the future. Importantly, the plantation is also sequestering around 7000 tonnes of carbon dioxide each year. Its location on previously cleared farmland also makes it compliant with the Kyoto Protocol, meaning it is directly contributing toward Australia’s internationally agreed greenhouse gas mitigation targets. The plantation was part of Forestry Corporation registration with the NSW Greenhouse Gas Reduction Scheme (GGAS), which allowed it to receive and trade credits for the carbon sequestered by the plantation. The plantation is now owned solely by Forestry Corporation as Tepco sold its share to the corporation when the future of the State scheme for trading carbon became uncertain.


Australian Forests & Timber News, May 2014 – 25

MULCHERS

Job-specific machines designed to last in tough conditions T

HE CHOICE of mulchers in the Tigercat range means there is a machine for your specific purpose and David Hazell, Managing Director of Onetrak (Australia’s Tigercat agent), says Tigercat’s ability to specialise in the design and manufacture of premium quality forestry machines help to make purchase decisions a lot easier. “Tigercat machines are well known for their structural integrity, long life, high machine availability and excellent resale values. “Tigercat has a great deal of experience with severe duty applications and has the ability to build robust machines with complex hydraulic and electronic systems that stand up to hostile operating environments. This put the company in an excellent position to expand into mulching and land clearing applications over a decade ago,” said David. “Today, Tigercat has three

climate controlled; insulated and isolation- mounted with a high output heater and air-conditioning. Along with a comfortable, extreme duty suspension seat, the cab also affords excellent visibility in all directions and ergonomic armrest mounted joystick controls. Moving up the scale, David said the M726E mulcher --, based on the 726 feller buncher that Tigercat has been manufacturing and refining for over 20 years -- is a 300 hp class mulcher that is extremely durable and reliable. The machine is well suited to heavy-duty land clearing and ROW clearing applications with heavy brush, post-harvest debris or standing timber. The M726E has the largest attachment pump in its class, boosting productivity. It is also available with a quick attach boom adapter and multi-function hydraulic package to quickly convert the machine to a feller buncher if required.

‘Quick access to daily service points for quicker and more effective maintenance routines’ machines in the mulcher carrier lineup, two wheel-driven carriers and a track-driven carrier. In addition, Tigercat builds other site preparation, material handling and specialised severe duty carriers used in a variety of niche applications and industries including utilities and oil and gas sectors.” David said the compact and agile M718E is a 170 hp class mulcher ideal for smaller scale land clearing applications and light duty ROW maintenance projects such as transmission lines. It is light, compact, agile and easy to transport, yet it is a purpose- built, severe duty off road carrier with extremely durable construction throughout and a heavy duty front chassis and boom system. The hydraulic system is optimised for the high duty cycle application of mulching with a large attachment pump and high flow to the head. The high capacity cooling system, essential in mulching applications, uses a variable pitch fan with reversing cycle for improved fuel economy and better performance in high ambient temperatures and extremely dusty conditions. The M718E is standard equipped with boom float system -- the mulching attachment automatically follows terrain contours. The component arrangement provides quick access to daily service points for quicker and more effective maintenance routines. Hydraulic pumps and filters are easily accessed through the swing-out rear door. With service points easily accessible, operators are able to perform daily service quickly and effortlessly. The operator station is quiet and

“There are a number of M726E feller bunchers working in oil and gas applications. Contractors like the reliability and high uptime characteristics of the machine and ultimately the high production that the machines achieve in what are often considered time sensitive land clearing jobs,” said David. Another important advantage is the optimal airflow and high capacity cooling system, essential in environments with high dust levels and extreme ambient temperatures. Other standard options include a rear camera system and the automatic boom float system to not only reduce operator input and fatigue but also allow the mulching attachment to automatically follow the contours of undulating terrain. “Owners and operators of the M726E cite a number of important advantages. Operators appreciate the ability to perform daily service quickly and easily because all service points on the machine are easy to reach. Great care has also been taken in arranging and positioning components, making major servicing quicker and easier,” he said. Then we come to the 480, which is a 500 hp class mulcher suitable for tough terrain, sensitive site applications for high production pipeline ROW, exploration, commercial land clearing and other high duty cycle clearing projects. High production and extremely low ground pressure combine to offer exceptional performance in the most demanding mulching jobs. The 480 is a powerful machine with 440 hp available for the mulching attachment. The machine is compact and maneuverable with a narrow

¢ Tigercat M480 mulcher in North Queensland ready to work in a gas application.

¢ Tigercat M726E mulcher gets stuck into the work.

overall width and a light footprint for soft soil conditions. A highly refined closed loop track drive system propels the carrier and a dedicated pump powers the attachment. The Tigercat 480 uses heavy duty track frames and a robust mounting system for the oscillating tracks. The efficient, high capacity cooling system uses a variable pitch fan with an automatic reversing cycle. The machine incorporates highlift boom geometry for improved performance on uneven terrain. The 480 is also equipped with the counterrotate function (CRF) as standard. All functions including the joystick steering are electronically controlled allowing for operator customisation. “As always, Tigercat has strived for the best possible access to daily service points and major components with large swing-out engine compartment doors and a tilting cab,” David said.

Logging Trucks NEED AIR CTI It is ESSENTIAL; ABSOLUTELY ESSENTIAL Stop waSting money, truckS, tyreS, and driverS • More Traction • Lower Costs • Safer • Healthier • Greener

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Complies with contractual requirement “CTI fitted to truck driver wheels - AS4708”

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andrew@aircti.com

www.aircti.com


Classifieds Forest Equipment Specialist

FoR Sale

NOW in PRINT & ONLINE

• 4 x 6’ deep aluminium log bolsters. $4,000 + GST

NEW Tigercat 1075B Forwarder IN STOCK NOW

25 tonne payload. $ POA

in k IC oc , V st ng in no ow e N and D

Sell your used equipment, advertise your tender, offer your real estate or find your next employee. For rates and deadlines call Michael (03) 9888 4834 or email: m.dolphin@ryanmediapl.com.au

26 – May 2014, Australian Forests & Timber News

Tigercat 1018 Forwarder 18 tonne capacity with turnaround cabin, load cells, 8,050 hours. $79,950 + GST

• 4 x 6’ deep steel log bolsters.

$2,000+ GST

• 1 x Tess twin edger plus 52” saw including transfers and spares. $20,000 + GST • 1 x Tess one man bench including infeed table and transfers. $28,000 + GST • 1 x Tess docking saw including rollcase. $4,000 + GST R.J. & J.R. STEPHENSON SAWMILLING CO.

Contact: 0429 921 181

Tanguay TF975 Feller Buncher Cummins QSL9 engine, new undercarriage and Quadco disc saw, 6,816 hours. $150,000 + GST

Yes – It’s true, Whittakers Timber Products is closing down! Our Sawmill at the Greenbushes site in Western Australia has already closed and the dry mills and kilns will close towards the end of this year.

Classifieds

Australian Forests & Timber

CAT 322CL Harvester Fire suppression includes Waratah 616 processor. $79,000 + GST

BUNCHING GRAPPLES If you are looking for a heavy-duty grapple that will sort, bunch and load all day, everyday, then you need a Rotobec. Efficient and versatile, these quality grapples have just arrived and are now available from Onetrak.

1300 727 520

www.onetrak.com.au

All plant & equipment is being offered at super low prices on an as is where is basis! The Company Directors say, “SELL IT ALL” Complete near new 2006 MEM sawmill 2 x other comprehensive hardwood mills 3 x moulding lines 15 x conventional kilns Kiln sawdust/thermal oil heating system 2 x optimising docker lines 2 x chipper lines Loaders & forklifts Edgers Cherry picker, scissor lifts Tool grinding shop Log debarkers Compressors Gang saws Maintenance work shop equipment & spares Weigh bridge Large clam shell storage bin Dust extraction systems Comprehensive sawshop Office equipment & furniture Huge inventory of materials handling gear Everything must go! We are even selling the buildings! View our website www.whittakersequipmentsale.com.au or telephone Geoff on (08) 9302 2022 – mobile 0409 302 200 or Chris on (08) 9459 6877 – mobile 0409 083 977


Australian Forests & Timber News, May 2014 – 27

FIREWOOD MILLS

For Information, please, call 0419-536 804 or email your postal address to info@firewoodmills.com.au

Classifieds Sell your used equipment, advertise your tender, offer your real estate or find your next employee. For rates and deadlines call Michael (03) 9888 4834 or email: m.dolphin@ryanmediapl.com.au

New model Easy50 available now!

Different sizes of mills with optional feeding table and drum cleaner. Tractor, Diesel Power Pack or Electric Power Pack driven models.

FOR SALE

AVAILABLE NOW Softwood Bandsaw Processing Mill For high recovery sawmilling

$260,000 + GST ONO 2008 WESTERN STAR: REGO WPP-712, B DOUBLE RATED, GCM 80000, 514676KMS, 625 HP CAT & 2005 KENNEDY MINI B TRAILER

Forano Twin 60” Bandsaw Log Breakdown line Top dogging. Log handling. Remote operator. Log diameter 60cm – 12cm, 6m - 2.4m. Hydraulic sizing 30cm – 7.5cm. $188,000+GST Moreen Johnston 50” Horizontal Band Wing line With roundabout and wing transfer deck. $44,000.00+GST Windsor board twin edger With laser guides, pneumatic sizing and conveyor waste transfer. $37,000+GST Wadkin XE 220 moulder complete in good condition with cutters and blower $28,000+GST Biesse twin head point to point automatic machine centre.

Austral Timber Group Contact Ken Baker 0438 643 992 ken.baker@ubteam.com

$28,000+GST

$250,000 + GST OR ONO 2003 WESTERN STAR: REGO SII-991, B DOUBLE RATED GCM 80000, 667742 KMS, 550 HP CAT & 2008 DRAKE FLOAT: QUAD AXLE SPREADABLE, BACK 2 STEERING AXLES, 79000 KMS, GVM 51000 Contact: Peter on 0409 586 313 or Sharon on 0438 586 489 Email skurrle@elhandcrl.com.au


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KOMATSU HARVESTERS

For Maximum Productivity with precision and reliability Komatsu Forest offers a diverse range of carriers; wheel, converted excavator and purpose-built track matched with a full range of harvesting attachments for:

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• Debarking • Thinnings • Clear Fall Komatsu Forest sets new standards in harvesting solutions plus local factory support offering real benefits for contractors.

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Komatsu Forest Pty Ltd. 11/4 Avenue of Americas Newington NSW 2127 Australia T: +61 2 9647 3600 E: info.au@komatsuforest.com


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