Timber processing could be fillip for Whangarei economy

Processing timber in Whangarei -- rather than sending raw logs overseas -- could add millions of dollars to the local economy, a timber industry spokesman says.

Northland's forestry industry had the greatest potential for growth of any industry in the next decade, said Derek Colebrook, of the Whangarei Wood Processing Cluster.

The cluster represents 12 timber processing companies.

Northland's annual wood harvest has increased by one million cubic metres during the past four years, with the annual forestry harvest expected to almost treble in the next decade.

The challenge was processing as much of that wood in the region and adding value to it, Mr Colebrook said.

Between 1997 and 2002 the Whangarei wood processing industry had increased employment by almost 300 per cent to about 370 jobs. That could swell to up to 2000 "or even more" in the future, Mr Colebrook said.

"Northland has the potential to dramatically increase the amount of wood it processes and that's the way to increase the value.

"Value-added processing is the way forward, but first we need the infrastructure in place, like better roading."

To showcase the potential of the industry, the cluster has organised a "logs to jobs" tour for politicians, government departments, business and community leaders in July.

A shortage of skilled workers was probably the biggest issue facing the industry, while "unfriendly" local authorities were also an issue, Mr Colebrook said.

"Councils don't seem very friendly toward wood processors, but it's a very clean industry in Whangarei," he said.

- NORTHERN ADVOCATE (WHANGAREI)