Trust Tairāwhiti not interested in buying Juken mill

A109 Light Utility Helicopter flight with mayor Gisborne City from the air in November 2023.

With 80 jobs on the line at the troubled Juken sawmill here, community trust and regional economic development agency Trust Tairāwhiti has confirmed it will not look at buying the mill.

Juken staff and management are considering three options for the future of the JNL mill — ceasing production until new markets and products can be found; putting the mill up for sale and likely ceasing production while a buyer is sought; or closing the mill permanently.

Yesterday, Trust Tairāwhiti acting chief executive Richard Searle said it would not be a potential buyer.

“It is disappointing that they are having to consider closure. However, we are optimistic that there will be future investment appetite for further wood processing in Tairāwhiti.

“It is likely that employment opportunities might be available.”

Mr Searle said the Juken news would not have any direct bearing on the trust’s wood processing interests. WET Gisborne Ltd, a joint venture between Wood Engineering Technology and Trust Tairāwhiti, produces engineered timber at Matawhero.

The trust has invested $20m in the site over the years, following an initial $4.7m investment in 2016, which established the Gisborne WET plant at the Prime Wood Cluster Centre of Excellence at Matawhero.

The trust sold the former Prime sawmill, on the same site, in 2018. That mill is now operated by Kiwi Lumber.

“It was a shock to hear of JNL Gisborne’s announcement as they are part of our industry and a reliable supplier of logs to us,” Kiwi Lumber managing director Adam Gresham said.

“We are currently increasing our hours so if their decision is to close then we are keen to talk to their staff about employment at our Gisborne site.”

• Juken will announce a decision on the mill on November 17.