“We want to process more logs onshore, help move our forestry sector from volume to value, lift our economic performance and resilience and create high-wage jobs in our regions,” Henare said.
“The forestry and wood processing sector is central to many of our regional economies and it is past time we capitalised on the opportunities available.
“Over the last two decades, New Zealand’s overall wood processing capacity has remained relatively stable while log volumes available to be processed have doubled.”
Henare said the country is “missing out on the potential benefits” that processing wood in Aotearoa offers.
“These investments will deliver better outcomes for workers, whānau, communities and regions to support a more productive and sustainable economy.
“Current projections will see hundreds of jobs generated from the additional capacity created by the fund.”
Henare said the initiative is consistent with the country’s climate change goals.
“By producing more high value products onshore, the sector can support New Zealand’s goals and commitments to decarbonise the economy.
“Wood processing produces residues that can be turned into a range of biofuels to support decarbonisation which contributes to reducing emissions.”