Joint approach needed to tackle forestry issues

Eastland Wood Council is cautiously supportive of the Government's plans to boost the forestry sector.

Eastland Wood Council has given a reserved thumbs-up to a Government plan to restore confidence in the forestry and wood processing sector, saying regional infrastructure needs to be improved to attract wood processing investment here.

In a statement this week, chairman Julian Kohn said EWC welcomed the coalition Government’s forestry policies and appreciated its willingness to work with the industry.

“However, we expect the repeal of the log traders legislation will do little to reduce costs of doing business for the majority of the industry as it only affects a small proportion.”

Kohn also stressed the importance of all stakeholders working together to develop land use plans for Tairāwhiti that were supported by evidence and science.

Potential wood processors had eyed this region for decades, he said.

“Most have left again despite an abundance of logs [being] available. To attract those investors, regional infrastructure needs to be enhanced.

“For example, we see limited benefits in spending millions on a processing plant if the logs cannot be removed from the forest in safe yet cost-effective ways to get to the plant.”

Announcing its policies on Friday, Forestry Minister Todd McClay said the Government would drive investment to unlock the industry’s economic potential for growth.

“Forestry’s success is critical to rebuilding New Zealand’s economy, boosting our GDP and providing regional jobs in a highly productive sector,” he said.

The Government’s vision to grow the forestry sector includes:

• Spurring economic growth through jobs and exports;
• Delivering low-emission solutions and products;
• Supporting land use resilience, adaptation, biodiversity and social benefits;
• Providing carbon removals to support climate goals.

McClay said the Government would introduce a package of initiatives during the course of this Parliamentary term to support industry growth and deliver positive outcomes across the forestry and wood processing value chain.

“This includes working with the industry to increase onshore wood processing, opening new and improved access to existing trading markets, supporting sensible planting, easing burdensome regulations, enabling and supporting the development of new and innovative wood products, adjusting investment settings, and supporting New Zealand’s climate change goals.”

McClay said there had to be a sufficient pipeline of logs to support domestic wood processing, as well as encouraging the planting of new trees on suitable land to meet international climate change commitments.

An independent review of the operational costs of the forestry component in the Emissions Trading Scheme (ETS) was launched earlier this year and would be followed up with a separate assessment of cost recovery fees to be considered for the 2024/25 financial year.

“We want to ensure the ETS is cost-effective and efficient for participants.”

Kohn said the wood council was engaging with the Government and continued to advocate “for the streamlining of rules and regulation around the management of whenua in Tairāwhiti”.

“Without correct planning and implementation, there could be dire consequences that result in poor environmental, social and economic outcomes for today and for our future, too.

“Many of our industry colleagues are working to improve operational and planning practices with a view to provide the best outcomes possible for the community and industry. Our members have devoted significant resources to these efforts for years, but especially since 2018.

“We are hopeful collaboration with Government will lead to better outcomes.”

East Coast MP Dana Kirkpatrick told the Gisborne Herald the Government wanted to expand access to overseas markets for high-quality wood products and target non-tariff barriers.

It was important trees were planted on the right land and not on highly productive land.

There had to be a balance between the environment, climate change, conservation and regulations, Kirkpatrick said.

The Government, Gisborne District Council and the industry had to be “on the same page”.

Many people had left the industry since the cyclones, but forestry still had a key role to play in the region, she said.

Kohn estimated the local logging and trucking operations workforce had reduced by up to 200 roles in the past 18 months.

“The closure of the Juken mill has also resulted in further job losses.

“These are only two examples of impacts on our people.

“These job losses are a result of various factors, including but not limited to the market, and constrained roading and harvesting rules. This all impacts our local economy. Regardless, we all need to find a way forward together.

“All stakeholders need to be part of driving solutions to ensure we get our land use right.

“We need to come together with iwi, mana whenua, local and central government, as well as farmers and many more to develop plans supported by evidence and science.

“It’s essential for the future of Tairāwhiti.”