Whanganui-based forestry company Forest360 has switched to transporting its logs by rail. Photo / Forest360
Whanganui-based forestry company Forest360 has switched to transporting its logs by rail. Photo / Forest360
In late January, a Whanganui forest management company switched to transporting its logs by rail, taking eight truck and trailer loads off the road to New Plymouth each day.
Forest360 director Marcus Musson said the decision was purely financial as fuel, tyres,and repairs and maintenance were all contributing to spiralling cartage costs.
“With rail, a train will use 10% of the fuel per tonne, compared to a truck,” he said.
“The switch to rail means there is less exposure to increasing fuel costs.”
Forest360 provides harvesting and full forest management services to large and small forest owners throughout New Zealand.
The cost of transporting logs to port falls on the forest owner, and Musson said it represented a significant portion of the harvesting cost structure.
He said rail was a more efficient method of moving logs.
The switch to rail provides a buffer for times when there is a hold-up at Port Taranaki (in New Plymouth), as logs can be held rail-side.
This means there is no need to pause harvesting while the port clears.
The company manages 12 logging crews operating around the Whanganui district and more than 50 nationwide.
Musson said there was potential to scale up the number of logs carted by rail.
Currently, the logs are transported with other cargo on the regular freight service.
There is a limit on the rail capacity available, with the eight truck and trailer loads fitting onto six rail wagons.
“In a couple of months, we hope to secure more wagons so we can send a logging train to the port in New Plymouth,” Musson said.
Total Transport / Total Log Haulage yard manager Michelle Kui at the new log handling facility on Eastown Rd, Whanganui East. Photo / Forest360
“That’s 12 wagons of logs, weighing 530 tonnes.”
The new loading operation in Whanganui East was rebuilt on an existing site in Eastown Rd, with Forest360 aiming to recoup its investment in three years.
Musson said the setup cost had been funded by Forest360, making it more attractive to prospective forest owners.
Two key factors in the rail vs road economic equation are the distance to port and hilly terrain.
Total Transport / Total Log Haulage yard manager Michelle Kui at the weighbridge, which was supplied and outfitted by Container Space NZ. Photo / Forest360
Musson said the matrix needed to be long rail cartage and short truck cartage (to the rail handling facility).
Forest360 has access to multiple rail handling facilities around Whanganui, Manawatū and Wairarapa, and Musson said many forests were within a 30km range.
“It doesn’t make sense to cart logs by rail if it is less than 180km to port, and rail is more efficient if there is a geographical issue like the Remutakas.”
A new weighbridge was installed as part of the infrastructure required to load the logs off the truck and onto rail wagons. Photo / Forest360
Musson said forest owners also appreciated the logs being off the roads.
“The biggest benefit to trucks being off the road will be to the people living and driving through the main arterial routes in Whanganui, Pātea, Hāwera, Normanby, Eltham, Stratford, Midhirst, Inglewood, Egmont Village, and New Plymouth.”
The reconfigured rail handling facility has a new and modified 20-foot container weighbridge, supplied and outfitted by Container Space NZ.
The new shipping container workshop office is secure, with two separate compartments for an office and the weighbridge, and has Wi-Fi and air conditioning.
“Container Space NZ transported the modified 20-foot shipping container to our Whanganui location, and then HIAB-ed it into place,” Musson said.
Musson said the new rail yard offered supply chain efficiencies and created work for local businesses.
