The New Zealand Forestry Industry

New Zealand exported around 15.5 million m3 of logs to year end March 2015. PFP contributed around 25% of this volume, making it one of the largest log exporters out of New Zealand

Current harvest levels are around 24 million cubic metres per year. Between 2015 and 2025 there is the potential for larger increases in wood availability. Wood availability is forecast to increase rapidly leading into the 2020s, with availability lifting to levels of up to 35 million cubic metres per year from the early 2020s

The future for the forestry sector depends on how it responds to this situation. A business as- usual strategy will likely see continued heavy reliance on log exports. A move to a value-added pathway will require the sector to change from its traditional “supply push” strategy to one driven by market “demand pull”. That will require rigorous market analysis, coupled with consideration of radiata pine’s wood properties, to establish what products have the best chances of competing successfully in the domestic and export markets.

Click here for more infromation on the Situation and Outlook for Primary Industries 2012