Friday Offcuts 5 September 2025
Click to Subscribe - It's FREE! Welcome to this week’s edition of Friday Offcuts.This week, we look at both long-term opportunities and immediate pressures. In New Zealand, an ambitious sector-led plan aims to double value-added wood exports to NZ$11.5 billion by 2034. At the same time, Carter Holt Harvey has confirmed the closure of its Eves Valley sawmill, cutting more than 140 jobs. In Australia, wooden furniture manufacturers are also struggling against a surge in cheaper imports. On the sustainability front, forest slash is being reframed as a low-cost energy source, Daimler’s hydrogen fuel- cell trucks have clocked up 225,000 km in real-world trials, and Aratu Forests is scaling up erosion-control planting in Gisborne. Researchers are also warning that Victoria’s iconic mountain ash forests could face steep declines as the climate warms. Looking ahead, a few complimentary places remain—thanks to the WIDE Trust—for Residues2Revenues 2025 and Bioeconomy Innovations 2025. Places are open to those under 35 who have not previously received WIDE support. To apply, contact Gordon Thomson at (+64) 27 275 8022. Read these stories and more in another packed edition of Friday Offcuts.
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Bold plan targets NZ$11.5b in value-added wood exports![]() Our forest owners, contractors, transport operators, processors and exporters have built a world-class industry based on efficiency, productivity and sustainable resource management. But global markets are shifting and the next chapter in our sector’s growth will be written not just in the forests, but in the factories, workshops and export markets that transform our forestry resource into high-value wood products. A two-year action plan released by the Value-Added Wood Exports Growth Accelerator sets out a vision that is ambitious but achievable: to double value-added wood exports by 2034, lifting export earnings from $5.7 billion to $11.5 billion in just under a decade. The plan charts a clear course for achieving this target through coordinated industry action, practical investment and smarter export development. Forest owners have already done the hard work of growing the raw material. The challenge now is turning that resource into more diversified and higher-value products, sold into global markets where demand for sustainable timber is growing. The opportunity is enormous – but the window to act is limited. Raw log exports still account for a large share of forestry’s earnings and for many owners, they remain the most commercially viable option. That’s not a failing – it’s a function of global market conditions and local constraints in processing capacity and infrastructure. But the trees we’ll be harvesting in 2034 are already growing. If we want to reduce exposure to commodity market swings, keep more value onshore and strengthen regional economies, we need to ensure that there is infrastructure, investment and export systems in place now. The Accelerator’s two-year plan lays out a credible roadmap for getting there. It focuses on practical interventions to unlock investment in domestic manufacturing, expand export market access and remove barriers that have slowed progress in the past. Rather than calling for sweeping reform or untested ideas, the strategy supports firms already looking to scale, diversify and innovate and connects them with the right tools and partnerships to do so. What sets this plan apart from previous strategies is that it is industry led; developed by a sector working group, with support from Te Uru Rākau – New Zealand Forest Service, ensuring strong alignment between industry priorities and government support. It calls on businesses – large and small – to step forward and build capability, scale production, develop new products, enter new markets and modernise systems. More >> Source & image credit: NZFOA Eves Valley Sawmill will close, 140 jobs gone![]() But E tū said the company has now confirmed it would close its operations that have been running since the 1980s. Union delegate Maria Hemara said she was devastated. “I feel like I’ve lost my whole family. We work together for 40 hours a week, we’ve built friendships, and it’s all being taken away. It’s like going to your own funeral,” she said. There are a lot of other businesses that supply services to the mill. So the flow on effects right throughout the community are going to be very significant. More >> Source: Stuff Imports weigh on Australia’s wooden furniture manufacturing![]() According to IBISWorld’s Wooden Furniture and Upholstered Seat Manufacturing in Australia report, demand peaked in 2020-21 as households increased spending on home renovations and upgrades during and after lockdowns. Since then, however, manufacturers have struggled to sustain revenue growth amid an influx of cheaper imports, particularly from China, Vietnam and Malaysia, the report noted. IBISWorld noted that these imported products are appealing to price-conscious consumers, who are dealing with limited discretionary income and higher living expenses. Click here for full article Source: Australian Manufacturing Daimler hydrogen fuel trucks rack up 225,000km![]() The year-long trials in Germany reported diesel-like usability with 1000km-plus range and 10–15 minute refuelling using liquid hydrogen. Across the programme, there were 285 refuellings amounting to about 15 tonnes of liquid hydrogen at stations in Wörth am Rhein and Duisburg. Average consumption sat between 5.6–8kg/100km at gross combination weights of 16–34 tonnes. Michael Scheib, head of entire vehicle development at Mercedes-Benz Trucks, says the initial customer trials are helping with further development of the technology. “By deploying the GenH2 Trucks in real-world logistics operations, we have been able to demonstrate their performance, reliability and efficiency across various transport applications and gain important insights. “This enables us to refine the technology and vehicles according to the specific needs of our customers all the way to series production. Furthermore, the intensive use of the liquid hydrogen fuelling stations during the trials enables further optimisation of the refuelling process. More >> Source: Transporttalk Image credit: Daimler Truck Gisborne pole planting tackles erosion in forests![]() “The aim is to become self-sufficient in supplying poles for use within the forest estate,” said project manager Monica Harnett. The project has been developed on land at Matawhero. “If there is enough interest, we would supply surplus poles to other forest companies and farms as well. This is a project we are proud of it because it demonstrates Aratu is ‘doing our bit’ for the region’s environmental resilience and sustainable land use,” she said. This initiative is part of Aratu Forests commitment to erosion control and land stabilisation, of which is becoming increasingly important on the East Coast as land use change occurs, and the frequency and intensity of storm events increases. This year a one-hectare block of land will be established with the ability to produce 3000 poles in year two, and 7,000 poles in year three, the intention is to further establish two more blocks and triple production of poplar and willow poles for planting on vulnerable land by 2029 and beyond. “It’s an exciting project, one that’s all about looking after the land for the long term.” She expects a 30% harvest this time next year of the 10,000 poles being planted, with a further 70% in 2027. “Placing them within our forestry estate will align with our planting schedule.” Click here for company details Source & image credit: Aratu Forests ![]() New look for New Zealand's bioeconomy researchThe Bioeconomy Science Institute, Aotearoa New Zealand’s largest research organisation, launched its new look this week. The new visual identity was unveiled by Hon Shane Reti, Minister of Science, Innovation and Technology, during a visit to the Lincoln campus of the Bioeconomy Science Institute.“This is an exciting step in sharing our new organisation with the outside world,” says Mark Piper, Transition CEO. “As we start our journey as Bioeconomy Science Institute it’s great to be able to share this new visual identity which speaks to the organisation that we are building, for the benefit of Aotearoa New Zealand and the world.” Minister Reti was at the Lincoln campus of the Bioeconomy Science Institute to learn more about commercialisation efforts. Before unveiling the new visual identity at the Bioeconomy Science Institute’s Tuhiraki head office, he also announced $6.5 million of new industry funding to develop methods to reduce methane emissions from grazing livestock and witnessed the signing of a new licensing deal with Nelson-based Seaweave to commercialise aquaculture monitoring technology. People are at the centre of the Bioeconomy Science Institute - the organisation’s staff working with those in the science sector, industry and communities to deliver impact together. This network is reflected in the new logo, with collective effort radiating outwards to create a difference in the real world. The colours used in the visual identity are derived from those found in nature, the starting blocks for the Institute’s work. More >> Source: Scion Group, Bioeconomy Science Institute ![]() Victoria’s mountain ash forests could lose a quarter of trees![]() “These are giants,” said lead author Dr Raphael Trouve. “They are the tallest flowering plant on Earth – that means they regularly reach 60 to 80m tall.” The researchers analysed data collected from mountain ash forests over more than 50 years to determine tree mortality rates and forest carrying capacity – the maximum number of trees of a given size that the forest can sustain. They found that forests growing in the warmest conditions had the lowest carrying capacity, which further decreased with rising temperatures. Click here for full article Source: The Guardian Forests to fuel could slash electricity problems![]() “While slash lays rotting in forests it costs communities in terms of flood damage, but as fuel it could slice household electricity bills, said Cox. “It’s known that energy from forest residue sells at about $16 a gigajoule (GJ), under half the cost of heat from electricity at $36/GJ.” A gigajoule as a measure of heat energy, and 1GJ is capable of heating 25-50 homes for a year. One house in NZ uses about 36 GJ a year. “Slash can keep boilers running and lights on without having to inflate power prices, reserving electricity for critical uses,” says Cox. Pricing slash as an energy resource will help create incentives to clear debris before it wreaks havoc on communities. There are also projects underway, including Scion’s Biowave marine biofuel project, to turn forest waste into fuels. “With some planning and pricing, biomass could supply 27% of the nation’s energy by 2050,” says Cox. Removing more slash for income generation through power generation also provides upside for foresters’ operations. It means planters have better access to sites, with a more easily improved stocked area, and better forest regeneration is possible. Minimising slash piles reduces fire risk and spontaneous combustion hazards on skid sites. Cox says this winter has proven to be one of serious discontent within New Zealand’s energy industry as the nation digests news that its gas supplies are running perilously low. “We have the shortage resulting in Methanex and Ballance Agri having to reduce their business activity. That has a sharp impact upon the people they employ and the region they operate in. Meantime, electricity prices continue to rise.” Bringing the two issues together provides a solution beneficial for all of New Zealand, both households and businesses. Using forest biomass to produce energy can free up electricity and natural gas for other higher value uses. Gas supply can also be boosted by using food waste to produce biogas, diversifying our sources and supply, as we have already seen being done by Ecogas in Reporoa. Cox said, without a biogas strategy New Zealand risks seeing the worst of both worlds. “That is, even more business closures due to energy costs, and flooding damage continuing from forestry.” More >> Source: Bioenergy Association NZ ![]() USNR & Skookum to support mills through economic pressures![]() For timber processors across New Zealand, Australia, and the Pacific, the economic landscape is tightening. Rising energy costs, global competition, and reduced domestic demand are testing the viability of mills across the region. In this climate, performance and support are not optional - they are essential. That’s why USNR and Skookum are extending their decades-long partnership, reaffirming their shared commitment to a performance-led, support-driven model that delivers measurable outcomes for mills, today and into the future. “It’s not just about delivering equipment,” says Geoff Strang, Engineering & Project Director at Skookum. “It’s about understanding what the mill needs, designing for the right outcomes, and being there when it counts especially in tough market conditions.” For more than 30 years, Skookum has been trusted by leading timber producers for its full-cycle project engineering delivery, responsive regional service, and robust solutions proven in harsh environments. In parallel, USNR has spent decades building a reputation as the world’s most comprehensive supplier of sawmill technologies, integrating scanning, optimisation, automation, and industry-leading equipment into hundreds of mills worldwide. Together, the partnership brings distinct and complementary strengths:
As mills look to weather the economic storm, the USNR-Skookum partnership offers more than technology - it offers confidence, resilience, and results that stand the test of time. Source & image credit: Skookum ![]() Tasman planning for growth and resilience![]() Currently in its final drafting stage, PC 81 is set to go before the Minister for Resource Management Reform for approval to proceed to notification later this year. The plan is designed to ensure that housing supply, infrastructure investment, and economic opportunities are unlocked in step with community aspirations and national growth priorities. Unlocking housing and infrastructure PC 81 makes it easier to build new homes and supports the development of new infrastructure. By providing for an adequate supply of land and a clear regulatory framework, the plan ensures Tasman can meet housing demand while maintaining quality urban environments. Protecting productive land and sustaining traditional industries Tasman’s agricultural, horticultural, viticultural, and forestry sectors are central to New Zealand’s export economy. PC 81 upholds the principles of the National Policy Statement for Highly Productive Land, ensuring these foundational industries remain protected and viable. By securing the land base for food, fibre, and forestry production, the plan underpins the Going for Growth focus on strengthening our export-led economy while also encouraging innovation and value-add opportunities. Supporting economic diversification and innovation While safeguarding traditional industries, PC 81 also creates space for emerging sectors in research, science, technology, and wellness. By enabling smart land use and planning for future workforce needs, the plan ensures Tasman is positioned to diversify its economy and attract high-value investment. Infrastructure improvements for the visitor economy, alongside support for sustainable forestry and food and beverage innovation, reinforce Tasman’s role as a hub of both traditional and future-focused industries. These outcomes echo the Government’s Going for Growth vision of building a more resilient, knowledge-driven economy. More >> Source: Tasman District Council ![]() The new wave of high-efficiency biomass shreddersIn the demanding field of industrial biomass processing, operators require equipment that delivers both robust performance and long-term reliability. Vantec has engineered its Brutus line of heavy-duty shredders to meet this challenge, focusing on continuous, high-volume wood processing. Built with a reinforced structure to withstand industrial-scale operations, the Brutus is designed to ensure consistent productivity and operational safety under rigorous quality standards.The series offers notable versatility with its Brutus 1020 models, available in Track-mounted, Highway Trailer, and Forest Trailer configurations to suit various operational needs. A key aspect of its design is the focus on lowering operating costs; optimized components lead to reduced diesel consumption and minimal maintenance downtime. By combining high chipping capacity with proven reliability, this equipment allows producers to achieve higher output without frequent interruptions, marking a practical solution for today’s biomass industry. More >> Source: Vantec ![]() Australia’s road transport legends: Graeme Elphinstone![]() This week, his lifetime of dedication was recognised on the national stage, with Graeme inducted into the prestigious Shell Rimula National Road Transport Wall of Fame. Joining the ranks of Australia’s trucking pioneers, Graeme’s name is now etched alongside the men and women whose vision and determination forged the backbone of the nation’s road transport industry. The honour not only celebrates his engineering brilliance but also acknowledges the indelible mark he has left on generations of operators who relied on his ingenuity to get the job done. The Shell Rimula Wall of Fame is a cornerstone of Australia’s road transport heritage. Held annually as part of the Festival of Transport in Alice Springs, the induction ceremony celebrates the men and women who have helped shape the transport industry through decades of service, ingenuity, and dedication. Graeme Elphinstone’s induction to this Hall of Fame is a testament to his five decades of innovation in heavy vehicle design and safety. A Tasmanian born and bred, Graeme began his career in the early 1970s and quickly became a problem-solver for the transport challenges of the era. In 1976, Graeme and his brother Dale imported and fitted Australia’s first on-vehicle truck weighing system – installing scales on a Tasmanian log truck to accurately measure its load. This pioneering step revolutionised load management, allowing drivers to know their weight before hitting the highway, and laid the foundation for modern onboard mass monitoring in heavy vehicles. With Graeme’s help, Tasmanian Pulp and Forest Holdings’ woodchip mill in Triabunna introduced a groundbreaking “non-payment for overload” policy that removed the incentive for truck drivers to carry overweight loads. This initiative, a collaboration between the mill, logging contractors and Transport Tasmania, is regarded as one of the first practical applications of today’s Chain of Responsibility (COR) principles in Australian transport. Graeme’s efforts in ensuring trucks were no longer overloaded beyond legal limits improved safety and fairness for drivers and operators alike, inspiring a new era of innovation in the industry. More >> Source & image credit: Roadtrains Australia ![]() NZ, China & India updates - August 2025![]() All eyes are on the Nelson region with reports varying but likely around 7,000 hectares of wind damaged forests. The broad age class spread suggests mid to late rotation ages are impacted the most and therefore a high component of export likely. Unlike the recent Central North Island event, the Nelson region marketing plan will be very much constrained by Port Storage limitations and the ability to load 1 vessel at a time at each of Nelson and Picton ports. Thus, this wind damage recovery is unlikely to lead to an over-supply situation which would otherwise negatively impact the likely target market for the volume being China. The announcement of the closure of the Carter Holt Harvey Eaves Valley sawmill, whilst fully expected, is a major blow for the region. This will also ensure more logs have to head to China from the storm event. Meanwhile across the China Easten seaboard, daily usage has started to tick up again, as at mid-August heading north of 50,000 m3. Inventory has remained relatively stable with the supply and demand planets reasonably aligned despite record summer temperatures negatively impacting broader productivity outputs. And just when you started to believe the western media about China being in the deep financial doodoo reports, the Government have announced the largest project ever undertaken in human history is about to start in Tibet. Whilst reports vary on the statistics, common numbers talk to 5 powers stations on the Yarlung Zangbo river which collectively, will be 3 times greater than the, up till now, biggest ever Three Gorges project. This latest one is expected to include 4 tunnels through mountains, each 50km long to connect rivers, in total costing US$167bil and requiring 3.5million employees. When completed the dams will generate 300bil kilowatt hours. A total of in excess of 2,000km of new roads to connect the dots will be required with 60 – 70% of that length comprising bridges and tunnels. And just when you thought that was amazing, the project is at 4,000 to 5,000 metres above sea level, much higher than Mt Cook (3,724m). My first enquiry has been around any positive impacts for your average Kiwi forest-owner. Unfortunately, even as your very fit crow flies, it is about 2,500km to the Eastern Seaboard so potentially not, given that will be 4,000km+ in your average logging truck. But such a scale project must surely have a trickle-down effect with the broader economic stimulus being enormous. India has remained boring by comparison, but the key here is prices and demand are continuing to improve, currently more so than China. Like China, India as a nation, know wood extremely well. Wood usage across the economic stratum has been significant for thousands of years. More >> Source: Laurie Forestry ![]() Jobs
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A bloke is sitting by his car at the side of the road looking unhappy. And on that note, enjoy your weekend. Cheers. ![]() Brand PartnersOur Partners & Sponsors Friday Offcuts is made possible through the generous support of the following companies.
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