Tenco is one of New Zealand’s largest exporters of forest products. We have built to this position since 1991 when the company was set up to export lumber to growing Asian export markets. Experience and reputation count; from small beginnings Tenco has become the largest independent exporter of New Zealand lumber and New Zealand’s 4th largest log exporter. Tenco has a regular shipping program of their own log vessels and in combination with these and other ships currently calls at 7 New Zealand ports (5 North Island and 2 South Island).
Tenco buys standing forests. Tenco currently has a number of forests which they purchased at harvestable age to log over a number of years for export and domestic markets. Tenco also regularly buys smaller tracts of forest to harvest immediately or immature forests to hold until harvest time. Tenco is interested in broadening the base of owners from whom it purchases forests and stands of trees. A deal with Tenco is a certain transaction. The owner and Tenco will agree on a value of the tree crop and then Tenco will pay this amount to the owner either in a lump sum amount or on rate per volume unit out-turn from the forest depending on the nature of the tree crop.
Tenco knows there are a lot of farmers who have trees that are close or ready to harvest and will be asking themselves how they should proceed with the sale of their trees. For some farmers the kind of certain transaction with money in the bank could well be appealing. Tenco is actively interested in buying harvestable forests or trees from areas including all the North Island (except the Gisborne and East Coast districts) and Nelson & Marlborough in the South Island .
If you own a forest in this area (16 years and older) and are ready to enter into this kind of agreement Tenco is interested to develop something with you.
Please contact: Josh.Bannan@tenco.co.nz
Work: +64 7 357 5356 Mobile: +64 21 921 595 www.tenco.co.nz
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Monday, November 20, 2017
Indigenous forests are living ecosystems. In untended indigenous forests the total standing volume usually only varies by a small amount. Although old trees die, fall over and rot on the forest floor, any volume loss is soon made up by the growth of the remaining trees. If trees did not decay an indigenous forest which survived a thousand years would have a thousand year’s of wood accumulated on the forest floor. The gap in the canopy allows more sunlight to reach the forest floor. This sunlight facilitates natural regeneration.
For several centuries foresters in the European indigenous forests have successfully practised selective harvesting. Trees are harvested before they die naturally. As well as providing more crown space for trees that remain, the wood harvested is sold to provide income and to ensure that indigenous wood is available to local wood users. Similar management systems are now practised in indigenous forests around the world. Such a forest management system for our indigenous forest was proposed by the first professional forester to comment on our forests − Captain Innes Campbell Walker in his report of 1877.
Are New Zealand’s indigenous forests so unique and so fragile that they cannot be selectively harvested? If our indigenous forests are unable to be selectively harvested our forests must be the exception, as most of the world’s forests can be. Because almost all indigenous forests have been transferred to the Department of Conservation and as such ownership generally prohibits any harvesting, the only selective harvesting possible is in the small area of privately owned indigenous forests. Selective forest management in podocarp forests was trialled in the 1960s and 1970s by the former Forest Service but, because selective harvesting was portrayed as being destructive, such trials were stopped with the transfer of most of our indigenous forests to the Department of Conservation. Although the general public is largely unaware, there are at least two examples of such systems being successfully applied in New Zealand’s beech forest.
Pressure from politicians and environmentalists stopped further selective harvesting trials in our indigenous forests. The trials that were established were successful. Now it is difficult to distinguish those areas that were selectively harvested from those areas that were left untouched.
Foresters, politicians and environmentalists want the same objective − healthy indigenous forests. Foresters want to responsibly manage some of our indigenous forests to provide a return as well as access to the indigenous timber. Foresters have been wrongly portrayed by publicity seeking environmentalists, politicians and much of the media as forest destroyers, which clearly they are not.
The Department of Conservation controls about a third of New Zealand’s land area but is prohibited from harvesting indigenous trees. This deprives itself of any financial return as well as depriving the public access to indigenous timber – fallen trees are just left to rot on the forest floor. As the Department of Conservation is grossly under-funded, responsible selective harvesting of some of our indigenous forests could go some way to providing income as well as providing New Zealanders with access to indigenous timber. Responsible harvesting could be done, as it is in France, Germany and Switzerland for example, without any loss of the recreational, scenic, biodiversity or other forest values.
Saturday, November 11, 2017
I had a call a few days back from a guy in Australia looking to source eucalypt logs. On further enquiry, he told me that he represented a big manufacturer in China that required hardwood in large volumes and if we had the resource they'd take it. Shiploads. He was particularly interested in Eucalyptus nitens and E. saligna, but I got the impression they'd take just about any eucalypt. Log specs down to 10cm diameter, he'd pay $10 more per tonne than local pulpwood prices. They're not chipping it either, he reckoned most of it would be peeled.
A few weeks earlier, I also had a call from Australia, this time someone who is exporting cypress logs to Asia. They'd run out of the local native cypress and the market has an insatiable appetite for more. He heard we grow cypress in New Zealand. I believe they use it for coffins, and pine is too "common" to be buried in... cypress being the timber of choice. He was happy to pay "well above" pine prices and would be prepared to take all I could find.
What is happening? I thought the reason we only grow radiata pine in New Zealand was because there are only markets for radiata pine...
Other species apparently with prime export log markets include poplar and redwood and believe me, the minimum log diameter is much less than what any local processor would take.
Now, if I were a real businessman I'd see an opportunity for myself and gather wood for export. But I'm not. My interests are in developing a sustainable local industry around growing and processing specialty timber species for the local market... and I just can't bring myself to put pecuniary interests ahead of that goal. I do acknowledge that having an export market is good for keeping local log buyers honest though, and if we can export what they don't want then all the better for the grower.
We've always been told not to grow "alternative species" unless you appreciate that there will not be a ready market for your logs. Because I don't actually have skin in the export game, I'd be very interested in hearing from anyone out there about what is really happening.
Disclaimer: Personal views expressed in this blog are those of the writers and do not necessarily represent those of the NZ Farm Forestry Association.