Friday Offcuts – 14 March 2025
Click to Subscribe - It's FREE! Welcome to this week's edition of Friday Offcuts.WoodTECH 2025 kicked off in Rotorua yesterday, with record crowds and the majority of sawmills from around the country in attendance. The sold out Melbourne event will start next Tuesday, 18 March. In news, we start with an important discussion on fire risk in Australian forests. While some academics claim that logging and prescribed burning increase flammability, decades of research and real-world experience tell a different story. Forestry professionals and fire experts highlight that responsible forest management reduces wildfire intensity, and protects communities. Ignoring these proven strategies risks worsening the impact of future fires. On the innovation front, the Australian Forest and Wood Innovations National Open Call for Research is now live, inviting the next generation of groundbreaking projects advance sustainability and commercial success in forestry. Meanwhile, a world-first milestone in New Zealand sees Essity’s Kawerau paper mill now fully powered by geothermal steam, slashing its carbon footprint by two-thirds. Turning to market dynamics, the NZ forestry sector faces both challenges and opportunities. While log prices have held steady, uncertainties loom. Rayonier’s sale of its NZ joint venture will refocus Rayonier solely on its U.S. operations. We also spotlight the Green Triangle's Women in Wood Fibre event, new AI-driven trials to reduce wildlife vehicle strikes, and the future of NZ’s Diploma in Forest Management. Read these and more in another packed edition of Friday Offcuts.
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This week we have for you:
Australian forestry does not make forests more flamable
The views of Australian academics Professor David Lindenmayer and
Associate Professor Philip Zylstra, as reproduced in recent CFA
Newsletters (December 2023 and March 2024), that logging and
prescribed burning are making Australian native forests more
flammable are highly contested by many Australian
forest scientists and fire management practitioners. These
academic scientists advocate that timber harvesting in native forests
should cease, prescribed burning should be confined to areas close to
high value assets and that when fire is excluded for more than 40 years
the native forests do not burn at high intensity, because the vertical
connectivity of the forest structure is reduced through natural
ecological processes.These propositions ignore the evidence from decades of comprehensive fire research undertaken by Australia’s peak scientific organization (CSIRO) and the State government forest land management agencies, as well as the lessons from numerous inquiries following major wildfires over the past 80 years. They are also inconsistent with the lived experience with forest fire in many parts of Australia in recent decades. Moreover, the notion that fire can be excluded from most Australian forests for more than 40 years is fanciful, given the increased frequency and extent of wildfires over the past 20 years under changing climatic conditions. Importantly, there are numerous journal articles that either challenge their research findings or present evidence that indicates their findings are incorrect (see for example Attiwill et al. (2014), Hislop et al. (2020), Keenan et al. (2021), Bowman et al. (2021) and Miller et al. (2024). Wildfires occur in Australian forests almost every year, with the number of major wildfires and the area burnt increasing in years when there is above average fire danger, which usually corresponds with periods of prolonged drought. However, due to well managed fire suppression arrangements, only a small proportion of wildfires are unable to be extinguished while small and then burn at high severity and cause most of the impacts on life, property and the environment. Wildfire behaviour, including both the rate of spread and the intensity at which a fire burns, is dependent on three main factors: the quantity and structure of available fuel in the vegetation; the prevailing weather (particularly temperature, wind and humidity); and the topography at the location of the fire. Therefore, the severity of a wildfire at any point in the landscape is a result of many interacting factors, not a single factor such as whether or not timber harvesting has been undertaken in that location. Professor Lindenmayer’s claim that timber harvesting makes forests more flammable arises from research published in 2014, that examined fire severity outcomes in different aged Eucalyptus regnans forests that were burnt in the catastrophic 2009 Victorian Black Saturday wildfires. The researchers analysed post-fire remotely sensed fire severity data, focusing on two categories of high severity fire: canopy consumption, where 70-100% of tree canopies were burnt; and canopy scorch, where 60-100% of the canopies showed scorched leaves. From their analysis, they claimed that there was a 70% chance of 15-year-old stands being burnt at high severity with total canopy consumption and that canopy consumption rarely occurred in old growth stands aged around 300 years. From this they concluded that the stands regenerated following logging had made those forests more flammable. More >> Source & image credit: Forestry Australia AFWI: National Open Call for Research is live
Expressions of Interest (EOI) for transformative, industry-focused forestry research are now open until 14 April 2025, as the
Australian Forest and Wood Innovations (AFWI) National Open Call for
Research launches its second round. This round invites bold ideas with real-world impact to support Australia’s forestry and forest products sector. “This call is about funding innovative ideas that can deliver real commercial outcomes and help solve industry challenges,” said AFWI’s Executive Director Dr Joseph Lawrence. “ We’re looking for research that will make a tangible difference, whether by strengthening local manufacturing, supporting sustainable forestry practices, or driving the transition to a circular bioeconomy.” Minister for Agriculture, Fisheries and Forestry, Julie Collins MP, today (7 March) announced the launch of the National Open Call, encouraging industry and researchers to collaborate and submit research proposals with an end-user focus. “Research like this is how we keep our forestry industry competitive, sustainable and able to face challenges head-on,” Minister Collins said. “Australia’s forestry industry has enormous potential, and I want to see it grow and thrive. The sector is a vital economic contributor and a huge source of jobs in my home state of Tasmania. “Last year’s projects are researching practical solutions to a range of challenges, from finding Australian timber species for sports flooring to developing ways to stop pest animals from eating seedlings. I’m looking forward to seeing what the next crop of researchers will discover.” This year’s call introduces a two-stage application process, designed to streamline submissions and strengthen industry engagement. The first stage invites Expressions of Interest, with selected applicants progressing to a full proposal submission. “By introducing an EOI stage, we’re ensuring early engagement with industry and giving applicants an opportunity to refine their proposals before moving to the next step,” Dr Lawrence said. “This will help attract bold, high-quality ideas that directly address industry needs.” Last year’s National Open Call resulted in eight successful projects sharing the first $5 million in grant funding and unlocking an additional $8.3 million of matching investment from industry and research partners. Australian Forest Products Association (AFPA) CEO Diana Hallam welcomed the second round and encouraged strong participation. “After the success of the first round, I’m excited to see what transformative ideas are proposed through the Second National Open Call,” Ms Hallam said. “I encourage anyone with initiatives that will enhance the productivity and profitability of Australia’s forest industries both now and in coming decades to come forward. “I am confident industry is united in wanting to ensure the $100 million investment called for by AFPA and delivered by the Australian Government creates the products, jobs and climate solutions needed to decarbonise our economy and turbocharge this great Australian industry.” Expressions of Interest are now open. For further details on eligibility, key dates, and the application process, click here. Source & image credit: AFWI  NZ market update - March 2025
Opinion Piece: Marcus Musson, Forest360And just like that summers’ over. I’m not sure if time goes faster as you age but it only feels like summer began last month. Maybe it’s because I especially dislike winter. All the firewood you diligently cut, split and stacked disappears, trucks start getting stuck, road maintenance costs climb and the export market generally tanks – you can pretty much set your watch by it. It would be good to be like the Americans and park the logging gear up during the wet season, go play ice hockey and drink whiskey. Unfortunately, our system isn’t set up like that and the finance companies and staff wouldn’t see the humour in not getting paid for 4 months of the year. Having said that, summer has been very forest owner friendly in terms of both weather and prices. We have seen some reasonably consistent price increases for the past 6 months and A grade has now maintained its magical $130/m3 level for the past couple of months. Considering the uncertainty the globe is facing at present, we’re doing better than was generally expected. Probably not the time to go trotting off to the travel agent yet though as we enter the snipers’ alley of export price corrections. Other than 2021, the past 6 years have seen falls of between $20 and $30/JAS between April and July as the post Chinese New Year (CNY) hangover sets in good and proper. The 64-million-dollar question is will 2025 be different? Post CNY the on-port inventory is sitting slightly over 4 million m3 and uplift has increased to between 60 and 65,000 m3 per day which is solid, FOREX is playing the game at $US0.57 and shipping is in the high$US20’s to early $US30’s. There are reports of pressure on the in-market sales prices (even though some exporters pushed for increases in March) and the general consensus is a softening of some sort in coming months. Then there’s the Trump tariffs. Put them on, take them off, postpone them, change them, drop them, increase them, it’s like a tariff lollie scramble but no one wants to catch one. There’s been some retaliation from larger players and quite coincidentally, China has found quarantine pests in a load of logs from the USA subsequently suspending any imports – sheesh, who would have thought? NZ can take that as a very small win as the USA accounts for 5% of the total softwood imports into China and every bit of competition taken out of the market helps. A recent Reuters post stated that the China Communist Party Housing Minister, Ni Hong, announced that China’s property sector is showing positive changes, and that market confidence is improving. Hong said that “since January and February, the real estate market maintained a positive trend of stopping declines and returning to stabilization”. This, however, goes against what most analysts polled by Reuters thought and the expectation is that a recovery is not going to kick in until 2026. Let’s hope that the Chinese populus starts drinking Hong’s Kool-Aid sooner rather than later. More >> Source & image credit: Forest360 The future of the NZ Diploma in Forest Management
Toi Ohomai recently announced its intention to cancel the Diploma in Forest Management program running from its Rotorua campus. An industry working group has been set up to help guide the future direction of the Diploma in Forest Management program. This will ensure we help find a new provider to run the program, and develop a new and improved curriculum with more video content and block courses to make the course easier for people to attend who are working or have families. The NZ Diploma in Forest Management has a rich history, originating from the NZ Forest Service. A former qualification, the NZ Forest Ranger Certificate, was delivered at the Forest Training Centre (FTC), which was then located on the Forest Research Institute (FRI) campus—now Scion, a Crown Research Institute. Following the dissolution of the NZ Forest Service in 1987, the NZ Certificate in Forestry (NZCF) was transferred to Waiariki Polytechnic from the Ministry of Forestry (MOF). Over time, it evolved into the National Diploma in Forest Management and later the NZ Diploma in Forest Management (Level 6), a two-year, full-time qualification. In response to the need for a new provider, the NZ Forest Owners Association (NZFOA) and an industry working group have been actively exploring options for the qualification’s future. We are seeking industry feedback on improvements and changes to the program. View programme summary For more information or if you have any questions please contact James Broadley on (+64) 7 346 8979 or James.Broadley@toiohomai.ac.nz. Rayonier to sell NZ joint venture interest for $710 million
Rayonier and The Rohatyn Group, an investment firm specialising in
emerging markets and real assets, has announced an agreement
for Rayonier to sell the entities that hold its entire 77%
interest in the New Zealand joint venture to a special purpose
vehicle formed by Ents LP, an investment fund managed by TRG,
for $710 million, subject to net debt, working capital, and other
adjustments.This sale marks the conclusion of Rayonier’s previously announced strategic review of its New Zealand business and will result in Rayonier becoming exclusively focused on its U.S. operations, while positioning the New Zealand business for continued growth under TRG’s management. The transaction is expected to close in 2025, subject to the receipt of regulatory approvals and the satisfaction of other closing conditions. Consistent with Rayonier’s large dispositions completed in 2023 and 2024, this transaction aligns with Rayonier’s previously stated goal of enhancing shareholder value by capitalizing on the disconnect between public and private timberland values and reducing leverage amid a higher interest rate environment. Further, exiting New Zealand will concentrate Rayonier’s capital in core U.S. markets with favorable long-term growth prospects, reduce Rayonier’s exposure to log export markets, and simplify and streamline Rayonier’s portfolio, financial reporting, and overall value proposition. In addition, the transaction will position the New Zealand business to drive new growth as it benefits from TRG’s extensive experience managing similar assets in New Zealand and globally. TRG has specific expertise and a capital base very well suited to large-scale forestry assets with a focus on long-term value creation, diversifying market opportunities, and maximizing investment returns. The sale price of $710 million for Rayonier’s 77% interest implies an enterprise value for the New Zealand joint venture of $922 million. Proceeds from the transaction will be used by Rayonier to further reduce leverage, return capital to shareholders through special dividends and/or share repurchases, reinvest in synergistic acquisitions, and/or fund other capital allocation priorities. More >> Source & image credit: Rayonier  Remsoft acquires Lim Geomatics to advance forest intelligence
Remsoft, a leader in Forest Intelligence solutions, has secured
a strategic investment from Banneker Partners, a private equity firm
specializing in enterprise software. This investment
strengthens Remsoft’s ability to scale, accelerate innovation, and
deliver high-value solutions that help forestry organizations improve
profitability and enhance sustainability.As the first step in its strategy, Remsoft has acquired Lim Geomatics, a forestry software innovator specializing in geospatial and operational analytics. The partnership expands the Remsoft platform with geospatial intelligence, LiDAR, and forest machine telematics capabilities that deepen insights into forest operations. “The forestry sector is accustomed to disruption—from shifting regulations to changing market dynamics. Success comes from adaptability, efficiency, and informed decisions,” said Andrea Feunekes, Remsoft CEO. “Our cloud-enabled platform integrates data with optimization, spatial intelligence, and AI to drive greater value for customers. With Banneker’s support and the acquisition of Lim Geomatics, we can innovate faster and deliver the most advanced analytical tools to the industry.” The investment and acquisition further Remsoft’s vision of a fully integrated forestry intelligence ecosystem. Providing a seamless, data-driven approach to forest value chain management—from planning to operations, compliance, and ESG reporting—within a unified platform enhances decision-making, reduces risk, and drives new efficiencies. “Remsoft and Lim Geomatics share a passion for advancing forestry through technology innovation that addresses real-world challenges. Together, we are developing a modern and modular platform that harnesses data and analytics to ensure that every stakeholder—from landowners and forest product companies to public stewards and timberland investors—can navigate today’s challenges and unlock future opportunities,” said Kevin Lim, CEO of Lim Geomatics. With Banneker’s support, Remsoft gains additional resources to accelerate its technology roadmap, pursue strategic acquisitions, and empower forestry management from seedling to mill. “Remsoft has been at the forefront of forest intelligence for decades, helping organizations improve decisions and performance across the forestry value chain. We’re excited to support Remsoft’s growth as it scales its technology and innovates to enhance efficiency, strengthen sustainability, and drive meaningful impact across the industry,” said Steven Ballantyne, Operating Partner at Banneker Partners. More >> Source & image credit: Remsoft --(2022)2.jpg) SnapSTAT - How much forestry would be needed? This illustration from the PCE’s 2022 note, "How much forestry would be needed to offset warming from agricultural methane?", shows methane is produced annually by one animal of various ruminant species and the area of pine plantation forest needed to offset it.
More: PCE reports Essity Kawerau paper mill - now 100% geothermal-powered
Hygiene and health company, Essity, has unveiled the
world’s first tissue machine operating wholly on geothermal steam
at its production facility in Kawerau, New Zealand. The annual
CO2 emissions of the plant have been reduced by two-thirds.
More than 100 people attended the official opening of the newly upgraded
tissue machine, including New Zealand and Australian business leaders
from the manufacturing, distribution, sustainability and retail sectors,
and Kawerau business and community representatives.
“We’ve invested NZD $20 million to upgrade our paper machine, which is the world’s only tissue machine using 100% geothermal steam drying in replacement of fossil fuels,” said Managing Director Essity Australasia, Sid Takla. “This has enabled us to reduce the carbon footprint by 66% since 2009 at the Kawerau production facility, including a 25% reduction with our new technology upgrade. That’s the equivalent of removing 2,200 cars from the road annually,”. Essity is the only tissue manufacturer in New Zealand, making paper onsite and converting it into finished products. The Kawerau Mill produces hygiene paper products used every day by New Zealanders, including Sorbent and Purex toilet tissue and Handee paper towels. The mill also produces products under Essity’s leading Tork brand. Alongside celebrating world-first innovation in Kawerau, 2025 also marks 70 years of manufacturing excellence for Essity in the region. Essity has 300 employees in New Zealand, including 200 in Kawerau. The production of tissue from geothermal steam is part of Essity’s work to use less energy and achieve net zero emissions by 2050. Source & image credit: Essity  Women in Wood Fibre shares powerful message
The Green Triangle plantation sector has celebrated its progress
and commitment to gender equality at the annual Women in Wood Fibre
event, marking International Women’s Day with a powerful message
of empowerment and unity.Hosted by Australian Bluegum Plantations (ABP), more than 100 industry members joined by political and agricultural leaders enjoyed a High Tea celebration at the Dunkeld Community Centre, recognising the achievements, resilience and contributions of women across the plantation sector and local community. ABP general manager human resources, Sheri Tarr, said the sector was working hard to promote inclusive practices and policies, creating pathways to support female leadership and career progression. “Creating gender equality starts by achieving a positive workplace culture, where everyone feels valued and respected. This is a primary objective for ABP and our broader industry which today has 30 per cent of its executive roles filled by women, matched by an ongoing increase in female employees, with a growth rate of 10 per cent per year since 2021,” Ms Tarr said. “It’s important we celebrate this progress whilst recognising there is still more that can be achieved – we must collectively lead and champion this change. Creating opportunities for women is not just about fairness, we must liberate the talent within our workforce, challenge the bias and barriers that holds us back, to create a more progressive and productive community where women can live, work and prosper without limits.” Minister for Agriculture, Ros Spence, said the forestry industry is an important part of Victoria’s economy. “Plantation timber plays a vital role in supplying critical building materials for the housing and construction sector in Victoria, and delivers a world class supply of wood chips for the pulp and paper industry,” Minister Spence said. “It’s encouraging to see more women taking up roles in this essential industry, especially in leadership roles.” ABC journalist and regional podcaster Kirsten Diprose hosted the festivities which were headlined by Commonwealth Game and Paralympic table tennis medallist Melissa Tapper who shared the story behind her meteoric rise from able-bodied to para-table tennis champion. Long-standing timber ambassador Karen Stephens was recognised at the event for her inspirational work as a regional advocate, volunteer and mentor. Source & image credit: ABP Australian trial to use AI to reduce wildlife vehicle strikes
New technology trials to improve the road safety of motorists and reduce
the number wildlife vehicle strikes, particularly of koalas, kangaroos
and wombats, will be rolled out in coming weeks, delivering on an
election commitment by the Minns Labor Government.Road engineers and safety experts are working with wildlife experts on two key trials:
These initiatives complement existing measures being deployed to protect native wildlife and improve motorist safety travelling along some of the state’s busiest roads. Minister for Roads, John Graham, said, “Wildlife vehicle strike is a serious road safety issue, as well as impacting badly on our native fauna. Protecting our native wildlife along busy transport corridors and areas with growing communities is a real challenge for the NSW Government and Transport for NSW." “We have committed to do more and I’m pleased that we’re making progress, implementing new protection measures and starting trials on emerging technologies,” Mr Graham said. The upcoming trial at the Future Mobility Testing and Research Centre, at Cudal near Orange, will pave the way for safer roads and better outcomes for our wildlife. More >> Source: NSW Government  Jobs lost as Palmerston sawmill closes
A dozen jobs have been lost in an East Otago town as a sawmill
closes after nearly 40 years. At its peak,
Palmerston’s privately owned sawmill and timber merchant Hewvan
Timber employed 25 people.Proprietor John Millar said he made the difficult decision to wind down the business, with the loss of 12 jobs, because of tough economic times. Mr Millar said the balance tipped while weighing up the substantial upgrade costs he faced to meet WorkSafe requirements. "Things aren’t viable, and I’ve had WorkSafe in here and the amount of money they want us to spend bringing it up — it’s just not worth doing. I’m coming up 67, and I’ve made the call." It might have been different if he were 20 years younger. More >> Source: Otago Daily Times Image credit: Hewvan Timber Mass timber office building underway in Christchurch
The installation of 114 mass timber columns, some of which are
nearly 8m high, is in full swing at the new generation environmental
office build at 211 High Street in Christchurch.
The double height columns form the perimeter of the build while
the remaining internal columns are single height at 3.5m and use
revolutionary connection technology. Comprising three office levels, coupled with ground floor retail and hospitality, 211 High Street is set for completion by the end of this year. Using mass timber (multiple layers of wood), reduces carbon emissions and provides added structural strength, says the building’s developer Anthony Leighs. “I’m absolutely certain that responsible business leaders will demand buildings where everything practical has been done to reduce the impact on the environment through both the construction and the ongoing operation,” Leighs says. “For me personally, if I’m able to control the design of a building, I’m committed to doing my part to maximise sustainability and reduce carbon emissions to the extent I practically can.” Leighs says the process is faster and cleaner than traditional construction. Thanks to the innovative connectors, the internal columns take as little as 10 minutes or less apiece to install and the process is tool free and prop free, a little like stacking Lego blocks. The columns are installed in a pre-determined sequence in conjunction with braces and beams that are up to 17m long. “We can go from installing beams to installing floors and then columns, all potentially within the same day, with the same team. It should also be much quieter than a traditional steel and concrete build – the only power tools needed are drills to install screws.” Brynn Burrows, Director of Office Leasing at Colliers Christchurch, says tenants now, and certainly more so in the future, are focusing on the impact of their buildings on the environment. “211 High Street is a high-quality, modern, and sustainable building targeting a 6 star Green Star rating and 5 star NABERSNZ rating. These are market-leading performance ratings and tenants are increasingly conscious of the impact of their footprint on the environment,” Burrows says. More >> Source & image credit: Colliers Opportunity wanted: UK biomass contractor emigrating to NZ
Here is an opportunity for a forest or large land/asset owner to
bring a new contractor into their operations. We’ve been
contacted by a UK biomass and forestry contractor looking to move to New
Zealand with their family and business: I have been working within the forestry sector for 20 years. I set up my own business, when I returned from New Zealand in 2013, and have gradually built-up a strong business specialising in commercial tree work, forestry and biomass. We have a small, efficient team of operators, who are highly trained and passionate about our standard of work and environmental impact. Most of our work is provided for Highways England and Forestry England, and also for many other smaller forestry contractors. We source and buy the waste and excess product, of varying grades from harvesting sites and turn it into biomass. Our dream is to move to New Zealand, and work within the forestry sector, as I feel I have a lot to provide to the country with its goals to utilise excess forestry products and use it as a green power source. It has proved effective in Europe and the UK, and I have experience in mechanics and logistics of the entire process, from felling to the end product. We have brilliant relationships with some of the largest biomass and forestry companies in the UK, and we hope to be able to have the same relationships in New Zealand! They are considering bring would be Jenz Hem 593z woodchipper, with different size chip screens, and Ahwi RT300 purpose-built forestry mulcher, used for ground prep, ready for restocking. To act on this opportunity, please respond to office@innovatek.co.nz. Jobs
Buy and Sell
... and one to end the week on... in celebration of St Patrick's Day
Two Irish lads were working for the local county council. One lad would dig a hole and the other lad would follow him and fill the hole in. They worked up along one street and then down the other. They then moved to the next street and did the same, working flat out all day without stopping. 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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