Minister's speech to WPMA national conferenceFriday 10 Oct 2025
Good morning, and thank you for the opportunity to speak with you today I want to begin by acknowledging the leadership of Mark Ross and Don Hammond, and the Association’s continued commitment to advancing New Zealand’s wood processing sector. Your Value-Added Wood Exports Growth Acceleration Plan is a bold and strategic blueprint — one that reflects the ambition and clarity of purpose this industry is known for. I also wish to recognise the working group behind the plan’s development. Your efforts serve the more than 42,000 New Zealanders employed across forestry, logging, wood production, and processing — a workforce larger than the urban population of Gisborne. That fact alone underscores the scale and significance of this sector to our national economy. Forestry and wood processing are not just economic drivers — they are foundational to the prosperity of regional New Zealand. In my own Rotorua electorate and across the country, I see firsthand how thriving businesses in this sector sustain communities, create jobs, and foster innovation. Navigating Challenges, Seizing Opportunities We are all aware of the challenges confronting the sector. Plant closures, high energy costs, soft domestic demand, and tariff uncertainty are placing pressure on businesses. These issues are real, and I’ve heard them directly from many of you. But this industry is resilient. Your commitment to long-term prosperity is evident in the conversations taking place at this very conference. It is through forums like this — where expertise, experience, and vision converge — that we shape the path forward. The sector’s performance last year speaks volumes. Forestry and wood processing exports rose 9% to $6.3 billion—an increase of $500 million. For the first time, processed wood exports exceeded $1 billion, reaching $1.1 billion—a 27% increase. These are not just numbers; they are signals of momentum and capability. Looking ahead, the global trading environment and the projected softwood deficit present significant opportunities. With coordinated effort between industry and Government, New Zealand is well-positioned to lead. Your growth plan aligns with the Government’s objective to double export value over the next decade. It sets out a clear pathway and places business leadership at the centre of accelerating high-value exports. This is a shared vision — one that focuses on processing more forest products onshore to maximise returns and build resilience. Government Support for Sector Growth Currently, around 60% of our wood exports are unprocessed. That will remain a vital part of our export mix. But New Zealand is increasingly recognised for its innovation and its ability to deliver high-value food and fibre products. The world demands quality — and we are ready to supply it. The $47 million Wood Processing Growth Fund is a key enabler. It supports the development of high-value, long-lived wood products — structural timber, furniture, fencing, and landscaping. It helps projects move from concept to execution, creates employment, and strengthens the sector’s capacity. To date, $11.5 million has been committed to 24 projects nationwide. These investments are not just commercial—they are community-building. Supporting Kiwi businesses means supporting the regions they call home. More >> Source: Beehive | ||
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