Statement from the Wood Processors and Manufacturers Association of New Zealand (WPMA).
24 January 2020
The WPMA deeply regrets the announcement of intent of closure of another wood processing mill in New Zealand and the
loss of yet more jobs in the regions. The government is fully aware that the demise of wood processing firms is being
caused by a highly distorted domestic market for logs. The prices for logs in New Zealand have been driven up to
unprecedented levels over recent years by foreign buyers operating on subsidies provided by their own countries. These
subsidies enable foreign buyers to artificially inflate prices here, effectively capturing the domestic log market by
creating some of the highest softwood log prices in the world. The fact that this grossly unfair market is occurring
under NZ’s Free Trade Agreements with these countries should be extremely concerning to all New Zealanders. The WPMA,
yet again, urges the NZ Government to take immediate action to halt these unfair trading conditions and prevent the loss
of jobs and community to what is thoroughly unethical trade. Continued government inaction will inevitably lead to
further loss of wood processing jobs to blatantly unfair trade and dash hopes of building a future bio-economy around
NZ’s forestry sector.
Brian Stanley
WPMA Chair
ends