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The current situation for private forestry - 15 April

An overview of the current situation for private forestry in Tasmania as at 15 April 2020.

NW Tasmania: Forestry supply chains are still flowing but some individual forest workers have been impacted by quarantine restrictions.

Whole log exports:

* Whole log exports continue to destinations including China and Malaysia.

* Both volumes and prices are recovering from recent lows with increased demand and improved prices.

* Stocks on Chinese ports have begun to reduce as China returns to work.

* With the closure of other key suppliers, such as New Zealand, it is expected that Australian demand should improve.

Woodchip Exports:

* Woodchip exports continue, albeit at reduced prices, as the Chinese pulp and paper manufacturing sector recovers.

* Companies with forward contracts report strong demand at satisfactory price levels.

* Companies without forward contracts suggest the market is patchy but the outlook appears positive albeit with lower price levels than early 2019.

Processing Facility Closures:

* Neville Smith Forest Products closed their Southwood mill on 23 March.  It is understood that the closure will be reviewed at the end of April.

* Ta Ann Tasmania temporarily closed both their Southwood and Smithton mills on 25 March until mid April.

Forest Contractors:

* Contractors working in the private plantation sector are still operating without significant disruptions to operations being reported.

* Sustainable Timber Tasmania has advised its southern native forest contractors are operating but are keeping delivery quotas under review.

The current situation of private forestry in Tasmania will be reported in PFT's weekly e-bulletin.  If you would like to subscribe to this bulletin please email admin@pft.tas.gov.au

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