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July, 2021

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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 regularly buys smaller tracts of forest to harvest immediately or immature forests to hold until harvest time. 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 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.
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Forest Owners say production trees are potentially farming’s biggest friend

The President of the Forest Owners Association has told delegates to the Primary Industries Summit in Christchurch that forestry offers many opportunities for farmers.

He said trees versus food production arguments are misleading and detract from opportunities to improve the sustainability and profitability of the wider farming sector

Phil Taylor has told delegates that not only do plantation forests provide an offset for farmers’ greenhouse gas emissions, but they are a valuable farm production option as well.

He said many farmers will be doing well out of their investment in planting decades ago, with record strong prices and a significantly favourable international supply and demand imbalance.

Trees, he said, can be used not just for timber, but also deliver carbon lockup, erosion control and water purification as well as for shade, fodder and food crops.

He said trees will be a major part of New Zealand’s developing bioeconomy and already there is an escalating appetite for wood to use in milk-driers to supply an $8 billion milk-powder export market.

Dairy farmers may become competitors with their own companies because of the need for wood chips in cow stand-off pads.

Phil Taylor said there is common ground across the primary sector on such issues as biosecurity, health and safety, labour availability, more indigenous biodiversity, and an objective, timely and science based regulatory system, which includes access to CRISPR gene technology.

Phil Taylor admitted that the forest industry relied heavily on its exports of logs to China.  But he said most of the primary sectors’ exports were in the same boat.

All three of the dairy, meat and wool, and seafood industries are nearly 40 percent reliant on China for their export markets.

And he said the Forest Industry Transformation Plan would not only see more products, such as biofuels and innovative engineered wood products, but more sawmills producing more timber for domestic and export, thus reducing the reliance on the log market.

He signalled though that this transformation is likely to lead to future concentrations of plantation forestry in some regions to get the maximum benefits out of transport, infrastructure and skills.

Phil Taylor told delegates that the role of permanent carbon-only forests should only be on erosion prone or remote land which could not be productively used for either farming or timber harvesting.

He also noted that if the Climate Change Commission’s reliance on 380,000 hectares of exotic trees being planted before 2035, was not met, then the government of the day could need to cut livestock numbers to balance the greenhouse gas books. 

Undershooting the government’s 2050 net carbon-neutral target was not an option Phil Taylor said, and if trees are not planted more difficult choices will be required.

“I’m sure that would not go down well with many of you here today.”


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