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Dec. 2015

New Zealand exotic Stocks

Architecture Round Up

NZ grown Black Butt logs

New Zealand Exotics – pretty exciting conclusion to 2015. After waiting 6 years we finally started getting some NZ Pilularis logs from a Rayonier forest in November. The stock is magnificent and we are cutting this as joinery stock for mainly Australian clients who don’t seem to be able to get enough. Demand even here in NZ for T&G for Pilularis and Messmate is strong. Saligna sales and demand remain mixed, strong demand in some quarters and flat in others. 

Macrocarpa as a species we used to see and hear a fair bit about but interest has declined as far as we are concerned as we find it too hard to dry in Clears grade ( we get far too much downgrade). So I guess we are likely to see less and less. The resource grown here in NZ was struck with disease problems and hybrids like Cupressus lusitanica and others are still being grown here and there. Some specialists handle these timbers and we can source when required.

Radiata log prices have spiked up strongly with renewed demand from Asia and strong interest locally for pruned butt logs. We understand that the logs for making industrial and structural lumber are up 20% and the pruned logs are up around 10%. The rapid rise in the lower grade Radiata logs will be ( most likely) short lived - a spike. the rise in pruned logs is less likely to fall over. strong demand in Europe and North America for clear grades of Radiata Pine lumber are underpinning a long deserved return for foresters for pruning their trees.

Radiata – Radiata Clears ( or appearance grades) are real strong in cost/price reflecting strong demand from around the Globe. In contrast the structural and industrial grades are soft and hard finding a level. We have as you would expect good levels of inventory in 25, 40, 50, and 75mm Clear grades in UT and H3.2 kd sawn.. February will see a rise of around 7% on Radiata Clears as sawmills face higher log costs. more to come - who knows? My crystal ball is cloudy but a betting man would say yes.

Saligna – good stocks of most sizes in stock and ready to go. Strong demand for some sizes. Saligna takes us 12 months plus to dry and process so a slow stock turn.

Pilularis – good demand hard to keep up with sales.  Good stocks drying currently at the kilns. Like Saligna it takes a long time to turn the stock.

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Current Feature Stories
December 2015
/imagesdb/Issue/50e4ece2-b683-48c1-b54c-6fca570c97db.jpgStaff News
2015 saw a number of changes in staff and we said good bye to some good people but we have been fortunate enough to fins some great new people and look forward to being able to do better than ever in 2016.
/imagesdb/Issue/fc22ac2b-cecf-44f9-b3e8-35cf13c4a277.jpgAccoya has a big boost in production coming
Accsys Technologies recently announced a joint venture with Solway to boost production at the Arnheim production facility nearly doubling capacity by 2017. So a big boost to Accoya supply is coming.
2016 Prospects and Opportunities
All the data and prospects point towards 2016 being busy and even better than 2015. Our biggest hurdle is managing the imported inflation some being the falling NZ dollar
/imagesdb/Issue/037d3f9f-e6ac-4800-b8e4-a02b01a48833.jpg2015 in Review
2015 has seen increasing building activity and a turning point for many of us to some tough times. 2016 looks promising and exciting. Bring it on.
/imagesdb/Issue/535a4d63-2ee9-4877-9a4d-55e90fc19201.jpgXmas Greetings
Xmas is only a few sleeps away and thank goodness. 2015 has been a real busy year.
Current Feature Stories
September 2015
/imagesdb/Issue/f324da3f-5237-4fff-9368-59fd36a53857.jpgStaff Updates
A few changes and additions all in Auckland.
/imagesdb/Issue/c7e6abb8-eded-4671-a075-6c365ccfacf7.jpgBlack Butt decking a new non tropical choice
Black Butt decking provides a non tropical choice to build decks and still use a class 1 durable hardwood.
/imagesdb/Issue/d75b42f9-772a-43f1-a11b-6719e30b728c.jpgSupply chains
Supply chains are groaning at demand for key items. The growth in demand after the GFC has been slow and has seen a large number of sawmills here in NZ and elsewhere close and go broke. This is leading to shortages in supply as the remaining suppliers struggle to cope.
/imagesdb/Issue/b5dc470d-607c-417f-8cf4-bd6d27a1af74.jpgBuilding Activity
Data we see coming through suggest continuing demand for building materials and weather boards as an example are flying out the door. So prospects for Building Supply merchants should be okay.
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