Business North July / August 2021

62 | “It is unacceptable to put people in those positions of risk when there is a mechanical alternative.” FORESTRY Northland Wood Council - Hancock Forest Management Mechanisation of harvest a focus Karen Phelps HFM has focussed on the progressive mechanisation of its harvesting operation. C urrently managing 220,000 hectares of plantation forestry on behalf of three clients — Taumata Plantations Ltd, Tiaki Plantations Company and OTPP NZ Forest Investments Ltd, Hancock Forest Management NZ Ltd is wholly owned by US based Hancock Natural Resource Group. Headquartered in Tauranga, with regional offices in Whangarei, Tokoroa and Rotorua, HFM NZ looks after plantations in Northland, Auckland, Waikato, Bay of Plenty, Manawatu/ Wanganui and Hawke’s Bay. Through its contractor workforce, HFM NZ undertakes the full suite of forest manage- ment activities from planting right through to delivery of log product to the domestic market or to the export facility down at Marsden Point. Since 2014, when only 20% of its trees were felled mechanically, HFM NZ has steadfastly focused on the progressive mechanisation of its harvesting operations, which now sit at 90%. Northland Regional Manager Andrew Wid- dowson says if you look at the accident and fatality statistics in New Zealand manual tree falling and breaking-out dominates. “Our objective has been to improve the safety environment of the people on the for- est floor and we make no apology for wanting to eliminate those high risk roles in our har- vesting operations, because of the high price that can be paid if something goes wrong. “Those roles are primarily around manual falling of trees using chainsaws and also hook- ing logs on steep country. “It is unacceptable to put people in those positions of risk when there is a mechanical alternative. That has resulted in greater pro- ductivity from less people, but it was absolute- ly the right thing to do.” Andrew suggests for a traditional crew of thirteen people there are probably three no longer on the ground carrying out high-risk roles, and importantly no longer at risk. “But I would also say that all of those people are now in machines in highly ergonomic and protected environments. “The people involved in harvesting are highly skilled and forestry is not for everyone. These people have gone from manual work into machines because they have an intimate knowledge of the industry and a passion for it. With New Zealand’s overall increase in harvest they could probably walk into ten jobs tomorrow.” The move towards mechanisation has also improved Hancock’s environmental perfor- mance because it allows better control of the harvesting processes and the handling of large trees. “We always want to achieve minimal impact on the land through the extraction of trees. We can directionally fell and precisely extract trees away from sensitive areas where ripar- ian planting protects waterways and streams at the bottom of valleys, as well as native reserves.” Ranging from estates of several hundred hectares up to the largest of 6000 hectares, HFM NZ’s Northland forestry encompasses a total of 40,000 hectares, often geologically and topographically challenging. “Our harvest is reducing over time. Five years ago we were harvesting 1.5 million tonnes of logs. We’re now effectively harvest- ing 650,000 tonnes. “There were two planting peaks, one in the mid ‘80s and one in the mid ‘90s. After those peaks planting really reduced. So the reduc- tion of our harvest is a function of the variable age class. “Fifty percent of our harvest goes to do- mestic processing plants in Northland and their specification is twenty-five years at a minimum because of log density. They don’t want young wood because it doesn’t offer the necessary density for structural lumber. Our average harvest age is 28 years.” Twenty-three local contracting businesses are employed in HFM NZ’s Northland opera- tion. They in turn employ a workforce of 230 Northland people. With all costs from planting through to de- livery HFM NZ’s annual financial injection to its contractor workforce is about $60M, all going on to local businesses and local people. “We see our contractor workforce as busi- ness partners,” reflects Andrew. “We know that we are co-dependent and their success contributes to our success and vice versa. “So we’re very clear around the critical nature of that relationship. It has to work commercially for them as well as for us. For the contractors there is a massive investment in machinery. “They make the up-front investment, but ultimately we pay for the machinery through engaging their services. “We provide the contractors with security through contracts so that they can sit down with their financiers and demonstrate that they have security of work and tenure and talk about a business plan that sees that equip- ment being acquired and paid off over time.” Acknowledging that there is risk in every business, Andrew says the last decade has been a very good period for forestry with the resurgence of building activity in New Zealand. The powerhouse of China is a very big mar- ket for New Zealand logs and, in the world of climate change the New Zealand Government is promoting the use of wood for commercial and industrial construction. The future of New Zealand’s plantation for- estry looks positive as a significant contributor to the country’s GDP, and as a significant em- ployer within the local communities in which it operates. Environment focus - page 64