86 | Rayonier Matariki Forests T T Richard Loader Softening markets slow demand FORESTRY With its roots stemming back over three decades, Rayonier Matariki Forests is New Zealand’s third largest forestry company with approximately 120,000 hectares of plantations on a 166,000-hectare landbase that stretches from Northland to Southland. Keeping close to its forests and its contractor work force, Rayonier Matariki Forests has regional offices throughout New Zealand including Invercargill, Rangiora, Napier, Tauranga and Whangarei, with its Head Office based in Auckland. In addition to its own team of 100 employees overseeing all forestry operations “In China, the softening of real estate development post Covid has had a significant flow through to demand and price for New Zealand logs.” throughout New Zealand, Rayonier Matariki employs a certified forest contractor workforce of over 600 people to undertake all forestry activities, from silviculture, logging and log transport for the export and domestic markets. Rayonier Matariki holds both Forestry Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification (PEFC) independent environmental certifications. Both independently audited and international green certification labels, membership requires adherence to a broad range of principles and practices, including environmental, social, cultural and compliance with the law. At a national level, approximately 40% of Rayonier’s logs are sold to domestic processors throughout New Zealand, with the balance sold to export. Jason Syme, Rayonier’s Director, Forest Operations, acknowledges there has been a T T to page 88 softening of demand from the company’s key export markets, namely China and South Korea, as a consequence of softening economic activity in those countries. “In China, the softening of real estate development post Covid has had a significant flow through to demand and price for New Zealand logs. In the domestic market, it’s a similar story, but it has emerged somewhat later. Post Covid there was a surge of domestic demand for building materials but we’ve now seen consents and building activity drop off significantly. That has flowed through to fundamental demand for building products including structural logs here in New Zealand.”
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