A podcast interview with Dr Elizabeth Haig of the New Zealand Forest Owners Association discusses the potential benefits and challenges of a free trade agreement with India, rising fuel and shipping costs, and the impact on forestry exports and small-scale woodlot operations.
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So in terms of the smaller scale farm forestry side of things and the woodlots, that's often some of the first stuff to drop off when there's volatility, because when your costs go up, if it's like the only harvest that you're going to do, you know, if you're a farmer and that's your retirement block or that's going to go to pay for a batch, then you're probably not going to harvest it now when the costs are higher. You're going to hold off. So we saw that woodlot. side of parving drop off pretty quickly. I think in terms of the more commercial scale forestry, we're seeing that folks are making a lot of efficiencies there in how they use fuel and thinking about, you know, even if it's stuff down to having folks ganging up in one ute to go out to site now and carpool, that we're just trying to do everything we can to cut the... you know cut the sales in and make the boat go as fast as we can on as little fuel as possible but but the harvest volumes for those larger scale haven't started to drop off yet we're anticipating the longer this goes on though that we may start to see that
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small-scale operations are retreating due to cost volatility
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