Notice was given of the formation of this New Zealand organisation in my story back in August.
So here they are up and running with their own website.
And here’s a collection of “cut and paste” from that website to give you an idea of what they have to offer the small forest owner in New Zealand.
United Forestry Group | UFG
A strong new company, United Forestry Group Ltd (UFG), has been formed in New Zealand to help the owners of some 14,000 small plantation forests, totalling more than half a million hectares, with the challenge of marketing a “wall of wood” coming to maturity over the next two decades.
To unite the interests of forest owners to provide innovative and attractive harvesting options incorporating world class logistics and marketing resources delivering excellent commercial and community benefits.
Our approach will assist small forest owners to compete with the owners of larger forests who currently enjoy the advantages of economies of scale and greater expertise.
Joining with United Forestry Group (UFG) will enable small forest owners to compete more successfully and achieve better returns than by trying to go it alone.
United Forestry Group (UFG) shareholders bring local forestry management expertise and contacts together with considerable financial resources, long established contacts in the Asian and local markets, and shipping and supply chain expertise.
Joint Venture Superpen Limited, a NZ company, is a cornerstone investor in the new company. Partners in the joint venture are major players in timber exporting – international timber marketer Pentarch of Australia and Chinese conglomerate Xiamen Xiangyu, which has considerable logistics, shipping and and supply chain assets.
The Superpen joint venture will deliver expertise, contacts with timber buyers, shipping services and financial strength to United Forestry Group (UFG).
Our financial strength, our expertise and contacts, and a strategy devised to improve the return from small forests whether by marketing to local processors or overseas buyers, are the key.
Our size and resources will enable us to buy and consolidate existing forests and co-ordinate orderly harvesting, marketing and shipping. Our approach enables small foresters to join with us and extract the maximum possible return – the lowest possible cost and and the best possible price. At the same time we offer forest owners investment opportunities if they wish to participate in the wider forestry industry.
Asset Protection and Security
We believe that union is strength and that owners of a single small forest are vulnerable because of their limited bargaining power and marketing ability.
Consolidating forests through UFG (United Forestry Group) will enable you to enjoy the benefits of economies of scale, greater bargaining power and greater expertise. It will be possible to manage a consolidated forest resource sustainably to produce better outcomes and to time the market better.
Consolidation will protect your asset and give you greater security.
I doubt we will see anything like this in Tasmania anytime soon but it sure sounds like a great idea.
It will be interesting to see whether they can attract the support of small forest growers and become a major player in the New Zealand forest industry.
Those New Zealand farm foresters are lucky to have such an option.
Go to the website and check them out.