Now here is a timber price list to get the heart racing.
Australian Red Cedar (Toona ciliata) was once the premium appearance grade timber species in Australia. From the first days of European invasion to about the time of the First World War (140 years), this timber was chased from every pocket of rainforest up and down the east coast of Australia.
Many books have been written about this species and its history/exploitation. One fine example is:
John Vader (1987) Red Cedar: The Tree of Australia’s History. Reed Books, Sydney, NSW.
Much research and many attempts have been made to try and domesticate the species for growing in plantation. But the dreaded Cedar Tip Moth is a powerful and persistent enemy.
Australian Red Cedar is now commercially extinct, but limited quantities are sometimes available from salvaged trees.
It is a curious price list in that prices per cubic metre remain unchanged at between $8,000 and $10,000 per cubic metre for thicknesses up to 50mm.
Even for a rare and much sought-after timber these prices are not that extraordinary.
This flat pricing structure is typical of salvage timber where the price does not reflect the cost of growing the trees. Salvage timber is just a case of whatever comes along, big or small, long or short. There is no incentive/reward to the grower to replant.
But once you get into the large sizes, prices up to $17,100 per cubic metre definitely get the heart racing.
No wonder so much effort has been made trying to grow this tree commercially.
After the First World War the supplies of Australian Red cedar dropped dramatically and Tasmanian blackwood became Australia’s premier appearance grade timber species. It too is now on the verge of becoming commercially extinct due to overcutting of the public blackwood resource and decades of poor forest policy.
At these prices I’m surprised there is not more interest from investors and landowners in growing premium timber.
Isn’t this a business/investment opportunity going begging?
Will prices for Tasmanian blackwood soon resemble these prices for Australian Red Cedar?
For more information on blackwood and other timber price lists see:
https://blackwoodgrowers.com.au/category/price-lists/
New Zealand Cypress Market Report
And one VERY switched on sawmiller!!
This has little to do with farm grown Tasmanian blackwood, but in terms of where I wish the forest industry in Tasmania was right now, this is a fantastic example. In fact I would rate this little piece as one of the best things I’ve read in my 40 year career as a forester:
http://www.nzffa.org.nz/specialty-timber-market/headlines/member-profile—macdirect/
It’s a shame it’s hidden away in a corner of the New Zealand Farm Forestry Association (NZFFA) website so that very few people will ever read it.
I suspect Murray Grant, Director/Owner of MacDirect Ltd., didn’t set out to write a cypress market report. But that is exactly what this is. This “member profile” is jam packed with lots of useful information for existing and potential cypress growers.
Most Tasmanians would only know macrocarpa cypress as large scraggly farm windbreak trees. Only a handful of Tasmanians know that this tree is fast growing and produces a high value, high quality, durable timber. New Zealand farmers have been growing it in commercial plantations for 40 years. There are only a handful of small cypress plantations in Tasmania.
MacDirect Ltd is NZ’s number 1 Building Grade Macrocarpa supplier.
https://www.macdirect.co.nz/
To me the thing that makes Murray Grant unique is that he’s not just thinking about how to improve his sawmills profitability; he’s not just thinking about the logs that will be coming into his sawmill tomorrow or next week.
He’s thinking about the logs that will be harvested in 10, 20 and 30 years time!!
He’s thinking about the trees that need to be planted tomorrow!!
The major priority of EVERY sawmiller is NOT to produce profitable sawn timber! That’s the easy part of the business!!
Given that timber takes 30+ years to grow, the major priority of every sawmiller is to ensure that farmers are growing more (profitable) trees for wood production to meet market demand.
Sawing up logs is the easy part!!!
And Murray Grant knows this when he says:
We would love to hear from any farm foresters who are keen to work closely with us to grow plantations into the future, get our perspective on silviculture for the marketplace and/or look at log price and harvesting.
Murray Grant knows the critical part that sawmillers (and the market generally) play in ensuring their own future.
Murray Grant is a hero!
He needs a medal!!
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