A deal has been struck which could provide a market for the ‘wall of wood’ New Zealand expects to produce in the next three years.
China holds the key for a multi-billion dollar market for the timber and the two countries have agreed to do business – but New Zealand will have to meet exacting criteria to keep the trade.
Production in New Zealand is expected to rise by 10 million m³ to 28 million m³ a year in the next three years. Meanwhile, forest products exports to China are booming – rising NZ$70m to NZ$164m in 2000 – and demand is expected to increase.
Hurdles that New Zealand will have to overcome include high Chinese tariff barriers, building codes that work against timber and a market unused to treated timber.
