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At the moment two-thirds of the annual pine log harvest is further processed in New Zealand before it is exported and that proportion will not alter greatly unless there is substantial new investment in large-scale manufacturing capability.
Processing beyond the basic log provides the forest owner and manufacturer with excellent opportunities to create higher value products.
Click on the Value Chain Cycle graphic on this page to see how this works.
Here are some examples of potentital added value from further processing of the pine log:
| Product value range per m3 (ex-mill) |
| Unpruned log |
$70-95 |
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| Pruned log |
$125-150 |
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| Sawn timber (structural grades) |
$190-300 |
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| Finger-jointed, untreated mouldings |
$850-1100 |
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| Clear mouldings |
$900-1100 |
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| Treated, prepared mouldings |
$1000-1200 |
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| Structural glulam beams |
$3000-4000 |
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Although higher value products usually have better profit margins, manufacturing and marketing costs are also much higher than for the basic commodity product.
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