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Business as usual at Pan Pac

Forest operations, lumber and pulp production at Pan Pac Forest Products are continuing at normal levels. This is despite some other New Zealand forestry companies reducing harvesting of their forests in response to high log inventories at China ports.

Pan Pac harvest 1.5 million tons of logs per year and consumes most of that volume within its sawmill and pulp mill. The arising log grades that are not consumed in the value-adding facilities are sold to other domestic sawmills with only the remaining volume destined for log export markets.

Tony Clifford, CEO of Pan Pac notes:

“The Pan Pac business model is to add value to our forest where we can. Pan Pac strategically has diversity of products and diversity of global markets for all our production output.

“Pan Pac owns and manages 35,000 Ha of Radiata Pine plantations which provide 50% of the supply to our mills. The remaining volume comes from other forests under supply contracts. Inventory of all products are currently at normal levels. We are monitoring the situation in China closely and will manage production volumes if required. The Chinese situation is very uncertain at the moment and, although many companies are closed for the extended Chinese New Year holiday, we have agents and information links into China providing up-to-date first-hand information.”