NZ pine exporters well placed after China amends building code

By PAM GRAHAM

New Zealand's timber industry is working on building customer acceptance of radiata pine as a building material in China, having won endorsement from regulators there.

The NZ Forest Industries Council has initiatives under way on how to market structural timber to China.

The council's chief executive, Stephen Jacobi, said the Chinese authorities had been helpful in clearing up issues with getting pine approved for building uses and outstanding matters should be resolved by June next year.

The wood was included in China's building code but was tagged as a fast-growing species and there were issues with understanding the dimensions of New Zealand timber and how it was tested for strength.

The council has worked with Chinese authorities to develop a standard for machine grading of wood and a handbook that helps builders use timber with New Zealand dimensions.

China has agreed to update its building code by June next year.

"It would not normally do that within such a short period but it is because China values the relationship with New Zealand, values our free-trade agreement negotiations and wants to make it possible for New Zealand to do business," said Jacobi.

The vast majority of building situations in China would not require pine to be treated, and there was now a recognition of New Zealand sizes and the stress values used for measuring strength.

Jacobi has signed a contract to develop the grading standard by January 2005. The handbook is expected to be completed by November this year and a revision to the building code is expected by June.

The challenge now was to follow up the work done at Government level with marketing initiatives. Companies did not want to develop the market until they were sure of the access regime.

Options included sending logs to China and cutting them there, exporting sawn timber and kitset homes.

"We're having a full industry seminar in November to try to work out what we need to be doing in the various market segments," said Jacobi.

"It's a long-term exercise and we're concerned about the image of radiata in the Chinese market. There is still a market development job to be done."

Jacobi said he believed the Chinese Government had signalled that radiata could be used as a structural timber in China.

"I think China is an enormously important market for us and we should not squander this opportunity."