Wood venture tipped

Deputy Prime Minister Jim Anderton is set to announce a "significant" wood processing development in Gisborne today.

The announcement comes after the signing yesterday of a deal which clarifies the ownership of Port Gisborne.

Anderton has previously said that uncertainty over the port's future, particularly whether it would remain locally owned, was holding up investment in the wood industry.

But Gisborne Mayor Meng Foon said yesterday that a heads of agreement had been signed for the sale of the port's assets and operations by the council to the Eastland Energy Community Trust.

Foon said the deal meant all parties could now focus on "the continued development of the region with this very strategic asset now secured in ... community ownership."

Shortly afterwards, Anderton's office issued a statement saying the minister would be making a "significant announcement about wood processing" during a visit to Gisborne today.

The announcement evidently involves the development of a major wood processing facility in the Gisborne area, and is the first fruit from the Government's wood processing strategy.

Anderton will visit the existing Juken Nissho operation in Gisborne and the headquarters of Hikurangi Forest Farms, which is understood to be among those involved in the new venture.