The ministry's new combined primary industry quarterly report says this was largely due to a 25 per cent decline in log exports and a 23 per cent decline in pulp exports. Despite this, it was the second highest March quarter on record.
The best performing forest products were wood panels, with production increasing each quarter since the March 2011 earthquake and tsunami in Japan. Increases for the year to March 2012 have been recorded for fibreboard (up 8.0 per cent), particle board (up 7.7 per cent), plywood (up 5.7 per cent) and veneer (up 4.2 per cent). Total export volumes of panels are up 12 per cent for the year with exports to Japan climbing 32 per cent.
There was a 27 per cent reduction in export log revenue, a reflection of both a decline in market prices and a fall in log volumes of 8.7 per cent. These reflected higher than normal log inventories at Chinese ports.
Roundwood removals declined 2.0 per cent for the quarter to an estimated 6.0 million cubic metres. Production of pulp, paper and paperboard fell, while production of sawn timber and panel products increased by 5.3 and 7.4 per cent respectively.
Source: Ministry of Primary Industries, Primary Industries Production and Trade March Quarter 2012