Plans to Close Carters Eves Valley Sawmill

The NZ Timber Industry Federation is saddened to learn of the loss of another Sawmill with the announced plans to close the Carters Eves Valley Sawmill, in the Nelson Region.

“Unfortunately, this is a result of a depressed construction industry in New Zealand, which has led to an excess capacity and lower wholesale prices says with prices at levels they were 20 years ago” NZ Timber Industry Federation Executive Director, Jeff Ilott says.  “This really was almost inevitable with a depressed domestic market,   very tough international markets and increasing costs such as Electricity, Insurance and compliance costs. Sadly, despite some optimism from Government, the signs of a recovery in the key construction sector remain a distant blip on the horizon. Actions by successive Governments and Government departments have resulted in the cost to build new houses at record levels, with costs of $3500 to $4500 per square metre for a relatively simple home now the norm.

The potential opening of markets Internationally through Free Trade agreements is welcome but these prospects have  unfortunately been offset by concerns with Global Instability including wars and tariffs.