“Log exporters and forest owners have not solved the problem to date so I’m going to solve it for them,” he said.
He is preparing a paper for Cabinet that will analyse three ways of making forest owners comply: imposing a levy on the export of raw logs, imposing a log export licence where the domestic market must be satisfied first or require forest owners to invest in processing.
Jones says with unemployment levels expected to soar once the country comes out of covid-19 lockdown it is a chance to create new jobs.
“My message to log exporters is you have your rights to profits by selling in a laissez faire way but you also have an obligation to fellow New Zealanders.”
The resulting timber could be used domestically or exported.
Forest Owners Association chairman Phil Taylor says the interests of forest owners and domestic processors are aligned.
And there could be unintended consequences should Jomes impose heavy-handed regulation.
“The minister is correctly concerned in the short term of the impact on domestic pricing when the industry is exposed to the stress of covid-19.
“We want to work with the minister to ensure no short-term action leads to long-term consequences.”
