Blackstock P. (1997) A review of the Northern Ireland timber market. UAOS Ltd, Portadown.

EXECUTIVE SUMMARY

We interviewed 92 respondents, each of whom had an intimate knowledge of aspects of the Northern Ireland timber market. Each interviewee was questioned about their knowledge and involvement in timber marketing and was asked to comment on the perceived strengths, weaknesses, opportunities and threats to the production and marketing of home grown timber.

We found a continued reduction in the size of the hardwood sector, with an annual throughput of about 6,000 tonnes. This was blamed on a shortage of suitable raw materials. About half the local hardwood timber used in Northern Ireland is salvaged by tree surgeons and does not, necessarily, benefit the grower. Lack of effective management and pressure from environmentalists were given as reasons for the decline in hardwood timber production.

Local hardwood timber was utilised by chair frame makers, in the craft sector and by fine furniture makers, with low grade timber going to one large industrial user. The main users of hardwood timber in Northern Ireland, the Joinery manufacturers, did not, normally, use locally grown hardwood timber although they were not antagonistic towards it.

The commercial relationship between the sawmills and the frame makers was functioning well, with largely acceptable quality standards and price structures in place. The fine furniture makers were much less satisfied with the timber they got from the sawmills, criticising in particular lack of drying and continuity of supply. A number of the furniture makers had overcome these problems by installing kilns and hiring a mobile sawmill to convert sawlogs that they purchased directly from growers or tree surgeons. Some timber growers had also hired the mobile sawmill to convert their own timber, although they usually lacked the knowledge to dry, grade or market the resulting planks.

The involvement of the craft sector and the fine furniture makers in utilising native hardwoods has helped to create an exclusive or high quality image for this timber. Recent sales from local sawmills to timber merchants may help to develop an additional market of local hardwood timber in the relatively large Joinery manufactory sector.

The recent expansion of the softwood sector to about 500,000 tonnes per annum (Pieda 1994) seems to suggest that this sector is thriving. We found that the commercial relationship between the Northern Ireland Forest Service and the large estates, as softwood producers, and the sawmills was functioning well. The personal and professional integrity of the personnel involved in marketing state produced timber was an important aspect of this market. Farmer growers, who did not, normally produce an acceptable crop, had problems marketing their timber.

Most of the softwood produced locally was utilised in low value, low value added products, destined for the agricultural or local authority markets or for pallets and packaging. We consider that these sectors are vulnerable to changes in local government spending and agricultural subsidies and to competition from third world suppliers. The established softwood market in Northern Ireland (timber merchants and the construction industry) were strongly antagonistic towards locally produced softwood. They cited problems with quality control, lack of drying and technical limitations as reasons for not utilising this material. Local sawmills have responded to this antagonism by developing niche markets and by vertical integration. Unfortunately, this has tended to reinforce the image of locally grown softwoods being a low value product which is not suitable for prestigious uses.

This analysis of the Northern Ireland timber market found it to be complex, with a number of separate, non competing sectors. A number of these sectors, and the marketing mechanisms that connected them to their suppliers and customers, were working satisfactorily. These included;

The production of state and estate softwood sawlogs

The marketing of these sawlogs to local sawmills

The supply of sawn timber from local sawmills to their established customers

The marketing and utilisation of imported timber.

However, we identified three fundamental problems in the Northern Ireland timber market. These were;

The production and sale of quality hardwood sawlogs

The production and sale of farmer grown softwood sawlogs

The sale of locally grown softwood timber into the established softwood markets.

We make the following recommendations for action to address the market weaknesses outlined above.

The production and sale of quality hardwood sawlogs

a) Survey Private woodlands

b) Develop realistic blueprints for growing quality hardwoods in Northern Ireland.

c) Revise woodland grant structure to adequately support timely thinning and pruning of existing woodlands.

d) Alter the systems for financial appraisal of planting proposals to account for amenity and value added in Northern Ireland.

e) Support directed research or development in the following key areas.

A technology transfer visit by sawmillers to review utilisation of small diameter hardwood sawlogs.

The role of the fuelwood market in managing the hardwood resource.

The integration of locally grown hardwoods into the established hardwood market

Quality control and product presentation in Northern Ireland's hardwood sawmills

Harvesting techniques for the removal of thinnings from hardwood plantations

Promotion of locally grown timber.

The production and sale of farm grown timber

a) Support farm forestry co-operatives

The sale of locally grown softwood into the established softwood markets

a) Improve the drying of locally produced timber

b) Introduce new quality control standards into the sawmill sector

c) Support high value or quality product development

d) Promote the use of local softwoods in the construction sector

e) Increase the production of quality sawlogs

f) Diversify state planting where possible

Reference

Pieda Report. 1994. 1994 Timber industry review. LEDU, DOA, IDB Belfast

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