Log Sawmilling in New Zealand - Industry Market Research Report

Against the grain: High export volumes are bolstering revenue amid warped profit margins

The Log Sawmilling industry has struggled in recent years. A revenue drop in 2018-19 because of lower output and downstream demand combined with difficult operating conditions during the COVID-19 pandemic to push revenue down by an annualised 0.9% through the end of 2022-23, to total $2.3 billion. This trend includes a modest rise of 0.6% in 2022-23 alone as pandemic-induced adversities ease and wood harvesting volumes expand, although profit margins are plummeting because of high costs. Sawmills produce rough sawn timber, boards, palings, scantlings and other basic timber products. Resawn timber produced after being sold to specialist resawyers is excluded from the industry. This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.