❓ Hon. Christine Sharp questions the government about competitive neutrality reviews of the Forest Products Commission and the implementation of recommendations from a 1999 review regarding CALM's plantation business unit, particularly concerning pine operations and full cost pricing. Hon. Kim Chance responds, stating a review was completed in 1999 and the Forest Products Commission is expected to address these issues.
AnsweredQoN 347Legislative Council
QuestionView source ↗
(1) Is the Government carrying out a competitive neutrality review of all the Forest Products Commission’s core business activities, including plantation and farm forests, similar to the current review of hardwood operations, in which public submissions to the working party are being received until Wednesday, 8 August? (2) If so, when? (3) How will the Government proceed with the recommendations and issues raised in the review of the activities of CALM’s plantation business unit - now the Forest Products Commission - by Forestry Pacific Pty Ltd in December 1999? I refer in particular to - (a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE
AnswerView source ↗
I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(2) If so, when? (3) How will the Government proceed with the recommendations and issues raised in the review of the activities of CALM’s plantation business unit - now the Forest Products Commission - by Forestry Pacific Pty Ltd in December 1999? I refer in particular to - (a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(3) How will the Government proceed with the recommendations and issues raised in the review of the activities of CALM’s plantation business unit - now the Forest Products Commission - by Forestry Pacific Pty Ltd in December 1999? I refer in particular to - (a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(2) If so, when? (3) How will the Government proceed with the recommendations and issues raised in the review of the activities of CALM’s plantation business unit - now the Forest Products Commission - by Forestry Pacific Pty Ltd in December 1999? I refer in particular to - (a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(3) How will the Government proceed with the recommendations and issues raised in the review of the activities of CALM’s plantation business unit - now the Forest Products Commission - by Forestry Pacific Pty Ltd in December 1999? I refer in particular to - (a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(a) the serious problems in the operation of CALM’s former pine business unit; and (b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(b) full cost pricing; as the Forpac report states at page 103 that current low sawlog prices are a serious threat to the long-term viability of the processing industry, hence the need to renegotiate state agreements and contracts of sale of softwood to realise the true value of the pine resource for the State? Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
Hon KIM CHANCE replied: I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
I thank the member for some notice of this question. (1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(1) No. The competitive neutrality review of CALM’s plantation business unit was completed by Forestry Pacific Pty Ltd on 31 December 1999. (2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(2) Not applicable. (3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
(3) The Government established the Forest Products Commission in November 2000 to provide for a commercially focused agency. The commission, as part of its operations, is required to set the sale price for forest products, which includes a number of cost components and a margin for project. I expect the commission to progressively resolve issues as it faces a number of difficult matters in restructuring the timber industry.
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