• New Zealand – Harvest & Haul Cost Index – First Release

    21st March 2024

    This is the first release of Margules Groome’s biannual harvest and haulage cost index for New Zealand plantation operations (Figure 1). The methodology used is similar to Margules Groome’s approach in Australia where we have published harvest and haulage cost indices for almost a decade. The indices are the sum of different weighted economic indicators. The indicator weightings differ for harvesting and haulage.

  • Australian Softwood Residual Log Price Index – September 2023

    29th November 2023

    The latest edition of the index indicates margins have reversed and decreased in the September quarter of 2023. This is solely due to increases in logistics costs mainly caused by increasing fuel prices and wages, despite log prices remaining high. It is expected that log prices will start to come down from 2024 following timber prices after the latter rose ~40% during and after the COVID-19 pandemic. If logistics costs remain high, margins will continue to fall in the near future.

  • Australian Harvest & Haul Cost Index – September 2023

    29th November 2023

    Margules Groome’s quarterly harvest and haulage cost index for Australian plantation operations is based on price indexation mechanisms used by industry, weighted by volume harvested (Figure 1). The previous index for June 2023 showed the end of the harvest and haulage cost indices’ downwards trend evident in the first half of 2023. For the September quarter 2023 the indices rose mainly due to the deterioration in the value of the AUD leading to increased fuel prices. Higher than expected wage data and CPI didn’t help either. We now expect the indices to return to the level they were at 12 months ago (December quarter 2022) in the December quarter 2023.

  • Australian Softwood Residual Log Price Index – June 2023

    6th September 2023

    The latest edition of the index indicates margins have increased again in the June quarter 2023. Logistics costs have continued to come down from their December quarter 2022 high, while log prices have remained high. It is expected that log prices will start to come down from 2024 following timber prices after the latter rose ~40% during and after the COVID-19 pandemic.

  • Australian Harvest & Haul Cost Index – June 2023

    6th September 2023

    Margules Groome’s quarterly harvest and haulage cost index for Australian plantation operations is based on price indexation mechanisms used by industry, weighted by volume harvested (Figure 1). The previous index for March 2023 showed a rapid decrease in fuel price in the first half of 2023 which despite increases in inflation (CPI), wages and interest rates saw the harvest and haulage cost indices begin to trend downwards.