Forestry Operations
Keeping forestry in motion
The Operations Portfolio has a particularly wide range of issues that it deals with which are handled primarily by the Operations Director although these do spill over to other staff members as well. These include transportation and logistics, general forestry operations and commercial crimes – all of which are dealt with in more detail below.
Human resources is another facet of the operations portfolio, with the forestry industry employing an estimated 59 000 people directly and a further 27 000 people indirectly through businesses that service it. While downstream processing plants – pulp, paper and board mills, sawmills, veneer plants, mining timber mills, pole treating plants, charcoal plants and match factories – employ a further 63 200 people, both directly and indirectly.
Transportation and Logistics
The transport of round logs to the primary processing plants constitutes between 30% and 50% of the total cost to deliver timber to a processing plant (including planting, harvesting and loading). It is therefore important that all facets of the Sector that have an influence on cost and productivity be carefully scrutinised and considered.
The work done under Transportation and Logistics deals with Road and Rail Transport, as well as the export of forest products via Ports. FSA has been instrumental in the formation of the National Logistics Crisis Committee through the PPGI and Operation Vulindlela. Several of the recent successes have been achieved by working through the NLCC.
Key Objectives
Road Transport
Reduce cost and improve efficiency through the development of innovative transport systems.
Engage with SARS when they review the Diesel Rebate Scheme. Diesel makes up between 30% and 40% of the cost of road transport, and rebates have significant impact on the cost of delivered timber. To this end, FSA makes regular detailed submissions to SARS, requesting Forestry specific changes to be made to assist primary producers with lowering their input costs.
Improve road safety through initiatives such as the Road Transport Management System (RTMS) and Performance Based Standards (PBS). The forestry industry has been the pioneers in the transport sector to pilot both RTMS and PBS. FSA continues its involvement with PBS, ensuring that this important initiative remains on the Department of Transport’s radar, and pushing for the acceptance of the initiative into the relevant transport regulations. Through FSA’s involvement, the PBS pilot project was extended until the end of 2027.
FSA continues to engage with the Department of Transport and SANRAL at a provincial and national level to bring to their attention matters that affect safety and productivity in the forestry sector.
Rail Transport
Structural reforms in Transnet has changed the face of rail forever, and FSA is working closely with the NLCC to stay on the forefront of developments. FSA is facilitating discussions at an industry level to ensure that our industries needs are considered, and that rail remains a viable transport solution. The Coal Line and North/South Coast lines remains paramount to the industry, and FSA is working through the NLCC with other sectors to keep these lines functional. The Greytown / Kranskop / Mt Alida branch line is primarily used by the Forestry Industry, and FSA is working hard with Transnet to ensure that it remains functional.
Poor service by Transnet in recent years has seen the volume of timber on rail plummeted from 3.5 million per annum to under 1 million tons. Rail transport is in general much cheaper than road transport, and as a result, the industry would like to increase the volume of timber moved by rail. A move from road to rail will have numerous benefits, such as alleviating congestion on the road infrastructure, reducing accident rates and reducing damage to the roads.
FSA involves itself with Transnet, PRASA, DTIC, DOT and other relevant bodies when needed to find solutions to problems faced on the rail network.
Ports
FSA coordinates discussions at an industry level with the relevant ports authorities, promoting the efficiency of ports, and promoting discussions to support the Department of Transport’s newly established PSP office that aim to establish partnership between the public and private sectors to improve cost competitiveness and efficiencies.
Forest Operations
The field of forest operations is diverse, including all activities that deal with the planting and tending of timber, harvesting and production of marketable timber (i.e. timber that is of the right specifications required by primary processors), the extraction of timber from plantations to in-field landings/depots and primary short-haul transport within plantations. The scope of forest operations also covers the building of and maintenance of forest roads, bioenergy and the transportation of labour. It also deals with the valuation of Forestry Land. After the disbandment of Forest Engineering South Africa (FESA) in 2015, the Industry subsequently acknowledged the constructive contribution that it had made to the sector and, as a consequence, the FSA Forest Operations Working Group was established to deal with matters related to forest operations and to coordinate its efforts in this field.
Key Objectives
- Establish Industry standards, such as those related to labour carriers, roll over protection system, etc.
- Updating of Industry handbooks related to forestry operations, and compiling new guidelines and handbooks where necessary.
- Serve as a community of best practice, where people can exchange ideas regarding the development and implementation of best practices.
- Optimisation of forest operations through the introduction of new technologies.
- Systems and Inventory management.
- Striving towards appropriate modernisation, keeping a balance between creating a safe workplace and creating employment.
The Working Group is comprised of representatives (usually Operations/Harvesting Managers) from the major forestry companies operating in the Industry. Meetings are also held with suppliers to discuss issues of importance or concern. Submissions are also compiled on matters of importance which are presented to the relevant authorities.
The overall objective of this Working Group is to reduce the cost of timber production as well as to improve safety and productivity.
Commercial Crimes
Crime and criminality in the forestry sector comes in various forms, ranging from the theft of timber and equipment to illegal mining and cybercrime. Criminality is therefore a serious problem in the forestry industry and it requires a collaborative effort by all affected parties to minimise the problem.
The FSA Executive Committee decided that the issue of criminality was best handled at a local/regional level by local grower representatives and that FSA should concentrate on dealing with the problem at a national and provincial level (i.e. through high-level interactions with SAPS and the Department of Justice). To this end, grower representatives have formed various regional Commercial Crime Forums (CCF’s), where issues relating to criminality are dealt with on a regional basis.
The various CCF’s meet as and when needed – normally every quarter. These meetings are convened and chaired by industry representatives (e.g. asset protection managers) in the regions in which the forums operate.
The overall objective of the forums is to share local information about crime and criminality in the region and to implement local strategies to minimise such incidents.
FSA continues its work on the National Priority Committee for Extorsion and Violent Crimes as well as the provincial chapters in Mpumalanga and KZN to bring about change.
Key Objectives
Establish Regional CFF's
Establish regional CCF’s to serve as a platform where issues relating to crime and criminality can be discussed between members so as to develop appropriate responses to try and combat this scourge.
Increase Awareness
Increase awareness of the seriousness of the problem amongst the legal fraternity (Magistrates and Prosecutors) as well as local members of the SAPS.
Quantify Extent
Quantify the extent of crime and criminality in terms of the number and extent of incidents, volume and value of losses, and impact on the economy. This is done through interaction with FSA members and CCF’s, as well as the capturing of relevant data on a database that has been established through the Forestry Sector Masterplan.
Lobby Government
Using the above information to lobby the Department of Justice / SAPS to take the matter seriously and to look into the possibility of establishing e.g. dedicated Timber Theft Units within the SAPS.
Documentation and Guidelines
