Forestry families feeling the pinch after log prices drop significantly

A number of factors, including coronavirus, are leading to job cuts or reduced hours.

Forestry families are feeling the pinch because a combination of factors - including coronavirus - have caused log prices to drop significantly.

Many jobs have been cut and workers' hours have been reduced.

Layla Te Maro's family's future is on hold after her partner's forestry contracting hours were cut.

"We were planning on buying our housing New Zealand house and then we got told about everything getting stopped and what not and I had to ring the lady yesterday to withdraw it," Ms Te Maro said.

The mum of two is now receiving food parcels.

"Yesterday was OK with the pay - hopefully it's not too bad next fortnight."

Jonathon Pere runs East Coast food bank through social media, he's had more requests for parcels in the last week from forestry families.

"Not only have their wages been completely halved, their wages have been completely cut," said Mr Pere.

The extended Chinese holidays period has curbed demand for New Zealand's logs and increased prices.

'We've had a drop of 25 per cent roughly in the last month, so that's a big hit at once," said Kim Holland, Eastland Wood Council.

One in four families on the east coast are thought to be connected to forestry.

"I do think what we are going to see across the spectrum is families and businesses that are struggling also because of the uncertainty is it going to last one week is it going to last four weeks or is this for 2020," Gisborne Mayor Rehette Stolz said.

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