forests which may have their own adjacent production facility. This provides the opportunity to carry logs
in both directions.
5.3.4
Utilising integrated transport services
The development of inland log stockpiles, with road feeder services to rub hubs, is enabling the
campaigning of logs to meet shipping schedules, rather than stockpiling logs on the wharf.
A number of barriers to innovation have also been identified:
5.3.4.1
Complicated regulatory processes
Businesses find obtaining HPMV permits is complex. A key issue is the potential conflict between local
government objectives and the objectives of users (and the NZTA), in particular, where local government is
required to upgrade roads but does not receive any of the benefit through increased funding.
There are also a number of differences causing concern to industry with regards to the heavy vehicle
permitting and penalty system (particularly with the treatment of HPMVs).
5.3.4.2
Access to new technologies
Due to the remote locations that logging trucks operate in, 3G mobile telephony and internet-based
systems are not available. Digital radio systems are being introduced to provide data capable systems that
will aid in load allocation, scheduling and fleet management.
5.3.4.3
Sector marketing strategies
The range of export log grades adds considerable complexity to the operations and cost of producing,
storing and marshalling logs for export.
5.4
Wine
The wine sector faces similar challenges to the meat and forestry sector. However, the wine sector does
not enjoy the same scale of operation as the forestry and meat sectors. Furthermore, most wine is
exported and sold in bottles. This has major implications for the supply chains as empty bottles (which
are manufactured in Auckland) must first be transported to the winery or bottling plants. Even though
significant volumes of wine are shipped in bulk from Marlborough (approximately 50%), Hawke’s Bay and
Gisborne for bottling in Auckland, a large proportion of wine is bottled in the wine growing regions that
must then be transported in bottles to the port of export, which is often Auckland. In addition, some semi-
processed fruit is moved in bulk from the wine growing regions to Auckland for final processing. Due to
the unstable nature of this product it is highly time sensitive.
5.4.1
Reorganised supply chains
Within New Zealand some producers have been able to take advantage of the economies of shipping wine
in bulk from the winery to the bottle facility. This occurs particularly from both Hawke’s Bay (road) and
Marlborough (rail and coastal shipping) for bottling in the Auckland region. This process results in a
number of benefits such as:
•
eliminating the need to transport the empty bottles to the wine regions which saves transport costs
and reduces bottle stock levels due to a shorter order time for empty bottles
•
•
transporting wine in bulk is more cost effective than transporting wine in bottles
ensuring the finished product is closer to the port of export (Auckland).
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