24 Feb 2009

Lumber logistics company holds its own

7:23 am on 24 February 2009

An Auckland-based company which provide sales, marketing and logistics services to saw milling companies around New Zealand expects business to hold up over the coming year.

Lumberlink employs 12 full time staff and exports products world-wide. It began business in 2003.

The company handles about 200 containers of sawn lumber and solid wood products per month - 95% of which is exported to markets in China, South East Asia, Japan, the United States and the Middle East.

A specialised software system gives Lumberlink staff real-time access to accounting, documentation, distribution and planning details anywhere in the world.

While Lumberlink has felt the effect of the economic crisis on US markets, company director Tony Johnston says a broad customer base has helped it weather the downturn.

He says the US has "really taken a nosedive" in terms of timber purchases due to the collapse of the housing market, but this was offset by growth in China and parts of Asia.

The company turned over about $40 million last year and Mr Johnston expects it will be about the same this year.