10 INTEGRATED ANNUAL REPORT 2025 halting Durban exports for four months, reducing even further NCT’s annual export volumes. Production resumed in full at BayFibre in September 2024, and at DWC in October, just in time for the Acacia harvesting season. RBWC Eucalyptus chipping resumed in November 2024, albeit without the overhead storage conveyors and using a limited area on the western stockpile facility. A significant amount of effort was spent analysing what challenges may lie ahead from a cashflow perspective and how to mitigate these. A key objective was to not compromise the Mill Delivered Prices (MDP) and place further pressure on members. Our Finance Department was key in keeping the Board and Senior Management well informed of NCT cashflows as these were impacted by reduced sales, an international woodchip market under pressure, and a stock rebuilding phase at Richards Bay. In addition, NCT had to consider various depot initiatives to assist members, the reduced throughput from Tree Farming, and the management of insurance payouts — all while striving Chairman’s Report 2025 The year under review can be described as one where NCT set our focus on rebuilding our facilities in Richards Bay. However, with two-thirds of the chipping capacity unavailable for production, and an international pulp and paper market in decline, several plans had to be made to ensure that we could continue to achieve our strategic objective in marketing our members timber and optimising the financial results. During the period, various operational plans were made to accommodate our members’ timber while our Richards Bay facility was down for repairs. These included maximising stockholding and throughput in our operational facilities at DWC, our depots as well as additional depots on loan from NTE. One of the objectives was to ensure the Acacia bark industry did not suffer from the lack of production at NCT facilities. A mobile chipping operation was also set up at the Richards Bay facility to reopen limited Eucalyptus access for northern members and meet biomass obligations. DWC also experienced challenges when a passing vessel damaged the port woodchip loader in May 2024, VERN SCHEFERMANN
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