22 INTEGRATED ANNUAL REPORT 2026 Against this backdrop, NCT performed exceptionally well in the markets, with our key customers all taking maximum volumes from us, and our second stalwart Chinese customer returning to contract post-fire. This positioned South Africa as an exception against other major suppliers, and our year-on-year volumes returned to pre-fire levels. Although dollar pricing remained lower than ideal, having four major customers on contract meant that overall, NCT was able to take in all the timber required by members. Our volumes into Japan have not eroded at all, and our Chinese relationships continue to gain strength. Domestic market volumes also largely met expectations, and this positioned NCT to report 1.99 million tonnes of members’ timber being sold. Export volumes grew substantially year-on-year, as NCT reached a point of 100% recovery after the great fire of 2023 and the port loader issues, both of which suppressed NCT’s ability to export in the previous financial year, with 1.59 million tonnes exported (FY2025 667 965 tonnes), at a ratio of 69% to 31% between Japan and China respectively. Looking ahead, dollar prices remain challenging, and no further increases have been realised going into 2026, despite protracted negotiations. This being on top of the tumultuous conditions faced by our clients, who themselves face herculean exchange rates, shortages of much needed chemicals out of the Middle East, and tepid pulp and paper markets. Despite global uncertainty, NCT enters 2026 from a position of some strength. Our order book shows Acacia and Eucalyptus volumes are largely committed, and without this platform, it would be extremely difficult to navigate through the minefields of the current international trading conditions and the Iran conflict which has single handedly raised fuel prices by as much as 30% locally. Global seaborne woodchip supply to Pacific regions update volume Unit: Thousand BDMT Hardwood Chips 2025 2024 % Change Vietnam 16 875 17 913 -6% Australia 3 687 3 539 4% Thailand 2 169 2 619 -17% South Africa 1 467 1 019 44% Chile 1 101 1 271 -13% Indonesia 593 980 -39% Brazil 304 531 -43% New Zealand 171 164 4% Malaysia 130 348 -63% Uruguay 33 69 -52% United States 18 39 -53% Cambodia 18 - World Total 26 566 28 491 -7%
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