2026 ANNUAL GENERAL MEETING Jean Simpson | Manager Corporate Services If there was one message that came through strongly at NCT’s 77th Annual General Meeting, it was that resilience and tenacity continue to define both the Co-operative and its members. Despite difficult global markets, rising costs and exchange rate pressures, NCT has emerged from a challenging period stronger, more efficient and well-positioned for the future. Resilience remains one of the Co-operative’s greatest asset! Chairman Vern Schefermann reported that the reconstruction of the Richard’s Bay facility has been successfully completed, with all three chipping lines now operating at full capacity. During the year, NCT marketed just under 2 million tons of timber, with around 80% destined for export markets. Growth in China, Indonesia and South Korea helped offset ongoing challenges in traditional markets, while NCT also celebrated an impressive 50-year relationship with Japanese customers Nippon and Sumitomo. General Manager Danny Knoesen acknowledged that international woodchip and pulp markets remain under pressure. However, strong customer relationships, quality products and reliable service enabled NCT to increase market share and achieve record wattle export volumes. South Africa has also strengthened its position as Japan’s secondlargest woodchip supplier, providing further confidence in NCT’s export future. He further gave feedback on the extensive strategic reviews undertaken by NCT during the year. He confirmed that NCT’s export business remains the best platform for future growth, with management focused on improving efficiencies, reducing costs and pursuing new opportunities where they create value for members. CFO Kerry Moffett reported a solid financial performance despite the challenging environment. Turnover exceeded R3 billion, an increase of approximately 80% compared to the previous year. Through careful cash management and effective hedging strategies, NCT generated almost R30 million in exchange rate gains, helping to support member returns during a period of significant currency volatility. The Co-operative recorded a profit before plantation revaluations and tax of R123 million, while maintaining a strong balance sheet and healthy liquidity position. Importantly, approximately 71% of timber revenue was returned directly to members through timber payments and premiums, reinforcing NCT’s commitment to delivering value to growers. Members also received updates on sustainability initiatives, FSC certification, EUDR readiness and the successful rollout of the NCT Member App. More than R6 million was invested in forestry research during the year, and R3.6 million invested in community projects highlighting NCT’s ongoing commitment to the long-term success and sustainability of the industry. As always, the AGM provided an opportunity to recognise those who contribute to the strength of the Co-operative. Longserving members were honoured for their loyalty and commitment, while RMJ Farming (Pty) Ltd and Mthondeni Heartwell Majola were named NCT’s Commercial and Small-Scale Tree Farmers of the Year respectively. Special recognition was also given to NCT Zululand District Manager, Mrs Angel Sibisi for receiving the Southern African Institute of Forestry’s Tree Farmer of the Year Award. The AGM concluded with the re-election of Chairman Vern Schefermann, Colin Hohls, Harald Niebuhr and Julia Rees to the Board and the approval of all formal resolutions which were put to the meeting. The overall message coming from the 77th AGM was both realistic and encouraging. While growers and the industry continue to face headwinds in the form of subdued prices, rising costs and global uncertainty, NCT remains financially stable, operationally strong and strategically focused. The Cooperative’s future will not be built on a single transformational project, but rather on the collective strength of its members, continuous improvement, strong customer relationships and a willingness to adapt in a changing world. As has so often been the case throughout NCT’s history, the challenges ahead are significant. But if the past year has proven anything, it is that resilience remains one of the Cooperative’s greatest assets. Together, members and staff continue to demonstrate that forestry is not for sissies, but through cooperation and perseverance, a sustainable future remains well within reach. 14 15
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