News n Views 2024

N E W S & V I E W S • A P R I L 2 0 2 4 1 L I N K I N G O U R M E M B E R S T O M A R K E T S In this issue • NCT 75th Anniversary • Newly appointed NCT Chairman • Reducing Carbon Footprint N U M B E R 1 1 0 • A P R I L 2 0 2 4

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N E W S & V I E W S • A P R I L 2 0 2 4 3 THIS YEAR MARKS OUR 75th ANNIVERSARY, a significant milestone made possible by the tireless efforts of our dedicated members and staff. Your hard work has propelled us to achieve the fullest potential in forestry while ensuring sustainable financial outcomes. Throughout the past 75 years, NCT has evolved from a small marketing co-operative, serving the needs of private and independent timber growers, into the largest forestry marketing organisation in southern Africa. We express our heartfelt gratitude to our members for their unwavering support and commitment to NCT’s mission. In addition, we extend our thanks to our valued partners and stakeholders for their ongoing trust and collaboration. As we celebrate this remarkable milestone, our commitment to connecting our members to markets and promoting sustainable forestry practices remains unwavering. We eagerly anticipate continuing this journey WITH YOU ALL.

4 It’s hard to believe we are six months post fire in Richards Bay. I mean, six months is a long time, right? What has happened since then? What have we been able to achieve? When will we see chippers starting up? And trucks queuing again? What are our customers up to? I am sure these are the questions on everyone’s mind – members, employees, and general observers too. Let us first run through the activities related to the rebuild in Richards Bay, then we can talk about our customers and some brief insight into the market. A project as big as the Richards Bay rebuild requires more capacity than what we possess in terms of technical staff, which iswhywe have called in Sivest, who are experts in Project Management and Engineering. With their assistance in putting together technical specifications, managing tenders, and then supervising project works we are starting to make progress on our rebuild. The past few months in Richards Bay have also been dominated by the loss assessors going through every nook and cranny, reviewing video footage and timelines as they work on their insurance reports along with Safire. The rebuild is being carried out in a number of phases and, as you would expect, some of these phases will get higher levels of priority as we push towards getting chipping operations up and running: • Mobile chipping of biomass for April and May vessels – we have brought in a mobile chipper to chip bio-quality gum for these two vessels for Japan that we did not push away. The chipping is right adjacent to the western stockpiles at Richards Bay Wood Chips (RBWC), and as I type this, we have already put close to 15 000 tonnes on the pile. This will continue until end May at least. • BayFibre – the main damage at BayFibre is the electrical infrastructure and the screens and associated conveyors, right up to the main incline conveyor up to the stacker. We have gone out on tender for most of this work already and will appoint contractors soon. The work includes sandblasting and painting the structures, cladding the concrete columns, building a few new conveyors, and installing two new screens. Add to that all the electrics need to run that. We hope to be chipping by mid-August at BayFibre. • RBWC – Western side (temp solution first). The main damage here includes the electrical infrastructure, the screening building, the reclaimers, the overhead conveyor gantries and the chip pile concrete floor and walls. We will concentrate on getting the chipper and screens up and running, and before we try reinstating the overhead conveyors, we will run a temporary chute to drop chips near the Danny Knoesen . . . . from the GENERAL

N E W S & V I E W S • A P R I L 2 0 2 4 5 reclaimers. Much of this work has already had contractors appointed. We expect to have chips on the ground during August on this side too. • RBWC – Eastern side. Once we have both chippers running, we will be able to focus on the eastern side and all the overhead gantries. These need to be sandblasted and painted and the inside conveyor infrastructure replaced. Then we must put them back up and do civil repairs to the columns and stockpile floor. The timeline here is stretching out towards the end of 2024. It’s an incredibly large and complex project, with the work even requiring Construction Work Permits to be able to proceed. Each time a tender award is granted, it also requires the loss assessors to review it and put their stamp on it too. We will update you regularly in coming months, as we target specific milestones and share progress. In the meantime, from a market perspective, Durban Wood Chips (DWC) continues to trade as normal, albeit with the added pressure of taking on extra vessels on behalf of Richards Bay. To date, they have managed two complete vessels for Nippon, our major Richards Bay Japanese customer, and expect to do at least another three before Richards Bay is chipping normally again. They have, unsurprisingly, reported a record year ending February 2024, having exported an amazing 642 000 tonnes. In many ways 2024 would be a very interesting year – if you were simply an observer, that is. We will need to contend with rising costs here in South Africa, from port costs to diesel, from wages to electricity and perhaps, don’t mention insurance costs. On top of that, an extremely unpredictable Rand, and the not insignificant matter of our national elections in May. Quite a tumultuous time to be restoring Richards Bay back to profitability. And in a year we mark our 75th anniversary of existence! Regardless of our own challenges here in South Africa, the market in Japan and China remains in the doldrums and the pressure remains on pulp pricing as global economies continue in a sluggish growth pattern. The pressure on pulp and paper always translates to wood chips too, and we are expecting tough trading conditions to remain in place even as we focus on getting our chipping plants running again. We will commence negotiations with Japan soon, and we will give you feedback as we engage directly with our customers; but our feeling is that we could be in a protracted negotiation cycle as both buyers and sellers alike face challenging market conditions. MANAGER

6 NCT, has, in one form or the other, been effectively in existence for 75 years, since the inception, on 3 February 1949, of The Natal Co-Operative Company limited. 75 years is a lifetime and seen in context of world events, this particular lifetime has been simply remarkable on so many levels. Initially marketing wattle logs to Masonite, membership had grown to 52 by 1950. In a parallel universe, NATO had been founded, the Korean war had started, and the Voortrekker Monument was being unveiled. As the Berlin Wall was being built, the Cuban missile crisis unfolded, and Nelson Mandela was being sentenced to life imprisonment, Wattle’s marketability rapidly increased with wattle bark quotas being introduced in 1963 and requiring the co-op to export several shipments of wattle timber to Italy. In the early seventies, just after the first landing on the moon, and the first successful heart transplant, NCT entered into talks with Transvaal Wattle Growers regarding a central Co-operative. The Central Timber Co-operative Limited was established with Sumitomo engaged to export wattle chips and a chipping plant erected in Cato Ridge. Natal Landbou Kooperasie Beperk (NLK) began servicing the needs of northern Natal members. News of the flames of the Soweto uprising in 1976 and Concorde taking its first supersonic aircraft into the sky, was all the rage whilst the NCT Haulage Division was being established. Laeveld Tabak Kooperasie Beperk become the fourth member of CTC. During the period of the Koeberg Nuclear Power Station’s construction, the introduction of television to South Africa and the death in detention of Steve Biko, an oversupply of pine and Eucalyptus had led to NCT’s watershed export of Eucalyptus logs to Spain in 1978. By the time South Africa had built its first operational nuclear weapon and the first cases of Aids had appeared in the USA in 1981, NCT was exporting two shipments of either pine or Eucalyptus logs per month into Europe and the Middle East. CTC had relocated its chipping plant into the burgeoning Richards Bay precinct and NCT had been awarded the accolade of Runner up Exporter of the Year by the SA Foreign Trade Organisation. As the internet was born in the early eighties and the Bloukrans Bridge opened the highest concrete arch in Africa, NLK announced the closure of its timber division, with their Northern Natal members opting to join NCT. Sappi offered NCT a 10-year hardwood contract and NCT haulage division relocated to New Guelderland (closer to Richards Bay) just shy of the internet being born in 1983. A serious drought in 1982/83 affected timber yields leading to the implementation of the CTC Afforestation Scheme providing loans and timber supply arrangements. As PW Botha was being elected State President, CTC was acquiring farm properties in Zululand, Northern Natal and the South-Eastern Transvaal. As a world-wide stock market collapse occurred in 1987 just after the self-same PW Botha had declaring a State of Emergency, Natal suffered the worst floods in decades which restricted timber movement and proved the worth of the NCT depots that had recently been established. In early 1990, NLK left CTC leaving TWK and

N E W S & V I E W S • A P R I L 2 0 2 4 7 NCT the remaining two stakeholders. As then State President FW de Klerk lifted the ban on the African National Congress, NCT established offices in the Eastern Transvaal and Southern Cape. By the time Dolly, the cloned sheep and Google had arrived, NCT achieved FSC certification on a group of member farms in 1999, using the NCT Group Certification scheme the first of its kind in Southern Africa, and ShinCel had come onto the scene driven by independent entrepreneurs. By 2002, as Mark Shuttleworth became the first South African to travel in space, and the world was still recovering from the shock and horror of 9/11, NCT log exports to Europe continued to peak. By the time Facebook was launched in 2004 NCT Durban Wood Chips had been commissioned thereby adding much needed chipping capacity to southern KZN growers. As South Africa wins the 2007 Rugby World Cup in France, ShinCel becomes a wholly owned subsidiary of NCT. In 2008, the Dow Jones’s plunge is the precursor to a global recession, President Thabo Mbeki loses the power struggle over the ANC to Jacob Zuma and resigns and NCT Durban Wood Chips becomes a wholly owned subsidiary of NCT. In 2009, as CTC is split between NCT and TWK with NCT’s portion becoming NCT BayFibre, Jacob Zuma and Barack Obama are both elected Presidents of their respective countries. NCT’s mills are ensconced into a single management division and Mondi SilvaCel was purchased (renamed Richards Bay Wood Chips) in the momentous year of 2013, the year that our esteemed Nelson Mandela passed away. NCT underwent extensive rebranding in 2016 just as Donald Trump was elected USA President. 2019 saw South Africa reeling with allegations of state capture, the Zondo Commission ongoing, Cyril Ramaphosa replacing Jacob Zuma and NCT relocating Head Office from central Pietermaritzburg to Montrose. The year after Covid saw NCT adopting a constitutional name change to NCT Forestry Agricultural Co-operative Limited, the very same year that parts of KZN and Gauteng faced civil unrest and riots. Severe flooding across KZN in 2022 was the precursor to further disaster in 2023, when a devastating fire destroyed the NCT Richards Bay Mill complex, and which certainly cut through the euphoria of South Africa’s rugby world cup win – again! Over this 75-year period NCT has transformed remarkably from an organisation, initially marketing 20 000 tonnes of wattle to a local market, into a global leader in export and domestic timber marketing encompassing circa two million tonnes of hardwood per annum. NCT draws strength from adversity and has an exceptional ability to successfully transform and adapt to any incoming challenging situation. A short essay does not do justice to the achievements of NCT, and much detail has, out of space necessity, been omitted. Suffice it to conclude that this has been a lifetime of success for both NCT and the members it has and continues to service. NCT is an established, contributory, and integral part of the universe that we all know as our “current and ongoing reality”. Let us all celebrate its immense achievements and wish it well for the next 75 years.

8 In December 2023 I visited Worcester in the Western Cape to consider the use of a grinder chipper that could be converted to a drum chipper. The equipment is used to grind down unwanted and/or old citrus trees into biomass. This biomass is then either sold back to the site owner or to a secondary market. Africa Biomass Company (ABC) essentially generates value out of waste wood. One of ABC’s machines was brought into Richards Bay Chipping facility to assist with the production of biofuel for two vessels in the earlier part of 2024. The project aims to chip around 80 000 tonnes in total. The chipper has performed well to date, and we are now considering a third possible biofuel vessel. The project is very limited in terms of intake of tonnes per day. The machine is running at approximately 50 tonnes per hour and has the wood chips running over a small Dabmar screen to ensure all over-size wood chips are removed. The chipping site is small and timber supplies require one or two vehicles on the site at any one stage. The site is a hive of activity with the plants rebuild so traffic control is paramount for the safety of all. Our next focus is to get the chipper to provide us with approximately 1000 tonnes per day. The small Dabmar screen (presently in place) is being replaced with a larger screen that can accommodate at least 100 tonnes of cargo per hour. This installation should be completed by mid-March. (Ryno Martyn – Operations Manager (Richards Bay Wood Chips)) Above: The temporary drum chipper Below: A dabmar screen to separate the oversized wood chips from correctly-sized chips

N E W S & V I E W S • A P R I L 2 0 2 4 9 On Tuesday 6 February 2024 at 4 am, Durban Wood Chips (DWC) successfully loaded the vessel Hokuetsu Ushaka V91. However, at around 6 pm, a fire erupted on Transnet Agriport’s gallery conveyor, which is crucially linked to the ship loader. DWC’s export conveyors are directly connected to Transnet Agriport’s gallery conveyor for the loading of wood chips. Firefighters faced significant challenges in extinguishing the blaze due to restricted accessibility to the gallery. The presence of extensive infrastructure obstructed the fire engines from reaching the hot spots. Fortunately, Transnet’s Tugboat, named “Mkhuze,” swiftly arrived at the berth and utilised its powerful water cannons, drawing water from the harbor, to effectively douse the flames. The remarkable power demonstrated by the Tugboat and its water cannons was truly impressive. The fire resulted in the severe damage of approximately 150m of conveyor belt, along with supporting steelwork, rollers, electrical cabling, and DB Boards. (Lenny Naidoo – Mill Manager (Durban Wood Chips)) With DWC operating on a tight shipping schedule and expecting a vessel arrival, 23 February 2024, the demurrage costs for any delays amounted to approximately R220 000 per day. Unfortunately, Transnet Agriport informed DWC that they would be unable to complete the repairs in time for the scheduled vessel arrival. To ensure timely repairs and continue operations, DWC decided to undertake the repair project internally. Derel Rall, the Plant Engineer, along with his Engineering team led by Jagadeesan Pillay, took on the responsibility of completing the repairs. This encompassed procurement of necessary materials, removal of damaged sections, and the fabrication and installation of steelwork and supporting structures. Despite challenges such as Transnet’s inability to supply the required belting promptly, DWC’s Richards Bay team stepped in, supplying used belting, and facilitating transportation from Richards Bay to Durban. Derek and his team worked tirelessly, completing all repairs within two weeks, and commencing testing ,21 February 2024. Their dedication and commitment ensured the timely completion of the project, allowing for the smooth continuation of operations and the successful handling of the upcoming vessel. A heartfelt thank you to Derek and his team for their exceptional efforts and invaluable contribution to this endeavour. Fire swept through the Transnet galley Transnet’s tugboat, Mkhuze, utilised its powerful water cannons to douse the flames effectively

10 Addressing carbon emissions is not just a moral requirement but a business necessity. South Africa ranks among the top 20 countries globally in terms of carbon dioxide emissions. The logistics sector is one of the biggest contributors to South Africa’s total greenhouse gas (GHG) emissions. The transport sector in particular accounts for 10.8% of the country’s total GHG emissions. NCT, like many companies, faces the challenge of reducing its carbon footprint while maintaining operational efficiency. Understanding the intricacies of carbon emission calculations is crucial. Traditional methods like the Energy Approach, while effective for companies with in-house transport fleets, may not suit NCT’s operations. Instead, the Activity-Based Approach emerges as a tailored solution. By considering factors like tonnes transported, average distance travelled, and CO2 emissions per tonne-kilometre, NCT can gauge its carbon output. Before this methodology is applied, decarbonisation efforts need to be in place for the transport of timber from farm to mill. This is the process of reducing or eliminating the carbon emissions associated with transportation. Why decarbonise? First, as part of ESG compliance and reporting, NCT would look at ways to reduce its carbon footprint, Second, by considering decarbonisation, transport cost savings can also be achieved. What are some of the strategies deployed by NCT? • NCT’s logistics department works closely with the Road Transport Management System (RTMS) to reduce overloading and promote driver training and wellness. Heavy overloading impacts significantly on carbon emissions. Extra fuel consumption associated with overloading leads to higher emissions of carbon dioxide (CO2) and other pollutants, whilst improved advanced driver training enhances fuel-efficient driving. • PBS vehicles, with their higher payloads, alleviates congestion, overloading, and subsequently, carbon emissions. This also offers direct transport cost savings for the timber grower. Load factor savings are achievable through greater payloads, which further optimise operational efficiency while concurrently reducing environmental impacts. • Efficient Logistics Planning: i.e. Optimised scheduling, swap agreements, and route planning not only allow for economical transport rates but also reduce total number of vehicle trips and carbon emissions. In some instances, backhauls are also done to reduce empty runs, vehicle trips and improves efficiency. • Consolidating volumes at strategic depots plays a pivotal role in emission reduction efforts. Depots not only reduce travel time but also contribute to minimising carbon emissions economy of scale. • Modal Shift: Although rail has been a dwindling service for timber growers. Efforts to utilise rail where possible will continue to be a work in progress. Rail is considered a greener mode of transportation. (Merisha Bepat – Business and Logistics Analyst) Commercial Department

N E W S & V I E W S • A P R I L 2 0 2 4 11 Planning for the future NCT will continue to research practical ways of reducing their carbon footprint. A strong focus on carbon sequestration projects will be considered in time to come. Sequestered carbon can be sold on the carbon market through the trading of carbon credits to offset carbon emissions. This can be monetised whilst also providing a strong and positive social impact. Carbon taxes are also becoming more important. Businesses and individuals are encouraged to invest in low-carbon alternatives and innovate towards carbon-neutral practices. Example, for every kilometre travelled, we offset the carbon emissions from our deliveries by funding innovative projects or by using sequestered carbon from our farms. The Carbon Tax MRV Tool for forest plantations and the Timber Processing Industry will also be rolled out in time to come for reporting on carbon emissions. In conclusion, reducing NCT’s carbon footprint requires a multi-faceted approach tailored to its specific operational context. By embracing the Activity-based Based Approach, leveraging PBS vehicles, prioritising greener transportation modes, and strategically located depots, NCT can make significant strides toward sustainability while maintaining operational excellence. Embracing these strategies not only benefits the environment but also strengthens NCT’s position as a responsible corporate citizen in a rapidly evolving world. Variations in the relative cost-effectivenss of decarbonisation measures A Invest in pipeline network B Modal shift to rail/land waterways C Expand swap arrangements D Use of alternative fuels E More efficient vehicle routing F Enhanced vehicle aerodynamics G Improved vehicle utilisation H Driver training in fuel-efficient driving Euro per tonne of CO2 saved Summary of the carbon savings for NCT over the last three-year financial period Similarly, from the information shown below it is clear that NCT aligns with global standards in terms of its decarbonisation efforts: Source: Measuring and Managing CO2 Emissions of European Chemical Transport. Logistics Research Centre, Heriot-Watt University. Edinburgh, UK

12 As the adage goes, “a chain is only as strong as its weakest link”. This is as much true to the timber industry’s Chain-of-Custody requirements as it is to a harvester chain. No single NCT member is more important than the collective, and even more so where a single NCT member chooses to ignore the rules agreed on by the collective. In recent months we have made members ever vigilant of their responsibility to maintain controlled wood protocols. The NCT Code of Conduct is quite clear that members are bound by the NCT Controlled Wood Supply Policy in that no timber supplied to NCT and its markets may be: i Illegally harvested or stolen wood; ii Wood harvested in violation of civil and human rights; iii Wood harvested from indigenous forests; iv Wood from plantations in which genetically modified trees are planted; The Code further prescribes that members are obligated to supply only verifiable and legally obtained timber to NCT and its markets. This places an ethical obligation on all NCT members in their timber supply practice and, in some instances, it may constitute theft if they are ignored. Simply put, if you haven’t seen the timber then it hasn’t been verified and if you haven’t either grown it yourself or bought it legally and transactionally correct from the actual owner, it doesn’t belong to you, and you may not supply this to NCT or our markets. To get timber to the market one needs a delivery note and the Code states that delivery notes must record information that is complete, accurate and honest. This delivery note belongs to you and you only. There is no reason why members should be exchanging delivery notes with one another. Doing so would not only be in breach of the Code and Chain-of-Custody principles but also constitute fraud. The Code requires members to adhere to several legislative requirements and failure to comply with this once again constitutes a breach of the Code and may in all likelihood constitute a statutory offence. In a time and age where lawlessness and unethical practices have become “normalised”, people seem to have no fear for the rule of law (Jean Simpson – Corporate Services Manager) Read and apply the NCT Code of Conduct – or risk a chain shot!

N E W S & V I E W S • A P R I L 2 0 2 4 13 and will easily turn a blind eye and commit theft, fraud, or other offences if it means putting some extra cash in the bank. NCT expects members to always act lawfully and with high ethical standards. We know this group makes up the majority of our members. A small minority may claim that they did not understand the Code or ignorance of the law and others may even say that they are not “afraid of the law” which is their way of saying they will do as they please. This group may very well disregard the rule of law and have low ethical standards without fear of consequence; but this must be well known- NCT will ensure that consequences follow. In contract law we have a maxim that states Caveat Subscriptor which loosely translates, beware the seller. It simply means that once you have signed something, you are bound by it, and cannot claim later that you did not know. A defense of “not knowing”, “not reading” or “not caring” will simply not suffice if a member is caught to be in breach of Code. NCT will not tolerate a blatant disregard of the Code and will suspend supplies found in breach for further investigation and disciplinary actions as required. The greater timber industry is likewise clamping down on unethical supply. As a collective we have a responsibility to keep all timber suppliers honest. If we fail to do this the chain will break! If the chain breaks, we may lose our markets (especially those who require FSC and PEFC timber) and we may then lose our Co-operative which has served members for 75 years. This article should not be read as a threat from NCT management to NCT members, but rather a stern warning from the majority of NCT’s members who respect the rules of the game to those NCT members in the minority who choose to ignore the rules and play by their own and place the collective at risk. I was asked to publish this under the Law section of this publication, but it is not so much a legal brief as it is a reminder to comply with NCT’s Code of Conduct. I do however have one piece of legal advice: Read (with comprehension) what you sign, apply the directives, and appreciate the consequences of your actions both for yourself and your fellow member.

14 Despite the temporary setback with the Richards Bay fire, the prospects for wattle timber and bark markets over the next few years are very good. However, the resource is under pressure with reports of shrinking areas and declining yield. The commercial wattle plantation area has reduced due to conversion to Eucalyptus (Corporates) and to commercial agriculture. Reduction in yield can be attributed to the impact of pest and disease and challenging environmental conditions (hail, wind, drought, heat, frost). Management interventions can arrest this decline and result in improved timber and bark production What to plant? Wattle clones (cuttings) are recommended over seedlings and are now available through registered nurseries. The cloneAF1 and SP644s have been developed for tolerance to the wattle rust disease. AF1 will produce a higher bark and timber tonnages but it does have excessive branching and requires an early corrective prune. SP644 is a very close second choice and has a better form with lighter branches. The improved uniformity and vigour of clone plantations will result in a significant yield improvement. From trials and early growth in commercial plantations indications are that if Production Seed Orchard Seedlings gave you 85 to 100 tonnes of timber per Ha on your farm, there is no reason why the above two clones will not achieve 100 to 130 tonnes/ha. FW54 is a frosttolerant clone and can handle winter temperatures as low as minus six (trial data). However, this is Growing Wattle – Craig Norris, NCT’s Tree Farming Manager – Wattle clone trial. A seedling plot in the foreground with a AF1 clone plot in the background.

N E W S & V I E W S • A P R I L 2 0 2 4 15 dependent on early season planting (before December shut-down) and a hardening off period before the first extreme frost. What are the negatives of planting clones? The main one is windthrow, because they are established from cuttings the root development is slower which can lead to young trees falling over; from experience it is worth providing support to such trees with stakes. Purchasing clones established in the ellipot system and planting them slightly deeper than seedlings also seem to reduce the risk of windthrow. The other negative is the cost of the clones (R4 000 more/Ha more than seedlings). However, one must consider the increase in both timber and bark, to make up the difference. Green wattle is another option to consider. Both NTE and UCL have done bark tannin trials during the past wattle season and have agreed to accept limited quantities of bark from green wattle. However, black wattle remains the preferred bark source and we don’t recommend converting this species but rather consider suitable pine or eucalypt compartments. Green wattle can withstand up to 3˚C colder temperatures than black wattle, providing you plant early in the growing season. This means in cooler areas where in the past you may have planted species such as E. dunnii, could be converted which could increase your NSV by up to R20 000/Ha. Silviculture recommendations Planting at the correct spacing and thinning to ensure the optimum stocking at rotation end has a significant impact on your final timber and bark yield. Seedlings should be planted at a spacing of 3 x 1.5m which is 2200/Ha and thinned down to about 1 500 stems when the trees get to about 7m-9m (1 400 stems on dry sites). It is important while thinning, to ensure that all dead, diseased, deformed, and weaker trees are removed. Clones can be planted at 3 x 1.8 which is 1 800/ Ha and allows for some mortality and windthrow. Pruning of wattle is an important silviculture operation as the relatively wide planting escapement promotes the growth of side branches. Insect damage and browsing may also increase the amount of forking. This is a simple operation which is frequently carried out incorrectly. The object of pruning is not to prune minor side branches for producing knotfree timber as is done for pines, but rather to improve the form of badly shaped trees. Wattle is extremely susceptible to disease infection through wounds and over-pruning is a serious risk. Use a small team of skilled labourers and close supervision is essential. Trees should be pruned before they are 2m tall. All basal shoots and the weaker leader forks should be removed using secateurs. Basal forks which are too large for secateurs should be removed with a small bowsaw, not with an axe, tearing of bark must be avoided. Always leave a stub of 20 to 30cm long to prevent the entry of disease into the main stem. Pruning during winter is preferable as the incidence of disease is lower. Serious insect or climatic damage may necessitate this step being carried out again. Although wattle is a hardy and robust crop, it is very sensitive to management practices. If the right genetic material is planted wattle can yield over 20 tonnes of bark and 100 tonnes of timber at nine years of age if it has been properly planted, fertilised, weeded, and thinned. Good genetic material together with recommended silviculture will result in uniform high yielding compartments.

16 In December 2023, Cliff, Clive, and Jeremy were approached by Liamé van der Westhuizen of ARC (Agricultural Research Council – Plant Health and Protection) to find out if we would be interested in assistingwith the distribution of insects for the biological control of the Pompom weed – Campuloclinium Macrocephalum. The biocontrol insect is a thrips which goes by the biological name of Liothrips tractabilis. Pompom weed is an aggressively invasive weed originating from South America. It invades grasslands, rendering them useless for grazing; this weed is inedible to just about all animals and insects in South Africa. This is a grave concern to all, as this weed has an impact on food production in South Africa, steadily worsening year by year. The ARC now has this biocontrol insect that needs to be distributed as far and wide as possible. So far, there have been few releases in Southern Mpumalanga, hence the contact with us. The collection of suitably infected plant material (with biocontrol) was arranged by Liamé and me for Friday, 26 January, at the Fabi TUKS Hillcrest facility. These insects were raised by ARC, and the FABI facility was used as a collection (Jeremy Carr – District Manager -Vryheid) point. Samantha Bush was the contact person at FABI and ably assisted me with the collection and loading of the bags of material. This infected material was then released on farms and municipal plantations in the Piet Retief and Commondale areas. The infected plant material was placed at the base of the weeds, with the expectation that the thrips will leave the infected Pompom material and colonise the weeds occurring in the veld. The aim of this release of the biocontrol agents is to control the growth and spread of the Pompom weed naturally and as effectively as possible. In the summer growing season, this insect targets the growth shoots and flowers of the host plant, stunting the plant’s growth and preventing the flowers from producing seed. The use of biocontrol measures to control invasive weeds is a very effective and environmentally sound approach, with the least potential damage to the surrounding areas. Further releases are planned by the ARC in the Piet Retief surrounds in the spring; there should be a noticeable effect on the weed in the next few years. Jeremy releasing bio-control agent in field of Pompom weeds Flowers of the Pompom showing Thrip damage Healthy Pompom flower

N E W S & V I E W S • A P R I L 2 0 2 4 17 In today’s “mindful world”, we are constantly reminded to stop, pause, and observe the visual wonders that autumn heralds, like the changing of the leaves to oranges, rusts, and reds. However, I am not sure how many foresters and farmers have the time to stop and pause, and even if they did, I would question whether the change from green to red would herald enjoyment or fear. For farmers and foresters, the change of season is a clock with the hands constantly moving onto the next operation that needs completing before the winter is in full swing. While the change from moist green leaves to dry oranges, reds and browns is like a warning from nature, alerting us to the impending reality of wildfires and the threat they pose. With the first specks of russets and oranges already peppering the canopy of our indigenous forests, it seems the perfect time for a quick refresher on the preparation of tracer belts. Autumn, a time of tracer preparation As with most management operations, timing is everything if you want the most efficient and effective outcomes. When it comes to preparing tracer belts using plant desiccants that burn off the above ground portion of the vegetation, this means getting them done before the first frosts arrive so the main break can be burnt after the initial frost. It’s a process that sounds simple enough in theory, but in practice requires due diligence and care from start to finish to ensure it is done correctly. Below are some of the steps where extra diligence is required and a pre-tracer belt preparation refresher might come in handy. Step one: find the right product and be part of that decision. When it comes to tracer-belt preparation, the active ingredient you select can leave dramatically different environmental footprints. The perfect example is when comparing the impact of a desiccant – which removes only the above ground parts of a plant – with a nonselective active ingredient like glyphosate that removes the whole plant, roots, and all. Both will enable trace belt preparation, but the plant roots left by the desiccant will help prevent soil erosion and enable the plant to regrow post the fire break burn providing soil cover for the trace belt area. The glyphosate will simply leave a lasting bare-earth scar that will increase the risk of soil erosion and all the knock-on environmental risks associated with this. It’s a reminder that just because some glyphosate products have ‘tracer belt’ registered on the label, it doesn’t mean this is an environmentally responsible solution to the postparaquat tracer belt conundrum. READ the label, consider all the alternatives and be part of the decision-making process. Step two: Never underestimate the importance of calibration. Chemically prepared tracer belts are often confined to the areas that are inaccessible to tractors – mechanical preparation – and are therefore undertaken by knapsack operators. Yet, irrespective of the applicator type, calibration is always key to an effective and efficient application. Beyond determining the quantity of pesticide required, calibration reduces error - the chance of over application, which has costly economical and environmental implications. Autumn, a time for wonder…and somuchmore (Roger Poole – TIPWG Agrochemical Liaison)

18 TIPWG’s Calibration SOP provides a great guide to calibrating accurately and effectively and is well worth a read to refresh yourself ahead of the impending tracer-belt preparation season. Always remember that when doing your calibration, the ground you do it on must be representative of the area being sprayed. There are also no short cuts when it comes to calibration – percentage applications do not work and simply result in either under- or overapplication. When it comes to calibration the message is simple – take your time and do it correctly. Step three: Reiterate the risks and do not skimp on the mixing. On the day of the operation, ensure the applicators are aware of all the risks associated with the operation. Check and check again that: • The correct product is being used. • The right doses are being applied. • Fresh drinking water is available. • Everyone has the correct personal protective equipment (in accordance with the label) • There is access to a washing area and first aid. An aspect that is seldom thought of is water quality – mud or pH imbalances can dramatically reduce the effectiveness of certain herbicides. Read the label and when necessary, follow label requirements to counter the effect of pH imbalances or high clay content. Another area where there are no short cuts is when it comes to mixing. An incorrect mix can be a costly mistake – so always read the label and follow it to the letter and familiarise yourself with TIPWG’s Pesticide Mixing SOP. Step four: It’s not just doing your bit for the planet – it’s a legal requirement. The safe and responsible disposal of the pile of empty chemical containers tracer belt season inevitably produces is not just the right thing to do – it’s the legally enforceable thing too! Use the TIPWG DISPOSAL SOP as a refresher for your staff – our latest version has been updated to include more than just the disposal of plastic containers. Once your containers have been triple-rinsed and punctured - please don’t burn or bury them, they need to be recycled. It is easier than you think! HDPE plastic containers are highly sought after by plastic recyclers as it is one of the only plastic types that can be recycled into various other plastic products such as black HDPE piping, plastic fence posts to mention a few. CropLife SA has a register of approved recyclers and recycling points across the country. If in doubt, revert back to the label and safety data sheet which will have the disposal information for the container or contact your distributor for disposal information. Step five: Use Forestry South Africa – it is what they are therefore! Forestry South Africa’s Timber Industry Pesticide Working Group has created standard operating procedures for almost every aspect of pesticide use in a forestry context, which are applicable to the whole Agri-sector. These can be found on the TIPWGwebsite www.tipwg.co.za and downloaded in PDF format to create awareness amongst your workforce or as refreshers for the farmer or forester that finds themselves in need of readily available easy-to-use information. Roger Poole – TIPWG Agrochemical Liaison Tracer belt treated – Pre-burn Tracer belt burn

N E W S & V I E W S • A P R I L 2 0 2 4 19 On 8 February 2024, Forestry South Africa’s (FSA) Timber Industry Pesticide Working Group (TIPWG) hosted the first of what we hope will become an annual webinar bringing together industry stakeholders and the pesticide industry to address critical issues surrounding pesticide management and sustainable use in a forestry context. The first half of the webinar programme was dedicated to introducing TIPWG, its core functions and resources, to an audience whose familiarity with it may vary. As TIPWG Coordinator, Jacqui Meyer presentation delineated TIPWG’s core functions, which include technical support, industry collaboration, compliance, and the provision of guidelines. The evolution of TIPWG was presented along with a series of proposed enhancements to TIPWG’s offerings that will be rolled out during 2024. Roger Poole introduced his new role as Agrochemical Liaison Officer and how closer ties with the pesticide industry will aid the Sector in remaining internationally competitive. FSA’s Communication Consultant, Dr Katy Johnson, then guided the audience around the TIPWG website, illustrating both the openaccess information housed there and the added value information that can be found in the FSA members-only section. Urging FSA members to register on the website to access the TIPWG Environmental and Social Risk Assessments (ESRAs) and approved pesticide list (APL) with ESRA mitigations. Prof. Jolanda Roux, TIPWG’s Research Liaison introduced Ms. Noxolo Ndlovu, Dr. Bernice Bancole, and Jina Park, the current TIPWG-funded researchers, who showcased their pioneering work and its implications for industry practices. The management of pesticides, in particular, the need to reduce the TIPWG Approved Pesticide List sparked some debate from an audience already concerned at the lack of pest control ‘tools in the forestry toolbox’. Concerns were quickly quelled with assurances that emphasis would be placed on collaboration, evidencebased decision-making, and the need to balance Forestry South Africa’s TIPWG webinar shines a spotlight on the capacity found within the Forestry Sector. (Jacqui Meyer - TIPWG Coordinator)

20 section of the TIPWG website and that this was a great awareness-generating campaign. The fact the webinar served as a training opportunity for employees of certain FSA members is another feather in the TIPWG hat. In general, post-webinar feedback underscored the event’s value as a knowledge exchange platform and in professional development, affirming its success in fostering community and collaboration. Doing our bit to celebrate and promote women in science. The webinar was timed to coincide with the International Day of Women and Girls in Science, celebrated annually on February 11th. Recognised and implemented by UNESCO and UN-Women, this day aims to promote gender equality and encourage the participation of women and girls in the field of science. The current TIPWG team illustrates the integral role women now play in the forestry sector, with three of the four committee members and the entire research panel being female, exemplifying the inclusive nature of the Sector, especially in scientific endeavors – an area where women are underrepresented globally. In conclusion Events like the TIPWG webinar catalyse positive change and progress, driving continuous improvement across the Sector and ensuring sustainable practices are at the heart of forestry operations both today and tomorrow. Ultimately, it is only through initiatives like these and the collaboration that comes from them that we will be able to unlock the resources, innovation, knowledge and understanding needed to address the world’s most pressing environmental challenges. If you missed the TIPWG webinar, we urge you to take a look at FSA’s YouTube channel where recordings of all the presentations can be found. proactive environmental stewardship with pest control efficacy. The presentation provided the audience with a better understanding that alongside this being good housekeeping practice through the removal of old and no longer utilised products from the list, it would also save the industry time and money producing individual ESRAs for old and unused products, which has been driven by South Africa’s adoption of The Global Harmonised System of labeling, enabling the product-by-product ESRA approach. Discussing the Forest Stewardship Council® (FSC®) South African National Standard For many, the highlight of the webinar was the panel discussion lead by FSC’s Southern African Coordinator Dr Richard Fergusson. Fergusson provided a great beginner’s guide to FSC and in particular its pesticide policy, before outlining the necessity to review the current national standard and ensure its alignment with global goals, policies, and regulatory requirements. He then handed the floor over to the individual chambers – economic, environmental, and social – of the Standard Development Group tasked with the review. They elaborated on the chamber-specific focuses, providing the audience with a glimpse into where change should be expected, and the timelines involved. 2024 and beyond The webinar garnered great feedback from both the sector and the pesticide industry. By providing an open platform upon which to communicate pesticide use in a forestry context, representatives of the pesticide industry walked away with a greater understanding of the challenges our industry faces and the opportunities for collaboration it presents. For FSA’s members, the post-webinar spike in registrations suggests there is both a need for the information housed on the members-only Spray drone

N E W S & V I E W S • A P R I L 2 0 2 4 21 Meet Vernon (Vern) Schefermann, an integral part of the NCT Board for over a decade, and now newly appointed Chairman. With a background in Agricultural Economics from Stellenbosch University and a thriving family farm in the scenic Kambula District, his journey seamlessly blends the worlds of finance, agriculture, and timber cultivation. Having spent nine years as an Agricultural Economist at Standard Bank, Vern transitioned to the family farm in 2008, expanding operations to include timber in the diverse mix. This marked the beginning of his involvement with the NCT Board, ignited by an invitation from then-Chairman Harald Niebuhr. Beyond the boardroom, Vern’s childhood dreams of becoming an astronaut and admiration for engineering problem-solving reveal a diverse mindset. Today, as the Chairman, he reflects on the challenges faced during his two-month tenure Ve r n o n S c h e f e r ma n n and the collective resilience shown by staff, management, and members during the Richards Bay Fire crisis. A true advocate for cooperation over competition, Vern envisions a united front among private timber growers, working collaboratively to market South African timber globally. His leadership philosophy emphasises the importance of a listening ear, acknowledging the need to balance his innate inclination to speak. From a broader perspective, Vern addresses the challenges facing the timber industry, highlighting infrastructure deterioration and SOE failures as critical issues. With a focus on export, the reliability of rail and road systems becomes pivotal in ensuring the success of their operations. A native of Vryheid in Northern KZN, Vern cherishes childhood memories spent freely on the family farm. Balancing family life with his wife, Gina, and their three children, Vern navigates the delicate juggle between academics, sports, and occasional getaways. Beyond the boardroom and family life, Vern finds solace in hobbies like tennis, fishing trips with his boys, and occasional camping or overlanding adventures. His fascination with travel magazines and a desire to explore South America showcase the adventurous spirit beneath the business persona. As the day begins, Vern starts with a cup of Herbalife, a warm gesture for his wife, and a scratch for their old Labrador, Charlie. Embracing the philosophy that “life is a journey, not a destination,” Vern enjoys the simple pleasures, including frequent braais at home, showcasing the proximity of quality meat as a perk of being a pork and beef farmer. Join Vern on his multifaceted journey, where the rhythm of family, business, and adventure converges into a harmonious symphony.

22 New staff Retirees Elizabeth Botha Group Management Accountant Godfrey Visagie Area Manager (Southern Farms) Khenyia Finger Payroll Officer Nicole Naidoo Financial Manager (Tree Farming) Nomsa Cele Member Services Administrator (Richards Bay) Snethemba Nhlabathi General Admin Officer Trish Naidoo Administration Assistant Zabelo Mtshali Internal Audit Clerk Ruth Ladbrooke General Admin Officer Lyn Cameron Administration Assistant Elphuis Madebe Timber Account Clerk

N E W S & V I E W S • A P R I L 2 0 2 4 23 NCT and their members own and manage many plantations in the KZN midlands. A primary critique directed at timber plantations revolves around their impact on water resources. Participating in the inaugural Lions River Descent canoe race provided NCT with an opportunity to showcase exemplary forestry management practices, including wetland delineation and the removal of invasive trees from riverbanks. While NCT couldn’t provide sponsorship, we granted permission for the organisers to utilise the Ingwe farm as a starting venue. Additionally, we facilitated the mowing of road verges and cleared an area for the boat pounds. The two-day race took place from the 13-14 January. Day one of the race involved a paddle of approximately 30km from the Ingwe farms, down the Lion’s River to the confluence of the Umgeni River and a 4km paddle upstream to the Hebron Haven Hotel. The weary canoeists were rewarded (Craig Norris – Tree Farming Manager) Canoeists preparing for the start of the race on the NCT Ingwe farm. for their efforts with a free draft beer, a spit braai meal, and live music. Day two covered approximately 18 km, starting with a 2km portage from the Piggly Wiggly complex down to the Lion’s River. The route continued with a paddle along the Lion’s and Umgeni rivers concluding with a flat water stretch across Midmar Dam to the Henley Midmar Yacht Club. The race proved to be a huge success with a lot of positive feedback from canoeists. Many of the province’s rivers are becoming unsuitable for water sports due to deteriorating water quality. Canoeists commented on how much they enjoyed paddling on clean rivers in a beautiful environment. Forestry is a significant water user but all evidence is that water quality generally improves coming out of well managed plantation areas.

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