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Balsa farmers struggle as prices plummet due to oversupply

BALSA farmers in East New Britain Province, are struggling as their focus on the fast-growing plantation tree has shifted away from other vital commodities such as cocoa and coconut.

While the demand for Balsa was high six to seven years ago, the oversupply in recent years has caused prices to plummet.

The local balsa farmers have approached the Provincial Division of Commerce seeking advice to export their trees.

The division confirmed that a balsa market with buyers is available, but data from farmers needs to be collected before a market agreement can be signed.

According to an Officer from the Provincial Division of Commerce Steven Paivut, many of the local balsa farmers have turned up at the division office seeking advice to export their balsa trees.

“We want to make things work by trying our best through collection of data from farmers in the ward,” Paivut explained.

In an effort to collect data, the division has distributed questionnaires in some wards.

Balsa trees are harvested at 5 years of age and processed into Dry Rough Sawn Timber (DRST) through kiln drying. Once sorted based on quality and density, they are processed according to the specifications of the customer and shipped globally. To ensure a yearly supply of balsa, new seedlings are uniformly planted in the estate.

The ENB balsa industry is export-oriented and contributes to 9% of the world’s processed balsa. Balsa products are known for their exceptional strength-to-weight ratio and are increasingly used in high-tech composite materials such as wind turbine blades and transportation applications. The PNG Forest Authority regulates the industry, which engages approximately 2,500-3,000 workers involved in balsa harvest, transportation, processing, and export. Additionally, there are around 1,500 smallholder balsa growers in the region.

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