Marketing Strategies
APFL had a huge marketing role in the pioneering days of the local industry as they convinced landowners of the need to diversify from livestock only production. Many land owners now enjoy a balanced portfolio of income due to the vision for the future and the success of APEC's production to export.
APEC has a number of marketing strategies in place which ensures continuing and growing volumes of woodchip sales into Asia:
APEC has a business partnership with OJI who is responsible for the marketing arm of the company. Hence APEC produces high grade woodchips that specifically meets the standard required by the Oji Paper Company.
APEC's marketing strategy is further enhanced by providing the Asian market with woodchips produced from the eucalyptus globulus
(Tasmanian Blue Gum) for it produces a high grade woodchip suitable for high quality paper.
APEC is a proven reliable supplier of woodchips for the export market.
The price of woodchips is cost effective and competitive.
APEC works closely with their second sister company APFL, who manages the plantations to ensure a maximum timber yield from the plantation, hence ensuring a consistent volume of timber for the market.
The export market emphasis is on 'highest quality' woodchip which APEC fully understands. APEC's innovative solution to this issue was to become the first woodchip exporter company in Australia to have Forest Stewardship Certification (FSC) for the exportation of wood chips (refer to quality assurance for more details). This global certification ensures APEC produces the 'highest quality' chip required for high grade paper manufacturing.
FSC Certification has enabled APEC to successfully negotiate a contract with the Great Southern Plantation Timbers to process timber as their plantations mature. This now accounts for 33% of the wood chipped. The increase in chipping volume has resulted in improved economies of scale and greatly benefited the efficiencies of the processing plant.
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