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Green Resources in Mozambique has entered into a log supply agreement with Construa, the leading construction and building material and tools supplier in the country. In May this year, a 10 – year pine log supply agreement was signed by Kevin Pitzer, Managing Director and Owner of Construa and our Country Manager Arlito Cuco. The agreement involves supply of 30,000 m3 per year from early 2019 increasing to 60,000 m3. The agreement is viewed by the parties as a basis for further cooperation in Niassa and beyond.

As the forest in Niassa is maturing, it is necessary to find processing options that will turn the forest into saleable wood products. Discussions started more than one year ago with Construa to explore opportunities for working together. Construa is currently importing most of its timber and wood products.  The company had the option of increasing its imports or source the wood in-country.  With a strong desire to see positive development in Mozambique, Construa opted to increase sourcing in-country. For Green Resources, the sales network of Construa represented an opportunity to commercialize its forest resource much quicker than would otherwise be possible, thereby accelerating the further development of its plantations and the company. The log sale agreement is the result of a long process and is by both parties seen as the start of further cooperation. 

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