Independent Tauranga MP Brendan Horan is demanding the Government live up to 'its promise of a brighter future by saving the timber industry in Rotorua”.

The loss of 120 sawmill jobs in Rotorua will have a 'huge” downstream effect both economically and socially, says Brendan.

Tachikawa Forest Products was placed into receivership on October 19.

Tachikawa Forest Products, which is being handled by KordaMentha, was placed into receivership on October 19. The job losses were confirmed last week.

Brendan says it would be a prudent investment to save jobs, create jobs and at the same time provide much needed timber for the Christchurch rebuild and for the critical housing shortage in Auckland.

'It makes perfect sense for our Government to step in and supply Kiwi timber for Christchurch and Auckland rather than giving building contracts to firms that are importing timber and workers from overseas.

'In Norway and China, we see governments that sensibly back their own economies. They intervene to promote jobs, business, and growth.”

He says the loss of 120 jobs in Rotorua is not just devastating for the workers, but for the community.

'There is a huge downstream effect both economically and socially.

'The New Zealand Government must do the right thing. Creating jobs for Kiwi workers who pay taxes into our coffers just makes more sense. Acquiring the sawmill is a step forward in prudent sensible economic management.”

Brendan says he will be calling for a debate in Parliament because people's futures depend on it.

The wood sector union describes the job losses as a huge blow to the Bay of Plenty workforce.

FIRST Union general secretary Robert Reid says the union had been aware of the financial problems of the company for some months and had been offering suggestions to the company.

'This receivership comes on top of a continuing contraction of wood processing firms and jobs in New Zealand.

'The high New Zealand dollar, the high price of logs and the lacking government procurement strategy around both the Canterbury rebuild and government house building programmes see the continuation of raw logs being exported across our wharves while workers lose their jobs in the sector.”

He says the union's number one priority is to do what it can to keep the mill going and to keep people in work.