Renewed calls for competition in building materials sector

The world second biggest cladding manufacturer, Knauf Plasterboard, is reviewing its New Zealand operations. Although further comment on the review has not been given the review follows the recent resignation of the managing director of Knauf Plasterboard Australia, Mark Norris, and reports that the head of the local plasterboard unit, John Russ, has also resigned (click here for full article).

In a move to increase competition in the plasterboard sector Knauf Plasterboard partnered with the government to supply a wider range of products to the Christchurch rebuild. Labour’s housing spokesman, Phil Tyford, has raised concerns over the cost of building materials in New Zealand and gives plasterboard as an example of an industry that is significantly dominated by one major supplier. The Commerce Commission is currently investigating the plasterboard market.

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