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New forestry agency Te Uru Rakau has signed a deal with Ngati Hine Forestry Trust to plant and manage about 3,600 hectares of pine trees in the far North.
The trust was left in the lurch when the overseas owners of the forests planted on its land walked away after only one harvest.
Forestry Minister Shane Jones says there will be 500,000 pine trees planted this winter, with a further 2 million planted over the next three years, providing jobs and better economic and social outcomes for the whole region.
It's the first joint venture negotiated under the One Billion Trees programme.
"We're making considerable progress with Maori landowners but until such time as the (Emissions Trading Scheme) carbon price is sorted out a lot of our Pakeha farmers are still remaining aloof from the forest strategy," Mr Jones says.
The deal was sweetened with $1.9 million to plant up to 465 hectares of manuka, allowing the trust to diversify into the honey business with an associated training programme for up to 40 people that could provide a model for other regions.
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