Gib board shortage causes increasing stress in building industry

Tuesday, 21 June 2022

Builder Will Kennedy is worried about having no Gib board for new and fire-damaged homes, like this one in Riverton.

A Southland builder says the Gib board shortage is causing him endless worry.

Kennedy Building owner Will Kennedy has no Gib board for four new homes under construction and two houses needing repair after fire damage.

“[The Gib shortage] is doing our heads in … the stress has been terrible,” Kennedy, of Riverton, said.

“We’ve ordered it, but we don’t know when we’re going to see it.”

* Shortage sees builders buy Gib board for six times retail price on Trade Me

* Building projects grind to a halt as dominant Fletcher freezes Gib orders

A supplier told him that the Gib board order he made in February could arrive in August.

Other jobs not requiring Gib board were keeping his staff busy in the interim.

On Tuesday, Minister for Building and Construction Megan Woods announced a Ministerial taskforce had been set up with key construction, building consent, and supply chain experts to look at what more can be done to ease plasterboard shortages, including the potential for legislative or regulatory change.

“The Government is committed to supporting the building sector to deliver the homes and buildings that New Zealand needs. That’s why my top priority is to ensure builders, from big companies to single tradies have the materials they need to do their job with confidence,” Woods said.

Winstone Wallboards, a subsidiary of Fletcher Building, with its Gib brand of plasterboard, currently makes up about 95% of the New Zealand market, and has not been able to keep up with demand.

The taskforce will:

Troubleshoot the regulation of alternative plasterboard products, including examining whether legislative change or regulatory change is needed
Look at ways to streamline the use of products that are currently untested in the New Zealand market
Explore new distribution models
Provide advice regarding the appropriate approach to consenting
Act as a forum for related supply chain concerns

“While Gib is well-known, it is not the only plasterboard available. The Building Code allows for the use of any product which meets performance specifications. The taskforce has a very clear aim, to increase sector productivity as quickly as possible, and to remove any unnecessary barriers, including around certification, to facilitate the use of different types of plasterboard. I will convene our first meeting next week,” Woods said.

“I am also concerned that trademarks on colours may be impeding the importation of alternative plasterboard brands. That’s why I have written to Fletcher Building to seek confirmation that they will work with the sector and not take action with regard to their trademark protections, to further free up supply.”

Kennedy welcomed the news and said the taskforce was a great idea, but he questioned how long it would take to make decisions.

Having a choice of plasterboard products to source from would be huge, he said.

“The situation we have found ourselves in is hugely frustrating … there’s no choice in the market for people to use, for what is such a simple product.”

Other builders in other parts of Southland were also struggling to get product.

A Te Anau house under construction, with its owners hoping to enter it for the house-of-the-year competition, will soon be ready for Gib board.

Te Anau Homes Ltd owner Doug Robbie said the Gib board had been ordered, but he was unsure when it would arrive.

Robbie had two more homes to build later in the year and one in February or March.

“I’ve got a little bit [of Gib board] in the workshop but not a lot … got enough to do a bathroom and that’s about it.”

Barry Stewart Builders Ltd, of Invercargill, owner said they had been fortunate with some Gib board.

Barry Stewart said it had a couple of huge orders in a week before the cut-off hit, and the orders were made in January with delivery in March.

“We’ve got some big orders in now that we’ve got no idea when they’ll be coming.”

Some building companies were being badly affected by the shortage, Stewart said.

“There are guys out there that are screaming, they can’t finish the job. There will be guys that will struggle to keep going, it’s serious.”

Co-owner Aaron Stevenson said the Gib board shortage was also interrupting the workflow at his business, Quality Building Services Gore.

“The house we’re working on now, the Gib’s not going to be here for three months, and we’ll be ready for it in two weeks.

“You get to a stage in a job that you stop, down tools, pack up and move on … it’s costing money.”

The delay in receiving Gib board has meant Stevenson’s workers did more farm building maintenance.