MTO as a major log supplier had inherited from SAFCOL and its predecessor what are called ever green supply contracts in favor of 2 sawmilling entities namely Steinhoff and AC Whitcher. These contracts stipulated that MTO had to supply a given annual volume to these parties. Soon after the new owner took over the ownership and management of MTO, there were huge fires in the Tsitsikama areas that destroyed over 16 000 hectares of plantations which reduced the volume of available timber in the MTO area by 100 000 cubic meters per annum. This meant that there was to be a huge shortage of timber in the market for many years after the fires.