Meeting global demand for wood products while maintaining awareness for environmental and social services, is the continuing challenge and driving force behind our forest sector managers.

 

Finding an acceptable balance between production and protection, use and conservation, drives much of the debate. Plantations are established primarily for the production of timber. These tree crops usually contain a single tree species that has been selected for fast growth and timber quality.

Driven by increased world demand for timber, opportunities to invest in timber plantations are expanding . Plantations are better-established and  produce better quality wood products than ever before.  The consequence is a reduced demand for timber sourced from native forests.

Larger areas of natural forest are likely to be made legally protected areas. The decrease in harvesting of native forests will have an impact on future supply potential, reinforcing the expected switch from natural forest timber to plantation timber.

The plantation industry, especially in Radiata Pine, is well established and well structured, quality is a primary criteria and established plantations supply timber for pulp, sawlog or veneer. The higher quality product  attracts premium prices.

 

The Ministerial Council for Forestry, Fisheries and Aquaculture with an aim to trebling the plantation estate by 2020, in July 1996, introduced the "2020 Vision" .

 

The vision required the establishment of 80,000 plantation hectares per annum. In 1999, 94,812 hectares were planted. Projections based on 2000 already established plantations, indicate that the trend is set to continue.  Around 150,000 hectares is currently earmarked for plantations.

Market opportunities for both domestic and export timber exist. An investment in Australian Growth Timber will provide flexibility and diversification by utilising the potential in diverse market opportunities, including pulpwood, sawlogs and log exports as well as other specialised timber products.

New opportunities continue to evolve. China's demand for wood to make paper continues to escalate.  The use of forests as 'carbon sinks' planted to offest carbon emissions is primary example, and may provide a new market in Carbon Credits for future Growers.