Forestry & Forest Products
A New Direction for Forestry.
The Harvey Region boasts valuable and sustainable forestry resources, carefully managed to ensure resource security. While the timber industry was once a major player in the area, it has since declined with former mills establishing connections to other industries, such as the tourism sector.
The forestry industry still employs 6,000 people in Western Australia and generates over $1.4 billion annually, with more than half coming from the South West. However, a recent decision by the Government to end native forest logging from 2024 will have a ripple effect for many West Australians, impacting the availability of furniture, floorboards, decking, joinery, sawdust, heritage-listed buildings, and even landscaping and gardening products.
The WA Government has committed $80 million through the Native Forestry Transition Plan to support the transition away from the industry, and also invested $350 million in new softwood plantations across the South West to create and support WA forestry jobs.
Opportunities on Offer
- With the government investing $350 million in new softwood plantations in the South West, there is potential for investors to capitalise on the growth of the softwood industry.
- Small businesses linked to the native forest industry have been able to apply for grants of up to $400,000 through the Western Australian Government’s Small Business Development and Diversification program. This presents an opportunity for entrepreneurs to diversify their businesses and explore new markets.
- Former mill towns like Yarloop offer outstanding holiday accommodation potential. The Yarloop Workshops are expected to become a popular tourist destination once redeveloped. Investors could explore opportunities for developing tourism infrastructure in the region.
- While the end of native forest logging will have an impact on the availability of native timber, there is potential for investors to explore sustainable forestry practices and products, such as engineered wood products and green energy fuel.
- As poultry farmers rely on sawdust for their business, there may be opportunities for investors to explore alternative sources of sawdust or other innovative solutions to support the industry.
- With many heritage-listed buildings, jetties, and bridges constructed using native timber, the end of native forest logging may create opportunities for investors to explore the restoration and preservation of these structures.
Key Fact
WA Government has committed $80 million through the Native Forestry Transition Plan.