The plantation timber industry is playing down concerns about the sector’s plight in southern Western Australia despite predictions of a major rationalisation of the estate. Source: ABC News
The business that took over tens of thousands of hectares of timber plantations from a collapsed company says as much as two-thirds of the land could be returned to agriculture.
When Great Southern collapsed international forestry manager New Forests bought 60,000ha of its plantations.
New Forests’ David Brand said a third of the land would be returned to agriculture.
He said another third would be retained for forestry while the future of the remaining land will depend on market conditions.
“In some areas, the plantations were pushed out into areas that were too dry for forestry,” Brand said.
Increasingly, plantations are being converted back to agriculture, but consultant David Wettenhall insists it is a market correction, not a demise.
“I’m not quite sure how long that piece of string is but prices will recover,” he said.
“There’d be more than enough to support a viable and ongoing forest industry.”
The industry believes increasing Asian demand is crucial to improving its situation.
