Just days after it was revealed a delay in shipping timber from the U.S. had impacted the Stewart Road bridge at Kernot the Federal Government has announced a $150 million investment package to reduce Australia's reliance on timber imports.

A $150 million investment package to modernise Australia’s forest industry has been announced by the Federal Government just days after it was revealed shipping delays for imported timber had set back the timetable for the highly anticipated Stewart Road bridge at Kernot.

The funding forms part of a wider $300 million Forestry Growth Fund, which aims to secure a sustainable domestic wood supply and reduce reliance on international supply chains.

By accelerating the production of high-value wood products, the initiative is designed to directly support the nation's urgent housing and construction needs.

The initial $150 million package is split across five distinct strategic streams to address systemic vulnerabilities in the timber market. Large-scale grants totalling up to $80 million will be used to encourage forestry industry transformation by upgrading manufacturing capabilities and constructing innovative timber processing facilities.

Another $30 million has been allocated towards boosting productivity and driving greater efficiency from harvest to build site, and $15 million will go to supporting well-paid regional jobs, establishing clear forestry career pathways, and ensuring safe, high-performing workplaces.

Up to $15 million has been targeted at boosting the baseline supply of domestic forest resources for construction, and $5 million will be used to develop tools that comply with Australia’s logging laws, reducing the risk of illegal timber entering the country.

The balance of the Forestry Growth Fund will go into a loan pool of up to $150 million in concessional finance to be made available to specifically support advanced manufacturing investments for existing wood-product processors, including regional mills and manufacturers.

Minister for Agriculture, Fisheries and Forestry, Julie Collins, emphasised that Australia's forestry industry had a bright future, stating that the Government was fully committed to delivering new opportunities to modernise the industry.

Local advocates hope the focus on domestic manufacturing will prevent future infrastructure projects, like the Kernot bridge, from being left at the mercy of international shipping bottlenecks.

The Housing Industry Association (HIA) welcomed the $150 million investment saying a secure timber supply was critical to building the homes Australia desperately needed.

“You can’t build 1.2 million homes without securing the materials needed to build them,” said HIA Chief Executive Industry and Policy, Simon Croft.

“Recent supply chain disruptions demonstrated the consequences when critical building materials become scarce, costs rise, construction slows and ultimately builders and home buyers pay more.

“Strengthening domestic timber production and processing will help reduce Australia’s exposure to international supply shocks while supporting manufacturing and regional jobs,” Mr Croft said.
    
Source: sgst.com.au