Specialty Timber Processors

Industry: Speciality Timber Processors

1. Description of Product:

1. Hardwood (Eucalypt) Plantations

2. Harvesting and Milling Hardwood

3. Drying Hardwood timber

4. Marketing finished timber

5. Production of dehydration kilns

6. Marketing Kilns

2. Location of the Industry:

Business is located at Yackandandah.

• Hardwood is sourced from Ovens Valley & Tallangatta from within North East region because of the location of suitable timber. Single person portable mill operators are contracted to harvest trees. Usually individual trees are selected. eg Redgum and Red Stringbark, Blackwood and Victorian Golden Blackwood.

3. Employment and Labour Requirements

a. Number of Producers

1 surveyed. Other speciality processors include Mt Beauty Timbers. Ryan & McNaulty Benalla. (neither surveyed).

b. Number Regularly Employed

1 Full time, 2 Part time. 2 full time for Kiln Drying operations.

c. Harvest Requirements

For growing timber (pruning, thinning, and noxious weed control) 2 people for 6 weeks.

4. Annual Production :

On this one property 22,000 trees (Blackwood) ie 1600 trees/ha.

Annual Production: 110 m³ kiln dried Blackwood

45m³ kiln dried Redgum

20m³ dried Stringybark

12 Timber drying kilns

4 flower drying kilns

5. Value of Product:

$2000/m³ average of all timbers.

$300,000 timber drying kilns

$80,000 Flower drying kilns.

Gross value of Production = $730,000.

6. Production Trends Over the Next Five Years:

a. Projected:

(a) There is an expectation of entry of other producers into this market on the basis of demand for kilns.

(b) Expect an increase in timber processed on basis of consumer demand.

b. Potential

1. The potential for growth in the industry is based on demand for Australian timber in the export market, and also in domestic market.

2. Climatic conditions in North East Victoria are particularly suited to growing trees.

3. There is an existing infrastructure to support industry growth ie. existing road networks to service the primary sector, and in particular the softwood timber industry.

4. The North East is well placed to access markets in Sydney, Melbourne and Adelaide.

Extracted from the Bright Report