The Victorian Government has announced new funding to accelerate the establishment of timber plantations across the state, aiming to boost supply for construction and manufacturing while creating regional jobs.
Minister for Agriculture Ros Spence said the government will provide $10 million under the Victorian Plantation Support Program to establish long-rotation timber plantations.
The funding will support projects approved under select rounds of the Commonwealth’s Support Plantation Establishment Program, the government said in a news release.
“Demand for timber is expected to quadruple globally over the next 50 years and we’re making sure Victoria has a secure supply,” Minister Spence said. “Victoria is already home to the nation’s largest plantation estate, and this funding will continue to strengthen our thriving and resilient timber industry.”
Under the program, Victorian growers developing new plantations can receive up to $1,000 per hectare, with combined Commonwealth and state funding allowing up to $3,000 per hectare for projects of 20 hectares or more. Support will be capped at $200,000 per project.
Member for Eastern Victoria Tom McIntosh said the investment was designed to strengthen regional economies and secure resources needed for construction. “This investment supports regional jobs and boosts local timber supply for more homes and timber products,” he said.
The government said the plantations sector is critical to regional economies, providing long-term resource security for housing, infrastructure, paper, packaging, and other manufacturing needs.
According to the government, this year, approximately 2.4 million tree seedlings have been planted under the Gippsland Plantations Investment Program by Hancock Victorian Plantations, bringing the total number planted to more than 3.5 million.
The government said this represents the largest plantation establishment program in Victoria’s history, with up to 16 million trees set to be planted over the next decade.
Victorian Forest Products Association CEO Andrew White said the scale of planting demonstrated the impact of coordinated government and industry investment. “The planting of 2.4 million trees this year through the Gippsland Plantations Investment Program is a clear demonstration of what’s possible when government and industry work together,” White said.
“This is a terrific new initiative that will help overcome the upfront barriers to new plantation establishment. This investment is critical to securing the timber required to build more homes for Victorians.”
The Victorian Government has committed $190 million in total to expand the state’s plantation estate, describing it as a step toward ensuring future timber availability for housing, packaging, and manufacturing.
