Project Overview

This study, funded by the Australian Government and delivered by AEC Group, evaluates the forestry supply chain in North Queensland. It aims to identify infrastructure gaps, value-adding opportunities, and economic potential across the harvest, transport, processing, and export stages of the forest products industry.

​

The assessment supports the broader goals of the National Forest Industries Plan to grow plantation investment, boost competitiveness, and expand regional forestry jobs and exports.

 

Key Findings

• Supply Chain and Industry Profile

  • Product Flow: The Majority of the Hub’s raw logs are processed into sawn timber and tertiary wood products. However, much of the region’s demand is still met by imports valued at $127 million/year.

  • Infrastructure: Roads, ports, and rail exist to support industry growth, but some road access limitations (especially for high-capacity trucks) restrict productivity.

​

 Infrastructure Limitations

• Poorly maintained local plantation access roads.

• Restrictions on Type 2 Road Train access in Cape York and Tablelands.

• Barron River Bridge weight limits affect transport between plantations and processing facilities.
   

Estimated Economic Contribution

• $233 million to Gross Regional Product (GRP)

• 1,632 full-time equivalent jobs supported

• $146.6 million in total wages and salaries

 

Trade Imbalance

• The region is a net importer of processed wood products. A 43% increase in local production would be required to meet current regional demand.
   

Recommendations

Improve Road Freight Access

Upgrade key freight routes to enable Type 2 Road Train access (e.g., between Lakeland and Mount Garnet).

• Address weight limitations on critical infrastructure like the Barron River Bridge.

Expand Forestry Resources

Support expansion of plantation and native forestry to:

• Boost mill utilisation.

• Replace imported timber with local supply.

• Reduce construction material costs.

• Create regional jobs and reduce emissions through bioenergy.

Promote Strategic Recognition

Advocate for the forestry industry to be acknowledged in regional economic development plans, especially given its untapped growth potential.