Victorian Resources Online - North Central

Farm Forestry

Farm Forestry provides significant opportunities for long-term industry development in the North Central region. The supply of hardwood timber from within the North Central Agroforestry Project area has to date been almost entirely from native forests, on both public and private land.

Native forests within the project area fall into two distinct communities, the Box-Ironbark forests and Stringybark-Peppermint forests. The latter occurs mainly along the moist foothills of the Great Dividing range. Box-Ironbark communities replace the Stringybark-Peppermint forests roughly where annual rainfall drops below 650 mm. Investment opportunities exist in these areas of the catchment for both forest types.
Photo: Blue Gum landscape
Blue gum plantation in the North Central region


Box Ironbark Markets

The main timber producing trees of the Box Ironbark forests are Eucalyptus microcarpa (Grey box), E. polyanthemos (Red box), E. melliodora (Yellow box), E. tricarpa (Red Ironbark), and E. leucoxylon (Yellow gum). Timbers cut from these species all have inherently high natural durability, density and strength and are particularly useful in external applications. Traditional markets include telegraph poles, bridge timbers, shed frames, sleepers, fence posts and firewood.

New markets are emerging to replace the old. The rising popularity of Australian timber in furniture and specialty construction is placing new demands on the Box-Ironbark forests. In particular, Red Ironbark has received heavy promotion by the Specialty Timber Advisory Committee. If the firewood industry, (particularly the collectors) become regulated, there will be a window of opportunity for firewood plantations and immediate scope for land holders with plantations requiring thinning.

Private growers would have little difficulty selling reasonable sized logs of the above mentioned species. Moreover, because the market is supply driven, it is possible that high quality logs could realise premium prices in the future.

(Phelan and Higgins, 1996).

Stringybark-Peppermint markets

The timber producing species of the Stringybark-Peppermint forests in the North Central catchment include Acacia melanoxylon (Blackwood), Eucalyptus obliqua (Messmate), E. viminalis (Manna gum), E. globulus ssp bicostata (Southern Blue Gum), E. cypellocarpa (Mountain grey gum), E. dives (Broad leaf peppermint) and E. radiata (Narrow leaf peppermint).

Stringybark-Peppermint forests within North Central supply a total of twenty-three sawmills while the main products manufactured from these forests are sawlogs and pulp. Of the species listed above, Blackwood logs are the most highly prized. Only a limited number of these logs are available and most sell for specialty uses. Messmate and Manna Gum are the main species cut for sawn timber products. Local mills also cut small quantities of Southern Blue Gum and Mountain Grey Gum as structural timber when logs of these species are available. As sawlogs, the Peppermint species are fairly undesirable, thus a large proportion of these logs become pulp. The Stringybark-Peppermint communities grow mostly within the Mt. Cole, Creswick and Wombat forests.

The Corangamite Farm Forestry Network conducted a survey of sawmillers in the area to investigate their species preferences, log requirements and attitudes towards buying timber from private growers. All seven mills responding to the survey indicated a willingness to accept logs from private growers and most indicated a preference for high quality Messmate logs.

To assure their future ability to meet export licenses, one plantation company is investing in a significant plantation program. The main thrust of this program is to establish short rotation Blue Gum plantations on private land. A range of marketing agreements are available to owners of suitable properties within 150 km of Geelong.
Preservative treated softwood is gaining popularity for various external applications and there are a number of mills in the area currently buying small softwood sawlogs for this purpose. Chipboard manufacturers are the largest consumers of pulp quality logs grown in the area. Various licensing agreements exist between the Ballarat zone and these industries (Williams, pers. comm.).

Seasoned Radiata Pine is steadily replacing native hardwood as the preferred timber in building construction. Kiln dried pine is particularly suitable for roof trusses and wall framing (Dunchue and Sinclair, 1994). Local plantations have been unable to meet these demands in the recent past and predictions indicate that the volume of pine harvested domestically will treble its 1993 figure by 2008, replacing current imports. In recent years, however, softwood plantation establishment rates have been low. As a result, domestic supply is likely to return to current levels again by 2030 (Loane, 1993).

Market Opportunities

Agroforestry plantations established in the North Central CMA region could potentially supply five main forest product sectors:

Source: Phelan and Higgins (1996).

For more information regarding investing in the farm/ plantation industry in the North Central region contact:

Mark Johnson
Department of Primary Industries
Cnr Midland Hwy and Taylor St
Epsom, Victoria 3551
Phone: (03) 5430 4579
Fax: (03) 5448 4251
Email: mark.johnson@nre.vic.gov.au


Related Links

The DPI website has a number of Farm Forestry Information Notes (that cover General Farm Forestry, Pests and Disease, Planning and Establishment, Species and Stand Management).

References:

Dunchue, H.l., and Sinclair, R.L., (1994). Farm forestry: marketing opportunities for north-east Victoria. North East Farm Forestry Development Program, Marketing Report.

Loane, B., (1993). Economic assessment of farm forestry for woolgrowers in Victoria. Report of Department of Agriculture Sustainable Development Unit (unpublished).

Phelan, T., and Higgins, I., (1996). Timber Growing Opportunities in North Central Victoria. Centre for Land Protection Research, Technical Report No. 38.

Williams, W., Field Manager, Operations, Victorian Plantations Corporation, Ballarat Zone, pers. comm., 1995.

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